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Rural Electrification in Rwanda – An Impact Assessment Using Matching Techniques

Author

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  • Bensch, Gunther
  • Kluve, Jochen
  • Peters, Jörg

Abstract

Rural electrification is believed to contribute to the achievement of the Millennium Development Goals (MDGs) via various channels. In this paper, we investigate the impacts of electrification on the household's lighting usage, home studying, energy expenditures and income. We use household data that we collected in rural Rwanda in villages with and without access to mini-grids. To account for self-selection processes in the connection decision we use households from the electrified villages to estimate the probability to connect for all households - including those in the non-electrified villages. Based on these propensity scores we identify counterfactual households to determine the impacts of electrification on the outcome indicators. We find some indication for positive effects on home studying and income, but particularly on lighting usage. We conclude by highlighting the potentially profound changes in social life of rural people induced by improved lighting and call for research on impacts beyond the MDGs.

Suggested Citation

  • Bensch, Gunther & Kluve, Jochen & Peters, Jörg, 2010. "Rural Electrification in Rwanda – An Impact Assessment Using Matching Techniques," Ruhr Economic Papers 231, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.
    • Handle: RePEc:zbw:rwirep:231
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    Citations

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    Cited by:

    1. Obsa Urgessa Ayana & Jima Degaga, 2022. "Effects of rural electrification on household welfare: a meta-regression analysis," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 69(2), pages 209-261, June.
    2. Chakravorty, Ujjayant & Pelli, Martino & Ural Marchand, Beyza, 2014. "Does the quality of electricity matter? Evidence from rural India," Journal of Economic Behavior & Organization, Elsevier, vol. 107(PA), pages 228-247.
    3. Peters, Jörg & Vance, Colin & Harsdorff, Marek, 2011. "Grid Extension in Rural Benin: Micro-Manufacturers and the Electrification Trap," World Development, Elsevier, vol. 39(5), pages 773-783, May.
    4. Antonio Estache & Caroline Philippe, 2012. "The Impact of Private Participation in Infrastructure in Developing Countries: Taking Stock of about 20 Years of Experience," Working Papers ECARES ECARES 2012-043, ULB -- Universite Libre de Bruxelles.
    5. Navarro, Adoracion M., 2013. "Cost Efficiency and Effectiveness of the Sitio and Household Electrification Programs," Discussion Papers DP 2013-32, Philippine Institute for Development Studies.

    More about this item

    Keywords

    rural electrification; ex-ante impact assessment; poverty; matching;
    All these keywords.

    JEL classification:

    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • O22 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Project Analysis

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