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Demand for electricity on the global electrification frontier
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Burgess, Robin, Greenstone, Michael, Ryan, Nicholas and Sudarshan, Anant (2023) Demand for electricity on the global electrification frontier. Working Paper. Coventry, UK: University of Warwick. Department of Economics. Warwick economics research papers series (WERPS) (1445). (Unpublished)
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Official URL: https://warwick.ac.uk/fac/soc/economics/research/w...
Abstract
Falling off-grid solar prices and an expanding grid are revolutionizing choices for nearly a billion people without electricity. Using experimental price variation, we estimate demand for all electricity sources in Bihar, India, during a four-year period when electrification leapt from 27% to 64%. We find that: (i) household surplus from electrification increased five-fold; (ii) both solar and the grid boost electrification but households gain more surplus from the grid; (iii) grid investments and subsidies strongly reduce demand for off-grid solar. When we extend the model to eight African countries where grid infrastructure is weaker and subsidies lower we find that off-grid solar often provides higher surplus than the grid.
Item Type: | Working or Discussion Paper (Working Paper) | ||||||||
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Subjects: | H Social Sciences > HD Industries. Land use. Labor | ||||||||
Divisions: | Faculty of Social Sciences > Economics | ||||||||
Library of Congress Subject Headings (LCSH): | Electric utilities -- Developing countries, Households -- Energy consumption, Electric power, Energy policy -- Developing countries, Power resources -- Developing countries, Electric power consumption, Electrification -- Economic aspects | ||||||||
Series Name: | Warwick economics research papers series (WERPS) | ||||||||
Publisher: | University of Warwick. Department of Economics | ||||||||
Place of Publication: | Coventry, UK | ||||||||
ISSN: | 0083-7350 | ||||||||
Official Date: | January 2023 | ||||||||
Dates: |
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Number: | 1445 | ||||||||
Institution: | University of Warwick | ||||||||
Status: | Not Peer Reviewed | ||||||||
Publication Status: | Unpublished | ||||||||
Access rights to Published version: | Open Access (Creative Commons) | ||||||||
Description: |
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