National Approaches to Electrification – Review of Options

Category Dashboard:

Key Messages

• Categorization allows National Electrification Approaches to be presented and compared systematically
  
• NEAs combine technologies, delivery models, regulation, financial and other interventions – most effective approaches include actions in all these areas
• There is no one ideal approach to electrification. Successful NEA elements are well alighted with each otehr and national context
• NEA should change over time as levels of electrification increase
  
• Major advances in electrification can be achieved in just a few years given commitment from policy makers.

Content of the NAE Tool

1. Introduction
   
2. What are National Electrification Approaches?
3. How to use this Review Tool
4. Categorization of National Approaches to Electrification
5. Category Dashboard and Information on Categories
6. Example Table and Country Case Studies
   
   • Bangladesh
     
   • Brazil
     
   • Cambodia
     
   • Costa Rica
     
   • Ethiopia
     
   • Kenya
     
   • Mali
     
   • Nepal
     
   • Peru
     
   • Philippines
     
   • Rwanda
     
   • South Africa
     
   • Tanzania
     
   • Tunisia,Vietnam
     

What are National Electrification Approches (NAE)?

Definition

"An approach adopted by national authorities to increase electricity access in a country."

• NEA are based on and driven by government policies
  
• An initiative by a business or NGO alone will not qualify as an NEA
  
• Most NEA are based on explicit government policies and interventions, but a policy of non-intervention (eg a decision not to regulate) may also be part of an NEA
  
• NEA may consist of a multi-faceted programme combining policies, financing and interventions or just of a single policy or intervention 

Boundaries

The purpose of this Option Review Tool is to support analysis of NEA and assist in identifying options and so improving NEA design. 

A country may have more than one NEA and a critical first step is to set boundaries around the NEA:

• These need to be wide enough to include policies and interventions which interact
• But they need to be narrow enough to support meaningful analysis (impossible if every category of NEA activity is included)

There are no absolute rules, but some suggestions:

• Set time boundaries – Approaches change over time
• Consider looking at one technology or one type of delivery model at a time
• Are different approaches most relevant in different areas of the country (eg urban/rural  or regions) or for different user groups (households, SMEs etc)?
• Do not split single, coherent, programmes  designed to include multiple categories

• Set boundaries iteratively – aim to include 1(at most 2) types of technology, delivery  model, legal basis and form of tariff regulation - and revise boundaries to optimise the balance between encompassing relevant aspects and ease of analysis.

How to Use this Tool

Downloading the Tool

• The tool is is available to download as a  Powerpoint in full screen slide show:https://energypedia.info/images/a/aa/National_Approaches_to_Electrification_-_Review_of_Options.pptx

Categorization of National Approaches to Electrification

Categorization makes it possible to look at NEA on a systematic, country-neutral basis to understand and compare options.

Up to now, NEA have most frequently been categorized by:

• Technology or form of electrification eg grid, mini-grid or standalone
• Delivery model – generally government vs market or centralized vs decentralized
• Form of policy or intervention

These categorization systems address only a single aspect of the NEA. Different systems use inconsistent definitions and generally cover only one form of electrification (eg mini-grids, or pico-solar).

A new categorization system which encompasses  all forms and aspects of NEA is needed.

Proposed Categorization Framework:

Definitions for Categorization Framework

Technology	Delivery Model	Legual Basis	Price/Tariff Regulation	Finance	Non-Financial Interventions
The physical means by which electricity is generated, transmitted and distributed	The  (market) chain of organisations through which electricity is delivered to users	The  basis on which organisations are legally entitled to sell electricity	The basis on which the price of electricity (or of standalone systems) are regulated	Forms of funding used to finance electricity access	Actions taken to support or facilitate electricity access

References

Authors

Authors: Mary Willcox, Dean Cooper

Acknowledgements

The Review was prepared by Mary Willcox and Dean Cooper of Practical Action Consulting working with Hadley Taylor, Silvia Cabriolu-Poddu and Christina Stuart of the EU Energy Initiative Partnership Dialogue Facility (EUEIPDF) and Michael Koeberlein and Caspar Priesemann of the Energising Development Programme (EnDev).  It is based on a literature review, stakeholder consultations and development of the NEA categorization system used in the Review Tool.

A wider range of stakeholders were consulted during its preparation and we would particularly like to thank the following for their valuable contributions and insights:

• Jeff Felten, AfDB
  
• Marcus Wiemann and other members, ARE
  
• Guilherme Collares Pereira, EdP
  
• David Otieno Ochieng, EUEI-PDF
  
• Silvia Luisa Escudero Santos Ascarza, EUEI-PDF
  
• Nico Peterschmidt, Inensus
  
• John Tkacik, REEEP
  
• Khorommbi Bongwe, South Africa: Department of Energy 
  
• Rashid Ali Abdallah, African Union Commission
  
• Nicola Bugatti, ECREEE
  
• Getahun Moges Kifle, Ethiopian Energy Authority
  
• Marion Merchan Andres, EUEI-PDF
• Tatjana Walter-Breidenstein, EUEI-PDF
• Rebecca Symington, Miland Foundation
• Marcel Reets, RVO NL
• Nico Tyabji, Sunfunder

Any feedback would be very welcome. If you have any comments or enquires please contact: Mary.Willcox@practicalaction.org.uk, hadley.taylor@euei-pdf.org, or michael.koeberlein@giz.de.