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Tools Stakeholder Analysis

Stakeholder Analysis

A stakeholder analysis provides a means to identify the relevant stakeholders and assess their views and support for the proposed project. 

A stakeholder can be defined as any individuals, groups of people, institutions or organisations that may have a significant interest in the success or failure of a potential project around the issue of concern. These may be affected either positively or negatively by a proposed project.

Stakeholders therefore go beyond the target group, and extend to those that may have something to bring to assist the project, or those that may resist the project taking place.When identifying stakeholders, it is important to consider potentially marginalised groups, such as women, the elderly, youth, the disabled and the poor, so that they are represented in the process, especially if the issue will affect their lives. 

It is important to identify and understand the different stakeholders and their varying levels of interest and power to influence the project, and their motivation and capacity (resources/knowledge/skills) that they bring to the issue.Having these matters identified and clarified will make the process of identifying the causes of the problem and potential solutions much easier.

You should aim to identify the motivation or constraints to change from the aspect of the target group(s), so that you can better understand the underlying causes to the issue you seek to overcome. This is particularly important if you have more than one target group, or a diverse group (eg. urban and rural households). You can use relevant and up to date information from the literature review, as well as directly engaging stakeholders to complete the stakeholder analysis.

This type of research is similar to the barrier and benefit research that is recommended as part of Community-Based Social Marketing (CBSM).

A stakeholder analysis template can be downloaded from here.

 

An example of a completed stakeholder analysis is provided below (for a hypothetical project looking at reducing electricity consumption in households).

Sample completed stakeholder analysis table

StakeholderStake in the issueHow can they help the project be successful (OR Capacity/motivation to make change)How could they be engaged
Residents

High increase in purchase and installation of Air Conditioners (AC). Residents seek to achieve a comfortable environment at home. Air-conditioning becomes necessary during hot days, particularly if residence does not allow for natural ventilation. Lack of natural shade and insulation also increases requirement for air-conditioning. Responsibility for reducing greenhouse gas emissions is largely placed on national government.

Existing building stock that does not provide for natural ventilation options limited to retrofitting insulation, enhancing shading, or minor internal structural work. Use of fans could be promoted, where natural breezes can enter home. More efficient AC also an option, depending on replacement cost. Operation of AC at higher temperature will also reduce electricity demand. Motivated to address the problem as long as comfort retained, and affordability of measures. Increased awareness of need to address climate change should also assist in motivating residents to address AC associated electricity demand.

With right signals, could form effective partnership with electricity retailers and local government to take responsibility for reducing electricity demand associated with AC use.

Electricity Retailer & Distributors

Increased demand for electricity requires significant investment in new infrastructure to meet the peak load. Rapid growth in peak demand means that approximately 10% of capacity is required to meet demand of 1% of the year.

Addressing demand side management to reduce the peak load can save investment in costly new infrastructure. Distributors paid for throughput of electricity which creates a disincentive to reduce demand. Retailers at present cannot change tariff structures as the price of residential electricity is regulated.

Could form partnership with residential customers through education and incentives. Electricity retailers and local government share same goal to reduce electricity use. Potential conflict with Essential Service Commission who fix residential electricity price, thereby preventing tariff reform.

Local Government

Council has signed up to Cities for Climate Protection (CCP) programme, and is looking to achieve a 10% cut in greenhouse gas emissions for the residential sector. Planning provisions do not stipulate sustainable home design requirements for new homes, or renovation requirements for existing homes.

Motivated to assist in education and awareness raising of community in order to build capacity to act and reduce AC related electricity demand, which will assist in meeting CCP greenhouse gas reduction target.

Partnership with residential sector and electricity retailer/distributor. Could work with home builders through guidelines, as well as electrical appliance retailers through enrolment into common initiatives to reduce electricity demand.

State Government

Regulates residential electricity cost through essential services agency.

Fixed electricity price means that residential users of electricity are not aware of the fluctuating price for electricity generation, and as such do not receive a price signal during ‘scarcity’ such as peak times. Allowing tariff reform would provide a price-incentive to reduce AC use, especially during peak load.

Potential conflict with electricity retailers as there is no price signal to reduce electricity.Potential partnership with electrical retailers and local government if education/awareness set the scene for eventual acceptance of tariff reform.

Electrical appliance retail stores

Competition between retailers leads to discounted AC products. Retailers may not always stock/promote energy-efficient models (such as inverter models).

Education and awareness raising among electrical retail stores could lead to promotion of energy-efficient AC models.

Could form partnership with local government and electrical retailers if made aware of importance of addressing the issue.

Home builders

Large home building companies provide standard home designs that maximise home size, and minimise construction costs in order to attract purchasers. Home design is generally not climate responsive, and does not allow for individual lot considerations with respect to orientation and natural ventilation. Competition between home-builders often leads to advertisements for AC included in all rooms.

Education and awareness, as well as guidelines, could be used to improve home design for dry tropics climate. At present, little incentive to alter current practice due to lack of guidelines/regulations. Builders often advertise ‘box’ unit AC as free inclusions in home price. Box AC are generally cheaper and less efficient than split systems, especially inverter units.

High demand for new homes provides little incentive to change business as usual approach. Potential for all levels of government to provide incentives and or regulations for more appropriate new home designs.

 

STAKEHOLDER MAP

A stakeholder map allows you to plot stakeholders based on their ‘power & interest’ and this can help you prioritise your level of engagement with them.  Interest relates to the stakeholder’s level of interest in the issue.  Power refers to their ability to facilitate or prevent change from happening.Stakeholders with a high level of power and interest in your project, or the issue of concern, need to be managed closely. This could involve them being part of a reference group or steering committee.Other stakeholders may need to be kept satisfied, such as through regular project updates, and the ability to respond to their issues/concerns as they arise.Stakeholders with little power or interest do not require much time/effort to be spent on them.

 

 

What is the Toolbox?

The toolbox aims to provide a one-stop-site for the evaluation of community sustainability engagement projects that aim to change household behaviours. Through the toolbox you can learn how to conduct your own evaluation of a behaviour change project using the guides and templates provided.

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Why Evaluate?

Conducting an evaluation is considered good practice in managing a project.

The monitoring phase of project evaluation allows us to track progress and identify issues early during implementation, thus providing and opportunity to take corrective action or make proactive improvements as required.

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