IDEAS home Printed from https://ideas.repec.org/p/qld/uqeemg/3-2014.html
   My bibliography  Save this paper

A Review of Distributed Generation for Rural and Remote Area Electrification

Author

Listed:
  • John Foster

    (School of Economics, University of Queensland)

  • Liam Wagner

    (School of Economics, University of Queensland)

  • Liam Byrnes

    (School of Economics, University of Queensland)

Abstract

Distributed Generation (DG), which is electricity generation located close to the load/demand. While the definition of DG is far from “settled” [1], for the purpose of this project, DG will refer to electricity generation that is produced and consumed within the catchment area of the local Distribution Network Service Provider (DSNP). Many in the energy economics and policy literature also use the term “embedded generation”, which tends to reflect DG that has been incorporated into a larger electricity grid (but often still retains the ability to operate in isolation from the grid). Distributed power generation has been used for decades [2], and has been met with mixed success. There is a plethora of literature that examines the use of DG in developing countries [3-5], in relation to World Bank development projects [6], with respect to high penetration of DG in Australia [7-10], and for a more general discussion [5]. Furthermore, the DG literature has been growing and is now being examined in context of rural communities across different scales from household systems [11] to community mini-grids [12] and grid connected systems [13].

Suggested Citation

  • John Foster & Liam Wagner & Liam Byrnes, 2014. "A Review of Distributed Generation for Rural and Remote Area Electrification," Energy Economics and Management Group Working Papers 3-2014, School of Economics, University of Queensland, Australia.
    • Handle: RePEc:qld:uqeemg:3-2014
    as

    Download full text from publisher

    File URL: http://www.uq.edu.au/eemg/docs/workingpapers/2014-3.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Siddiqui, Afzal S. & Maribu, Karl, 2009. "Investment and upgrade in distributed generation under uncertainty," Energy Economics, Elsevier, vol. 31(1), pages 25-37, January.
    2. Heinz Schandl & Franzi Poldy & Graham M. Turner & Thomas G. Measham & Daniel H. Walker & Nina Eisenmenger, 2008. "Australia's Resource Use Trajectories," Journal of Industrial Ecology, Yale University, vol. 12(5-6), pages 669-685, October.
    3. Brent, Alan Colin & Rogers, David E., 2010. "Renewable rural electrification: Sustainability assessment of mini-hybrid off-grid technological systems in the African context," Renewable Energy, Elsevier, vol. 35(1), pages 257-265.
    4. McHenry, Mark P., 2012. "Small-scale (≤6 kWe) stand-alone and grid-connected photovoltaic, wind, hydroelectric, biodiesel, and wood gasification system’s simulated technical, economic, and mitigation analyses for rural region," Renewable Energy, Elsevier, vol. 38(1), pages 195-205.
    5. Mitchell, K. & Nagrial, M. & Rizk, J., 2009. "Network benefits of embedded solar systems: A case study from western Sydney," Renewable Energy, Elsevier, vol. 34(12), pages 2592-2596.
    6. Yadoo, Annabel & Gormally, Alexandra & Cruickshank, Heather, 2011. "Low-carbon off-grid electrification for rural areas in the United Kingdom: Lessons from the developing world," Energy Policy, Elsevier, vol. 39(10), pages 6400-6407, October.
    7. McConnell, Dylan & Hearps, Patrick & Eales, Dominic & Sandiford, Mike & Dunn, Rebecca & Wright, Matthew & Bateman, Lachlan, 2013. "Retrospective modeling of the merit-order effect on wholesale electricity prices from distributed photovoltaic generation in the Australian National Electricity Market," Energy Policy, Elsevier, vol. 58(C), pages 17-27.
    8. Yusaf, Talal & Goh, Steven & Borserio, J.A., 2011. "Potential of renewable energy alternatives in Australia," Renewable and Sustainable Energy Reviews, Elsevier, vol. 15(5), pages 2214-2221, June.
    9. Oikonomou, Emmanouil K. & Kilias, Vassilios & Goumas, Aggelos & Rigopoulos, Alexandrous & Karakatsani, Eirini & Damasiotis, Markos & Papastefanakis, Dimitrios & Marini, Natassa, 2009. "Renewable energy sources (RES) projects and their barriers on a regional scale: The case study of wind parks in the Dodecanese islands, Greece," Energy Policy, Elsevier, vol. 37(11), pages 4874-4883, November.
    10. Vine, Edward & Hamrin, Jan & Eyre, Nick & Crossley, David & Maloney, Michelle & Watt, Greg, 2003. "Public policy analysis of energy efficiency and load management in changing electricity businesses," Energy Policy, Elsevier, vol. 31(5), pages 405-430, April.
    11. Harrison, D.G. & Ho, G.E. & Mathew, K., 1996. "Renewable energy in the outback of Australia," Renewable Energy, Elsevier, vol. 9(1), pages 776-780.
    12. Byrne, John & Zhou, Aiming & Shen, Bo & Hughes, Kristen, 2007. "Evaluating the potential of small-scale renewable energy options to meet rural livelihoods needs: A GIS- and lifecycle cost-based assessment of Western China's options," Energy Policy, Elsevier, vol. 35(8), pages 4391-4401, August.
    13. Karekezi, Stephen & Kithyoma, Waeni, 2002. "Renewable energy strategies for rural Africa: is a PV-led renewable energy strategy the right approach for providing modern energy to the rural poor of sub-Saharan Africa?," Energy Policy, Elsevier, vol. 30(11-12), pages 1071-1086, September.
    14. Yadoo, Annabel & Cruickshank, Heather, 2010. "The value of cooperatives in rural electrification," Energy Policy, Elsevier, vol. 38(6), pages 2941-2947, June.
    15. McHenry, Mark P., 2009. "Why are remote Western Australians installing renewable energy technologies in stand-alone power supply systems?," Renewable Energy, Elsevier, vol. 34(5), pages 1252-1256.
    16. Yadoo, Annabel & Cruickshank, Heather, 2012. "The role for low carbon electrification technologies in poverty reduction and climate change strategies: A focus on renewable energy mini-grids with case studies in Nepal, Peru and Kenya," Energy Policy, Elsevier, vol. 42(C), pages 591-602.
    17. Vahl, Fabrício Peter & Rüther, Ricardo & Casarotto Filho, Nelson, 2013. "The influence of distributed generation penetration levels on energy markets," Energy Policy, Elsevier, vol. 62(C), pages 226-235.
    18. Strachan, Neil & Dowlatabadi, Hadi, 2002. "Distributed generation and distribution utilities," Energy Policy, Elsevier, vol. 30(8), pages 649-661, June.
    19. Liu, Jian & Wang, Run & Sun, Yanwei & Lin, Yanjie & Xiao, Lishan, 2013. "A barrier analysis for the development of distributed energy in China: A case study in Fujian province," Energy Policy, Elsevier, vol. 60(C), pages 262-271.
    20. Effendi, Pranoto & Courvisanos, Jerry, 2012. "Political aspects of innovation: Examining renewable energy in Australia," Renewable Energy, Elsevier, vol. 38(1), pages 245-252.
    21. Winkler, Harald & Simões, André Felipe & Rovere, Emilio Lèbre la & Alam, Mozaharul & Rahman, Atiq & Mwakasonda, Stanford, 2011. "Access and Affordability of Electricity in Developing Countries," World Development, Elsevier, vol. 39(6), pages 1037-1050, June.
    22. Chicco, Gianfranco & Mancarella, Pierluigi, 2009. "Distributed multi-generation: A comprehensive view," Renewable and Sustainable Energy Reviews, Elsevier, vol. 13(3), pages 535-551, April.
    23. Marinova, Dora & Balaguer, Antonio, 2009. "Transformation in the photovoltaics industry in Australia, Germany and Japan: Comparison of actors, knowledge, institutions and markets," Renewable Energy, Elsevier, vol. 34(2), pages 461-464.
    24. Ozturk, Ilhan, 2010. "A literature survey on energy-growth nexus," Energy Policy, Elsevier, vol. 38(1), pages 340-349, January.
    25. Narula, Kapil & Nagai, Yu & Pachauri, Shonali, 2012. "The role of Decentralized Distributed Generation in achieving universal rural electrification in South Asia by 2030," Energy Policy, Elsevier, vol. 47(C), pages 345-357.
    26. Barnett, Andrew, 1990. "The diffusion of energy technology in the rural areas of developing countries: A synthesis of recent experience," World Development, Elsevier, vol. 18(4), pages 539-553, April.
    27. McHenry, Mark P., 2012. "A technical, economic, and greenhouse gas emission analysis of a homestead-scale grid-connected and stand-alone photovoltaic and diesel systems, against electricity network extension," Renewable Energy, Elsevier, vol. 38(1), pages 126-135.
    28. McHenry, M.P., 2012. "Technical, mitigation, and financial comparisons of 6kWe grid-connected and stand-alone wood gasifiers, versus mineral diesel and biodiesel generation for rural distributed generation," Energy, Elsevier, vol. 40(1), pages 428-437.
    29. Abdullah, M.O. & Yung, V.C. & Anyi, M. & Othman, A.K. & Ab. Hamid, K.B. & Tarawe, J., 2010. "Review and comparison study of hybrid diesel/solar/hydro/fuel cell energy schemes for a rural ICT Telecenter," Energy, Elsevier, vol. 35(2), pages 639-646.
    30. Zahedi, A., 2011. "Maximizing solar PV energy penetration using energy storage technology," Renewable and Sustainable Energy Reviews, Elsevier, vol. 15(1), pages 866-870, January.
    31. Simshauser, Paul, 2010. "Resource Adequacy, Capital Adequacy and Investment Uncertainty in the Australian Power Market," The Electricity Journal, Elsevier, vol. 23(1), pages 67-84, January.
    32. Hoff, Thomas E & Wenger, Howard J & Farmer, Brian K, 1996. "Distributed generation : An alternative to electric utility investments in system capacity," Energy Policy, Elsevier, vol. 24(2), pages 137-147, February.
    33. Clifton, Julian & Boruff, Bryan J., 2010. "Assessing the potential for concentrated solar power development in rural Australia," Energy Policy, Elsevier, vol. 38(9), pages 5272-5280, September.
    34. Simshauser, Paul, 2001. "Excess Entry in the Deregulated Queensland Power Market," Economic Analysis and Policy, Elsevier, vol. 31(1), pages 73-92, March.
    35. Martinot, Eric, 2001. "Renewable energy investment by the World Bank," Energy Policy, Elsevier, vol. 29(9), pages 689-699, July.
    36. William E., Lilley & Luke J., Reedman & Liam D., Wagner & Colin F., Alie & Anthony R., Szatow, 2012. "An economic evaluation of the potential for distributed energy in Australia," Energy Policy, Elsevier, vol. 51(C), pages 277-289.
    37. Gross, Catherine, 2007. "Community perspectives of wind energy in Australia: The application of a justice and community fairness framework to increase social acceptance," Energy Policy, Elsevier, vol. 35(5), pages 2727-2736, May.
    38. Paul Simshauser, 2006. "The Emergence of Structural Faults on the Supply Side in Deregulated 'Energy Only' Electricity Markets," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 39(2), pages 130-146, June.
    39. van der Vleuten, F. & Stam, N. & van der Plas, R., 2007. "Putting solar home system programmes into perspective: What lessons are relevant?," Energy Policy, Elsevier, vol. 35(3), pages 1439-1451, March.
    40. Kaundinya, Deepak Paramashivan & Balachandra, P. & Ravindranath, N.H., 2009. "Grid-connected versus stand-alone energy systems for decentralized power--A review of literature," Renewable and Sustainable Energy Reviews, Elsevier, vol. 13(8), pages 2041-2050, October.
    41. D’Agostino, Anthony L. & Sovacool, Benjamin K. & Bambawale, Malavika Jain, 2011. "And then what happened? A retrospective appraisal of China’s Renewable Energy Development Project (REDP)," Renewable Energy, Elsevier, vol. 36(11), pages 3154-3165.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Jamal, Taskin & Urmee, Tania & Shafiullah, G.M., 2020. "Planning of off-grid power supply systems in remote areas using multi-criteria decision analysis," Energy, Elsevier, vol. 201(C).
    2. Byrnes, Liam & Brown, Colin, 2015. "Australia’s renewable energy policy: the case for intervention," MPRA Paper 64977, University Library of Munich, Germany.
    3. Foster, John & Wagner, Liam & Liebman, Ariel, 2017. "Economic and investment models for future grids: Final Report Project 3," MPRA Paper 78866, University Library of Munich, Germany.
    4. Jamal, Taskin & Urmee, Tania & Calais, Martina & Shafiullah, GM & Carter, Craig, 2017. "Technical challenges of PV deployment into remote Australian electricity networks: A review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 77(C), pages 1309-1325.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Mandelli, Stefano & Barbieri, Jacopo & Mereu, Riccardo & Colombo, Emanuela, 2016. "Off-grid systems for rural electrification in developing countries: Definitions, classification and a comprehensive literature review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 58(C), pages 1621-1646.
    2. Byrnes, Liam & Brown, Colin & Wagner, Liam & Foster, John, 2016. "Reviewing the viability of renewable energy in community electrification: The case of remote Western Australian communities," Renewable and Sustainable Energy Reviews, Elsevier, vol. 59(C), pages 470-481.
    3. Brunet, Carole & Savadogo, Oumarou & Baptiste, Pierre & Bouchard, Michel A., 2018. "Shedding some light on photovoltaic solar energy in Africa – A literature review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 96(C), pages 325-342.
    4. Sarah Feron, 2016. "Sustainability of Off-Grid Photovoltaic Systems for Rural Electrification in Developing Countries: A Review," Sustainability, MDPI, vol. 8(12), pages 1-26, December.
    5. Goel, Sonali & Sharma, Renu, 2017. "Performance evaluation of stand alone, grid connected and hybrid renewable energy systems for rural application: A comparative review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 78(C), pages 1378-1389.
    6. Liam Byrnes, 2014. "The cost of failing to install renewable energy in regional Western Australia," Energy Economics and Management Group Working Papers 9-2014, School of Economics, University of Queensland, Australia.
    7. Mazur, Christoph & Hoegerle, Yannick & Brucoli, Maria & van Dam, Koen & Guo, Miao & Markides, Christos N. & Shah, Nilay, 2019. "A holistic resilience framework development for rural power systems in emerging economies," Applied Energy, Elsevier, vol. 235(C), pages 219-232.
    8. López-González, A. & Domenech, B. & Ferrer-Martí, L., 2018. "Sustainability and design assessment of rural hybrid microgrids in Venezuela," Energy, Elsevier, vol. 159(C), pages 229-242.
    9. Ross, S.J. & McHenry, M.P. & Whale, J., 2012. "The impact of state feed-in tariffs and federal tradable quota support policies on grid-connected small wind turbine installed capacity in Australia," Renewable Energy, Elsevier, vol. 46(C), pages 141-147.
    10. Byrnes, Liam & Brown, Colin & Foster, John & Wagner, Liam D., 2013. "Australian renewable energy policy: Barriers and challenges," Renewable Energy, Elsevier, vol. 60(C), pages 711-721.
    11. Hirmer, Stephanie & Cruickshank, Heather, 2014. "The user-value of rural electrification: An analysis and adoption of existing models and theories," Renewable and Sustainable Energy Reviews, Elsevier, vol. 34(C), pages 145-154.
    12. McHenry, M.P., 2012. "Technical, mitigation, and financial comparisons of 6kWe grid-connected and stand-alone wood gasifiers, versus mineral diesel and biodiesel generation for rural distributed generation," Energy, Elsevier, vol. 40(1), pages 428-437.
    13. Hong, Ying-Yi & Lin, Jie-Kai, 2013. "Interactive multi-objective active power scheduling considering uncertain renewable energies using adaptive chaos clonal evolutionary programming," Energy, Elsevier, vol. 53(C), pages 212-220.
    14. Gómez-Hernández, D.F. & Domenech, B. & Moreira, J. & Farrera, N. & López-González, A. & Ferrer-Martí, L., 2019. "Comparative evaluation of rural electrification project plans: A case study in Mexico," Energy Policy, Elsevier, vol. 129(C), pages 23-33.
    15. McHenry, M.P. & Doepel, D. & Onyango, B.O. & Opara, U.L., 2014. "Small-scale portable photovoltaic-battery-LED systems with submersible LED units to replace kerosene-based artisanal fishing lamps for Sub-Saharan African lakes," Renewable Energy, Elsevier, vol. 62(C), pages 276-284.
    16. Mehigan, L. & Deane, J.P. & Gallachóir, B.P.Ó. & Bertsch, V., 2018. "A review of the role of distributed generation (DG) in future electricity systems," Energy, Elsevier, vol. 163(C), pages 822-836.
    17. Carole Brunet & Oumarou Savadogo & Pierre Baptiste & Michel A Bouchard & Jean Chrysostome Rakotoary & Andry Ravoninjatovo & Céline Cholez & Corinne Gendron & Nicolas Merveille, 2020. "Impacts Generated by a Large-Scale Solar Photovoltaic Power Plant Can Lead to Conflicts between Sustainable Development Goals: A Review of Key Lessons Learned in Madagascar," Sustainability, MDPI, vol. 12(18), pages 1-33, September.
    18. Gill-Wiehl, A. & Miles, S. & Wu, J. & Kammen, D.M., 2022. "Beyond customer acquisition: A comprehensive review of community participation in mini grid projects," Renewable and Sustainable Energy Reviews, Elsevier, vol. 153(C).
    19. Lorafe Lozano & Evelyn B. Taboada, 2021. "The Power of Electricity: How Effective Is It in Promoting Sustainable Development in Rural Off-Grid Islands in the Philippines?," Energies, MDPI, vol. 14(9), pages 1-17, May.
    20. Friebe, Christian A. & Flotow, Paschen von & Täube, Florian A., 2013. "Exploring the link between products and services in low-income markets—Evidence from solar home systems," Energy Policy, Elsevier, vol. 52(C), pages 760-769.

    More about this item

    Keywords

    Energy Economics; Electricity Markets; Energy Policy; Resources Policy; Renewable Energy;
    All these keywords.

    JEL classification:

    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy
    • Q41 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Demand and Supply; Prices
    • Q43 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Energy and the Macroeconomy

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    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:qld:uqeemg:3-2014. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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: SOE IT (email available below). General contact details of provider: https://edirc.repec.org/data/eemuqau.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.