Change search
ReferencesLink to record
Permanent link

Direct link
Renewable Energy Market for Rural Electrification in Developing Countries: Country Case Nepal
KTH, School of Industrial Engineering and Management (ITM), Energy Technology, Energy and Climate Studies, ECS.
2011 (English)Licentiate thesis, comprehensive summary (Other academic)
Abstract [en]

The availability of abundant renewable resources, lack of fossil fuels and difficult geographical terrain for grid line extensions contribute to the advantages of renewable based decentralized rural electrification in Ne-pal. Solar home system (SHS) and micro-hydro are the most commonly adopted off-grid renewable energy technologies in the country. This dis-sertation examines the market of renewable energy based rural electrifi-cation within prevailing policy and programmes framework. The study verifies whether the market has been able to serve the poor in Nepal. It also captures the perception of various stakeholders (e.g. private sup-ply/installation companies, NGOs, financial institutions and the donor‘s programme) regarding the business, financing issues and the role of gov-ernment policy on the market development. In addition, the study dis-cusses and analyses renewable based rural electrification supply models, the economics behind rural electrification, market drivers and market distribution in the rural areas of Nepal.

The financial mix in the off-grid rural electrification is generally charac-terized by subsidy, equity and credit. The study shows that awareness about renewable energy technologies and willingness to pay for electricity access has increased considerably. However, there is a huge financial gap between the cost of electrification and affordability among the poor. The distribution analysis shows there is significant increment in the extensive growth but decrease in the intensive growth rate of rural electrification thus indicating market expansion with uneven penetration among the ru-ral people. Solar PV technology is still not in the reach of the economic poor. Access to credit and cumbersome subsidy delivery mechanisms have been perceived as the major factors affecting the expansion of rural electrification by the stakeholders, requiring innovation in the credit and subsidy delivery system so that a larger rural population can be given ac-cess to electrification.

 

Place, publisher, year, edition, pages
Stockholm: KTH Royal Institute of Technology , 2011. , xiv, 89 p.
Series
, TRITA-ECS, 2011-01
Keyword [en]
renewable energy, rural electrification, off-grid, financing, subsidy, credit, equity, market, extensive growth, intensive growth
National Category
Social Sciences Interdisciplinary Social Sciences
Identifiers
URN: urn:nbn:se:kth:diva-33201ISBN: 978-91-7415-982-0OAI: oai:DiVA.org:kth-33201DiVA: diva2:413909
Presentation
2011-05-23, Sal M263, KTH, Brinellvägen 68, Stockholm, 15:00 (English)
Opponent
Supervisors
Note
QC 20110502Available from: 2011-05-02 Created: 2011-04-29 Last updated: 2011-11-15Bibliographically approved
List of papers
1. Financing off-grid rural electrification: Country case Nepal
Open this publication in new window or tab >>Financing off-grid rural electrification: Country case Nepal
2011 (English)In: Energy, ISSN 0360-5442, Vol. 36, no 4, 2194-2201 p.Article in journal (Refereed) Published
Abstract [en]

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.

Keyword
Rural electrification, Off-grid, Financing, Subsidy, Credit, Equity
National Category
Social Sciences
Research subject
SRA - Energy
Identifiers
urn:nbn:se:kth:diva-33189 (URN)10.1016/j.energy.2010.07.004 (DOI)000289605900042 ()2-s2.0-79952815334 (ScopusID)
Funder
StandUp
Note
5th Conference on Sustainable Development of Energy Water And Environment Systems, 29 Sept - 03 Oct 2009, Dubrovnik, Croatia. QC 20110502Available from: 2011-04-29 Created: 2011-04-29 Last updated: 2014-02-10Bibliographically approved
2. Renewable Energy Market in Rural Electrification: Country Case Nepal
Open this publication in new window or tab >>Renewable Energy Market in Rural Electrification: Country Case Nepal
2012 (English)In: Energy for Sustainable Development, ISSN 0973-0826, Vol. 16, no 2, 168-178 p.Article in journal (Refereed) Published
Abstract [en]

Markets for Renewable Energy (RE) technologies are emerging in Nepal in connection with rural electrification in the country. Two promising technologies are in evidence – solar home system (SHS) and micro-hydro. The availability of abundant renewable resources, lack of fossil fuels and difficult geographical terrain for grid line extensions contribute to the advantages of RE based decentralized rural electrification in Nepal. The distributional analysis shows increase in extensive growth and decrease in the intensive growth rate of rural electrification thus indicating market expansion with uneven penetration among the rural people. Solar PV technology is still not in the reach of the economic poor. This paper discusses and analyzes RE based rural electrification supply models, economics behind rural electrification, market drivers and market distribution in the rural areas of Nepal. Access to credit and cumbersome subsidy delivery mechanism have been perceived as the major factors affecting the expansion of rural electrification by the stakeholders, requiring innovations in credit and subsidy delivery system so that a larger rural population can have access to electrification.

Keyword
Renewable energy market, rural electrification, Nepal
National Category
Social Sciences Interdisciplinary Social Sciences
Research subject
SRA - Energy
Identifiers
urn:nbn:se:kth:diva-33192 (URN)10.1016/j.esd.2012.03.001 (DOI)000305671600004 ()2-s2.0-84862009531 (ScopusID)
Funder
StandUp
Note

QC 20120724

Available from: 2011-04-29 Created: 2011-04-29 Last updated: 2014-02-10Bibliographically approved

Open Access in DiVA

fulltext(1955 kB)1826 downloads
File information
File name FULLTEXT02.pdfFile size 1955 kBChecksum SHA-512
75b7fd853ecdd86137a4ccaf808609ff0f7d850c15b56ad5c51e81cbbf7f6e207cdf82b4cb9b91fab392bacaf18179dc746649ff95e9eb3397a5ade5597a9b3f
Type fulltextMimetype application/pdf

Search in DiVA

By author/editor
Mainali, Brijesh
By organisation
Energy and Climate Studies, ECS
Social Sciences InterdisciplinarySocial Sciences

Search outside of DiVA

GoogleGoogle Scholar
Total: 1826 downloads
The number of downloads is the sum of all downloads of full texts. It may include eg previous versions that are now no longer available

Total: 819 hits
ReferencesLink to record
Permanent link

Direct link