Solar PV rural electrification and energy-poverty: A review and conceptual framework with reference to Ghana

Obeng, George Yaw and Evers, Hans-Dieter (2009): Solar PV rural electrification and energy-poverty: A review and conceptual framework with reference to Ghana. Published in: ZEF Working Paper Series No. 36 (2 February 2009): pp. 1-18.

Abstract

In spite of the intention of governments to increase the use of renewable energy in electricity supply, particularly the use of solar photovoltaic (PV) for energy poverty reduction in rural and peri-urban areas of Africa, there is relatively little information on how solar PV electrification impacts on energy poverty reduction. Therefore, there is a gap in the literature and hence the need for continuous research. Using Ghana as a reference country, the historical trend, donor cooperation and other aspects of solar PV rural electrification are discussed . The paper illustrates the intersectoral linkages of solar PV electrification and indicators on education, health, information acquisition, agriculture and micro-enterprises. It also reviews sustainability related issues including costs and market barriers, subsidies, stakeholders involvement, political and policy implications, which are critical factors for sustainable market development of solar PV and other renewables. Finally, a common framework is developed to provide a basic understanding of how solar PV electrification impacts on energy-poverty. This framework provides a structure of the interrelated concepts and principles relevant to the issues under review.

• Item Type: MPRA Paper
• Language: English
• Keywords: Rural electrification; solar PV electrification; energy-poverty; renewable energy; economic development; Ghana; Africa
• Subjects: N - Economic History > N5 - Agriculture, Natural Resources, Environment, and Extractive Industries > N57 - Africa ; Oceania; O - Economic Development, Innovation, Technological Change, and Growth > O5 - Economywide Country Studies > O55 - Africa; N - Economic History > N3 - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy > N37 - Africa ; Oceania; O - Economic Development, Innovation, Technological Change, and Growth > O1 - Economic Development > O13 - Agriculture ; Natural Resources ; Energy ; Environment ; Other Primary Products; Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q4 - Energy > Q42 - Alternative Energy Sources; N - Economic History > N7 - Transport, Trade, Energy, Technology, and Other Services; P - Economic Systems > P2 - Socialist Systems and Transitional Economies > P28 - Natural Resources ; Energy ; Environment; Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q4 - Energy > Q43 - Energy and the Macroeconomy

References

References

Abavana, C.G. (2000). Ghana: Renewable Energy for Rural Electrification. Village Power 2000 Conference. Empowering People and Transforming Markets. 4-8 December, Washington, D.C.

Allderdice, A., and Rogers, A.J. (2000). Renewable Energy for Micro enterprise. A Publication of the National Renewable Energy Laboratory, Colorado, USA.

Amankwaah, A.A. (2005). GT Moves to Revolutionarise Rural Communication. [http://www.ecareghana.org.gh], (accessed 2007 July 12).

Amous, S., Asiegbu, J. and Mahama, A. (2002) Energy-based Electrification for Social and Economic Development. Final Evaluation Report. Accra: UNDP/GEF RESPRO GHA/96/G31.

Anderson, D. (2000) 'Energy and Economic Prosperity', in UNDP, World Energy Assessment. Energy and the Challenge of Sustainability. New York: UNDP/UNDESA/WEC, pp394-413.

Aslam, S. M. (2000). Solar Power: An Alternative Energy. Pakistan and Golf Economist, Karachi. 19(2000)13. pp 27.

Bacher, P. (2002) ‘Meeting the Energy Challenges of the 21st Century’, International Journal of Energy Technology and Policy, Vol. 1, Nos. 1/2, pp.1-26.

Basnyat, M.B. (2004). Rural Electrification through Renewable Energy in Nepal. World Review of Science, Technology and Sustainable Development, Vol. 1 No. 1.

Beck, F. and Martinot, E. (2004). Renewable Energy Policies and Barriers. Academic Press/Elsevier Science pp1-22.

Brew-Hammond, A., Darkwah, L., Obeng, G. and Kemausuor, F. (2008). Renewable Energy Technology, Capacity Building and R&D in Africa. Thematic Background Paper for International Conference on Renewable Energy in Africa. Jointly organised by the Government of Senegal, the African Union, German Federal Ministry of Economic Cooperation and Development (BMZ), 16-18 April, Dakar, Senegal.

BMZ-Federal Ministry for Economic Cooperation and Development (2001). Poverty Reduction. A Global Responsibility Program of Action 2015, Bonn, Germany.

Cecelski, E. (2000). ‘Enabling Equitable Access to Rural Electrification: Current Thinking and Major Activities on Energy, Poverty and Gender’, in A. Chaurey, ‘Electricity Access for Geographically Disadvantaged Rural Communities-Technology and Policy Insights, Energy Policy 32 (2004) 1693-1705. 14

Cecelski, E. (2003). Energy, Poverty and Gender Enabling Equitable Access to Rural Electrification: Current Thinking on Energy, Poverty and Gender. IBRD/World Bank, Washington, USA.

Chaurey, A, Ranganathan, M, and Mhanty, P. (2004). Electricity Access for Geographically Disadvantaged Rural Communities- Technology and Policy Insights. Energy Policy 32(2004) 1693-1705.

Davidson, O. (2008). Scaling-up Markets for Renewable Energy in Africa. Thematic Background Paper for International Conference on Renewable Energy in Africa. Jointly organised by the Government of Senegal, the African Union, German Federal Ministry of Economic Cooperation and Development (BMZ) and the United Nations Industrial and Development Organisation (UNIDO), 16-18 April, Dakar, Senegal.

Department of Energy (2004). Expanded Rural Electrification Program. DOE Information Technology and Management Services, Manilla, Philippines.

Economic Commission for Africa (2004). Economic Report on Africa 2004. Unlocking Africa’s Trade Potential, Addis Ababa, Ethiopia.

Energy Commission (2004). Strategic National Energy Plan 2000-2025 Part 1. Energy Review-The Official Journal of the Energy Commission Ghana. November/December, pp 17-72.

Energy Commission (2005). Off-grid Rural Electrification Programme OEP Phase 1. Renewable Energy Division Document, Accra, Ghana.

Energy Foundation (2002). Final Report on Pre-feasibility Studies on the Establishment of a Plant for the Production of Photovoltaic Modules and Balance of Systems in Ghana, Accra.

Etcheverry, J. (2003). Renewable Energy for Productive Uses: Strategies to Enhance Environmental Protection and the Quality of Rural Life, University of Toronto, Canada.

Fanworth, (2004). Creating Quality Relationships in the Organic Producer to Consumer Chain: From Madagascar to Germany. Doctoral Thesis, Swedish University of Agricultural Sciences. Uppsala: SLU Service/Repro.

FAO (2005). Water for Life' Decade’: Appropriate Policies Needed to Make Better Use of Water, Rome. http://www.fao.org/newsroom/en/news/2005/100274/index.html

Fishbein, E. R. (2003). Survey of Productive Uses of Electricity in Rural Areas. World Bank Washington DC.

Fthenakis V, Mason J.E. and Zweibel, K (2009). The Technical, Geographical, and Economic Feasibility for Solar Energy to Supply the Energy Needs of the US. Energy Policy 37: 387–399.

Ghana Statistical Service (2001). Core Welfare Indicators Questionnaire (CWIQ) Survey (1997). CIWQ Regional Profiles and CD-Rom, Statistical Service, Accra.

Ghana Statistical Service (2007). Pattern and Trends of Poverty in Ghana 1991-2006, Accra: Ghana Statistical Service

Gillis, M., Perkins, D.H., Roemer, M., and Snodgrass, D.R (1992). Economics of Development. Third Edition. W.W. Norton & Company, New York.

Grameen Communications (1999). Income Generating Activities Through Photovoltaic. [www. Grameen Shakti-programs.htm], (accessed 2005 January 20).

Greenstar (2004). Introduction to Greenstar. People, Energy, Ecommerce and Digital Culture, Greenstar Corporation, Los Angeles, USA. http://www. Greenstar.org/introduction.htm. 15

Gustave, J. S. (2004). Red Sky at Morning. America and the Crisis of the Global Environment. New Haven and London: Yale University.

Institute of Economic Affairs (1999). Stand Alone PV Systems. Institute of Economic Affairs (IEA) PVPS Task III, Accra, Ghana.

Jauhari, V. and Kondo, E. K. (2003). Technology and Poverty. Some Insights from India. UNU/IAS Working Paper No. 103, India. [www.ias.unu.edu/publications/iaswp.cfm].

Johansson, T.B., Uwe, R.F., Flavin, C., Sawin, J., Assmann, D., and Herberg, T.C. (2004). Policy Recommendations for Renewable Energies. International Conference for Renewable Energies, Bonn.

Kishore, S. (2006). Environmental Health Issues in Poverty Reduction Strategies. A Review. Environmental Strategy Paper No. 12. Washington D.C: World Bank.

KITE/UCCEE (1999). Renewable Energy Technologies Project. Interim Report. Kumasi Institute of Technology and Environment (KITE) in collaboration with UNEP Collaborating Centre on Energy and Environment (UCCEE), Kumasi, Ghana.

Kjellstrom, B., Maneno, K., Kadete, H., Noppeln, D., and Mvungi, A. (1992). Rural Electrification in Tanzania. Past experiences-New Approaches. A Stokholm Environment Institute/SIDA Publication, Stockholm.

Lorenzo, E. (2000). In the Field: Realities of Some PV Rural Electrification Projects. Renewable Energy World. James and James Publication. 3 (5) 38-51.

Martinot, E., Chaurey, A., Lew, D., Moreira, J.R., Wamukonya, N., (2002). Renewable Energy Markets in Developing Countries. Annual Review of Energy and Environment 27, 309-348.

Martinot, E. (2004). Renewable Energy Information on Markets, Policy, Investment and Future Pathways. http://www.martinot.info/index.htm

Ministry of Energy (2003). Solar Photovoltaic Projects in Ghana. Reaching Off-Grid Communities with Solar Power. Ministry of Energy, Accra.

Ministry of Energy (2006). Energy for Poverty Reduction Action Plan for Ghana. A targeted Approach to Delivery of Modern Energy Services to the Poor, Accra. ISBN 9988-643-64-0.

Ministry of Finance (2000). Interim Poverty Reduction Strategy Paper 2000-2002. Government of Ghana, Accra.

Mueller, J. (2001). Lecture Notes on Global technological Transformations. Conceptual and Methodoligical Framework. Aalborg University, Denmark.

Munda, G. and Russi, D. (2005) ‘Energy Policies for Rural Electrification: A Social Multi-criteria Evaluation Approach’, UHE/UAB, 26, 1-28.

Obeng, G.Y. (2007). Solar PV Rural Electrification: Assessing Energy-Poverty and Impacts on Quality of Life in Rural Ghana. PhD Thesis Submitted to Department of Planning, Kwame Nkrumah University of Science and Technology, Kumasi, Ghana.

G.Y.Obeng, H-D. Evers, F.O. Akuffo, I. Braimah, and A. Brew-Hammond. (2008a). "Solar Photovoltaic Electrification and Rural Energy-poverty in Ghana." Energy for Sustainable Development XII: 43-54.

G. Y. Obeng, F.O Akuffo, I. Braimah, H.-D. Evers, and E. Mensah. (2008b). "Impact of Solar Photovoltaic Electrification on Indoor Air Smoke in Off-grid Rural Households in Ghana." Energy for Sustainable Development XII:59-65. 16

Osborn, D.E. (1997). Solar Electricity Generation: Photovoltaics, in, McIntyre (Ed.), ‘Solar Energy. Todays Technologies for a Sustainable Future’. Colorado: American Solar Energy Society Publication. Pp 14-19.

Pearce, D. (2002). Measuring the Poverty Impact of ACIAR Projects: A Broad Framework. ACIAR Impact Assessment Series 19. Centre for International Economics, Canberra, Australia.

Plastow, J. and Goldsmith, A. (2001). Investigating in Power and People. A Global action Plan. Renewable Energy World, November-December 2001. James and James Publication: 47-59.

Posorski, R. (1996). From Assistance Projects to the Market. Introducing Photovoltaics Systems. Experience and Strategies in Energy: Careful Use of Scarce Resource. April-June 1996, Gate Publication, Eschborn, Germany

PPIAF/AD (2002). Subsidy Design in the Power Sector. Conference on Infrastructure Development - Private Solutions for the Poor: The Asian Perspective. October 2002. PPIAF/ADB.org.

Reddy, A.K.N., 2000. “Energy and Social Issues”, in World Energy Assessment, UNDP, New York.

Rehling, U (2004). Energy, Human Resources and Development. In, ‘Renewable Energy in Schleswig-Holstein: Regional Experience for International Development’, Proceedings of International Summer School, May-June, University of Flensburg, Germany. Pp 47-53.

Rural Electrification Act, (1936-1993). United States Department of Agricultural Rural Electrification Administration Information. Publication 100-1, USA. Available at: http://www.usda.gov/rus/regs/info/100-1.txt.

Roche, C. (1999). ‘Impact Assessment for Development Agencies: Learning to Value Change’. Oxford, UK: Oxfarm, In, Methodological Issues: Attribution and Causality. Washington, D.C: Microfinance Gateway. [http://www.microfinanacegateway.org].

Russell, S. and Bunting, A. (2002). ‘Privatisation, Electricity Markets and Renewable Energy Technologies’, in Jamison and Rohracher (eds.) ‘Technology Studies and Sustainable Development, Profil Verlag GmbH, Muenchen, Germany.

Sawin, J.L. (2004). National Policy Instruments. Policy Lessons for the Advancement and Diffusion of Renewable Energy Technologies around the World. Thematic Background Paper. International Renewable Energy Conference, Bonn, Germany

Social Exclusion Unit (2004). Tackling Social Exclusion: Taking Stock and Looking to the Future. Emerging Findings. A Publication of the Social Exclusion Unit, Office of the Deputy Minister, London.

Start, D. and Hovland, I. (2004). Tools for Policy Impact. A handbook for Researchers. Research and Policy in Development Programme. Overseas Development Institute (ODI), London. www.odi.org.uk/RAPID/Publications/Documents/Tools_handbook_final_web.pdf

Sukhatme, S.P. (1991). Solar Energy. Principles of Thermal Collection and Storage. (7th Edition). New Dehli: Tata Mcgraw-Hill Publishing Company.

UNDP (2002). ‘Overview and a Policy Agenda’, in Johanssen and Goldemberg (Eds) Energy for Sustainable Development. A Policy Agenda. New York: UNDP. pp 1-23

UNDP (2004). World Energy Assessment. Overview 2004 Update, United Nations Development Programme, New York.

Van den Akker, J and Lamba, H. (2002). Thinking Big: Solar Water Pumping in the Punjab. November/December 2002 Refocus. Available at: www.re-focus.net 17

Weingart, J. (2000). Enterprise Models for Rural Energy: Building Momentum for Large-scale Use of Small-scale New and Renewable Energy Systems. Cuernavaca, Mexico: APEC Alternative Energy Development, Inc.

WBGU (2004). Renewable Energies for Sustainable Development: Impulses for Renewables 2004. German Advisory Council on Global Change Policy Paper, Berlin: WBGU-German Advisory Council on Global Change, ISBN3-936191-06-9.

WCRE-World Council for Renewable Energy Update (2004). Renewable Energy for Poverty Alleviation- The World Bank Needs to Take Up The Recommendations of The Extractive Industry Report, Bonn, Germany. http:// www. wcre.org

World Bank (2000). Voices of the Poor. Can Anyone Hear Us? Oxford University Press, Oxford.

World Bank (2003). Ghana Poverty Reduction Strategy 2003-2005. An Agenda for Growth and Prosperity. Volume 1-Analysis and Policy Statement. Accra, Ghana.

Zeitinger, C.P. (1989). Solar Home Systems: An Under-Exploited Option. Question and Answer Information. Eschborn: A Publication of GTZ-GATE.