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The effects of solar home system on welfare in off-grid areas: Evidence from Côte d’Ivoire
[Les effets des panneaux solaires sur le bien-être dans les zones hors réseau: le cas de la Côte d’Ivoire]

Author

Listed:
  • Arouna Diallo

    (CERDI - Centre d'Études et de Recherches sur le Développement International - UCA [2017-2020] - Université Clermont Auvergne [2017-2020] - CNRS - Centre National de la Recherche Scientifique)

  • Richard Moussa

    (ENSEA - Ecole nationale supérieure de statistique et d'économie appliquée [Abidjan])

Abstract

In Côte d'Ivoire, the electricity grid covers only 54% of the localities in 2017 while the country has a high solar potential due to a regular solar radiation. This paper analyses the welfare benefits of using solar home system as a source of electricity in remote areas in Côte d'Ivoire. We use household-level data gleaned from 2015 Living Standards Measurement Surveys (LSMS). The household welfare is measured using three indicators that are income, education and health. To account for the endogeneity bias due to this simultaneity between welfare and energy use, we use a regression model with an endogenous treatment. The results confirm the positive effects of SHS use on welfare outcomes. Specifically, we find that the use of solar home system increases the household consumption per capita and the household average years of schooling by 41.96% and 1.79 years respectively and reduces the number of household members that report an illness by 2.35. The highly significant magnitude of SHS impact on the welfare in remote areas makes a powerful argument for implementing a policy for spreading its use.

Suggested Citation

  • Arouna Diallo & Richard Moussa, 2020. "The effects of solar home system on welfare in off-grid areas: Evidence from Côte d’Ivoire [Les effets des panneaux solaires sur le bien-être dans les zones hors réseau: le cas de la Côte d’Ivoire]," Post-Print halshs-02441589, HAL.
    • Handle: RePEc:hal:journl:halshs-02441589
    DOI: 10.1016/j.energy.2019.116835
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    Cited by:

    1. Roni Blushtein-Livnon & Tal Svoray & Itai Ficshhendler & Havatzelet Yahel & Emir Galilee & Michael Dorman, 2025. "Beyond Leaders and Laggards: A Typology of Renewable Energy Adoption Trajectories with Evidence from Off-Grid Communities," Papers 2505.22456, arXiv.org, revised Jul 2025.
    2. Leonarda F. C. Castro & Paulo C. M. Carvalho & João P. T. Saraiva & José Nuno Fidalgo, 2024. "Photovoltaic Projects for Multidimensional Poverty Alleviation: Bibliometric Analysis and State of the Art," International Journal of Energy Economics and Policy, Econjournals, vol. 14(2), pages 507-522, March.
    3. Assoumou, Edi & McIsaac, Florent, 2022. "Côte d'Ivoire's electricity challenge in 2050: Reconciling economic development and climate commitments," Energy Policy, Elsevier, vol. 160(C).
    4. Richard S. J. Tol, 2023. "Navigating the energy trilemma during geopolitical and environmental crises," Papers 2301.07671, arXiv.org.
    5. Susana Silva & Erika Laranjeira & Isabel Soares, 2021. "Health Benefits from Renewable Electricity Sources: A Review," Energies, MDPI, vol. 14(20), pages 1-17, October.
    6. Magbondé, Kadoukpè Gildas & Reilly, Barry & Kauma, Bridget, 2024. "The distributional effects of rural electrification on household welfare: Evidence from Senegal," Utilities Policy, Elsevier, vol. 91(C).
    7. Suares Clovis Oukouomi Noutchie & Emile Franc Doungmo Goufo, 2025. "Household welfare and energy access in East Africa: Impacts of off-grid solar home systems," International Journal of Research in Business and Social Science (2147-4478), Center for the Strategic Studies in Business and Finance, vol. 14(10), pages 215-224, December.
    8. Nathanael Ojong, 2022. "Fostering Human Wellbeing in Africa through Solar Home Systems: A Systematic and a Critical Review," Sustainability, MDPI, vol. 14(14), pages 1-15, July.
    9. Vivien Kizilcec & Priti Parikh & Iwona Bisaga, 2021. "Examining the Journey of a Pay-as-You-Go Solar Home System Customer: A Case Study of Rwanda," Energies, MDPI, vol. 14(2), pages 1-26, January.
    10. Olumide Hassan & Stephen Morse & Matthew Leach, 2020. "The Energy Lock-In Effect of Solar Home Systems: A Case Study in Rural Nigeria," Energies, MDPI, vol. 13(24), pages 1-24, December.
    11. Thomas, P.J.M. & Sandwell, P. & Williamson, S.J. & Harper, P.W., 2021. "A PESTLE analysis of solar home systems in refugee camps in Rwanda," Renewable and Sustainable Energy Reviews, Elsevier, vol. 143(C).
    12. Mukisa, Nicholas & Manitisa, Mele Sikimeti & Nduhuura, Paul & Tugume, Erick & Chalwe, Chanda Karen, 2022. "Solar home systems adoption in Sub-Saharan African countries: Household economic and environmental benefits assessment," Renewable Energy, Elsevier, vol. 189(C), pages 836-852.

    More about this item

    Keywords

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    JEL classification:

    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being
    • Q42 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Alternative Energy Sources

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