A human-centered approach to regional off-grid electrification budgeting: the Colombian case

Abstract

AbstractThe United Nations’ seventh Sustainable Development Goal (SDG) calls for clean and affordable energy to boost social mobility, especially in disadvantaged rural communities. Regional off-grid budget-allocation planning for rural electrification is traditionally performed following a minimum energy-cost paradigm. However, such a planning paradigm has had little impact on communities’ development. This study proposes a human-centered approach as an alternative planning paradigm. In this regard, we outline a bi-objective optimization model that evaluates the potential contributions of different budget-allocation strategies on energy costs and rural communities’ human development. The model is applied to the Colombian Pacific Coast, an impoverished region with several communities with various unmet human needs including education, nutrition, and health. Our results indicate that when budget-allocation decisions are made by the national government following the energy cost-minimization paradigm only a few communities benefit, leaving many with poor energy access for potential future human development. However, if the maximization of the Human Development Index (HDI) is employed as a planning paradigm the most disadvantaged subregions improve their energy service for a marginal cost, increasing their chances for potential improvements in human development. The results also suggest that the current off-grid electrification budget provided by the national government is not enough to improve the region’s chances of advancing its HDI level from low (HDI < 0.55) to medium (HDI ≥ 0.55), but doubling the budget would do so. Thus, this study contributes to the energy-sustainability literature by proposing a new planning paradigm for regional off-grid electrification.

Keywords

• Budget allocation
• electrification planning
• human development
• optimization
• Colombia