Enabling Mini-Grid Development in Rural India

Stephen D. Comello, Stefan J. Reichelstein, Anshuman Sahoo and Tobias S. Schmidt

World Development, 2017, vol. 93, issue C, 94-107

Abstract: Rural electrification rates in India lag behind government goals, in part due to the inability of distribution companies (discoms) to fund central grid expansion. In the absence of central grid electrification, mini-grids offer significant potential for an immediate pathway toward rural electrification and the attendant gains in economic growth and productivity. Yet private investment in mini-grids has been virtually absent in India. Using a comprehensive life-cycle cost analysis, we find that mini-grids based on solar PV power and storage are more economical than incumbent energy services available to households without central grid connection.

Keywords: mini-grids; cost competitiveness; regulatory barriers; holdup problem; India (search for similar items in EconPapers)
Date: 2017
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Citations: View citations in EconPapers (13)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:wdevel:v:93:y:2017:i:c:p:94-107

DOI: 10.1016/j.worlddev.2016.12.029

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