Energy Reports (Dec 2023)
Lessons from the World Bank’s solar home system-based rural electrification projects (2000–2020): Policy implications for meeting Sustainable Development Goal 7 by 2030
Abstract
The main objective of this review paper is to examine the lessons learnt from 16 solar home system (SHS)-based World Bank projects implemented between 2000 and 2020 in the remote rural areas of developing countries. This study emphasises the role of SHS as a technology option in providing electricity to the remaining 10% of the world’s population without access to electricity. This study identifies three major internal factors and two external factors that may affect the successful implementation. The internal factors that emerge within the project and arise primarily during its design and implementation include financial barriers (barriers on subsidies and investment support, risk management and commercial viability, credit services and support, and partnerships with the local banking sector and micro-finance institutions), technical barriers (barriers on effective operation, maintenance and after-sales technical service, qualified technical entities and professionals, product quality assurance and monitoring, and the availability and feasibility of other complementary energy technology applications) and project design and implementation barriers (barriers on the monitoring, evaluation and sustainability of the project, the development of local capacity, and clearly defined project objectives). The external factors that have emerged outside the project and are already existing in the societal context include political and institutional barriers (barriers on the institutional framework and its sustainability, and political support and commitment from the community and local political leaders) and social and cultural barriers (barriers on building trust, relationships, confidence and partnerships among stakeholders, the sociocultural perceptions of SHSs, maintaining ongoing dialogues, coordination and cooperation among stakeholders, and adapting to changing international and local conditions). Subsequently, this study considers policy implications that are valuable for the current and upcoming challenges of rural electrification in achieving Sustainable Development Goal 7 – electricity for all – by 2030.
