Author
Abstract
About a quarter of India’s population still lives without access to modern electricity. The majority of these people live in rural, remote areas which cannot be easily connected to the central grid. Supplying those without power and supplementing the intermittent electricity provision of those who are connected has become a central goal of the government. In working to achieve this goal, India has become a laboratory for innovative energy systems as well as finance structures that enable customers to gain access to these systems. By exploring case studies of different financing structures as well as interviewing solar technology business owners, I find that end-user financing (i.e. consumer subsidies and tax rebates) is relatively ineffective at enhancing sales of off-grid solar technologies. End-user financing relies on formal banking systems and hinders firms from passing on subsidized costs because of extenuated bureaucratic cost recovery. Alternatively, innovative financing structures, such as pay-as-you-go (PAYG) systems, crowdfunding, and different types of support for private companies and entrepreneurs have all shown promise to provide adaptable and timely support. If the government is to make meaningful progress toward its national goal to extend a constant supply of electricity to every household in the coming years, it will need to learn from and adapt its current financing structures for off-grid solar (and other renewable energy) technologies.
Suggested Citation
Kartikeya Singh, 2017.
"Financing for Whom by Whom? Complexities of Advancing Energy Access in India,"
Policy Papers
108, Center for Global Development.
Handle:
RePEc:cgd:ppaper:108
Download full text from publisher
Corrections
All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cgd:ppaper:108. See general information about how to correct material in RePEc.
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
We have no bibliographic references for this item. You can help adding them by using this form .
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Publications Manager (email available below). General contact details of provider: https://edirc.repec.org/data/cgdevus.html .
Please note that corrections may take a couple of weeks to filter through
the various RePEc services.