Abstract
In India one of every three rural households depends on kerosene based lighting systems that are characterized by low illumination and hazardous smoke. Given the existing and foreseeable gap between demand and supply, universal modern energy access can only be achieved in the short to medium term through a combination of grid and off-grid approaches. The paper presents a case study of solar photovoltaic based micro-grids (generating 75 W–1 kW) used to meet basic lighting requirements of 30 rural communities during peak demand hours (6–10 pm). The communities have adopted micro-level solar-based off-grid systems, which are owned and managed by local entrepreneurs with a 45% equity stake. Case study analysis of this project, in the state of Uttar Pradesh in India shows that:
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1.
Grid-connected (and even unconnected) rural communities without assured lighting offer a latent market for decentralized alternatives.
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2.
Access to finance networks at the local level facilitates private investments in off-grid solutions.
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3.
Technology innovation and customization is necessary for customer satisfaction and management efficiency.
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Affordable off-grid solutions based on solar energy can be an economically viable and socially acceptable alternative to fossil fuel systems.
Analysis of the project output concludes that decentralized solutions and private investments can play a major role not only in providing universal modern energy access but also in enhancing livelihood options at the village level.
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Notes
- 1.
Energy intensity is measured by the quantity of energy per unit of economic activity or output (GDP). The term used in the report is energy intensity and we should use the same term.
- 2.
The lowest threshold is proposed by International Energy Agency (IEA) is 100 kWh per person of electricity and 100 kg oil equivalent (kgoe) of modern fuels (equivalent to roughly 1200 kWh) per person per year.
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A village is declared electrified if 10% of the households are electrified.
- 4.
A body serving in an administrative capacity at village level.
- 5.
Based on the conversion rates as on April 2, 2014, INR = 0.0167566, USD 1 USD = 59.6778 INR.
- 6.
Jawaharlal Nehru National Solar Mission is one of the eight National Missions which comprise India's National Action Plan on Climate Change. It has the twin objectives of contributing to India's long-term energy security and its ecologically sustainable growth. The Prime Minister launched the Jawaharlal Nehru National Solar Mission on 11th January, 2010. The Mission is implemented in 3 stages leading to an installed capacity of 20,000 MW of grid power, 2000 MW of off-grid solar applications and 20 million sq. m. solar thermal collector area and solar lighting for 20 million households by the end of the 13th Five Year Plan in 2022.
- 7.
Regional Rural Banks were established in India in the year 1975 with the objective to provide credit to the rural people who are not economically strong enough, especially the small and marginal farmers, artisans, agricultural laborers, and even small entrepreneurs.
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Banerjee, M., Rehman, I.H., Tiwari, J. (2017). Solar-Based Decentralized Energy Solution—A Case of Entrepreneur Based Model from Rural India. In: Yan, W., Galloway, W. (eds) Rethinking Resilience, Adaptation and Transformation in a Time of Change. Springer, Cham. https://doi.org/10.1007/978-3-319-50171-0_22
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