A First Step Up the Energy Ladder? : Low Cost Solar Kits and Household's Welfare in Rural Rwanda
More than 1.1 billion people in developing countries are lacking access to electricity. Based on the assumption that electricity is a prerequisite for human development, the United Nations has proclaimed the goal of providing electricity to all by...
| Main Authors: | , , , |
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| Format: | Working Paper |
| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2016
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/2016/10/26858629/first-step-up-energy-ladder-low-cost-solar-kits-households-welfare-rural-rwanda http://hdl.handle.net/10986/25304 |
| Summary: | More than 1.1 billion people in
developing countries are lacking access to electricity.
Based on the assumption that electricity is a prerequisite
for human development, the United Nations has proclaimed the
goal of providing electricity to all by 2030. In recent
years, Pico-Photovoltaic kits have become a low-cost
alternative to investment intensive grid electrification.
Using a randomized controlled trial, the paper examines
uptake and impacts of a simple Pico-Photovoltaic kit that
barely exceeds the modern energy benchmark defined by the
United Nations. The authors find significant positive
effects on household energy expenditures and some indication
for effects on health, domestic productivity, and on the
environment. Since only parts of these effects are
internalized, underinvestment into the technology is likely.
In addition, our data show that adoption will be impeded by
affordability, suggesting that policy would have to consider
more direct promotion strategies such as subsidies or
financing schemes to reach the UN goal. |
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