World Bank’s Carbon Initiative for Development purchases 500,000 GHG emission reductions generated by SimGas’ biogas systems in Kenya

Washington D.C., January 29, 2016

The World Bank’s Carbon Initiative for Development (Ci-Dev) signs its first Emissions Reduction Purchase Agreement (ERPA), with clean-tech company SimGas. The agreement on the purchase of 500,000 Certified Emission Reductions (CERs) – commonly known as carbon credits – generated by SimGas’ biogas systems in Kenya, will improve the affordability for rural households to invest in the self-empowering technology of biogas. SimGas biogas systems are fully integrated farm solutions for rural households. Manure from livestock goes in, biogas and organic slurry come out. Biogas is a clean fuel used for cooking. Slurry from biogas systems is a high-quality fertiliser used for growing crops and cow fodder.

Ci-Dev ( supports low-carbon investments in low-income countries, using performance payments linked to GHG emission reductions, and focuses on projects that improve and increase access to energy, using clean and efficient technologies – of which the SimGas biogas system is their first example. SimGas ( is a design and production company with facilities in the Netherlands, Tanzania, and Kenya that focuses on clean, affordable, and high quality energy and sanitation solutions. SimGas designs, manufactures, and installs high quality, modular, domestic biogas systems. By doing so, SimGas helps to build a clean energy revolution for millions of rural households in Africa and Asia, while contributing to the reduction of indoor air pollution, deforestation, and carbon emissions.

The purchase of GHG emission reductions by Ci-Dev has two clear advantages for rural households in Kenya that consider to buy SimGas biogas systems: First, the revenue stream will serve as a subsidy, lowering the retail price of biogas systems for households and thereby increasing the affordability of these systems to these families. Second, the standard warranty on biogas systems of three years will be extended to five years, thereby increasing customer confidence and lowering the threshold for households to invest in SimGas’ cutting-edge technology.

SimGas is Ci-Dev’s first ERPA out of 10-15 expected programs to be funded under Ci-Dev’s USD 125 mln fund. This fund aims to pilot and implement innovative and transformative energy access business models in low income countries and aims to generate lessons learned to further support private sector participation in future carbon market mechanisms.

Check out the interview with Vikram Widge, who heads the World Bank’s climate and carbon finance unit, and our CEO Sanne Castro in Carbon Pulse:

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