IDEAS home Printed from https://ideas.repec.org/a/gam/jeners/v12y2019i5p778-d209182.html
   My bibliography  Save this article

The Impact of an Electrical Mini-grid on the Development of a Rural Community in Kenya

Author

Listed:
  • AbuBakr Bahaj

    (Energy & Climate Change Division, Sustainable Energy Research Group (energy.soton.ac.uk), Faculty of Engineering and Physical Sciences, University of Southampton, Southampton SO17 1BJ, UK)

  • Luke Blunden

    (Energy & Climate Change Division, Sustainable Energy Research Group (energy.soton.ac.uk), Faculty of Engineering and Physical Sciences, University of Southampton, Southampton SO17 1BJ, UK)

  • Christopher Kanani

    (Energy & Climate Change Division, Sustainable Energy Research Group (energy.soton.ac.uk), Faculty of Engineering and Physical Sciences, University of Southampton, Southampton SO17 1BJ, UK)

  • Patrick James

    (Energy & Climate Change Division, Sustainable Energy Research Group (energy.soton.ac.uk), Faculty of Engineering and Physical Sciences, University of Southampton, Southampton SO17 1BJ, UK)

  • Isaac Kiva

    (Kenya Ministry of Energy and Petroleum, Nyayo House, P. O. Box 30582, Nairobi 00100, Kenya)

  • Zoë Matthews

    (Centre for Global Health, Population, Poverty and Policy, Faculty of Social and Human Sciences, University of Southampton, Southampton SO17 1BJ, UK)

  • Heather Price

    (Biological and Environmental Sciences, University of Stirling, Stirling FK9 4LA, UK)

  • Hildah Essendi

    (Centre for Global Health, Population, Poverty and Policy, Faculty of Social and Human Sciences, University of Southampton, Southampton SO17 1BJ, UK)

  • Jane Falkingham

    (Centre for Global Health, Population, Poverty and Policy, Faculty of Social and Human Sciences, University of Southampton, Southampton SO17 1BJ, UK)

  • Gerard George

    (Singapore Management University, 81 Victoria Street, Singapore 188065, Singapore)

Abstract

Electrical mini-grids can provide electrification to rural communities far from the national network. However the benefits of such schemes are disputed. We observed changes in two matched trading-centres in Makueni County, Kenya, neither of which were initially electrified. During the study a solar photovoltaic mini-grid scheme (13.5 kWp) was constructed in one of the trading-centres. After electrification there were relative increases in the number of businesses and business income. Comparing the households in the areas around the trading centres, perceived wealth increased more around the electrified trading centre. Qualitative interviews indicated improvements in service provision by the local school and health centre. The co-operative set up to run the mini-grid was free to set its own kWh tariff and chose to reduce it to a level that covers operating costs and would recover 70% of the initial investment interest-free. However, the tariff finally agreed is higher than the national grid tariff, which would be difficult to achieve if the mini-grid was not owned by and run for the benefit of the local community. Overall, we found that the mini-grid had a positive effect over background development, recovered some of its cost and charged a higher tariff than the national rate.

Suggested Citation

  • AbuBakr Bahaj & Luke Blunden & Christopher Kanani & Patrick James & Isaac Kiva & Zoë Matthews & Heather Price & Hildah Essendi & Jane Falkingham & Gerard George, 2019. "The Impact of an Electrical Mini-grid on the Development of a Rural Community in Kenya," Energies, MDPI, vol. 12(5), pages 1-21, February.
    • Handle: RePEc:gam:jeners:v:12:y:2019:i:5:p:778-:d:209182
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/1996-1073/12/5/778/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/1996-1073/12/5/778/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Shahidur R. Khandker, Hussain A. Samad, Rubaba Ali, and Douglas F. Barnes, 2014. "Who Benefits Most from Rural Electrification? Evidence in India," The Energy Journal, International Association for Energy Economics, vol. 0(Number 2).
    2. Lenz, Luciane & Munyehirwe, Anicet & Peters, Jörg & Sievert, Maximiliane, 2017. "Does Large-Scale Infrastructure Investment Alleviate Poverty? Impacts of Rwanda’s Electricity Access Roll-Out Program," World Development, Elsevier, vol. 89(C), pages 88-110.
    3. Bhattacharyya, Subhes C. & Palit, Debajit, 2016. "Mini-grid based off-grid electrification to enhance electricity access in developing countries: What policies may be required?," Energy Policy, Elsevier, vol. 94(C), pages 166-178.
    4. Vernet, Antoine & Khayesi, Jane N.O. & George, Vivian & George, Gerard & Bahaj, Abubakar S., 2019. "How does energy matter? Rural electrification, entrepreneurship, and community development in Kenya," Energy Policy, Elsevier, vol. 126(C), pages 88-98.
    5. Chaurey, Akanksha & Krithika, P.R. & Palit, Debajit & Rakesh, Smita & Sovacool, Benjamin K., 2012. "New partnerships and business models for facilitating energy access," Energy Policy, Elsevier, vol. 47(S1), pages 48-55.
    6. Rosamaría Dasso & Fernando Fernandez, 2015. "The effects of electrification on employment in rural Peru," IZA Journal of Labor & Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 4(1), pages 1-16, December.
    7. Gerard George & Reddi Kotha & Priti Parikh & Tufool Alnuaimi & Abubakr S. Bahaj, 2016. "Social structure, reasonable gain, and entrepreneurship in Africa," Strategic Management Journal, Wiley Blackwell, vol. 37(6), pages 1118-1131, June.
    8. Kirubi, Charles & Jacobson, Arne & Kammen, Daniel M. & Mills, Andrew, 2009. "Community-Based Electric Micro-Grids Can Contribute to Rural Development: Evidence from Kenya," World Development, Elsevier, vol. 37(7), pages 1208-1221, July.
    9. Paul J. Gertler & Sebastian Martinez & Patrick Premand & Laura B. Rawlings & Christel M. J. Vermeersch, . "Impact Evaluation in Practice, First Edition [La evaluación de impacto en la práctica]," World Bank Publications - Books, The World Bank Group, number 2550.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Susann Stritzke & Prem Jain, 2021. "The Sustainability of Decentralised Renewable Energy Projects in Developing Countries: Learning Lessons from Zambia," Energies, MDPI, vol. 14(13), pages 1-44, June.
    2. Mario Tovar & Miguel Robles & Felipe Rashid, 2020. "PV Power Prediction, Using CNN-LSTM Hybrid Neural Network Model. Case of Study: Temixco-Morelos, México," Energies, MDPI, vol. 13(24), pages 1-15, December.
    3. Isabelo Rabuya & Melissa Libres & Michael Lochinvar Abundo & Evelyn Taboada, 2021. "Moving Up the Electrification Ladder in Off-Grid Settlements with Rooftop Solar Microgrids," Energies, MDPI, vol. 14(12), pages 1-32, June.
    4. Faisal Nawab & Ag Sufiyan Abd Hamid & Muhammad Arif & Tufial A. Khan & Amir Naveed & Muhammad Sadiq & Sahibzada Imad Ud din & Adnan Ibrahim, 2022. "Solar–Biogas Microgrid: A Strategy for the Sustainable Development of Rural Communities in Pakistan," Sustainability, MDPI, vol. 14(18), pages 1-15, September.
    5. Bartosz Soltowski & David Campos-Gaona & Scott Strachan & Olimpo Anaya-Lara, 2019. "Bottom-Up Electrification Introducing New Smart Grids Architecture—Concept Based on Feasibility Studies Conducted in Rwanda," Energies, MDPI, vol. 12(12), pages 1-19, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Holstenkamp, Lars, 2019. "What do we know about cooperative sustainable electrification in the global South? A synthesis of the literature and refined social-ecological systems framework," Renewable and Sustainable Energy Reviews, Elsevier, vol. 109(C), pages 307-320.
    2. Obsa Urgessa Ayana & Jima Degaga, 2022. "Effects of rural electrification on household welfare: a meta-regression analysis," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 69(2), pages 209-261, June.
    3. Pueyo, Ana & Carreras, Marco & Ngoo, Gisela, 2020. "Exploring the linkages between energy, gender, and enterprise: Evidence from Tanzania," World Development, Elsevier, vol. 128(C).
    4. Pradhan Shrestha, Rosy & Jirakiattikul, Sopin & Lohani, Sunil Prasad & Shrestha, Mandip, 2023. "Perceived impact of electricity on productive end use and its reality: Transition from electricity to income for rural Nepalese women," Energy Policy, Elsevier, vol. 183(C).
    5. Candelise, Chiara & Saccone, Donatella & Vallino, Elena, 2021. "An empirical assessment of the effects of electricity access on food security," World Development, Elsevier, vol. 141(C).
    6. Woollacott, Jared & Henry, Candise L. & de Hernández, Alison Bean & DiVenanzo, Lauren & Oliveira, Horacio & Cai, Yongxia & Larson, Justin, 2023. "Quantifying the local economic supply chain impacts of renewable energy investment in Kenya," Energy Economics, Elsevier, vol. 125(C).
    7. Comello, Stephen D. & Reichelstein, Stefan J. & Sahoo, Anshuman & Schmidt, Tobias S., 2017. "Enabling Mini-Grid Development in Rural India," World Development, Elsevier, vol. 93(C), pages 94-107.
    8. Thomas, Daniel Robert & Harish, S.P. & Kennedy, Ryan & Urpelainen, Johannes, 2020. "The effects of rural electrification in India: An instrumental variable approach at the household level," Journal of Development Economics, Elsevier, vol. 146(C).
    9. Alice Tianbo Zhang & Sasmita Patnaik & Shaily Jha & Shalu Agrawal & Carlos F. Gould & Johannes Urpelainen, 2022. "Evidence of multidimensional gender inequality in energy services from a large-scale household survey in India," Nature Energy, Nature, vol. 7(8), pages 698-707, August.
    10. Islam, Asif M. & Amin, Mohammad, 2023. "The gender labor productivity gap across informal firms," World Development, Elsevier, vol. 167(C).
    11. Francesco Tonini & Francesco Davide Sanvito & Fabrizio Colombelli & Emanuela Colombo, 2022. "Improving Sustainable Access to Electricity in Rural Tanzania: A System Dynamics Approach to the Matembwe Village," Energies, MDPI, vol. 15(5), pages 1-17, March.
    12. Santosh Kumar & Ganesh Rauniyar, 2018. "The impact of rural electrification on income and education: Evidence from Bhutan," Review of Development Economics, Wiley Blackwell, vol. 22(3), pages 1146-1165, August.
    13. Richmond, Jennifer & Urpelainen, Johannes, 2019. "Electrification and appliance ownership over time: Evidence from rural India," Energy Policy, Elsevier, vol. 133(C).
    14. Ray, Sudatta, 2020. "Beyond Lights: The Changing Impact of Rural Electrification on Indian Agriculture," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 304223, Agricultural and Applied Economics Association.
    15. Harrington, Elise & Athavankar, Ameya & Hsu, David, 2020. "Variation in rural household energy transitions for basic lighting in India," Renewable and Sustainable Energy Reviews, Elsevier, vol. 119(C).
    16. Huang, Ruting & Yao, Xin, 2023. "The role of power transmission infrastructure in income inequality: Fresh evidence from China," Energy Policy, Elsevier, vol. 177(C).
    17. Iwona Bisaga & Priti Parikh & Yacob Mulugetta & Yohannes Hailu, 2019. "The potential of performance targets (imihigo) as drivers of energy planning and extending access to off‐grid energy in rural Rwanda," Wiley Interdisciplinary Reviews: Energy and Environment, Wiley Blackwell, vol. 8(1), January.
    18. Grogan, Louise, 2018. "Time use impacts of rural electrification: Longitudinal evidence from Guatemala," Journal of Development Economics, Elsevier, vol. 135(C), pages 304-317.
    19. Georges V. Houngbonon & Erwan Le Quentrec & Stefania Rubrichi, 2021. "Access to electricity and digital inclusion: evidence from mobile call detail records," Palgrave Communications, Palgrave Macmillan, vol. 8(1), pages 1-11, December.
    20. Meriggi, Niccolò F. & Bulte, Erwin & Mobarak, Ahmed Mushfiq, 2021. "Subsidies for technology adoption: Experimental evidence from rural Cameroon," Journal of Development Economics, Elsevier, vol. 153(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jeners:v:12:y:2019:i:5:p:778-:d:209182. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.