Grid connection
Practical Action
$22,000 in difficult terrains. Households can be widely dispersed and often rural consumers will
want to use only a few light bulbs and a radio in the evening. The cost-benefit relationship
shows that there is little incentive for an electricity producing utility to extend the grid into
remote rural areas. Often rural regional centres will be electrified but the network will usually
stop there or bypass the remoter villagers as high voltage cables passing overhead. The figure
below shows the cost of grid connections in relation to load density in rural and urban areas. In
poorer communities the cost of house wiring, appliance purchase and electricity prices can also
be prohibitive.
80
70
60
50
40
30
20
10
0
1
23
Load dens ity
R ural
U rban
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Figure 2: Cost of grid electrification in relation to load density*
(*Note: Costs in Figure 2 are indicative and may vary with location)
Rural electrification schemes often require subsidies to make them financially viable.
Other barriers to grid connection
• Lack of productive end-uses: Although introduction of electricity to a community often
stimulates income generating activities and hence a gradual increase in the uptake of
electricity use, the conditions for introducing electricity do not normally exist in rural
areas. Most commercial and industrial activities are concentrated at the regional
centres. Electrification projects alongside rural development programmes will often
make electrification more viable.
• Lack of power supply capacity: In many developing countries the existing generating
capacity is unable to cope with demand. Black outs are a common occurrence in many
major cities, especially as the process of rapid urbanisation continues. The utilities often
find it difficult to cope with the existing demand, let alone think about catering for an
increased demand from rural areas.
• Political will: Positive political will and subsidies or loan schemes for rural electrification
can remove some of these obstacles but often neither are forthcoming.
It seems, therefore, in many countries of the developing world, that little progress will be made if
rural communities are to wait for the grid to reach them.
Alternatives to grid connection
It is now widely accepted that for many rural locations an alternative to grid connected power is
required. Many rural power programmes will combine grid supply to the most accessible areas
with off-grid alternatives to more remote locations or disperse communities. One alternative,
which is used widely, is to utilise small diesel generating sets to provide electricity for local
networks. Another alternative can be found in the form of decentralised power generation using
renewable energy technologies, including solar photovoltaic, micro hydro and wind power.
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