Initiative for 100% rural electrification in developing countries: Case study of Senegal

Sub-Saharan Africa has the lowest access to electricity in the World. In Senegal, less than 25% of the rural population benefit of electricity service. Solar energy offers an important potential to Senegal with over 3000 h of sunlight a year. This is a real opportunity to generalize the access to electricity. But, the efforts to bridge the gap must be diversified and completed. We approach the problem of rural electrification with a different point of view. Grid expansion and centralized solutions may be adequate for villages with a population organized in high-density of habitations. Small size villages or those with highly dispersed population may need different propositions because of cost. These regions will not be the priority of electrification programs. Furthermore, this rural population is characterized by its low income and saving. Such a conjuncture suggests the opportunity of a service based fees model for access to electricity. On the basis of a fees-for-service model, individual standalone photovoltaic systems may be a more appropriate solution to cover the priority needs of lighting and mobile phones battery charge for telecommunication. We present a pilot project in a village of Senegal to support the model and demonstrate its feasibility.     

Financing off-grid rural electrification: Country case Nepal

More than 61% of the total population of Nepal has no access to electricity. The majority is poor and live in rural areas. In recent years, rural electrification has had high priority in government policies, and micro hydro and solar PV have been the most commonly adopted off-grid technologies. The financial mix in the off-grid rural electrification is generally characterized by subsidy, equity and credit. In this paper, we analyze how rural electrification has been funded and the impact of subsidy policies on the renewable energy market, focusing on the projects implemented under the ‘subsidy policy 2000’. Our study is based on official data obtained from authorities in Nepal and a survey carried out among private supply and installation companies, NGOs and financial institutions. The study shows that awareness levels in adopting RE-technologies and willingness of people to access and pay for electricity have increased significantly. However, there is a huge financial gap between the cost of electrification and the affordability. Bridging this gap is a crucial issue that needs to be addressed for the smooth expansion of rural electrification in the country.     

Low-carbon off-grid electrification for rural areas in the United Kingdom: Lessons from the developing world

Low-carbon off-grid electrification for rural areas is becoming increasingly popular in the United Kingdom. However, many developing countries have been electrifying their rural areas in this way for decades. Case study fieldwork in Nepal and findings from United Kingdom based research will be used to examine how developed nations can learn from the experience of developing countries with regard to the institutional environment and delivery approach adopted in renewable energy off-grid rural electrification. A clearer institutional framework and more direct external assistance during project development are advised. External coordinators should also engage the community in a mobilization process a priori to help alleviate internal conflicts of interest that could later impede a project.     

To regulate or not to regulate off-grid electricity access in developing countries

As off-grid electrification receives global attention in the Sustainable Energy for All initiative, the role of regulation for this alternative form of electricity delivery requires a careful investigation. This paper asks whether the activity has to be regulated or not. It then tries to find out where regulation can be used and what type of regulation is appropriate. It suggests that for product-type delivery options, there is no justification for regulatory intervention in the sense of utility regulation but such intervention makes sense in the case of mini-grid-based off-grid delivery options. The paper considers the pros and cons of a generic license waiver, a simplified regulatory arrangement and a full-fledged regulatory supervision and suggests that a light-handed approach is appropriate in general to promote the activities of the sub-sector but more formal approaches may be required if the players do not abide by the rules. The paper also highlights some regulatory challenges and issues.     

Grid electrification challenges, photovoltaic electrification progress and energy sustainability in Lesotho

Lesotho's energy profile is characterized by a predominance of traditional biomass energy to meet the energy needs of the rural households and a heavy dependence on imported petroleum for the modern economic sector needs. As a result, the country faces challenges related to unsustainable use of traditional forms of biomass and exposure to high and unstable oil import prices. There are relatively abundant renewable energy resources in the form of hydro, solar and wind. The average daily solar radiation in Lesotho varies between 4.5 and 6.5 kWh/m², with some areas in the South West averaging over 7 kWh/m²/day. Under the UNDP/GEF-supported Lesotho Renewable Energy-Based Rural Electrification (LREBRE) Project, a total of 5000 solar home systems (SHS) will be installed by 2012. Since the start of the project, a total of 1537 SHS with a capacity of 65 W have been installed, and an estimated 500 SHS have also been independently installed as a result of the project's influence. This paper examines the role of PV technologies in the sustainable development process, with particular reference to UNDP/GEF-LREBRE Lesotho PV project, and the extent to which this project is impacting on the PV industry. The paper also analyses national grid electrification and energy provision in rural areas and shows that the problem of rural electrification could be tackled by conventional and non-conventional means.     

A decision support system for technologies of rural electrification

An interactive computer program has been developed to determine and to evaluate the optimal design of electricity distribution systems in rural areas. The program considers the costs and benefits of grid electrification, isolated diesel generators and centralized photovoltaics. It provides support for decisions on choices of technology. The program optimizes within the context of long-term load and system expansion; it runs on a 384K CPU microcomputer.     

Potential application of renewable energy for rural electrification in Malaysia

Energy poverty and lack of electricity in rural areas exacerbate the poverty of the developing countries. In Malaysia, 3.8% of the population lives below the poverty line and most of them are settled in rural areas. The electricity coverage in poor states is about 79% in comparison with 99.62% in Peninsular Malaysia. The renewable energy sources can be considered the best alternative to reduce the energy poverty of the rural areas where the grid extension through a difficult terrain and thick jungle is not possible or economic. In this study, the potential for applying renewable sources – solar, wind and hydropower – for rural electrification is investigated, especially in the poorest States. A comparative study on rural electrification policies, in order to have community approval, appropriate siting and financial benefits for the rural community, while considering the three categories of social, institutional and economic issues, is also examined. Finally, the Malaysian policies of rural electrification by applying renewable sources are explained. It is found that in Malaysia, with a maximum solar radiation of about 6.027 kWh/m² per day in Sabah and 5.303 kWh/m² per day in Sarawak, the potential for applying solar energy for electrification is too high. However, the potential for micro-hydropower in Sabah and Sarawak is found to be 3182 kW and 6317 kW through 18 and 22 sites, respectively.     

Mini-grid based electrification in Bangladesh: Technical configuration and business analysis

This paper presents a local level study of a village off-grid system in Bangladesh. It applies an integrated methodology that identifies the demand in the off-grid village context using alternative scenarios. The techno-economic analysis of the optimal off-grid system architecture is then presented using HOMER software. Three energy resources are considered, namely solar energy, wind and diesel fuel. The optimal configuration suggested for the scenarios consists of diesel generators for the basic level of demand and PV-diesel hybrid for higher demand and reliable supply scenarios. The cost of electricity per kWh remains high for the basic level of supply and decreases as the system size increases. However, the capital and asset replacement costs increased considerably for bigger systems. The business case is then analysed for each scenario and it was found that it is practically impossible to reach grid price parity even with full capital cost subsidy, indicating significant amount of operating cost subsidy requirement that makes the larger systems financially unsustainable. Moreover, the small mini-grid system for the basic level of supply emerges as a cheaper option than providing the consumers with solar home systems. But the monthly electricity bill will become unaffordable for most consumers when demand restrictions are removed. Accordingly, the paper suggests a mini-grid based electricity supply to provide the basic level of provision alongside productive energy use during off-peak hours as the starting point. If the business develops and the demand improves, the system can be expanded subsequently using appropriate technology combinations.     

The value of cooperatives in rural electrification

The electricity sectors of many developing countries underwent substantial reforms during the 1980s and 1990s, driven by global agendas of privatization and liberalization. However, rural electrification offered little by way of market incentives for profit-seeking private companies and was often neglected. As a consequence, delivery models for rural electrification need to change. This paper will review the experiences of various rural electrification delivery models that have been established in developing countries, including concessionary models, dealership approaches and the strengthening of small and medium-sized energy businesses. It will use examples from the USA, Bangladesh and Nepal, together with a detailed case study of a Nepali rural electric cooperative, to explore the role that local cooperatives can play in extending electricity access. It is shown that although there is no magic bullet solution to deliver rural electrification, if offered appropriate financial and institutional support, socially orientated cooperative businesses can be a willing, efficient and effective means of extending and managing rural electricity services. It is expected that this paper will be of particular value to policy-makers, donors, project planners and implementers currently working in the field of rural electrification.     

Field analysis of solar PV-based collective systems for rural electrification

This article analyses the long-term performance of collective off-grid photovoltaic (PV) systems in rural areas. The use of collective PV systems for the electrification of small medium-size villages in developing countries has increased in the recent years. They are basically set up as stand-alone installations (diesel hybrid or pure PV) with no connection with other electrical grids. Their particular conditions (isolated) and usual installation places (far from commercial/industrial centers) require an autonomous and reliable technology. Different but related factors affect their performance and the energy supply; some of them are strictly technical but others depend on external issues like the solar energy resource and users’ energy and power consumption. The work presented is based on field operation of twelve collective PV installations supplying the electricity to off-grid villages located in the province of Jujuy, Argentina. Five of them have PV generators as unique power source while other seven include the support of diesel groups. Load demand evolution, energy productivity and fuel consumption are analyzed. Besides, energy generation strategies (PV/diesel) are also discussed.     

The determinants of rural electrification: The case of Bihar,India

This paper explores intra-state disparity in access to electricity and examines the determinants of electrification at the village level in Bihar, one of the underdeveloped states in India. Our field survey of 80 villages in 5 districts conducted in 2008–09 found that 48 villages (60%) are electrified when using the definition of electrification that a village is electrified if any one household in the village is connected to electricity. In the processes of electrification, approximately 40% of villages have been electrified in recent years. The econometric analyses demonstrate that location is the most important determinant of a village's electricity connection. Another important finding is that with the rapid progress of rural electrification under the recent government program and the tendency to connect the villages that are easily accessible, the collective bargaining power of the village, which used to significantly affect the process of electrification, has lost influence. This adversely affects remote villages. In order to extend electricity supplies to remote and geographically disadvantaged villages, the government needs to consider other options for sustainable electricity supply, such as decentralized distribution of electricity rather than the conventional connection through the national/local grids.     

Alternatives to grid extension for rural electrification: Decentralized renewable energy technologies in Vietnam

This paper examines the economic viability of stand-alone, household-sized renewable energy technologies, namely wind generator and solar PV for application in remote and rural areas of Vietnam. Three reference technologies are chosen. These are two solar PV systems of 130 and 100 Wp for solar conditions in the North and the South, respectively, and one 150 W wind turbine. It is found for all regions that levelized costs of PV energy are lower than the cost of energy from gasoline gen-set, and are cost-competitive with grid extension, especially for areas with low load density and low number of households to be electrified. Regarding wind energy, the viability is dependent on the location due to the wide variation of wind resource to topography. However, in locations with proper resources, wind energy is even more cost-competitive than solar PV. Thus, the use of either wind generator or solar PV is economically feasible in rural villages and remote areas of Vietnam. Policy recommendations for promoting the market development of renewable energy technologies are discussed in the final section of the paper.     

Assessment of access to electricity and the socio-economic impacts in rural areas of developing countries

The purpose of this study is to reveal relations between access to electricity and advancement in a socio-economic condition in rural areas of developing countries. Recently, multi-dimensional aspects of poverty, for example, economy, education, and health, has been increasingly focused on, and access to modern energy such as electricity is one possible solution. As a case study, we have analyzed unelectrified rural areas in Assam state, India. We have developed an energy-economic model in order to analyze the possibility of electrification through dissemination of electric lighting appliances as well as applied multiple regression analysis to estimate the socio-economic condition, a literacy rate above 6 years old, in the areas. As a result of the case study, the household electrification rate, the 1000 km² road density, and sex ratio have been chosen as the explanatory variables of the literacy rate. Moreover, the model analysis shows that complete household electrification will be achieved by the year 2012. In combination with the multiple regression and model analysis, the literacy rate in Assam may increase to 74.4% from 63.3%.     

Comparison of five exergoenvironmental methods applied to candidate energy systems for rural villages in developing countries

This paper tackles the environmental impact assessment of different energy systems for rural communities in developing countries. Ten systems are proposed, modelled, and assessed by five published methods: ReCiPe indicator combined with exergy, exergy wasted, thermo-ecological cost, extended exergy accounting, and extended thermoeconomics. All the methods constitute life cycle assessment (LCA) and mathematically take a similar form, combining an environmental impact assessment with exergetic analysis. Despite the inevitable difference of weighting between methods, most showed clear benefits to using responsibly grown Jatropha oil (rather than diesel) to generate electricity and all showed clear benefits of biogas over solar thermal or fuelwood heat. Analyses of error and sensitivity are presented at the end of the results and discussion section.     

Energy access problem of the poor in India: Is rural electrification a remedy?

India accounts for a third of the world's population without access to electricity and about 40% of those without access to modern energy. Such a situation exists despite several initiatives and policies to support poor households. Alarmed by the gravity of the situation, the government has recently announced an ambitious programme of rural electrification. This paper looks into the energy access situation of India and argues that rural electrification alone is unlikely to resolve the energy access problem because of low penetration of electricity in the energy mix of the poor.     

A new tailored scheme for the support of renewable energies in developing countries

Historically the promotion of renewable energy technologies in isolated areas has involved international donors or governments subsidising the initial capital investment. This paper proposes an alternative support mechanism for remote villages based on the generation of renewable electricity. This communication presents an evaluation of the Renewable Energy Premium Tariff (RPT) scheme, a locally adapted variation of the Feed-in Tariff tailored for decentralised grids of developing countries. The RPT scheme stimulates the deployment of renewable energy technologies by paying for renewable electricity generated. A good-quality performance is secured since the support is given based on the electricity produced by renewables, not for the initial capital investment.     

The Brazilian experience of rural electrification in the Amazon with decentralized generation - The need to change the paradigm from electrification to development

There are at least 607 thousand households in the Brazilian Amazon that need to be attended with some form of regular electricity service. These households are not attended by the electricity sector through its electricity distribution companies and most of them have some form of precarious decentralized electricity generation that is not registered or regulated in the institutional framework. Diverse initiatives were taken by Brazilian government to attend these household through alternatives that relied on locally available renewable energy. This paper accesses this initiatives of rural electrification in the Brazilian Amazon. First an overview of the problems of rural electricity are discussed and its specificities in the Brazilian Amazon. Then the Brazilian institutional framework that organizes the decentralized electricity generation is described with its various limitations. The diverse initiatives undertaken to attend the rural communities in the Amazon since the 1990s are described, as well as how these initiatives are linked to the policies for rural electrification. The results shows that it can be inferred that sole market mechanisms are not sufficient to guarantee economic sustainability of these projects. This can be one of the reasons why traditional electricity distribution companies showed the lack of interest in promoting rural electrification with other means than grid extension. The most successful projects had financed efforts to integrate the generation of electricity into local development initiatives in order to guarantee sustainability and used substantial part of funding for local mobilization and organization. It needs a paradigm chance by treating these initiatives as local development initiatives and promoting alternative ways for its implementation through partnership between local new actors in the electricity sector and government and implementing policy on a local municipal level.     

Rural electrification in Zambia: A policy and institutional analysis

Zambia is well endowed with hydropower and other energy resources, which could facilitate production of electricity for both urban and rural areas of the country. The country has an installed electricity generation capacity of 1786 MW and undeveloped hydropower potential of over 6000 MW. In the last few years, demand has been growing and it is anticipated to outstrip supply in 2008. The load growth is attributed to increased mining activities and development of the industrial base. The country is also endowed with abundant natural resources such as arable land, water, minerals and wildlife. With the available resource base, electricity along with other social and economic infrastructure such as roads and telecommunications could facilitate increased economic activities. In rural areas, electricity could be used for crop irrigation, agro-processing, small-scale mining and to facilitate tourism. However, rural electrification (RE) faces many challenges such as long distances from existing power stations to targeted rural areas, low population densities, high poverty levels and low skills availability. These and other factors have contributed to continued low levels of access to electricity in rural areas of the country.     

Development of thermoelectric generators for electrification of isolated rural homes

This work presents the experimental development of the first two prototypes of thermoelectric generators intended for initial electrification of rural isolated homes. The microcontroller system designed for these devices is oriented to develop a “plug and play” generator that is able to work on firewood home stoves without specialized supervision.     

Using contingent behavior analysis to measure benefits from rural electrification in developing countries: an example from Rwanda

Hundreds of millions of people in Sub-Saharan Africa do not have access to electricity and will not receive it from national grids in the next few decades. Electricity makes up an important component of rural development and so increasing access can have positive socioeconomic benefits. In this study, we use contingent behavior analysis to quantify the potential benefits of electricity in rural Rwandan villages which currently do not have electricity. The proposed method allows for calculation of net benefits as well as electricity bills. We find that even relatively poor, isolated households would pay for electricity, though amounts vary across households and this affects the financial viability of electrification. Common uses for electricity include lighting, battery charging, and agricultural processing. Despite heterogeneity, opportunities exist to improve rural economic welfare through increased electricity access.