The energy sector in many Small Island Developing States (SIDS) is an important constraint for socio-economic development. It also is the cause for major environmental damage, from desertification to GHG emission. In a previous study for Santo Antăo Island (Duic et al.), a simulation of wind and solar energy penetration in the power production sector was performed and the possibility of Clean Development Mechanism to act as incentive was analysed. This paper analyses the impact of end-use energy policy measures aiming at reducing CO2 emissions. The end use approach will be compared with the supply side approach carried out in the previous study. In 1990 the domestic sector accounted for almost 40% of the energy consumption in Cape Verde. In a rural region as Santo Antăo Island this share rises to nearly 80%. Electricity consumption accounts for only 0.7% of the total consumption while wood fuel consumption rises above 60% of the total. Even if the recent rural electrification increased the electrification rate from 13% in 1990 to about 53, 5% in 2000, this did not likely affect the demand of wood for cooking. Thus, any action aiming at reducing energy consumption and GHG emissions in Santo Antăo should have the domestic sector as main target. To carry out an end-use analysis the energy sector is disaggregated into sub-sectors (e.g. domestic), end-use (e.g. cooking) and devices (e.g. improved stoves). For cooking the population generally uses a combination of two sources between wood, biomass, kerosene and LPG. Wood fuel is burned in traditional three stone, classic stoves and improved stoves. In this paper we analyse the impact of better efficiency, changes on behaviour and introduction of solar stoves on CO2 emission. It is assumed that a program to reduce GHG emission starting in 2000 until 2030 will be implemented. A financial analysis is carried out and the possibility of financing trough Clean Development Mechanism is investigated. It was concluded that for Cape Verde, particularly the Santo Antăo Island, a simple program aimed at reducing GHG emission based on behaviour changes, fuel shift and improved efficiency can be implemented with high impact and reduced cost. The application of such measures can, with correct accounting, be included in CDM projects and thus be easily financed by a market mechanism.