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The determinants of rural electrification: The case of Bihar, India

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  • Oda, Hisaya
  • Tsujita, Yuko
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    Abstract

    This paper explores intra-state disparity in access to electricity and examines the determinants of electrification at the village level in Bihar, one of the underdeveloped states in India. Our field survey of 80 villages in 5 districts conducted in 2008-09 found that 48 villages (60%) are electrified when using the definition of electrification that a village is electrified if any one household in the village is connected to electricity. In the processes of electrification, approximately 40% of villages have been electrified in recent years. The econometric analyses demonstrate that location is the most important determinant of a village's electricity connection. Another important finding is that with the rapid progress of rural electrification under the recent government program and the tendency to connect the villages that are easily accessible, the collective bargaining power of the village, which used to significantly affect the process of electrification, has lost influence. This adversely affects remote villages. In order to extend electricity supplies to remote and geographically disadvantaged villages, the government needs to consider other options for sustainable electricity supply, such as decentralized distribution of electricity rather than the conventional connection through the national/local grids.

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    Bibliographic Info

    Article provided by Elsevier in its journal Energy Policy.

    Volume (Year): 39 (2011)
    Issue (Month): 6 (June)
    Pages: 3086-3095

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    Handle: RePEc:eee:enepol:v:39:y:2011:i:6:p:3086-3095

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    Web page: http://www.elsevier.com/locate/enpol

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    Keywords: Rural electrification Bihar India;

    References

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    1. Bhattacharyya, Subhes C., 2006. "Energy access problem of the poor in India: Is rural electrification a remedy?," Energy Policy, Elsevier, vol. 34(18), pages 3387-3397, December.
    2. Cust, J. & Singh, A. & Neuhoff, K., 2007. "Rural Electrification in India: Economic and Institutional aspects of Renewables," Cambridge Working Papers in Economics 0763, Faculty of Economics, University of Cambridge.
    3. Abhijit Banerjee & Rohini Somanathan, 2004. "The political economy of public goods: Some evidence from India," Indian Statistical Institute, Planning Unit, New Delhi Discussion Papers 04-17, Indian Statistical Institute, New Delhi, India.
    4. Chaurey, Akanksha & Ranganathan, Malini & Mohanty, Parimita, 2004. "Electricity access for geographically disadvantaged rural communities--technology and policy insights," Energy Policy, Elsevier, vol. 32(15), pages 1693-1705, October.
    5. Banerjee, Rangan, 2006. "Comparison of options for distributed generation in India," Energy Policy, Elsevier, vol. 34(1), pages 101-111, January.
    6. World Bank, 2002. "India : Power Sector Reform and the Poor," World Bank Other Operational Studies 15286, The World Bank.
    7. Chakrabarti, Snigdha & Chakrabarti, Subhendu, 2002. "Rural electrification programme with solar energy in remote region-a case study in an island," Energy Policy, Elsevier, vol. 30(1), pages 33-42, January.
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    Cited by:
    1. Oda, Hisaya, 2012. "Progress and issues in rural electrification in Bihar, India : a preliminary analysis," IDE Discussion Papers 333, Institute of Developing Economies, Japan External Trade Organization(JETRO).
    2. Ujjayant Chakravorty & Martino Pelli & Beyza Ural Marchand, 2013. "Does the Quality of Electricity Matter? Evidence from Rural India," Cahiers de recherche 13-05, Departement d'Economique de la Faculte d'administration à l'Universite de Sherbrooke.

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