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 2030. In recent years, Pico-Photovoltaic kits have become a low-cost alternative to investment intensive grid electrification. Using a randomized controlled trial, we examine uptake and impacts of a simple Pico-Photovoltaic kit that barely exceeds the modern energy benchmark defined by the United Nations. We 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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Published by Oxford University Press on behalf of the World Bank
2017-10-01
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| Subjects: | ELECTRICITY, SOLAR ENERGY, RURAL ELECTRIFICATION, DOMESTIC PRODUCTIVITY, WELFARE, HOUSEHOLD PRODUCTION, ENERGY CONSUMPTION, TECHNOLOGY, |
| Online Access: | http://hdl.handle.net/10986/31470 |
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dig-okr-10986314702023-04-03T09:36:15Z A First Step Up the Energy Ladder? Low Cost Solar Kits and Household’s Welfare in Rural Rwanda Grimm, Michael Munyehirwe, Anicet Peters, Jörg Sievert, Maximiliane ELECTRICITY SOLAR ENERGY RURAL ELECTRIFICATION DOMESTIC PRODUCTIVITY WELFARE HOUSEHOLD PRODUCTION ENERGY CONSUMPTION TECHNOLOGY 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, we examine uptake and impacts of a simple Pico-Photovoltaic kit that barely exceeds the modern energy benchmark defined by the United Nations. We 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. 2019-04-01T16:46:17Z 2019-04-01T16:46:17Z 2017-10-01 Journal Article Article de journal Artículo de revista World Bank Economic Review 1564-698X http://hdl.handle.net/10986/31470 World Bank Economic Review CC BY-NC-ND 3.0 IGO World Bank http://creativecommons.org/licenses/by-nc-nd/3.0/igo application/pdf Published by Oxford University Press on behalf of the World Bank |
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| topic |
ELECTRICITY SOLAR ENERGY RURAL ELECTRIFICATION DOMESTIC PRODUCTIVITY WELFARE HOUSEHOLD PRODUCTION ENERGY CONSUMPTION TECHNOLOGY ELECTRICITY SOLAR ENERGY RURAL ELECTRIFICATION DOMESTIC PRODUCTIVITY WELFARE HOUSEHOLD PRODUCTION ENERGY CONSUMPTION TECHNOLOGY |
| spellingShingle |
ELECTRICITY SOLAR ENERGY RURAL ELECTRIFICATION DOMESTIC PRODUCTIVITY WELFARE HOUSEHOLD PRODUCTION ENERGY CONSUMPTION TECHNOLOGY ELECTRICITY SOLAR ENERGY RURAL ELECTRIFICATION DOMESTIC PRODUCTIVITY WELFARE HOUSEHOLD PRODUCTION ENERGY CONSUMPTION TECHNOLOGY Grimm, Michael Munyehirwe, Anicet Peters, Jörg Sievert, Maximiliane A First Step Up the Energy Ladder? Low Cost Solar Kits and Household’s Welfare in Rural Rwanda |
| description |
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, we examine uptake and impacts of a simple Pico-Photovoltaic kit that barely exceeds the modern energy benchmark defined by the United Nations. We 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. |
| format |
Journal Article |
| topic_facet |
ELECTRICITY SOLAR ENERGY RURAL ELECTRIFICATION DOMESTIC PRODUCTIVITY WELFARE HOUSEHOLD PRODUCTION ENERGY CONSUMPTION TECHNOLOGY |
| author |
Grimm, Michael Munyehirwe, Anicet Peters, Jörg Sievert, Maximiliane |
| author_facet |
Grimm, Michael Munyehirwe, Anicet Peters, Jörg Sievert, Maximiliane |
| author_sort |
Grimm, Michael |
| title |
A First Step Up the Energy Ladder? Low Cost Solar Kits and Household’s Welfare in Rural Rwanda |
| title_short |
A First Step Up the Energy Ladder? Low Cost Solar Kits and Household’s Welfare in Rural Rwanda |
| title_full |
A First Step Up the Energy Ladder? Low Cost Solar Kits and Household’s Welfare in Rural Rwanda |
| title_fullStr |
A First Step Up the Energy Ladder? Low Cost Solar Kits and Household’s Welfare in Rural Rwanda |
| title_full_unstemmed |
A First Step Up the Energy Ladder? Low Cost Solar Kits and Household’s Welfare in Rural Rwanda |
| title_sort |
first step up the energy ladder? low cost solar kits and household’s welfare in rural rwanda |
| publisher |
Published by Oxford University Press on behalf of the World Bank |
| publishDate |
2017-10-01 |
| url |
http://hdl.handle.net/10986/31470 |
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| _version_ |
1767603830348840960 |