Journal
WORLD DEVELOPMENT
Volume 128, Issue -, Pages -Publisher
PERGAMON-ELSEVIER SCIENCE LTD
DOI: 10.1016/j.worlddev.2019.104859
Keywords
Electricity access; Extreme poverty; Sub-Saharan Africa; Willingness-to-pay
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Funding
- German Federal Ministry for Economic Affairs and Energy
- Ministry of Innovation, Science, and Research of the State of North Rhine-Westphalia
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Improving electricity access in low-income countries is complicated because of high service costs and low electricity consumption levels in rural areas. This study elucidates this problem by analyzing poor Sub-Saharan African households' willingness-to-pay for different types of electricity access, including both grid and lower cost off-grid technologies. We show both theoretically and empirically that at low levels of income, low-cost decentralized off-grid solar technologies provide the highest utility from the households' perspective. We, therefore, recommend concentrating the near-term rural household electrification efforts on these technologies. (C) 2019 The World Bank. Published by Elsevier Ltd. All rights reserved.
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