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RENEWABLE ENERGY

FOR REMOTE COMMUNITIES

A guidebook for off-grid projects

Unless otherwise stated, material in this publication may be freely used, shared, copied, reproduced, printed and/or

stored, provided that appropriate acknowledgement is given of IRENA as the source and copyright holder. Material

in this publication that is attributed to third parties may be subject to separate terms of use and restrictions, and

appropriate permissions from these third parties may need to be secured before any use of such material.

ISBN: 978-92-9260-565-0

CITATION: IRENA (2023), Renewable energy for remote communities: A guidebook for off-grid projects,

International Renewable Energy Agency, Abu Dhabi.

For further information or to provide feedback: publications@irena.org

This report is available for download: www.irena.org/publications

About the partners

IRENA

The International Renewable Energy Agency (IRENA) is an intergovernmental organisation that supports countries

in their transition to a sustainable energy future, and serves as the principal platform for international co-operation,

a centre of excellence, and a repository of policy, technology, resource and ﬁnancial knowledge on renewable

energy. IRENA promotes the widespread adoption and sustainable use of all forms of renewable energy, including

bioenergy, geothermal, hydropower, ocean, solar and wind energy, in the pursuit of sustainable development,

energy access, energy security and low-carbon economic growth and prosperity.

www.irena.org

ACKNOWLEDGEMENTS

This guidebook was developed by the International Renewable Energy Agency (IRENA) in consultation with

the Alliance for Rural Electriﬁcation (ARE). Input, feedback and support were received from Natural Resources

Canada (NRCan).

The guidebook was prepared under the overall guidance of Gurbuz Gonul (Director, Country Engagement and

Partnerships, IRENA) and Amjad Abdulla. It was authored by Chitra Narayanswamy and Kamran Siddiqui (IRENA)

with valuable inputs and support provided by NRCan colleagues: Michael Paunescu, Abou Baker Kaddour, Marianne

Audette-Chapdelaine, Jay Storfer, and IRENA colleagues Simon Benmarraze, Paula Nardone, Divyam Nagpal,

Kathleen Daniel, Paul Komor, Wilson Matekenya and Loisina Ambeyi.

The report was edited by Stefanie Durbin; layout and design were provided by Phoenix Design Aid.

The guidebook was developed as part of the Global Initiative for Transitioning Remote Communities to

Renewable Energy, funded by the Government of Canada, represented by Natural Resources Canada (NRCan).

Disclaimer

This publication and the material herein are provided “as is”. All reasonable precautions have been taken by IRENA to verify the reliability of the material in this

publication. However, neither IRENA nor any of its ocials, agents, data or other third-party content providers provides a warranty of any kind, either expressed or

implied, and they accept no responsibility or liability for any consequence of use of the publication or material herein.

The information contained herein does not necessarily represent the views of all Members of IRENA. The mention of speciﬁc companies or certain projects or

products does not imply that they are endorsed or recommended by IRENA in preference to others of a similar nature that are not mentioned. The designations

employed and the presentation of material herein do not imply the expression of any opinion on the part of IRENA concerning the legal status of any region, country,

territory, city or area or of its authorities, or concerning the delimitation of frontiers or boundaries.

RENEWABLE ENERGY

FOR REMOTE COMMUNITIES

A guidebook for off-grid projects

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RENEWABLEENERGYFORREMOTECOMMUNITIESAguidebookforoff-gridprojects©IRENA2023Unlessotherwisestated,materialinthispublicationmaybefreelyused,shared,copied,reproduced,printedand/orstored,providedthatappropriateacknowledgementisgivenofIRENAasthesourceandcopyrightholder.Materialinthispublicationthatisattributedtothirdpartiesmaybesubjecttoseparatetermsofuseandrestrictions,andappropriatepermissionsfromthesethirdpartiesmayneedtobesecuredbeforeanyuseofsuchmaterial.ISBN:978-92-9260-565-0CITATION:IRENA(2023),Renewableenergyforremotecommunities:Aguidebookforoff-gridprojects,InternationalRenewableEnergyAgency,AbuDhabi.Forfurtherinformationortoprovidefeedback:publications@irena.orgThisreportisavailablefordownload:www.irena.org/publicationsAboutthepartnersIRENATheInternationalRenewableEnergyAgency(IRENA)isanintergovernmentalorganisationthatsupportscountriesintheirtransitiontoasustainableenergyfuture,andservesastheprincipalplatformforinternationalco-operation,acentreofexcellence,andarepositoryofpolicy,technology,resourceandfinancialknowledgeonrenewableenergy.IRENApromotesthewidespreadadoptionandsustainableuseofallformsofrenewableenergy,includingbioenergy,geothermal,hydropower,ocean,solarandwindenergy,inthepursuitofsustainabledevelopment,energyaccess,energysecurityandlow-carboneconomicgrowthandprosperity.www.irena.orgACKNOWLEDGEMENTSThisguidebookwasdevelopedbytheInternationalRenewableEnergyAgency(IRENA)inconsultationwiththeAllianceforRuralElectrification(ARE).Input,feedbackandsupportwerereceivedfromNaturalResourcesCanada(NRCan).TheguidebookwaspreparedundertheoverallguidanceofGurbuzGonul(Director,CountryEngagementandPartnerships,IRENA)andAmjadAbdulla.ItwasauthoredbyChitraNarayanswamyandKamranSiddiqui(IRENA)withvaluableinputsandsupportprovidedbyNRCancolleagues:MichaelPaunescu,AbouBakerKaddour,MarianneAudette-Chapdelaine,JayStorfer,andIRENAcolleaguesSimonBenmarraze,PaulaNardone,DivyamNagpal,KathleenDaniel,PaulKomor,WilsonMatekenyaandLoisinaAmbeyi.ThereportwaseditedbyStefanieDurbin;layoutanddesignwereprovidedbyPhoenixDesignAid.TheguidebookwasdevelopedaspartoftheGlobalInitiativeforTransitioningRemoteCommunitiestoRenewableEnergy,fundedbytheGovernmentofCanada,representedbyNaturalResourcesCanada(NRCan).DisclaimerThispublicationandthematerialhereinareprovided“asis”.AllreasonableprecautionshavebeentakenbyIRENAtoverifythereliabilityofthematerialinthispublication.However,neitherIRENAnoranyofitsofficials,agents,dataorotherthird-partycontentprovidersprovidesawarrantyofanykind,eitherexpressedorimplied,andtheyacceptnoresponsibilityorliabilityforanyconsequenceofuseofthepublicationormaterialherein.TheinformationcontainedhereindoesnotnecessarilyrepresenttheviewsofallMembersofIRENA.ThementionofspecificcompaniesorcertainprojectsorproductsdoesnotimplythattheyareendorsedorrecommendedbyIRENAinpreferencetoothersofasimilarnaturethatarenotmentioned.ThedesignationsemployedandthepresentationofmaterialhereindonotimplytheexpressionofanyopiniononthepartofIRENAconcerningthelegalstatusofanyregion,country,territory,cityorareaorofitsauthorities,orconcerningthedelimitationoffrontiersorboundaries.RENEWABLEENERGYFORREMOTECOMMUNITIESAguidebookforoff-gridprojectsTABLEOFCONTENTSABBREVIATIONS....................................................................................................................7INTRODUCTION.....................................................................................................................8Electricityaccessdisparities..............................................................................................................8Rationaleforextendingaccess.........................................................................................................8Gridextensionvs.off-gridsolutions...................................................................................................9Scopeoftheguidebook..................................................................................................................101REMOTECOMMUNITIES:SCOPEFOREXTENDINGELECTRICITYACCESS........................12Definingremoteness.........................................................................................................................12Remotecommunitiesacrossregions...............................................................................................122REACHINGTHELASTMILE:POWERINGREMOTECOMMUNITIES.....................................16Keyprinciplesofoff-gridprojects.....................................................................................................16Communityengagement.................................................................................................................17Meetingelectricityneedsandmanagingsupply..........................................................................19Buildingcapacitiesinthecommunity............................................................................................21Enablingpoliciestoimproveelectricityaccesstoremotecommunities.....................................28Financingcapitalexpenditureandshortfallsinworkingcapital.................................................30Replicationandscaling-up..............................................................................................................313DELIVERYMECHANISMSFORELECTRICITYPROVISION..................................................32Communitycentric...........................................................................................................................32Roleoftheprivateprovider.............................................................................................................34Governmentprogrammesfortheprovisionofelectricitytoremotecommunities......................354FINANCINGSTRATEGIESTOREACHREMOTECOMMUNITIES..........................................39Currentcontext:grant-basedprojects...........................................................................................39Investingforimpact..........................................................................................................................39Country-levelefforts..........................................................................................................................40REFERENCES........................................................................................................................414RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTSANNEXI:CASESTUDIES......................................................................................................43OldCrowcommunity,Canada.......................................................................................................43DolloAdoandBokolmayoWoredas,Somaliregion,Ethiopia......................................................44Zanzanregion,Côted’Ivoire............................................................................................................45Totota,Liberia....................................................................................................................................46Oaxaca,Mexico...............................................................................................................................47Okhaldunga,Nepal..........................................................................................................................48IsleofEigg,Scotland,UnitedKingdom...........................................................................................49SarawakState,Malaysia..................................................................................................................50LoltongVillage,Vanuatu..................................................................................................................51ANNEXII:ADVANTAGESOFDIFFERENTRENEWABLEENERGYTECHNOLOGIESFORREMOTECOMMUNITYACCESS....................................................................................52FIGURESFigure1Energypovertyinindigenouscommunitiesacrossdevelopedanddevelopingcountries....................................................................................................................................15Figure2Figure3SolarPVdeploymentshowsapositivetrend,2017-2021................................................................26TheIsleofEiggproject:Monthlyhybridpowergeneration,March2012‑March2013...........26TABLESTable1Listofthecasestudiessurveyedandanalysed................................................................................10Table2Table3Designprinciplesforoff-gridelectricityprovisionprojects............................................................17Table4Table5Operatingpowerrangeoftypicalhouseholdappliances...............................................................19Table6Multi-tierelectricityaccesstohouseholdservices.............................................................................20Table7Table8Userpackageplanswithanupperlimitonelectricityconsumed................................................20Table9Loadprofilesandoperativeloadsmetthroughrenewableenergysolutionsintheninecasestudies..................................................................................................................................22Brazil:LuzparaTodos(LightforAll)governmentprogramme...................................................36Malaysia:SarawakAlternativeRuralElectrificationScheme(SARES)governmentprogramme.....................................................................................................................................................37Canada:CleanEnergyforRuralandRemoteCommunities(CERRC)governmentprogramme....................................................................................................................................................38RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS5BOXESBox1EnergyconsumptionintheHinduKushHimalayaregion................................................................13Box2Choiceofrenewableenergyforextendingelectricityaccessinsmallislanddevelopingstates........................................................................................................................................14Box3Digitaltoolsenablingcommunityparticipation..................................................................................19Box4“HomesofEnergy”:Mini-gridsO&Mhub..............................................................................................24Box5Technologyevolutionofsolarhomesystems(SHSs)........................................................................25Box6ProvincialprojectshelpIndigenouscommunitiestapintotheirrenewableenergyresources...........................................................................................................................................29Box7Enhancingenergysupplyforrefugeesettlementswithrenewableenergyoptions...............30Box8Enterpriseinnovation–Emergingrolesofprivateproviders.........................................................356RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTSABBREVIATIONSACalternatingcurrentLORESSlocallyownedrenewableenergyprojectsthataresmallscaleAhamperehourCapexcapitalexpenditureMWmegawattCERRCCleanEnergyforRuralandRemoteMWhmegawatthourCommunities(Canada)NDCnationallydeterminedcontributionCO2eqcarbondioxideequivalentO&MoperationsandmaintenanceCOMETCommunityEngagementToolkitPECPhotovoltaicElectrificationCommittee(Mexico)DCdirectcurrentDGdieselgeneratorPPApowerpurchaseagreementDREdecentralisedrenewableenergyPPPpublic-privatepartnershipESMAPEnergySectorManagementPUEpowerusageeffectivenessAssistanceProgrammePVphotovoltaicFGDfocusedgroupdiscussionRETrenewableenergytechnologyGEFGlobalEnvironmentFund2G-SHSsecond-generationsolarhomesystemGISgeographicinformationsystemHKHHinduKushHimalayaSARESSarawakAlternativeRuralElectrificationSchemeHOMERHybridOptimisationofMultipleSDGSustainableDevelopmentGoalEnergyResourcesHPNetHydroPowerNetworkSHSsolarhomesystemHREShybridrenewableenergysourceSIDSsmallislanddevelopingstatesIDPinternallydisplacedpeople3G-SHSthird-generationsolarhomesystemIPPindependentpowerproducerUNUnitedNationsIRECInternationalRenewableEnergyUNDPUnitedNationsDevelopmentCertificateProgrammeIRENAInternationalRenewableEnergyUNHCRUnitedNationsHighCommissionerAgencyforRefugeesKIIkeyinformantinterviewURAUtilityRegulatoryAuthority(Vanuatu)kmkilometreUSDUnitedStatesdollarkVAkilovoltampereVvoltkWhkilowatthourWwattkWpkilowattpeakWCMCWorldConservationMonitoringCenterLCOElevelisedcostofelectricityLEDlightemittingdiodeWhwatthourWpwattpeakRENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS7INTRODUCTIONELECTRICITYACCESSDISPARITIESPeoplelivinginbothurbanandrurallocationsneedaccesstoreliable,efficientandmodernamenities.However,groupslivinginruralareas,especiallyinlow-incomeanddevelopingcountries,experiencealargedisparityinaccesstoanessentialamenity–electricity–whencomparedtothoselivinginurbanareas.The2023editionoftheTrackingSDG7report(IEAetal.,2023)foundthatelectricityaccesswasavailableto98%ofurbanresidentsincontrasttoonly85%oftheirruralcounterparts.Thesituationisworseintheleastdevelopedcountries,1wherein2021therewasanaverageaccessrate2ofjust56%.Thisleftabout481millionpeoplewithoutelectricityoutofaglobalfigureof675millionasof2021.Ifadditionalmeasuresarenottaken,660‑560millionpeopleinsub-SaharanAfricaand70millionpeopleindevelopingAsiawillstilllackaccesstoelectricityby2030,giventhetrendofincreasingpopulationnumbersintheseregions(IEAetal.,2023).RATIONALEFOREXTENDINGACCESSThe2030AgendaforSustainableDevelopment,adoptedbyallUnitedNations(UN)memberstatesin2015,isdrivenby17sustainabledevelopmentgoals(SDGs).Ofthese,SDG7recognisesenergy’scatalyticroleindevelopmentanditsabilitytoovercomedeprivationandenhanceservices.TheSDG7goalstrivestoensureaccesstoaffordable,reliable,sustainableandmodernenergyforall.Toachieveuniversalenergyaccess,electricitymustreachthecommunitieslivingonallareasoftheplanet,includingonhighmountainsandremoteislands.Accessmustbeextendedalsotothosewhohaveonlyaremotechanceofgridextension,suchascommunitiesdisplacedfromtheirhomelandduetoconflictorcivilstrifeandsomeIndigenousandtribalgroupsthathavelimitedexposuretomodernenergyoptions.Thisisknownaslastmileaccess.TheUN’sHigh-LevelDialogueonEnergymadeahigh-priorityrecommendationintheThemeReportonEnergyAccess,emphasisingthat“thelastmileofenergyaccessmustbecomethefirstmiletobetackled”(UnitedNations,2021).Tomakethishappen,electricityaccessratesmustimprovesignificantlyandreachthemostremote,poorestandmostvulnerablepopulationsegments,includingdisplacement-affectedcommunities.Inaddition,theaccesssolutionsneedtobecontext-sensitivetomeetthespecificneedsandsituationsofvulnerablepopulations(UnitedNations,2021).Extendingelectricityaccesstotheseremotecommunitiesforbasicservices(Tier1+services;seeTable4)aloneisnotsufficient.Energyisanenablerandcanhaveadirectimpactoncommunitylivelihoods.Throughenergyaccessprogrammes,electricityprovisioncanpowerruralproductiveusesinadditiontohouseholdneeds.Usingelectricityforproductionmaximisesitsbenefitsforsuchcommunities,helpingtoalleviatepovertyandprovidebetterstandardsofliving.Inaddition,improvedcommunityandsocialservices–suchaspoweringhealthfacilities,schoolsandtrainingcentres,andwatersupplyandsanitation–highlightshowbyachievingtheobjectivesofSDG7,otherSDGtargetscanalsoberealised.1TheUNdefinesleastdevelopedcountriesas“low-incomecountriesconfrontingseverestructuralimpedimentstosustainabledevelopment.Theyarehighlyvulnerabletoeconomicandenvironmentalshocksandhavelowlevelsofhumanassets”(UNDESA,n.d.).2Access(toelectricity)rate(or“electrificationrate”)referstotheshareofthepopulationwithaccesstoelectricityoutofthetotalpopulationinthespecifiedtimeperiodorgeographicarea.Householdaccessispredominantlybasedonthemulti-tierframeworkwheretheminimumprovisionofaccesstoelectricityserviceistheequivalentofTier1andaboveTier1(BhatiaandAngelou,2015).8RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTSPhoto:Mini-gridO&MhublitusingsolarPVinZanzanvillages,Coted’Ivoire(©AZIMUT360SCCL).GRIDEXTENSIONvs.OFF-GRIDSOLUTIONSGridextensionisachievedbybuildingnewpowertransmissionanddistributionlines,transformers,andotherinfrastructuretoconnectremoteandunderserveduserstothemaingrid.Indenselypopulatedurbanareas,itisfinanciallyviableforutilitycompaniestoextendgridlinesbecausethedemandforelectricityishighandthereisvarieduseofelectricalappliancesandalargenumberofconnections.Thescaleandusagereducesthecostofbuildingnewinfrastructure.Inremoteareasandcommunitiesthathavelowelectricitydemand,ontheotherhand,thegridextensionapproachtendstobeexpensiveandunviable.Furthermore,investmentcostsareunmetduetolowtariffssetfortheirelectricityprovision.Off-gridenergysystems(mini-gridorstand-alone),whichoperateindependentlyofthemainpowergrid,offeranopportunitytoprovideenergytoremoteandunservedcommunities.Thesystemstypicallyusefossilfuels,suchasindieselgenerators(DGs);however,theycanalsobepoweredbyrenewableenergytechnologies(RETs)suchassolar,wind,biomassorhybrid.Suchsystemscanbecustomisedanddesignedtomeetconsumers’specificandlowelectricityneeds.Choosingtoadoptsustainable,reliableandcleanenergyusingRETsmeanscommunitiescanreducetheirrelianceonthecostlyfossilfueloptionsthatarecommonlyusedtomeettheirelectricityneeds.Gridextensionisthetraditionalapproachthatgovernmentprogrammesandfundingagenciestendtotakeupinextendingelectricityaccesstosettlements.Yet,gridextensionrequireslargeamountsofcapitalinvestmentsandtime,bothofwhichsloweffortsandpace.Themaingriddistributionlinesmustbeextendedoverlongdistancestoreachscatteredsettlementsand,mostoften,toprovideforlowpowerdemands.Forexample,providingaruralhouseholdconnectionthroughgridexpansioncostsUSD1100(UnitedStatesdollars)inVietNamandUSD2300inTanzania.Thecostsarealmosthalfthisinurbanareas,whereitcostsUSD570andUSD600‑USD1100,respectively,inthesamecountries(Ehrhardtetal.,2019)Addedtothecostsincurred,upfrontinvestmentswouldneedtobeextensivelysubsidised,orgrantdrivengiventhelowmonthlytariffsforend-consumerslivinginruralandremoteareas.Analysisofcost-reflectivetariffsacross39utilitiesinSub-SaharanAfricashowsthat25%oftheutilitiesrequireacost-reflectivetariffofUSD0.40perkilowatthour(kWh).Forabouthalftheutilities,itisintherangeofUSD0.20toUSD0.40/kWh,withthebalance,25%,oftheutilitiesrequiringlessthanUSD0.20/kWh.Theimplicationisthat,oftentimes,extendingaccessischeaperusingmini-gridsthanbyextendingthegrid(ESMAP,2022).RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS9Evidence-basedstudiesshowthatoff-gridrenewable-basedsolutionsneedlowerinvestmentscomparedtogrid-connectedonesforextendingfullelectricityaccess.Theforecastscenarioshowsa30%reductionforlow-demandestimationsand5%reductionforhigh-demandestimationsincomparisontothecostsofextendingthegrid(Blechingeretal.,2019).Mini-gridspoweredbysolar,hydroandbiogastechnologiesprovidedelectricityaccessto11millionpeopleasof2021.Solarmini-gridsserveaboutathirdofthepopulationthatissuppliedbymini-gridsprovidingelectricity.Solarhasproventobetheleast-costoption,inadditiontoitseaseofdeploymentandscalability(IEAetal.,2023).SCOPEOFTHEGUIDEBOOKThisguidebookexploresmethodsofelectricityprovision,throughrenewables,usingstand-alonesystemsandmini-grids.Itdescribesthekeyelementsthathelpdesignandoperateprojectsforelectricityprovision.Itscontentprovidesprojectproviders,communityleaders,privateenterprisesandgovernmentagencieswithanunderstandingofwhatisrequiredtoextendelectricityaccesstothelastmile.Thefindingsofninecasestudiesinwhichelectricityprovisionwasextendedtoremotecommunitiesandthoseunservedbythegridaredetailed(seeAnnexI).Eachcasestudy–uniqueinitslocationandapproachofdeliverymechanism–illustratesthesuccessfactorsthatprovideforsmoothandsustainedoperations.Thecasestudyprojectschosenforthisstudymeetabroadsetofcriteria:•Theyhaveregionalrepresentation.•Theybelongtothe“remote”categorydefinedinthestudy.•TheyshowcasetheuseofdifferentRETs.•Theyexhibitdeliverymechanismsdesignedforthelocalcontextinelectricitysupply.•Theyshowcasesmoothsupplyoperationssinceprojectinception.Theguidingprinciplesbasedonthefindingsinthisreporthavebeenfurthervalidatedusingfocusedgroupdiscussions(FGDs)andkeyinformantinterviews(KIIs)withprojectprincipals,keystakeholdersandsubjectexperts.Table1liststheninecasestudies,abriefdescriptionofeachstudyandthereferenceprojecttitleusedinthisguidebook.Table1ListofthecasestudiessurveyedandanalysedProjecttitleBriefdescriptionReferredtoasIndigenouscommunityofA940kWsolarphotovoltaic(PV)mini-gridsysteminOldCrowcommunity,OldCrow,Yukon,CanadatheremotenortherncommunityofOldCrow,Yukon,Canadareducesthecommunity’srelianceondieselforelectricityRefugeesettlementsofgeneration.Yukongovernmentlegislationandpolicies,DolloAdo,Bokolmayoaswellasapowerpurchaseagreement(PPA)withtheWoredas,Somaliregion,localutility,ensurethatthecommunitybenefitsfromtheEthiopiaproject.Ongoingsince2016FiverefugeecampsinDolloAdogetelectricityaccessDolloAdo&fromsolarPVmini-gridsandwatersuppliedusingBokolmayocamps,off-gridsolarpumps.Solarco-operativesrunbytheEthiopiamembersoftherefugeeandhostcommunity(initsfringes)operatethesystemstomeethouseholdandagriculture-relatedelectricityneeds.Ongoingsince201910RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTSProjecttitleBriefdescriptionReferredtoasRemotesettlementsSevenremotevillagesinCôted’IvoireuseaninnovativeZanzanvillages,inZanzanregion,deliverymodelcombiningprivatesectorexpertise,Côted’IvoireCôted’IvoirepubliccapitalandstrongcommunityownershipthroughanoverarchingMini-GridFederationandTechniciansAssociations.Thereisstrongownershipfromthemini-gridusersoftheruralhouseholds,ensuringlong-termsustainability.Ongoingsince2012RemotevillageofTotota,IntheremotevillageofTotota,mini-gridusersformanTototaVillage,LiberiaLiberiaelectricco-operativetobecomethefirst-evermicro-utilityinLiberia.Theco-operative,setupinpartnershipwithNRECAInternational,showcasesthetremendouspotentialofcommunity-ownedco-operatives,impactingmorethan20000peoplethroughasustainablecommunity-drivendecentralisedrenewableenergy(DRE)deliverymodel.Ongoingsince2017High-altitude,scatteredUndertheLuzenCasa,Oaxaca(LightatHome)Oaxacahouseholds,settlementsinOaxaca,programme,householdsettlementsinhigh-altitudeMexicoMexicoterraingetelectricityaccessfromthird-generationsolarhomesystems(SHSs).Innovativefinancingcomesfrompublic-financingestablishmentsaswellasequityownershipbytheSHSusers,madepossibleinpartthroughmicro-loansgrantedviaacrowdfundingplatform.Thesolutionhasanimpactonalargegeographicalarea.Ongoingsince2012RuralhillscommunityofAlocalcommunityfromtheruralhillsinNepalhasOkhaldungaruralOkhaldunga,NepalsuccessfullysetupasolarPVmini-gridthroughahills,Nepalprivateenterprise.Thevillagersaretrainedtooperateandmanagetherenewableenergysystem.Revenueearnedfromtheelectricitysupplyisgivenoutasmicro-loansthatinturnspureconomicactivity,ensuringthesustainabilityoftheproject.Ongoingsince2020Remoteislandcommunity,LocatedinthewestofScotland,theIsleofEiggIsleofEigg,ScotlandIsleofEigg,Scotland,communityof45householdschoseahybridrenewableUnitedKingdomenergysolutiontohelpreduceitsrelianceondieselfuel.Theproject’snotablefeaturesincludeausagecapaswellasaremarkable“traffic-light”systemthathelpsalignconsumptiontomanagedemandvs.supply,ensuringsustainedoperations.Ongoingsince2008RemoteruralvillagesofUndertheSarawakAlternativeRuralElectrificationSarawakEnergy,Sarawakstate,MalaysiaScheme(SARES),theutility,SarawakEnergy,providesMalaysiaelectricityaccesstoveryremotevillagesusingoff-gridsolarPV-basedsolutionsasanapproachtoachievetotalelectrificationby2025.Ongoingsince2016RemoteislandcommunityThehybridDREsolutionofpico-hydroandsolarPVLoltongremoteofLoltongVillage,Vanuatusystemsinmeetingthelocalcommunity’spowerneedsisland,Vanuatushowcasesaprovenmodeltobereplicatedbyothersuchcommunitiesforenergyself-sufficiencyandreducinguseofdieselfuel.Ongoingsince2021RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS111REMOTECOMMUNITIES:SCOPEFOREXTENDINGELECTRICITYACCESSDEFININGREMOTENESSRemotecommunitieswithnogridaccesstypicallyhavelowpopulationdensity(andthereforelowelectricitydemand),lowincomes,difficultterrainsandpoortransportationinfrastructure.Remotecommunitiesincludedinthescopeofthisstudyaredefinedasthosewithremotenessfromthepowergridforthreereasons:•Theyaregeographicallyremotefromthemainlandandchallengedbydifficulttoaccessterrains,suchasruralsettings;mountainregions;small,isolatedislands;anddeepforestsettlements.•Theyhavearemotechanceofgaininggridaccess,suchasrefugeecommunitiesdisplacedduetoconflict,internalstrifeandnaturalcalamities.•Theyfullyrelyonoff-gridenergysourcesandhaveverylowdemandprofiles,suchassometribalandIndigenouscommunities.Thethreesettlementtypesoverlapwithrespecttotheirdemandprofile(lowelectricityneeds),beingineconomicandenergypoverty,andhavingaremotechanceofattaininggrid-basedelectricitysupply.REMOTECOMMUNITIESACROSSREGIONSThefollowingsectionsexaminemostoftheremotecommunitiesacrossregions,asdefinedbythestudy.Althoughonlyfragmenteddataonelectricityaccesstosuchsettlementsareavailable,theeffortistoshowcasethesize,spreadandlocationsofthesesettlements.Indoingso,itispossibletodeterminetheamountofeffortrequiredtoestablishreplicableworkingmodelsforelectricityprovisionandtheirpotentialtoreachtheseunservedsettlements.MountainpopulationsAsof2015,anestimated1050millionpeoplelivedinmountainareasincludedintheWorldConservationMonitoringCenter(WCMC)definition.3Overthe1975to2015period,theshareofmountainpopulationtototalworldpopulationremainedconstantat14%.Populationdensitiesarehighatlowaltitudesandverylowathigheraltitudes.One-thirdofmountainpopulationslivesincities,one-thirdintownsandsemi-dense3TheWCMCclassificationcoversmountainregionsthatincludebothhillsandmountains.Atotalof22%oftheworld’sland,or29millionsquarekilometre(km2),isclassifiedasmountainregion,ofwhichabouthalfisbelow1000metres(m).Ruggedlandisconsideredmountainregionifitisatleast300mabovesealevel,butplateausandbroadvalleysrunningthroughthemountainsbelow2500marenotconsideredmountainregions.Alllandabove2500misclassifiedasmountain,includingplateaus.Thisaccountsfor20%ofthetotal.(Blythetal.,2002)12RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTSareas,andtheremainingone-thirdinruralareas.RegionaltrendsinurbanisationandpopulationgrowthshowincreasedpopulationgrowthinthemountainrangesofwesternAsia(withtheexceptionofAnatolia,Türkiye)andsouthernAsia,lowordecliningpopulationgrowthintherangesineasternAsiaandEurope,andmoderatepopulationgrowthmatchedwithhighurbanisationintheLatinAmericanranges(Ehrlichetal.,2021).Thesesettlements’primaryenergyneedstendtobeforcooking,andspaceandwaterheating.ThefuelconsumptionpatternsintheHinduKushHimalaya(HKH)regionaretakenasrepresentativeofmountainsettlements.Here,thereisastrongrelianceonbiomass,whichisabundantlyavailable,whileliquidpetroleumisusedforprocessesinsmallindustriesandforrunningcommercialenterprises(seeBox1).Box1EnergyconsumptionintheHinduKushHimalayaregionThepopulationlivinginthemountainareasoftheeightAsiancountriesthatformtheHKHregioncompriseabout9%ofitscollectivetotal.Atotalof52.4%oftheruralpopulationsoftheHKHcountries(WorldBank,n.d.)livewithoutaccesstoelectricity(thepopulationswiththeleastaccessareinMyanmar,followedbyPakistan),withpeoplelivinginthemountainsmakingupalargeshareofthosewithoutaccesstoelectricity.Householdsintheregionneedenergyforcookingandspaceheatingasapriority.Tomeetthisneed,householdsrelyheavilyonbiomass.Itsexcessiveusehasresultedinforestdegradation,indoorpollutionthattriggershealthissues,socialdeprivationassociatedwithcollectingwood,andscarcityduringwintermonths.BiomassisanabundantprimaryenergyresourcefortheHKHregion,whichcomprisesforests(20%),shrublands(15%)andgrasslands(39%).Otherformsofrenewablesourcesincludehydro,solarandwind,whosepotentialshaveyettobequantified.PatternsofusageincountrieslikeBhutanandNepal(countrieslargelylocatedintheregion)arestudiedtodeterminethefuelcompositionthathelpstomeettheenergyneedsofkeysectorsintheregion.Thelargestsharesofhouseholdenergyneedsareforcooking(61%)andspaceheating(14%),possiblyfromtraditionalfuelssuchasbiomass.ElectricitysuppliedtotheresidentialsectorinNepalismetthroughgridsupply,thepowerfromwhichissuppliedfromdomestichydropowerplants.Unmetdemandiscomplementedbydieselandimportedpower.CommoncottageindustriesoftheHKHregion,suchasagro-processing,blacksmiths,potteries,sawmillsandbakeries,needprocessheat.Thisisprovidedusingcoal,traditionalbiomass,petroleumproductsandelectricity.ThemaincommercialsectorsintheHKHregionarelocalbusinesses,hotelsandrestaurants,becausetourismisakeysectorfortheregion.Thesector’senergydemandshavetobemetwithliquidpetroleumfuelandelectricity.TheagriculturalsectorinNepaluses9.9%ofthetotalpetroleumproductconsumptionand2.2%oftotalelectricityconsumption.Energyisneededfortillage(52%),irrigation(32%)andthreshing(13%)toservethedemandsoflarge-scale,commercialfarming.Forfarmingcommunitieslocatedoffthegrid,DREsolutionswouldhelptomechanisefarmingprocesses.Mechanisationcanincreaseproductivityandstrengthenmarketlinkages,leadingtohigherearnings.IRENA,inpartnershipwithICIMODandSELCOFoundation,hasassessedtheenergyneedsoffoodvaluechainsinNepal(buckwheatandgundruk)andBhutan(potatoesandyakmilk)inabidtounderstandthepossibleenergynodalpointsofthesefoodvaluechains.Basedonthefindings,thestudyhasprovideddecentralisedsolarPV-basedsolutionsforon-farmandpost-harvestprocesses.Thesesolutionsareasteptowardsbuildingresilientlivelihoodsforsmallandmarginalfarmersinmountainousregionsaroundtheworld.Source:Dhakaletal.(2019);WorldBank(n.d.);IRENA,ICIMODandSELCOFoundation(2022).Note:TheHKHregionspanseightcountries:Afghanistan,Bangladesh,Bhutan,China,India,Myanmar,NepalandPakistan.RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS13SmallIslandspopulationsUndertheUNcharteronsmallislanddevelopingstates(SIDS),57islandstatesaremembersandassociatesoftheUNregionalcommissions.ThetotalpopulationofSIDSisestimatedat65million.Thesearepeoplewho,giventheirremotegeography,areexposedtouniquesocial,economicandenvironmentalchallenges.TheSIDSnationsaremakingtheshifttowardsrenewableenergysourcestoaccessutility-scaleelectricityandchoosingdecentralisedoff-gridsystems(seeBox2).Box2ChoiceofrenewableenergyforextendingelectricityaccessinsmallislanddevelopingstatesAtutilityscale,alargenumberofSIDSplantointegraterenewableenergysourcesaspartoftheirmixofprimaryfuelsources.Factorsthatinfluencethechoiceofrenewableenergyinclude:•thehighcostsofproducingelectricityusingDGsthatrunonimportedfuels•theabundantresourcepotentialavailableofrenewableenergyresources•thewell-understoodenvironmentalandsocietalbenefitsofrenewableenergyuse•theexistenceofpoliticalsupportandstrategicplanningtodevelopasustainableenergysupplythatinturnaidsinternationaleffortsonclimatechangemitigationthroughnationallydeterminedcontributions(NDCs)(IRENA,2019a).ThesmallislandnationsofPapuaNewGuineaandSolomonIslandsrelyonoff-gridsolutionsusingrenewableenergysourcesforconnectinghomesinremoteislands.InPapuaNewGuinea,hometo600smallislands,theNationalElectricityAuthorityhasasitsprimarytasktheprovisionofaccessto70%ofallhouseholdsby2030andto100%ofhouseholdsby2050.TheWorldBankissupportingtheauthorityindatacollectiononthenumberofunservedhouseholds,theirelectricitydemandandtheleast-costpoweroptionsavailabletothem(includinghybridformsofsolarandhydro).IRENAhelpstheauthoritywithdatarelevanttoitsNDCs,providingtrainingongreenhousegasemissionscalculations(IRENA,2022a).TheNationalElectricityAuthorityispursuingvariousmodelsofoff-gridimplementationthroughpublic-privateengagement,whollyprivatesectorparticipationorthroughlocalgovernmentsusinggrants.Thedepartmentsofhealth,fisheriesandothersectorsforwhichenergyisanenablermanagesmallrenewableenergy-sourcedpowerplants(suchashydro)toprovidetheirservices.SolomonIslandsisanislandcountrymadeupofsixmajorislandsand900smallislandsinOceania.Ofthenation’sestimatedpopulationof700000,76%hasaccesstoelectricity.Theshareofrenewablesinitstotalenergysupplyis44%,primarilyfrombioenergy.Householdsalmostfullyconsumetheenergyproduced(97%),withothersectorsusing3%.Intheprovisionofaccesstoscatteredandremotecommunities,thegovernmentisexploringtheruralenergyservicecompanymodel,inwhichprovisionofpowerisenhancedwithvalueaddedservicebytheprovider.Insuchapublic-privatepartnership(PPP)model,thereisstrongengagementfromthecommunitiesbenefittingfromthedecentralisedprojects.Intestingthepilotprogramme,thegovernmentisshoringupcommunityorganisations,registeringthemasco-operativesand,throughcapacitybuildingprogrammes,helpingthemadministercommunityconsolidatedfundsandestablishtheirowninvestments.Revenueisearnedfromthecommunitylandlenttotheprovider,whohasaPPAsignedfor30yearstosupplyelectricityandservicestothecommunity.Akeyaspecttoconsiderinprovidingaccesstosmallislandsandtheircommunitiesisthediversityofcultures,includinglanguages.Thisinturninfluencestheirdemandprofiles(limitedmechanisation,typesoflivelihoods,etc.)andthereforeneedstobeunderstoodwhiledesigningDREprojects.Source:IRENA(2019a,2022a,2023).14RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTSIndigenouspopulationsAnestimated476millionIndigenous4people(OxfordLearner’sDictionaries,2023)arelocatedacross90countries.Accountingfor6%ofthepopulation,Indigenouspeoplespracticeatleast5000differentculturaltraditionsandspeakmorethan7000languages(TheWorldBank,2020).Despitetheirlargenumbersandvastculturalcapital,thispopulationaccountsforanestimated18%oftheworld’spoorestpeople(IFAD,n.d.).Verylittleconsistentdataareavailabletodeciphertheenergyaccessavailabletothesecommunities.ThepoordevelopmentindexindicatorsoftheIndigenousgroupsinspecificregionsareevidenceofthemanyessentialdeprivationstheyface,makingthemevenmorevulnerabletoimpactsofclimatechangeandnaturalhazards.InformationcollatedfromvarioussourcesshowsthatenergypovertyisdistinctlyhigherinmanyIndigenousgroupsofanation,forbothdevelopedanddevelopingnations(Figure1).Figure1EnergypovertyinindigenouscommunitiesacrossdevelopedanddevelopingcountriesAustraliaLow-incomelarge-familyhouseholdsmostexposedtoenergypovertycomprisedthegreatestproportionofhouseholdsinindigenouscommunities(KPMG2017).BoliviaandThegapbetweenindigenousandnon-indigenoushouseholdsthathaveaccesstoGuatemalaelectricityrangesbetween18-25%(WorldBank2003).CanadaOfthe292remoteCanadiancommunitiesthatarenotconnectedtotheelectricitygridorLaoPDRnaturalgasnetwork,overhalf(170)areindigenous(AANDCandNRCan2011).MexicoUnitedStatesEthnicminoritygroupsotherthanmajorityLao-Taihaveahigherincidenceofpovertywhichisattributabletoanumberoffactorsincludingaccesstoelectricity(WorldBank2017b).96.6%ofthepopulationhasaccesstoelectricitybut3.5millionpeopleremainwithoutaccess;60%ofthosewithoutelectricityaccessareindigenouspeoples(WorldBank2017c).14%ofhouseholdsonNativeAmericanreservationshadnoaccesstoelectricity,comparedto1.4%ofhouseholdsnationally(EIA2000).Source:CarinoandSriskanthan(2018);KPMG(2017);AANDCandNRCan(2011);WorldBank(2013,2017a,2017b);EIA(2000).DisplacedpopulationsThenumberofrefugeesandinternallydisplacedpeople(IDP)isconstantlyincreasingworldwide.AccordingtoUnitedNationsHighCommissionerforRefugees(UNHCR)data,attheendofDecember2021,theUNHCRwassafeguardingandprotectingatotalpopulation5of94.7million.AmajorshareofpeopleassistedandundertheUNagency’sprotectionismadeupofrefugeesandinternallydisplacedpersons(IDPs)duetoconflictandinternalstrife.Refugeesettlementsareconsideredtemporary,eventhoughtherearecasesinwhichsuchcampshaveexistedforover30years,makingwayformorepermanentarrangements.Displacedpopulationsliveonforeigndonatedland,havelimitedresourcesandoptionsforeconomicdevelopment,andhavethebareminimuminbasicamenities.4TheOxfordLearner’sdictionarydefinesthewordIndigenousas“(ofpeopleandtheirculture)comingfromaparticularplaceandhavinglivedthereforalongtimebeforeotherpeoplecamethere”.5CategoriesunderwhichpopulationsofconcernareassistedbyUNHCRare:refugees,peopleinrefugee-likesituations,asylumseekers,returnedrefugees,IDPsofconcerntoUNHCR,returnedIDPs,statelesspersonsandothersofconcerntoUNHCR.RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS152REACHINGTHELASTMILE:POWERINGREMOTECOMMUNITIESThankstoLuzenCasa,IcanseemylittlehomewithlightPaula,89-year-oldfemaleuserintheMixemountainsCaseStudyV–Highaltitude,scatteredsettlementsinOaxaca,MexicoKEYPRINCIPLESOFOFF-GRIDPROJECTSWhenanoff-gridprojectisconceptualisedforelectricityprovision,fundamentaldesignprinciples6mustbeconsidered(Table2).One-offsuccessfulprojectscanachievescaleandreplicationthroughacountry-levelprogrammaticapproachbyfosteringtherightkindsofpartnerships.Appropriatepolicies,regulationsandfinancingalsoaidthetransitionfromgrant-basedprojectstocommercial-scaleprojectsthatinvolveprivatestakeholders.Photo:InstallingasolarhomesystemforahouseholdinOaxaca,Mexico(©acciona.org).6Thisisnotacomprehensivelist.Itshowsthemaindesignprinciplesthatinfluencedandwerestudiedforelectricityprovisiontothenineremotecommunitiesinthecasestudiesdetailedinthisguidebook.16RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTSTable2Designprinciplesforoff-gridelectricityprovisionprojectsKeyprinciplesDescriptionTheconception,designandimplementationProjectsshouldnotbedrivenbyone-timedonatedapproachneedtobeconsistentwiththeoverallruralhardware,localcommercialinterestsorpoliticalpressures.electrificationplanforthearea.ThechoiceofRETsmustbebasedonpracticalTechnologymaturity,resourcepotentialanditsyearlongconsiderations.adequacy,easeofO&M(includingtheavailabilityofskilledworkers),uninterruptedfeedstockavailability,andeasyaccesstosparepartsandserviceareneeded.Data-drivendecisionswillguidetechnologydesignandDataonenergyconsumptionandprojectedloads,includingsystemsizing.powerusageeffectiveness,incomes,andwillingnesstopayacrossvarioussectorsofthecommunityareessential.EarlystagecommunityinvolvementisvitalforCommunityengagementandconsultationbeginningatsustainedandsuccessfuloperations.theprojectassessmentstageandcontinuingineachstepofdevelopmentengenderownershipandsupportfrommembers.Theprivateprovider’sroleinelectricityprovisionneedsDependingonthebusinessmodel,theroleoftheprivatetobefullycomprehended.enterpriseanditscapabilitiesandengagementwiththecommunityneedtobeinplace.Light-handedregulatorymeasuresthatsimplifyTechnicalstandardsshouldbesetandqualityequipmentprovisionforprivateplayerswhileadequatelysuppliedtoendusers.Tariffratesshouldberegulatedtoprotectingconsumerinterestsarerecommended.matchthecostofserviceandtoincentiviseprovision.Policiesandregulationstopromoteprivatesectorinvolvementthroughincentives,subsidiesorviabilitygapfundsshouldbeintroduced.OptionsfortheuseofpowerinproductiveandImprovedlivelihoodsfromadditionalrevenuegenerationinstitutionalservicescomplementingdomesticneedsandanchorloadsincreasecapacityutilisationoftheoff-shouldbemaximised.gridsystemsandhelpensurethattheysustainandscaleoperationsovertime.Basedon:WorldBank(2008).Thefollowingsectionlooksatthesuccessfactorsbasedontheninecasestudies.ThefactorsareinlinewiththeprincipleslistedinTable2forthesuccessandsustainedoperationsoftheoff-gridrenewableenergyaccessprojects.COMMUNITYENGAGEMENTElectricityaccessprojectsforremotecommunitiesarecarriedoutforthreekeyreasons:1)Inresponsetothecommunity’sdemand.Thisdemandcouldbeguidedbylocalentrepreneursorchampionsorfromthecommunitylearningaboutthebenefitsofelectricityprovisionfromnearbyregionswheresuchprojectshaveimpactedthelocalpopulation.2)Whenprivatedeveloperstapintomarketpotentialandoperatemini-gridsorstand-alonesystemsasapaidservice.3)Inresponsetoagovernmentordevelopmentagencypromotion,inprovisionofenergyaccessunderitsprogramme.RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS17Independentofthepurposethatdrivestheaccessprojectforelectricityprovision,thecasestudiesshowthatkeepingthecommunityinformedandengaged–beginningwiththeinitiationperiodandfollowingthroughtosubsequentoperationsandfurtherscalingup–iskeytomaintainingaproject’ssustainability.Dialogueswiththebenefittingcommunitycantakeplaceusingaparticipatoryapproachinwhichtheinputofindividualusersistakenintoaccount.Communityheads,governingbodies,localnon-governmentalorganisationsandsocialchampionswhohavebuilt-intrustwiththecommunitycanalsobegoodcandidatesformobilisingcommunityengagementandfeedback.Inaddition,adoptingprogressivemethods,suchasusingdigitaltoolsforillustrationsandsimulations,canhelptoexplainprojectelementstocommunitiesthatmaybeunfamiliarwithnewenergytechnologyandprovisionprocesses.Usingthesemethodscanalsoassistincollectingprimarydataanduserresponses,whicharekeytodesigningsystemsandplanningforelectricityprovision(Box3).Thecasestudiesrevealthatindividualsengageinelectricityaccessprojectsinmyriadways;whilesomeformsofengagementarecommontoallapproaches,othersareuniquetothecontextanddeliverymodesoftheprovisionofaccess.Theseengagementsinclude:•Definingthecommunity’sneedstohelpassessthehouseholddemandprofile,aspirationalloads,potentialproductiveloadsandelectricityrequiredforessentialservices.•Engagingwiththepromoterordeveloperinsettinguptheinstitutionalbody(thatmayuseexistingtraditionalstructuresforgovernance)anddesigningonetouselocalskilledworkersfortechnicalandoperationaltasks.•Providingastrongin-kindcontributionwithprovisionoflandandlabour,sourcinglocalmaterials(sand,bricks,wateretc.),andtransportinghardwarethroughinaccessibleterrainduringtheconstructionandinstallationofthesystems.•Trainingandemployingyouthandwomenintheoperationoftherenewableenergysystem,tariffcollection,accountmaintenance,engagementwithindividualusers,andserviceandsalessupport.•Servingasadvocatesandagentsofchangeinthecommunitytopublicisethebenefitsoffurtherreplicationandscale-up.Communityinvolvementalsoenhancesthesustainabilityoflongstandingoperations.Examiningelectricityprovisionprojectsforremotecommunities,carriedoutbytheprivatesectoroverdifferenttimeperiods,helpstorevealhowthisinvolvementworks.•Thecommunityisabletosetitsownnormsanddeveloprulesbasedonitscapacities(includingperceivedfinancialcapacitylimitations)andneedsifitisallowedtodirectlyinfluencedecisionsfromtheveryearlystagesoftheproject.•Higherlevelsofcommunityinclusionallowforcommunityviewsandneedstobereflected.Thiscanbeachievedthroughco-designingprojects,settingrealistictariffs,identifyingandprovidinglandforinfrastructure,providingconstructionlabour,beingactivelyinvolvedinsettingupandrunningthemanagementstructure,andoverseeingtheoperationsandmaintenance(O&M)ofmini-grids.•Genderequitycanbeachievedbyenablingwomen’sactiveparticipationinthegovernanceprocesses.•Communityownershipiscreatedwhensocio-culturalcontextsaretakenintoconsideration.Understandingthesecontextshelpsinthedesignofmoreresilientprojects.•Communityengagementwillrevealmembers’existingandshort-termcapacitiesaswellastheirwillingnesstoengagewiththeproject.Activitiescanthenbebuiltintotheprojectdesigntostrengthenmember’scapacitiesandraiseexternalstakeholdersupportfortherequiredtimeperiod(Katreetal.,2019)18RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTSBox3DigitaltoolsenablingcommunityparticipationDigitaltoolssuchastheCommunityEngagementToolkit(COMET)havebeeneffectiveinhelpingcommunitiestounderstandoperativeloads,expresstheirdemandneeds,andunderstandthecoststhatwouldbeincurredunderdifferentRETscenariosandtheirhybridversions.Simulatingmini-gridoperationsunderdifferentscenariosandshowcasingtheiroutputhelpsthecommunityunderstandtechnicalaspects(e.g.loadmanagement,howbesttouseforadditionalproductiveloads)aswellastheirrevenue-relatedbenefits.Throughthematicworkshops,targetedgroupsofthecommunityengagewithafacilitatortounderstandthesefeatures.Theunderstandingleadstoimprovedcapacityutilisationofthemini-gridsystemsandawillingnesstopayfortheiroperationsbyendusers.Theadvantageofsuchdigitaltoolsistheirabilitytocollectivelyengagewithcommunitygroups.Theuseofgraphicsandimagesthroughoutthesimulationprocesseducatesallbeneficiariesinavillage.Thetoolkitisdesignedtoadapttolocalcontextsbyusinglocalcurrenciesandlanguages.Workshopfacilitatorsprovidetroubleshootingoptionsintheoverallmini-gridoperationsincludingoverloading,defaultsinpaymentsandotherissuesthatarise.Source:InterviewwithA.AbdullahofEnergyActionPartners.MEETINGELECTRICITYNEEDSANDMANAGINGSUPPLYElectricalappliancesassessedasloadscanbeclassifiedonthebasisoftheservicestheyprovideandrangefromverylowpowertoveryhighpowerequipment.Table3distinguishestypicalhouseholdappliancesaccordingtotheEnergySectorManagementAssistanceProgram(ESMAP)technicalreport(BhatiaandAngelou,2015)Table3OperatingpowerrangeoftypicalhouseholdappliancesAppliances–powerrangeVerylowpowerLowpowerMediumpowerHighpowerVeryhighpowerLightingTasklightingMulti-pointlightingCommunicationMobilephoneTelevision,andentertainment(charging),computer,radioprinterServicesprovidedSpaceheatingandFanAircoolerAirconditioner,spaceheatercoolingVacuumcleanerRefrigerationRefrigerator,WaterheaterfreezerElectriccooker,ovenMechanicalloadsFoodprocessor,WashingProductheatingCookingwaterpumpmachineIron,hairdryerRicecookerToaster,microwaveSource:BhatiaandAngelou(2015).RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS19Thecasestudiesshowthattheelectricitydemandprofileofremotecommunitiesisrelatedtoseveralaspects,includinglocation,culture,awareness,affordabilityandwillingnesstopayfortheuseofelectricityforeverydayneeds.UnservedhouseholdsthatareveryimpoverishedneedbasicTier1loads(seeTable4fortierdefinitions)tobemetforlightingandtoreplacetheirconventionaluseofcandles,batterycells,oillampsandkeroseneordieselforotherloads.Remotecommunitiesindevelopedeconomies,ontheotherhand,operateadiversearrayofelectricalappliancesrequiringa24-hoursupply.Thesegroupsrelyheavilyondiesel.Poweringtheirhomeswouldrequirealargecapacityofrenewableenergy-based(mostlyhybrid)solutions(Tier4andTier5).AsnapshotoftheloadprofileanddemandneedsmetacrosstheninecasestudiesisshowninTable5.Table4Multi-tierelectricityaccesstohouseholdservicesTier0Tier1Tier2Tier3Tier4Tier5Powercapacity3W50W200W800W2000Wrating12Wh200Wh1.0kWhInwattsordaily3.4kWh8.2kWhwatthoursTier3+anyTier4+TiercriteriaNotapplicableLightingGeneralTier2+anyhigh-poweranyveryandphonelighting,medium-applianceshigh-powerchargingpowerappliancestelevision,fanappliancesSource:BhatiaandAngelou(2015).Note:W=watt;Wh=watthour;kWh=kilowatthour.Survey-basedstudiesengagingwithcommunitymembersatprojectinceptionhavehelpedtodeterminetheloadsandcategory-basedelectricityneedsinthecommunities.Indesigningsystemcapacitiesandloadmanagement,differentmethodshelpinoptimisingsupply.Thedifferenthouseholdelectricityconsumptionplansinclude:•Monthlytierserviceplansthatdefinetheappliancesahouseholdcanconnect(DoloAdoandBokolmayorefugeecamps,Ethiopia).•Level-of-usepackageplansthatplaceanupperlimitonthenumberofunits(seeTable5)ahouseholdcanconsumeinamonth(Zanzanvillages,Côted’Ivoire).•Prepaidcreditsmanagedthroughautomatedmeteringthatissetupforeachhousehold.Table5UserpackageplanswithanupperlimitonelectricityconsumedUsageplanskWh/monthMaxpower(W)%ofusersBasic8.45006Medium16.750057Comfort33.450024Greatcomfort58.5100012Shop58.520001Note:W=watt;kWh=kilowatthour.20RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTSPhotos:SolarPVmini-gridprovidingelectricityaccesstooneofthe550off-gridvillagesundertheSARESprogrammeinMalaysia(©SarawakEnergyBerhad).Anotherapproachplacesacapontheoperativeloadsthatcanbeused.InthecaseoftheIsleofEigg,Scotland,acapof5kWforhouseholds7and10kWforbusinessesisprescribed.Anintelligent“tariff-light”systemforloadmanagementhelpsmatchconsumptionwiththeunitsgeneratedbytheintegratedrenewableenergymini-grid.SolarPVmini-gridsusebatterystoragetooperatenightloads,andsomehaveDGstosupplementsupplywhenitislimited.Undergovernment-drivenprogrammes,asinMalaysia,wheretheprovincialutilityprovideslast-mileconnectivity,theprescribeddailyormonthlyunitsallocatedtohouseholdsformthebasis(alongwiththenumberhouseholdstobeserved)toarriveatsystemcapacitiesofthemini-gridforavillage(SarawakEnergy,Malaysia).Crucialtodemandmanagementforalltheseapproachesistheactiveparticipationofinformedconsumerswhoknowhowtomanagetheirelectricitydemandandoperateappliancestoallowforallocatedelectricitysupplyamongallusers.BUILDINGCAPACITIESINTHECOMMUNITYInmostoftheninecasestudies,thedeliverymodelandtheoperationsandmaintenance(O&M)structureincludethetrainingofindividualsinthecommunity.Thetrainingcouldrelatetocarryingoutday-to-dayO&Mofthesystems,beinginchargeofrevenuecollection,keepinginventory,performingadministrativetasks,andengagingwithexternalstakeholders,includinggovernmentagencies.Tappingintolocalentrepreneurshipskills,memberscanbetrainedtooperatemachineryforproductiveuses(Okhaldungaruralhills,Nepal)ortosetuplocalmicro-franchisesforsalesofdirectcurrent(DC)appliances,sparesandserviceprovision(Oaxacahouseholds,Mexico).Capacitybuilding,upskillingandon-the-jobtrainingneedtobepartoftheprojectdesign,initiatedfromtheprojectplanningstage,andinvolveyouth,womenandmarginalisedgroupsofthecommunity.Serviceproviders,aspartofthesupplychain,hirelocalpeopleandtrainthemtoundertakebasictroubleshootingandmaintenance,providingserviceasfirstlineofresponse.Localchampionsbringawarenessofthebenefitsofthesystemanditsproperuseandcommunicatetothegroupsonoperatingmini-gridmatters(e.g.scalingupinstalledcapacities,demandstimulation,etc.).Thecasestudiesdescribejobrolesforlocalpeopleinsmallutilityservicesincludingmicroutilities(OldCrowcommunity,Canada),electricco-operatives(TototaVillage,Liberia),accountsandmanagerialroles,andthosewhereoperatorsarealsoskilledinmanagingproductiveuseloads:brickmaking,oilpressingunits,etc.(Loltongremoteislands,Vanuatu).Thecaseofmini-gridsoperatinginremotevillagesinZanzanvillages,Côted’Ivoire,showcaseswhatkindsofjobrolesarecreatedinmanagingoperations(seeBox4).7EachresidentisgivenanOWLenergymonitorthathelpshouseholdstostaywithintheirallocatedloadlimits.RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS21Table6LoadprofilesandoperativeloadsmetthroughrenewableenergysolutionsintheninecasestudiesCasestudyLoadprofileRenewableenergysystemDemandmet–CategoriessolutionsandloadsOldCrowSolarTotalannualconsumptionSolarPVmicro-gridsystemProjectmeets20%oftheProject,Canadais2389megawatthoursof940kW350kWhofcommunity’sannualloads,(MWh)/year;splitbetweenbatterystorageforone-hoursupplementingdiesel.residentialandcommercialautonomywithmicro-grid(45%)andpublicservicescontrollerasbalanceofPartiallycoversthe(55%).systemdomesticloadsofabout150householdsand15commercialenterprises.Refugee16megawatts(MW)ofSixsolarPVmini-gridsofProjectservesthedomesticcommunitieselectricityacrossfive120kilowattpeak(kWp)loadsof1299householdsinDolloAdorefugeecampsservesagro-acrossfiverefugeecamps(mostofthehouseholdsandBokolmayoprocessingunits,furniturehaveanaverageloadofWoredas,Ethiopiaproductioncentres,charcoalTwobatterystorageoptions10‑15W,withsixtoeightpelletsandbriquette(0.72kWhand1.44kWh)averageworkinghoursproduction.fornightuseperday.AfewhouseholdshaveanaverageloadofHumanitarianreliefincludes70-150Wandsixtoeighthealthclinics,schools,andaverageworkinghoursperdomesticandcommunityday).loads.Supplies259solarstreetlightsacrossfiverefugeecamps.1.1MWforirrigationandOff-gridsolarPVsystemProvidesirrigationforwaterpumping.of56.32kWpoperatestwo45hectaresofland,surfacepumpstotallingbenefitingover90local30kWandavacuumpumpfarmers.of2.2kWforirrigationpurposesRemotevillagesAtotalof17MWh/monthA214kWpsolarPVsystemProjectservesthedomesticofZanzanregion,providesaccesstosevenalongwithbatterystorageloadsof311households,64Côted’Ivoireremotevillagesunderof1771kWhcommercialenterprisesandtheprojectintervention,29publicservices(schools,includinghouseholdloads,healthclinics).equipmentforproductiveusesandpublicservices.TototaVillage,Thevillage’s369metered72kWpsolarPVsystemProjectmeetsthedomesticLiberiahouseholdunitshavewitha120kWhlithium-loadsof369householdsanaveragemonthlyionbattery,80kilovolt24hoursaday,sevendaysconsumptionof30kWh.ampere(kVA)dieselbackupaweek,andservesthreegeneratormanagedbyacommercialunitsforcoldsmartmicro-gridcontrollerstorageofvegetables.LuzenCasaEachhouseholdhasaSHSfortwocapacitysets:SHSsetsarepurchasedOaxaca,Mexicominimumrequirementof120Wp-150Wpor240Wp-basedonhousehold0.6kWh/dayforlighting300Wpwithlithiumironaffordability.Basicdomesticonlyand1.2kWh/daytousebatteryof23Amperehoursloads(Tier1+)aremetforadditionalmediadevices(Ah)or50Ah8600households.suchasDCTVsormusicplayers.Inaddition,productiveuseshandledincludeagroprocessing,tortillamakingandlightingofsmallcommercialkiosks.22RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTSCasestudyLoadprofileRenewableenergysystemDemandmet–CategoriessolutionsandloadsRuralhillsofAtotalof160kWh/dayis50kWpsolarPVmini-gridProjectmeetsthedomesticOhkaldunganeededtopower246villagewitha345kWhstorageloadsof246households,Nepalhouseholdsandoperatebatterytwocoldstorageunitslow-powertaskssuchasandsevenhomestaysforweldingandtoolrepairs.tourism.Grindingmillsareinthepipelineforagroprocessing.IsleofEigg,PowerisneededtoserveThreehydro-electricThetotalinstalledScotland,thedomesticloadsof45generators,one100kWandcapacityof357kWwithUnitedKingdomhouseholdswithacapoftwo5kW,onthewestanda11kilometre(km)long5kWperhouseholdandeastsideoftheislandunderground,high-voltagecommercialloadswithanmicro-gridsystemforupperlimitof10kW.Four6kWwindturbines,distributionprovidesoffshoreinthesouthforthedomesticloadsof45householdsandAsolarPVmini-gridofthecommercialloadsof50kWonthemainisland20businessesincludinghotels,restaurants,cafes,Batterystoragewhereguesthouses,medicalclinicspowerisbankedtoprovideandconveniencestores.fortheentireislandfor24hoursTwo70kWDGs,usedonlytomatchthevariableandseasonaloutputoftherenewableenergysourcestomeetdemandRemotevillages,TheSARESisrequiredtoThesizeofthesolarPVAccesstobasicelectricitySarawak,Malaysiaprovide:systemsdependsonthehasbeenprovidedto550sizeofthecommunityandvillagesinSarawakState.•energytotalling3kWh/thenumberofhouseholdsIthelpstopowerlights,day/householdservedineachofthe550fans,TVs,phonechargers,villagesselectedunderthespeakers,laptops,smallrice•batterystoragewithprogramme.cookersandlow-wattagesufficientcapacitytowashingmachines.Low-provideatleast2dayswattagepowertoolscanbeofautonomyusedforcrafts.•energytomeetaloadAtotalcapacityof14MWdemandof1000WforofsolarPVsystemshaseachhousehold.beeninstalledtodateunderSARES.LoltongVillage,EnergyisneededtoserveAhybridsystemof7kWThepico-hydrosystemVanuatuthedomesticloadsof75ofpico-hydroandsolarPVgeneratesatotalofhouseholds,commercialarraysof2.6kWp68kWh/daytomeettheloadsof11businessesanddailydemandofoperativeinstitutionalloadsof11Batterystorageof33kWhloads.ThesolarPVarrayspublicservices.andabatteryinverterofserveasbackupwhen15kVAdemandgoesbeyondtheaveragethresholdandtosupplementsupplyduringdryseasons,whenthewaterflowratedrops.Theaverageconsumptionperuseraccountingforallcategoriesis12.39kWh/month.Source:Originalcompilationforthisreport,2023.RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS23Box4“HomesofEnergy”:Mini-gridsO&MhubTheprovisionofelectricitytosevenremotevillagesservedtomeetoneoftheprimeoutcomes–technicaldemonstrationandbuildingofawarenessandcapacitiestoitsendusers–oftheUNIDOandEU-AkwabapartnershipprojectintheZanzanregionofCôted’Ivoire.“HomesofEnergy”builtineachofthesevenvillagesaccommodatesolarpanelarrays.Theirdimensionsarebasedontheinstalledsystemcapacities.Inadditiontothreeseparateareasforhousinghardware(batteries,invertersandmiscellaneousitemssuchasbackupgenerators),aseparateroomisavailableforthecommitteesmanagingthesolarmini-gridoperationstomeetanddiscuss.Thevillagers,astheendbeneficiaries,arefullyresponsibleforthetechnical,socialandfinancialmanagementofrunningthemini-gridsintheirvillages.Thelocalusers’committeeineachvillagecomprisestenmemberswithequalrepresentationofallvillagegroups.Themembersincludeachairperson,avicechairperson,asecretary,atreasurer,thesupervisor,thedeputy,women,men,youthandabusinessrepresentative.Thecommitteeisresponsibleforperformingadministrativeduties,managingusercontractsandcarryingoutfeecollectiontasks.Thetechnicalmaintenanceofthemini-gridsinvolvesthreelevels:1.basicanddailymaintenancemanagedbyatrainedvillagesupervisor2.preventivemaintenancemanagedbylocaltechniciansgroupedunderanassociationfortechniciansforallthesevenmini-grids3.specialisedmaintenancecarriedoutbylocalexperttechniciansoranexternaltechniciancontractedundertheproject.TheMonitoringCommittee(madeupofthechairpersonsofthesevenlocalassociations,arepresentativeofAkwaba,arepresentativeofthebusiness/workers,tworepresentativesofthelocalauthoritiesandavillageofficial)monitorsandevaluatesthefunctioningoftheinstalledmini-grids.ThelocalusersandtheMonitoringCommitteearealsoresponsibleforthefinancialmanagementofthemini-grids.Fundssavedinablockedaccountareusedtomeetthecostsofsparepartsreplacementandmoreexpensivemaintenanceprojects.Fundssavedinanopenbankaccountareusedtomeetthesystem’sday-to-dayoperationalexpenses.Theprojecthascreatedjobstomanagetheminigridsthroughskillstraining.Atleast34localjobs(including11installers,2federallypostedmanagersandtechnicaldirectors,7mini-networksupervisors,and14productiveusemanagers)havebeencreated.Aftertheproject,atleast100localjobswerecreatedindirectly.Source:UNIDO(2016);azimut360(2017).ChoiceofRETsTechnicalandcostfactorsarekeyconsiderationswhenRETsareevaluatedforoff-gridsolutions.Site-specificfeasibilitystudieshelpinchoosingthetechnologyfortheremotelocationandinclude:•landavailability,itsaccessandsuitabilityforinstallations•techno-economicassessmentsthathelpdeterminetherenewableenergyresourcepotentialthroughtheyear•comparativecostsofelectricitygeneration(e.g.thelevelisedcostofelectricity,orlevelisedcostofelectricity[LCOE])•userdemandprofilesandcategories•availabilityofhardware,transportationtotheremotesiteandlocalrawmaterials.24RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTSSixoftheninecasestudieshavedeployedsolarPV-basedmini-gridsunderthecurrentstudy.Allsolar-basedsolutionshavestorageasbackuptoprovidefornightand,tosomeextent,fordayautonomywhenthesolarirradiationislow.Thecommunity’sperspectiveonthemini-grids,basedontheprimarydatacollectedforthestudy,ispositive.Theeaseofitsinstallation,subsequentuseandoperations–andthecommunity’sconfidenceinitbeingaproventechnology–influenceitssocialacceptanceandadoption.TheruralpopulationsofOaxacawholiveinremote,scatteredsettlementscouldgetTier2+servicesbyusingsolarhomesystems(SHSs).Theevolutionofthesestand-alonesystemshasimprovedtechnicalandcostfeatures(seeBox5).Box5Technologyevolutionofsolarhomesystems(SHSs)InnovationsinSHStechnologyhaveresultedintheintroductionofthird-generationsolarhomesystems(3G-SHSs),whichareprovingtobemoreefficient,smallerandlighter,easiertoinstall,moreeconomical,andeasiertousethanearliergenerationsofSHSs.ThereducedcostofandeffortstoperformO&M,andprovendurability,areattractivebenefitsforprovidingoff-gridsystemsforremotesettlementsthataresparseandscattered.Basedontheuseandservicesofferedbysecond-generationsolarhomesystems(2G-SHSs)and3G-SHSs,thetablebelowcomparesbothtypesofSHSproductontheirtechnical,costsandoperatingfeatures.ComponentDescription2G-SHS3G-SHSSolarpanelLightingTechnologyMonoorpolycrystallineMonoorpolycrystallineBatteryCapacity(Wp)50-8020-50Supply(Wh)200-250100TechnologyFluorescentlampsLEDsCapacity(W)7-113TechnologyLead-acidLithium-ionCapacity(Ah)100-1206-10RegulatorExternalsolid-statepowerMicroelectronicselectronicsintegratedintothebatteryboxConnectionSplicesPlugandplayWeight(kilogrammes)Cost/kW(USD)3-5061000350-650Theinternalmicro-electronicsinthe3G-SHSmodelworkasachargeregulatorforthebatteriesandallowforonlineservices(e.g.pay-as-you-gomodel)andremotemonitoringusingaglobalpositioningsystem.Themodel’soperationalandtechnicalsimplicitycomesfromtheplug-and-playsystem.Thisensuressimpleandfasterinstallationofsolarequipmentandthatenduserscaninstalltheirequipmentthemselves.IntheOaxacaproject,Mexico,micro-franchisessellDCappliancesthatcanbeoperatedusingthe3G-SHSmodel.Productiveuseequipmenthasalsobeendesigned(withrelativelyhighcosts)thatiscompatiblewithnew-generationstand-alonesystems.Source:Eras-Almeidaetal.(2019).Note:LED=lightemittingdiode.RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS25GivensolarPVtechnology’smodularanddistributednature,ithasseenhighuptakeforoff-gridsolutionsacrossregionswherethesolarresourcepotentialisabundant.Theglobaltrendinitsdeploymentforresidentialandproductiveusesinthe2017‑2021periodispositive,asseeninFigure2(IRENA,2022).Thetechnologycanbeusedasastand-alonesystemortopowermini-grids,meetingtheelectricityneedsofresidential,commercialandproductive(agro)sectors.Figure2SolarPVdeploymentshowsapositivetrend,2017-2021Globaltrendsofo-gridSolarPVadoptionCapacities(MW)1600SolarPVminigrids1400Solarpumps1200SHS>50W1000OtherSolarPVminigrids800600400200020172018201920202021Source:IRENA(2022).Otherfieldprojectsshowcasetheuseofhybridrenewableenergysources(HRES),asintheIsleofEigg,Scotland(Figure3)andLoltongremoteislands,Vanuatu.HRESisintegratedwithrenewablesastheprimarysource,alongwithbatteriesandDGsasbackup.Giventheintermittentandvariablenatureofrenewableenergysources,hybridisationensuresareliableandcontinuoussupplyallowingforvariableelectricitygeneration.Inaddition,ithelpstoreduceoverallgenerationcosts,optimisesystemcapacitiesandtherebyreduceoperationscosts.Figure3TheIsleofEiggproject:Monthlyhybridpowergeneration,March2012‑March2013EiggElectric–contributionsofcomponentsofsystemtomonthlypowergenerationMarch2012–March2013kWhr40000Generator35000PVs30000Windfarm25000Hydros20000150001000050000Mar-12Apr-12May-12Jun-12Jul-12Aug-12Sep-12Oct-12Nov-12Dec-12Jan-13Feb-13Mar-13Source:ZbigniewandBhattacharyya(2015).26RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTSModellingstudiesontheexistinghybridsystemsinoperationsatIsleofEigg,ScotlandusingHybridOptimisationofMultipleEnergyResources(HOMER)showthatoverdesigningwithhighercapacitygeneratorstoensurehigherreliability,inthiscasea180kWdieselgenerator(DG),canbeavoidedbyreplacingitwithanumberofsmallgen-sets(80kW)thatcanbeoperatedasrequired.Alternatingcurrent(AC)loadscanbedirectlyfedwithpowerfromACsources(windandhydrointhiscase),reducingthebatteryandinvertercapacities.Optimisingsystemcapacitiesintandemwithsmartdemandmanagementhascostimplications,bringingdownthemini-grid’scapitalandoperationscosts(ZbigniewandBhattacharyya,2015).Thesizinganduseofstoragebatteriescanbeoptimisedtoalargeextentbyoperatingloadsonoff-gridsolarPVduringpeaksunshinehours.Simpleloadmanagementpractises,suchasoperatingabakeryoranoilpressingmillatnight,canimprovethecapacityutilisationofinstalledsystems,bearinginmindthatloadsoperatedatnightmatchthestoragecapacityofthesystems(asinthecaseofsolarPV).Suchpractisesarefurtherincentivisedbytime-of-daytariffs,discountedconnectionfeesandattractivepricesforenergy-efficientend-useequipment.RenewableresourcemanagementManagingtherenewableenergyresourcestrengthenscommunityinvolvement.Forinstance,biomass-basedsystemscreateaneedandadditionalrevenue-earningpotentialforthefarmersgrowingtimbertoprovidethebiomassfuel.Tosustainhydromini-gridoperations,thecommunitymayengageinwatershedrestorationandmanagementactivities.Perceivedasanature-basedsolution,renewableenergyencouragesagroecologicalcultivationandrelatedlivelihoods.Also,sincewaterisacommonresource,usingitasanenergyresourceinvolvestheentirecommunityandrequiresaneedforconsensusonallrelatedactivitiesandbenefitsderivedfromit.Micro-hydroprojectscanprovideadditionalbenefits,astheyarelocatedinpristineforestareasthatattractecotourism,e.g.hotelsandrestaurants.Carboncreditsandtradingareexamplesofotherincentivesforsuchsettlementstopreservetheirforestareas.Waterconservationanditsrelatedactivitiesareseentostrengthencultivation,enablingfoodsecurityandimprovinglocaleconomiesandresilience.8InadditiontotheresourcepotentialoftherenewablesourceandthematurityandcostofthetechnologyinfluencingthechoiceofaRETorthehybridsystem,thereareotherinfluencingfactorsgiventheremotenessofthesitesthatneedtobefactoredin.•Itisessentialtolocalisethesupplychainasmuchaspossibletoensurethatsparepartsandreplacementsareavailablefromthemostproximallocation.Sparehardwaremaybecomeunavailableovertheentireoperatingphaseofthemini-grids.Vendorsupportortechnicalexpertiseisneededtohelpcommunitiessourcealternatives,giventhattheoperatingperiodofsystemscanbeover15years.•Requisiteandsufficientlocalexpertiseshouldbeavailableinconstruction,andinstallationofsystemsshouldbeconditionalontheclimateandterrainoftheregion.Forexample,fortheOldCrowcommunity,Canadaproject,localknowledgewasneededtobuildonfragilepermafrost.Otherexpertisewassoughttolayanungroundedelectricaldistributionsystem,whichistypicalinremotegridinstallation.•Knowledgeoflocalextremeweatherconditionsandthecollateraldamagetheycancausetothemini-gridsystemsisrequired.8KIIwithDiptiVaghela,HydroPowerNetwork(HPNet)RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS27TheadvantagesofdifferentRETsforremotecommunityaccessareshowninthecomparativetableinAnnexII.©SalvadorAznar/Shutterstock.comEachoftheRETshaveadvantagesthatneedtocorrespondtothelocalcontextanddemandprofile.ENABLINGPOLICIESTOIMPROVEELECTRICITYACCESSTOREMOTECOMMUNITIESGovernmentpoliciesplayakeyroleinacceleratingelectricityaccessrates,helpingdeveloppubliclyfundedprogrammesandincentivisingtheprivatesectorbycreatingtheneededenablingmarkets.Guidancetoframesoundpolicythatcaninfluencetheimprovementofelectricityaccessprovisiontoremoteandunservedcommunitiesiscomposedofthreekeyelements:1)Governmentstrategies•Clearandambitioustargetsareneededaspartofthegovernment’slong-termenergyplanninginprovisionofuniversalaccessorinreducingdieselfueldependency.•Fundingforcapitalcosts,rebateschemesforendusersandincentivesforprivateplayersneedtogohand-in-handwitheasyaccesstofinancefortargetstobeachievedthroughcleanenergyandenergyefficiencyprojects.•Focusedpolicyapproachesthatassurecontinuedgovernmentengagementarenecessary.Theseshouldprovidefortribal,Indigenous,andothermarginalisedcommunitiestohelpdeterminetheirenergyneedsandtofurtherimprovetheirsocio-economicdevelopment,therebybuildingresilience.28RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS2)Regulatoryandprocurementpolicies•Thresholdsfortariffratesmustconsideraffordabilityforconsumers.Inturn,powerpurchaseagreements(PPAs)mustmatchthecostofelectricitygenerationandsupply,andaccountforO&M,dependingonthecontractualagreementwiththeprovider.•Communityownedandmanagedrenewableenergyprojectsshouldbeallowedtosellpowertomicro-utilitiesusingindependentpowerproducer(IPP)policies.Asaresultofpowerpurchaseobligations,utilitiesthensourcetheirpowerfromlocal,cleanenergygenerationunits(e.g.OldCrowcommunityprojectinYukon,CanadaandtheprovincialLocallyOwnedrenewableenergyprojectsthatareSmallScale[LORESS]inNewBrunswick,Canada;seeBox6).3)Cross-sectorpoliciesthatenableincreasedscaleofoperations•Policiesdedicatedtoimprovingthesocio-economicdevelopmentofremotecommunitiesandtheprovisionofcontinued,effectivecommunityserviceswhereelectricityisanenablerarewelldefined.Thisinfluencestheupscalingandreplicationofexistingcommunity-ledcleanenergyprojects.Box6ProvincialprojectshelpIndigenouscommunitiestapintotheirrenewableenergyresourcesTheNewBrunswickprovincialprojectLORESS(LocallyOwnedrenewableenergyprojectsthatareSmallScale)allowsfortheutility,NewBrunswickPower,topurchaseupto40MWofrenewableenergypowerfromtwooftheFirstNations(i.e.Indigenouscommunities)andanother40MWfrommunicipalitiesorlocalentities.LORESShasresultedintheWocawsonEnergyProject–apartnershipofindependentrenewableenergypowerproducerNaturalForces(49%ownership)andtheTobiqueFirstNation(51%ownership)–toinstallandoperateafive-turbinewindfarminSussex,NewBrunswick.Inadditiontooffsettingtheelectricityneedsofthecommunity,thesaleofthe20MWofelectricitygenerationthatthewindfarmcanproduceenablesthecommunitytobuildmorehouses,improveinfrastructureandinvestinhighereducation.Thelong-termsuretyofeconomicgainandtheunderstandingofwindenergyplantshaveresultedintheTobiqueFirstNationenteringintoanewpartnershipwiththerenewableenergypowerproducertoinstallandoperateaten-turbinewindfarm,theBurchillWindProject,nearSaintJohn,NewBrunswick.Suchpartnerships,andtheinvolvementofIndigenouscommunitiesinrenewableenergypowerproduction,haveaddedmomentumtoCanada’sclimateaction.Indigenousleadersarewellsuitedtonavigatetheseactions,havinglong-standingtieswiththeirnativelandsandatraditionofprotectingtheirnaturalenvironments.Source:EnergyCouncilofCanada(2022).Aroundtheworld,anescalatingnumberofrefugeepopulationsarebecomingasemi-permanentpresenceintheirhostcountries.Callsareincreasinglybeingmadeforfocusedplanningandpoliciestoensureelectricityprovisionandoptimiseitsuseforcamp-basedsettlements,replacingtheinefficient,oversizedDGsetsthatthesesettlementsareoftenequippedwith.PilotprojectsrealisedthroughPPPshaveshowcasedtheuseofoff-gridsolutionsforrefugeeandhostcommunities(e.g.thecaseofDoloAdoandBokolmayocamps,EthiopiaandtheRenewableEnergyforRefugees[RE4R],MovingEnergyInitiative).Suchprojectsaredrivenbygrantsandneedtobescaleduptoaddressthesizeandenergyneedsofthedisplacedpopulations.RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS29EnergyassessmentsofrefugeesettlementsindifferentphasesandlocationsofestablishmenthavebeenledbyIRENAinpartnershipwithUNHCR.Theseassessmentshaveledtoseveraloverarchingstrategyrecommendationstoprovideenergysolutionsthatarecontextualandmeettheneedsofrefugeesettlements,theirhostcommunitiesandtheattendingagencies(seeBox7).Box7EnhancingenergysupplyforrefugeesettlementswithrenewableenergyoptionsIRENA,initscollaborationwithUNHCR,hascontributedtotheUNagency’snewGlobalStrategyforSustainableEnergy2019-2024.Oneofthemainobjectivesofthisnewstrategyistoincreasetheuseofrenewableenergysourcestoprovideforaccesstotherefugeesettlements,givingdisplacedcommunitiesopportunitiesforimprovedsocio-economicconditions.Tounderstandthecurrentandexpectedenergyneedsofrefugees,hostcommunitiesandotherstakeholders,detailedenergyassessmentswereconductedoffourselectedrefugeesettlements,twoinIraqandanothertwoinEthiopia.Thesettlements’energyneedswereextrapolatedbasedontheirestablishmentphase.ThesettlementsinIraqwereinthepost-emergencyorearlydevelopmentphase,whilethoseinEthiopiawereinthedevelopmentorprotractedsituationstageatthetimeofthescopingstudy.InadditiontotheDREsolutionssuggestedbasedonthefindings,keyrecommendationsweregivenforenergyplanningandprovisiontorefugeesettlements:1)Regularandmethodicalenergydatacollectionbythehumanitarianagenciesisneededtosupportdecisionmakingonenergyinfrastructureandtorespondtoenergy-relatedqueries.Thisincludesdataofenergyrequirementsandoperationsattheofficesofhumanitarianagenciesinthefield.SupportagenciesrelyheavilyonDGs.Theirusecouldbeoptimisedtohelpavoidinstallingmachineswithoversizedcapacities,asobservedbythestudy.2)Inunderstandingtheincomevulnerabilityorcapacityoftherefugeehousehold,suitablemodelsofenergydeliverycouldbedeployed.Meter-basedelectricitysupply,assuggestedfortheIraqsettlements,wouldensureaqualitypowersupply;whereasinEthiopia,dataonhouseholdincomeswouldhelpdevelopmarket-basedcashassistancethatinturncouldscale-upthesupplyofenergyforrefugees.Source:IRENA(2019b).FINANCINGCAPITALEXPENDITUREANDSHORTFALLSINWORKINGCAPITALThecasestudiesanddiscussionswithstakeholdersshowthatalmostallremotecommunities’accessprojectshavealargegrantcomponentusedtomeetupfrontcosts.Whilealargepercentageofthesegrantsisspentonequipment,budgetisalsoallocatedforprojectdesign,feasibilitystudies,communityengagement,aninitialtrainingprogrammeandtheestablishmentofaninstitutionalstructureforoperatingtherenewableenergysystems.Workingcapitalisusuallymetthroughtariffscollectedfromendusers.Tariffsareearnedthroughdifferentmodalities:monthlyprepaidcardspurchasedfromtheservingutility,flattariffspaidmonthlyfortheloadpackagesoptedforbytheuser,ormeteredtariffscollectedbasedonmonthlyreadings.Pay-as-you-goorfee-for-maintenanceratescomeintoplaywhenoff-gridsolutionssuchasindividualSHSsareusedtoprovideaccess.30RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTSTariffsthataresetbasedondevelopersdiscussionsandcommunityconsensusareusuallyequivalenttotheamountuserswerepayingforconventionalfuels(e.g.candles,keroseneordiesel)priortothecleanenergyprovision.Alternatively,inthecaseofpowerusageeffectiveness(PUE),tariffsmayreflecttheproject’sexpectedcommercialbenefit.Meteredtariffsaresetbythegoverningco-operativeandapprovedbytheregulatorincompliancewiththeratessetbythestateregulatorybody.Theratesareatbestinlieuofthegenerationcostsfromthemini-gridsystems.Projectsdrivenbygovernmentprogrammesorthosethataredonorfundedmaybe,overtheshortterm,largelysubsidisedorhaveupperlimitsintariffrates.Thepromotermeetstheoperationcostsorthebalanceunmetbythesubsidisedtariffs.Inalmostallcasesstudies,therevenueearnedprovidesforday-to-dayoperations,meetingthesalarycostsoftheworkingpersonnelandthecostsofbasicrepairs.Capitalmayneedtoraisedorgrantssoughtwhensparepartsorbatteries(inthecaseofsolarPV)needtobereplacedortopayfortherepairofcomponents,suchasthoseofamicro-hydrosystem.Theinabilitytoraisefundstomeetrecurringcapitalexpensesisakeyfactorinsystemsbeingshutdownordisused.REPLICATIONANDSCALING-UPTheninecasestudyprojectshavehadpositiveimpactsontheircommunities,andthesedeliverymodelscanbereplicatedinsuitablelocations.Projectresponses9citingthereasonsforprojectsuccessandthepotentialforreplicationincluded:•Thegovernment,community,utilityanddonorsworkintandem.Whereapplicable,thedistributionutilitywasinvolvedattheinceptionandduringtheplanningoftheproject.•Political,economicandsocialstabilityallowsforsmoothoperationsoverthemediumandlongterm.•Thesupplychainisstrongandlocalised,andlocalcompaniesandaskilledtaskforcearepresenttoproviderepairandmaintenanceservices.•Theconsumerpopulationismixed,andvariedelectricalloadsserveresidential,commercial,industrialandproductiveuses.•Financingforcapitalconstructionislong-term(patient10)andapolitical.•Clarityonshort-andlong-termelectrificationplansinfluencesthesitesandcommunitiesselectedforaccessprojects.•Wherethecommunity’sdomesticneedsonlyareserved,theprojectmustequalaminimumbaseloadforittobeviable.Scalabilityisadirectresponsetotheincreaseincommunitydemandtooperatemoreloads.Thisdemandcouldbefromtheuseofadditionalhomeappliances;themechanisationofproductiveloads;ortheadditionofananchorloadfromacommercialentity,suchasamini-grid,evenoveranextendedperiodofoperatingthemini-grid.Electricityneedsareforwaterpumpingorimprovedpublicservice.Productiveuseloadsareminimalwherefarmingandlivelihoodsareforsustenanceandlocalconsumptionalone.11Thescalingupofsystemcapacitiescanbecomplementedwiththeuseofefficientequipmentandprogressiveloadmanagementtechniques.9Projectresponsesfromtheninecasestudiesthatansweredquestionsaboutenablingconditionsthatallowforreplication.10“Patient”capitalprioritisesinnovationsinaddressingpoverty,ishighlyrisktolerantandallowsextendedtimehorizonstoreturncapital.11FocusgroupdiscussionwithGramOorjaSolutionsPvt.Ltd.RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS313DELIVERYMECHANISMSFORELECTRICITYPROVISIONThereasonwhypeoplejointhecooperativeisbecauselightislife.Lightbringssuccess.BecauseoflightinTototatoday…wehavesuccessinthecommunityJosephScott,theco-op’sboardpresidentandasmall-businessownerCaseStudyIV–RemotevillageofTotota,LiberiaCOMMUNITYCENTRICCommunity-centricmodelshavebeenshowntobesustainableacrossregionsandtopositivelyimpactprojectbeneficiaries.Thesemodelsengagecommunitystakeholdersfromtheverybeginningofanenergyprojectandextendtoitsgovernance,withmemberschartingoutprojectrolesandresponsibilities.Thisinvolvementstrengthensinstitutional,financialandtechnicalcapabilities,whicharekeytoanymodel’slong-termsustainability.Communityengagementalsoensuresusersatisfactionwithelectricityaccessandalignmentwithuserneeds,helpingtoassureregularpaymentsandleadingtoeconomicsustainability.Thesocialandenvironmentalbenefitsofmovingawayfromexistingpollutingfuelsandtheenablingfeatureofimprovedpublicservicesinhealthandeducationremainstrongdriverstoreplicatecommunity-centricmodels.Communityownershipentailstheprovisionofreliableelectricitysupplythroughalocalinstitutionalarrangementthatmanagesday-to-daytechnicalandfinancialoperations.Theassetownershipofthemini-gridsystemsacrossmodelsbelongstotheprimefinancier(promoter)orcanbewhollytransferredtothecommunityitself.Themostcommonfinancingapproachseesaproject’supfrontcosts(includingcapitalexpenditure[Capex])beingmetbyalargeshareofgrants,andinsomecasesasmallshareofequityfromtheendusers,asconnectioncosts.TherecurringO&Mcostsaremetthroughafee-for-servicemodel(meteredorflatmonthlyfees)bytheconsumers.Thecasestudieshighlightsomeoftheorganisationalstructuresinvolvingthecommunityforthegovernanceandday-to-dayoperationsofmini-grids.32RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTSSolarco-operativesTheco-operativecomprisesmembersfromthehostorrefugeecommunitieswhoprovideenergy-as-a-servicetofringeneighbourhoodhosthouseholdsandtothedisplacedsettlements.Themembersoftheco-operativemanagetheday-to-dayoperationsofthesolarmini-grid.Theentityisresponsibleforreliableelectricitysupplyandoverseesalltechnicalmatters(e.g.DolloAdoandBokolmayocamps,Ethiopia).VillagefederationandtechnicianassociationsClustersofvillagesaremanagedbyacentralfederation,whosegovernancealsohelpstoincreasesynergiesandprovideforcommonservices(suchasmanagerialguidance,inventorypurchases,maintenanceetc.).Madeupofrepresentativesfromeachofthevillages,thefederationservesasarepresentativeforpoliticalandadvocacydialoguewithlocal,regionalandnationalauthorities.Anindividualtechnicianassociationineachvillagetakescareoftherespectivemini-gridsystemsandisresponsibleforalltechnicalmatters.Thestaffareencouragedtooperateproductiveuses,suchasflourmills,coldstorageandotherformsofmechanisation,tomeetcommunityneedsandhelptomaximisecapacityutilisation(e.g.Zanzanvillages,Côted’Ivoire).Electricco-operativesAllendusersofelectricco-operativesareitsregisteredmembersandelecttheirboardofdirectorstooverseegovernance.Theco-operativewhollyownstheassetsforboththegenerationanddistributionnetwork.Itisauthorisedtopayforadditionalinventory,includingmeters,andtoextenddistributionusingoperatingfunds.Thetariffsaresetbythegoverningbody,accountingfortheO&Mcosts,whilecomplyingwiththenationalregulatorytariffsadvised.Electricco-operativesinremotesettingsarebestsuitedtosettlementswithlessthan1000consumerswhoseloadprofilerequiressystemcapacitiesofaround100kWto250kW,suppliedusinglow-voltagesupplylines(e.g.TototaVillage,Liberia).PVelectrificationcommitteesSuitedtooff-gridsolutions(asinSHSs),PVelectrificationcommittees(orindividuals)serveasrepresentativesoftheirsmallgroups.Theyprovidefortheinitialtasksofassessinghouseholdelectricitydemand,aretrainedinSHSinstallationandmaintenance,andcollectanddepositthefeeforservicefromendusers.Theyarecomplementedbythelocalmicro-franchisingentities–localtechnicianstrainedtorepair,replaceand(throughtheirretailservice)sellsparepartsandotherDCappliancestohouseholds(e.g.Oaxacahouseholds,Mexico).VillageenergycommitteesVillageenergycommitteesarelocalelectedbodiesthattakeovertheoperationsandfinancialmanagementofthemini-grid.Theyworkbestwhenthevillagecommunityisenabledtodevelopitsowngovernancestructureandthebodycomesintoexistencesoonaftertherenewableenergysystemisfullyoperational(e.g.Okhaldungaruralhills,Nepal).Micro-utilityThemicro-utilityisaregisteredsubsidiaryofagoverningentity,suchasaheritagetrustofaremoteisland.Itprovidesgenerationanddistributionofelectricitytoitsconsumers(e.g.IsleofEigg,Scotland,UnitedKingdom).UtilitysupportedbycommunityThisorganisationalstructureseesthestatedistributionentitythatismandatedtoextendaccessuseDREsolutionsinareaswheregridextensionoveraninterimperiodoftimeisnotviable.Communitymemberssupporttheutilityinoverseeingbasicoperations.Contractedmaintenanceoperatorsundertheprogrammetrainthecommunitytoperformbasicmaintenanceandtroubleshooting,aswellasprovideperiodicalsupport,includingrepairs(e.g.SarawakEnergy,Malaysia).RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS33ROLEOFTHEPRIVATEPROVIDERPrivatedeveloperscanbeinvolvedthroughboththedevelopmentmodelandtheenterprise(commercial)model.•Developersarecontractedthroughgovernmentschemesordonor-drivenprojectsandaremandatedtoprovidetheservicesoveradefinedtimeperiodonthebasisofthecontractualagreement.Theirpaymentscomemostlyfromthegovernmentasfeesforservice,conditionalontheunitsgeneratedandsuppliedtothebeneficiaries.•Developerscanprovideelectricityasacommercialactivity–energy-as-serviceoralongwithvalue-addedservice–whoserevenueearningsarebasedonthetariffsettlementwiththeirconsumers.•Local,community-basedentrepreneurswhogetinvolvedinprovidingaccessoftenhaveabetterunderstandingoftheirgroups’electricityneedsanddevelopmentaspirations.Theaddedsocialdividendofenhancedimpactsonhealth,extendedhoursforeducationandwomen’ssafetyremainsastrongdriverforsocialenterprisestoinstallandoperaterenewablemini-gridsinremotecommunitysettlements.Privateprovidersareinvolvedatvariouslevelsinsustainingtheprojects,buttheirprimaryroleistodesign,installandcommissiontherenewableenergysystemsdeployed.TheymaytrainandbuildalocaltaskforceandtransferO&Msoonaftersystemsarefullyfunctionaloroveraperiodoftime,dependingonthecontract.Indeliverymodelswheretheoperatorgoesbeyondprovidingenergy-as-a-serviceinaddingvaluechainsbystrengtheningecosystems,includingmarketlinkages,theprimeobjectiveistoenhanceproductiveusesandcreatelivelihoods.Demandprofilesandincreasedenergyconsumptionforproductiveusesarecontextualtothelivelihoodspractisedandcanremainlowoveratimeperiod(Katreetal.,2019).Theengagementwiththecommunityinsuchmodelshappensoverextendedperiodsoftime.Photo:Lightingatnight,addstothesafetyoftheremotecommunitiesandhouseholdsinOaxaca,Mexico(©acciona.org).34RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTSBox8Enterpriseinnovation–EmergingrolesofprivateprovidersTherearemodelsincountrieswhereentrepreneursnurturedinthecommunityandunderstandingthelocalenergyneedshave,asafamilyoccupation,takenuptheprovisionofenergyservices.Projectstapintolocalfinances,nothavingreceivedexternalordonormoney.SuchmodelshaveshowcasedsustainedoperationsandbeenreplicatedincountriessuchasMyanmarandAfghanistan.AprogressivemodelinNepalhasseenthecommunitybringinaproductiveuseexpertwhohelpsthecommunityruntherenewableenergysystems,maximisingthecapacityutilisation.Bybringingincommercialinterests,theexperts(differentfromthedeveloper)helpincreasetheuseofelectricityforproductivepurposes,supportingthecommunityindemandmanagementandoperatingsuchloadsatdifferenttimesoftheday(KIIwithHPNet[HydroPowerNetwork]).Creatingtheenvironmentneededforcommunityuserstoengageinproductiveusesisadoublewinforthedeveloper.Itimprovescapacityutilisationofthemini-gridsystemandprovideseconomicgrowthfromimprovedincomes.Thedeveloperservesasanecosystemintegrator.Bymappingthelocallivelihoodsthatusediesel,workingwithoperatorsusingagro-machinery(suchashulling,millingandthreshingmachines)tomaketheshiftawayfromdieselandimprovingtheergonomicsofthemachinery,theecosystemintegratorhelpsthecommunitytobemoreenergyefficient.Therearealsoopportunitiestoincreasegenderawareness(byreducingtheheightofinstallations,addingmobilefeaturesanduser-friendlycomponents,asinplugandplay)andforcommunitiestoobtainaffordablefinancingbyengagingwithlocalvillagebanksandagriculturalfinanceinstitutionsfromthebeginningthroughtothefinalphaseofmarketlinkages(FGDwithHamaraGridPvt.Ltd.).Technologyandtourismhelptotranslatehigh-altitudetrekstolife-fulfillingexperiences,bringinglighttothelivesofthemountaincommunities.Expeditionfeescoverthecostsofnano/picosolargridsinstalledinthehomesofremotemountaincommunities.Travelers(manywhofinancetheirtripsthroughcrowdfunding)helpincarryingthepanels,andonreachingthevillagehelpininstallingandexperiencingfirsthandthetransformationallightingupofvillagehomesandfaces.Theenterpriseengineersmaketripspriortotheexpeditiontoreadythesiteforinstallations.Manyforeigntravelershavebeeninspiredtoreplicatethismodelforpeoplelivinginhighaltitudesintheirowncountries.Theenterprisenowhelpstocreatelivelihoodsamongthesecommunitiesbysettinguphomestaysaspartoftheaccessprovision,turningsomeoftheremotestvillagesintodestinationgetaways!(KIIwithHPNet;FGDwithGreatHimalayanExpeditionPvt.Ltd.).GOVERNMENTPROGRAMMESFORTHEPROVISIONOFELECTRICITYTOREMOTECOMMUNITIESElectricityprovision,whentakenupthroughgovernmentprogrammes,addressesareasservinglarge,remotepopulationsingettingconnectionsandpowersupply,orinhelpingcommunitiesthatareheavilyreliantondieseltotransitiontocleansources.ThefollowingtableschartthreesuchsupportedprogrammesforremotecommunitiesinBrazil,MalaysiaandCanada.RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS35Table7Brazil:LuzparaTodos(LightforAll)governmentprogrammeBRAZILTheLuzparaTodos(LightforAll)programmeaddressestheprovisionofelectricitytoremoteareasofthecountry.INSTITUTIONALTheMinistryofMinesandEnergyistheprogrammeco-ordinatorandhasthefinalSTRUCTUREdecisiononprojectapprovals.Theministry’snationalandregionalcommittees,regulationagencies,electricalconcessionairesandstategovernmentsassistintheselectionofprioritycommunities.Astheregulatorybody,theNationalElectricalEnergyAgencyfixestheO&Mtariffthreshold,overseescommissioningprotocolsandauditsperformancereports.Thestate-ownedcompanyELECTROBASismandatedtoperformprogrammeoperations.Itevaluatestechno-economicviability,approvesfundingreleasesandperformsinspectionsoncommissioning.TheRegionalUtilityConcessionaire,madeupofprivatedistributioncompaniesandruralelectrificationco-operatives,isresponsibleforday-to-dayO&Mactivitiesandorganisingallconnectionsunderitsconcession.TOOLS&DRESOLUTIONSGeographicinformationsystem(GIS)-baseddatatools,referredtoasSistemadeInformaçãoGeorreferenciadadoProgramaLuzparaTodos(SIGFI),helptoidentifyareasthatlackaccesstoelectricity,asintheremoteareas.Models,asinModelodeIntegraçãodeGeraçãoDistribuída(MIGDI),helptointegratedistributedgenerationsourcesandprovideelectricityusingmicro/mini-grids.SolarPVistheprevalentchoiceastheDREtechnology.LOADPROFILESTheresidential,communityandcommercialneedsaremetwithinawindowof13kWhto80kWhpermonthforlighting,coolingandcommunications.Monthlyaverageelectricitysupplyof45kWhisbeingprovidedperconsumptionunit.FINANCINGThegovernmentprovidestheRegionalUtilityConcessionairewithaneconomicsubsidyrangingfrom80%to100%ofthedirectinvestmentcosts.O&Mcostsarefinancedthroughtariffscollectedfromendusers.Asocialtariffisgiventoselectcategoriesofenduserswherethediscountsubsidyisbasedonmonthlyunitsconsumed(65%for0kWh-30kWh,40%for30kWh-100kWhand10%for101kWh-220kWh).ForIndigenouscommunities,supplyisfullysubsidisedwithaprovisionof50kWh/month.36RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTSTable8Malaysia:SarawakAlternativeRuralElectrificationScheme(SARES)governmentprogrammeMALAYSIATheSarawakAlternativeRuralElectrificationScheme(SARES)provideslast-mileconnectivitythroughthedecentralisedsolutionsexecutedbythegovernmentutility.INSTITUTIONALTheMalaysianfederalandtheSarawakstategovernmentshavesignedagreementsSTRUCTUREwithSarawakEnergy,thesoleutilityproviderinSarawak,fortheimplementationoftheSARES.TheutilityappointssolarcontractorstobuildsolarPV-basedsolutions(eitherstand-aloneormini-grids,basedonthecommunitysize).SarawakEnergyisalsomandatedthroughaseparateagreementwiththeSarawakstategovernmenttomaintainthesesystems.Localcompaniesarecontractedfortechnicalmaintenanceandsupportthatincludesregularrefreshertrainingcoursesforthecommunityandreplacementofpartswhenrequired.Endusersofthecommunityaretrainedbythecompaniesandareresponsiblefortheirsystem’sday-to-dayoperations,includingefficientutilisation(withoutoverloading),cleaningpanelsandreportinganymajorfaultsforrectificationtotheutility.CommunitiesareencouragedtouseexistingvillagegovernancestructurestooverseetheoperationofinstalledSARESsystems.TOOLS&DRESOLUTIONSAtotalof550ruralvillageshavebeenidentifiedthataredistantfromtheexistingutilitygrid(rangingfrom5kmtomorethan200km).Villageswithchallengingaccessibility,suchasthosethatcanonlybereachedbyearthroads,loggingroadsorrivertransportation,arealsoincludedinthescheme.Solar-PVtechnologyisusedthroughstand-alonesystemsorcentralisedmini-grids.LOADPROFILESUnderthescheme,theaverageelectricityusageofaruralhouseholdismet.Capacitydesignisbasedontheprovisionof3kWh/dayforahouseholdinthecommunity.ItprovideslightwithfiveunitsofLEDlightingandfourpowersocketstooperatefans,atelevision,anelectricricecookerandasmallrefrigerator.FINANCINGThedirectinvestmentstomeettheupfrontcostsfortheinfrastructureandDREsystemsistakenupbytheutility,SarawakEnergy,whichissubsequentlyreimbursedthroughpaymentsfromthefederalandstategovernmentbudgetsonprojectcompletion.TheO&McostsaremetthroughbudgetsoutlinedbytheSarawakstategovernment.TheutilityhelpsinthepreparationoftheannualbudgetbasedonoperatingSARESprojectsintheregion.Theendusersareexemptedfromanyservicefeesortariffsfortheelectricitysupplied.Thecommunity(asaformofequity/in-kindsupport)provideslandandlocallabourfortheprojectandsubsequentoperations.RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS37Table9Canada:CleanEnergyforRuralandRemoteCommunities(CERRC)governmentprogrammeCANADATheCleanEnergyforRuralandRemoteCommunities(CERRC)programmeenablesrural,remoteandindigenouscommunitiestotransitionawayfromcostlydiesel-poweredelectricitytorenewables.INSTITUTIONALTheCleanEnergyforRuralandRemoteCommunitiesprogramme(CERRC)isthemainSTRUCTUREfederalprogrammethatsupportsrenewableenergycapacitybuilding,largecapitalprojects,innovationprojects,andbioheatprojectsinrural,remoteandIndigenouscommunities(NRCan,2023).ManagedbytheDepartmentofNaturalResourcesCanada,theprogrammealsocollaborateswithotherfederalprogrammesandinitiativesthatsupportthecleanenergytransition.Inaddition,provincesandterritorieshavetheirowncleanenergyprogrammesandpolicieswithintheirjurisdictions.Communitiesandprojectproponentsmaychoosetocollaborateorpartnerwithforprofitornon-profitcompaniesandorganisations,includingIndigenousorganisations,forprojectplanning,technicalexpertise,installation,operationandmaintenance,aswellassubsequenttrainingandservices.Whenassessingprojectsforfunding,theCERRCprogrammeemphasisestheimportanceofcommunityinvolvementinprojectownership,planningandimplementation,andoverallcommunitybenefitsderivedfromrenewableenergyprojects.TOOLS&DRESOLUTIONSEachprojectchoosesRETsbasedonsite-specificconsiderations,includingcommunitybenefitsandtechnicalandeconomicfeasibility.Theprogramisabletofundprojectsthatdeployavarietyofrenewableenergytechnologies,includingsolarPV,hydro,wind,biomass-basedandhybridsolutions.LOADPROFILESTheprojectdesignandcapacitiesinstalledarebasedontechnicalandeconomicfeasibility,takingintoaccountthedemandprofilesofthecommunitytoensurereliableandaffordablesupplythatmeetscommunityneeds.Localservingutilitiesareofteninvolvedfromtheonsetoftheprojectplanningphasetoensureadequateamountofgridpenetrationwithoutdisruptinggridreliability.FINANCINGDependingontheprojectcontext,theprogrammecancoverarangeofcosts,includingfeasibilitystudiescostandupfrontCapex.Localservingutilitiesandregulatorybodiesareresponsibleforregulatingfeesortariffs.Assuch,communitiestypicallysignPowerpurchaseagreements(PPAs)withtheirlocalutility.Projectrevenuesbothensuresustainableprojectoperationsandprovideanincomethatthecommunitycaninvestinotherpriorityareas.©DiyanaDimitrova/Shutterstock.com38RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS4FINANCINGSTRATEGIESTOREACHREMOTECOMMUNITIESTheinstallationofthismini-gridhasgivenusthelightofhopeinourrespectivelivesCommunitymemberofthevillageCaseStudyVI–RuralhillscommunityofOkhaldunga,NepalCURRENTCONTEXT:GRANT-BASEDPROJECTSProjectstoextendelectricityaccesstoremotecommunitiesaregenerallyfinancedbygovernmentalordonor-drivengrantsandsubsidies.Intheninecasestudiesanalysedinthisguidebook,theequitycontributionfromthebeneficiaries(endusers)issmall,rangingfrom1%to3%.Equitycontributionsarealsomadethroughin-kindsupport,suchasleasingcommunity-ownedlandfortheprojectsiteandsupplyinglabourtohelpintheinstallationandcommissioningoftherenewableenergysystems.Mostsuchprogrammesarecentrallycontrolled,withbudgetsthatprovideonlyforlowertier-levelservices(e.g.Tier2+servicestooperatesmalldomesticappliances,lightingandmobilecharging).Theinabilitytomeetincreasingdemand,driveproductiveend-usesorprovideforessentialpublicserviceshampersthelong-termoperationsandsustainabilityoftheseprojects.Inaddition,donorfundsareoftenbudgetedonlyforinitialcapitalcosts.Additionalfundsarerequiredfordemandstimulation(toprovidePUE)tohelpinsystemaugmentationandforthehugeexpensesincurredincarryingoutrepairsandreplacingoriginalmachinerywithspareparts.INVESTINGFORIMPACTToscaleupandprovideforenhancedtierservicestoremotecommunities,ashifttomarket-basedsolutionsisneeded,alongwitharelianceonprivatecapitalinadditiontoaidmoney.Impactinvestorslearningfromthefieldhaveidentifiedsomegeneralprinciplestoconsiderwhenparticipatinginhard-to-reachmarkets.RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS39Equityinvestmentshelpcreatemarketsandinfluencethecreationoffinanciallysustainablecompanieswithstronggovernancestructuresandprovendeliverymechanisms.Accessentrypointsmadewithproductsthatmatchdemand(e.g.SHSforalow-demandcase)andprovenbusinessmodelsthathelpendusersaffordandpayfortheproduct(e.g.payasyougo)allowforlargeruptake,therebybuildingscale.Establishedcompanieswithaproventrackrecordofpenetratingremotemarketsaremorelikelytohavesuccessduetotheirrecordinsimilarregionswheremarketswerenon-existentorunderdeveloped.Thesecompanieshaveexperiencewiththeduediligenceprocess,sufficientequitytoshowcasefinancialstabilityandademonstratedrecordoftheirmodels.Toencouragetheprivatesectortoparticipateinprojectsperceivedasrisky,innovativefinancingmechanismsarecalledfor.Thesecouldincludeblendedgrant-debtcapital,inwhichthegrantcapitalisessentialtomitigatetheperceivedrisks,whichotherwisewoulddiscourageinvestorsfromparticipating(AcumenEnergyInvestments,2022).Anotherinnovativeinvestmentstrategyispatientcapital(bothdebtandequity),whichfallsundertheumbrellaofimpactinvestmentbutprioritisesimpactdifferentlyfromtraditionalmethods.Fallingsomewherebetweenpurephilanthropyandmarket-basedsolutions,thepatientcapitalstrategyfocusesoninvestingininnovationsthataddresspoverty.Itskeyfeaturesarehighrisktoleranceandanextendedtimehorizonforcapitalreturn.InvestmentscanalsobemadethroughissuesofInternationalRenewableEnergyCertificates(IRECs),whichcertifytheenvironmentalattributeof1MWhofrenewableenergygeneratedandconsumed.AnIRECisissuedforevery1MWhofrenewableenergypowerthatisproducedorconsumed.Thecertificatecanbetradedandsoldasacommodity.IRECbuyersrangefromcorporateentitiestonon-profitorganisationsandindividualstryingtoattaintheircarbon-transitingtargets.IRENAissupportingremoteandunservedcommunitiesbyhelpingthemmoveawayfrombeingpureaidrecipientstobeingparticipantsinmoremarket-basedprojects.WorkingwithcountriesundertheGlobalInitiativeonTransitioningRemoteCommunitiestoRenewables,IRENAaimstostrengthenitsworkwithcountrieswherethepotentialandneedtoserveremotecommunitiesishigh,helpingthemtodevelopdetailed,country-levelprogrammesforoff-gridrenewableselectrification.Thisguidancewillprovidepathwaysforimplementingprojectsatspeedandwithscaletoachieveuniversalelectricityaccess.40RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTSREFERENCESAANDCandNRCan(2011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onRemoteCommunitiesthroughElectricityAccessinMexico,WashingtonD.C.,www.worldbank.org/en/results/2017/11/01/switching-on-remote-communities-through-electricity-access-in-mexicoZbigniew,C.,andBhattacharyya,S.C.(2015),“Analysisofoff-gridelectricitysystematIsleofEigg(Scotland):Lessonsfordevelopingcountries”,RenewableEnergy,vol.81,pp.578–88.42RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTSANNEXI:CASESTUDIESOLDCROWCOMMUNITY,CANADACommunityRemotenortherncommunityofOldCrow,Yukon,Canada,homeoftheVuntutGwich’inFirstNationToreduceOldCrow’srelianceondiesel,theVuntutGwich’inFirstNationinstalledasolarPVmicro-gridsystem.Yukongovernmentlegislationandpolicies,aswellasaPPAwiththelocalutility,ensurethatthecommunitybenefitsfromtheproject.DREAtotalof2160single-sidedmono-crystallinesolarpanelsarealignedinaneast-westsolutiondirection.The940kW(AC)solarPVsystemhas616kWhofbatterystorage.Powerissuppliedtothecommunityusingamicro-gridnetwork.ContextOldCrowisaremoteIndigenouscommunitylocatedintheArticCircle,350kmawayfromtheterritorialgrid.Itsannualelectricityconsumptionof2389MWhwasbeingfullymetbydiesel.Theannualdieselrequirementwas700000litres,deliveredbyplanes,makingthecommunityof250peoplevulnerabletofuelpricingandlackofavailabilityandresultinginecologicaldamage.DeliveryTheVuntutGwich’inFirstNationownsthesolarfacilityandhasenteredintoafirst-of-its-mechanismkindelectricitypurchaseagreementwithATCOYukon,thelocalutility,tosellitspowerfor25years.Theutilityownsthemicrocontroller,storagebatteryanddistributionnetworks.Theplanthelpsmeet24%ofthecommunity’sannualconsumption.Duringsummer’slonghoursofsunshine,theplanthelpstokeepdieselgenerationturnedoff.FinancialTheOldCrowprojectwasfullyfinancedbygrantsfromthefederalandYukonterritorialviabilitygovernmentsundertheirprogrammestoachieveclimatetargets,enableIndigenousparticipationintheenergysectorandencourageeconomicdevelopmentinnorthernregions.YukonratepayerspaysimilarratesforelectricityacrosstheYukon,regardlessofthelocationandcostoflocalgeneration.Thisterritory-wideratepayercross-subsidyutilitymodelallowsforreducedcostsinplaceswherethermalgenerationisexpensive(remote/isolatedcommunities).Ratepayersinlocationswhereelectricitygenerationischeaper(withhydropower)helpcovertheincreasedcostsforlocationswheregenerationcostsmore.ThepriceofelectricityforsolarpowerpaidbyATCOYukontoVuntutGwich’inFirstNationisbasedonavoidedcostsfromtheutility(dieselfuel+deferredmaintenance).TherateisUSD0.51/kWh.EmissionsTheannualcarbondioxideequivalent(CO2eq)emissionsreducedisestimatedtobereduction680tonnes.RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS43DOLLOADOANDBOKOLMAYOWOREDAS,SOMALIREGION,ETHIOPIACommunityRefugeesettlementsofDolloAdoandBokolmayoWoredas,Somaliregion,EthiopiaFiverefugeecampsinDolloAdoaccesselectricityfromsolarPVmini-gridsandwatersuppliedusingoff-gridsolarpumps.Solarco‑operativeshostedanddrivenbythemembersoftherefugeeandhostcommunity(initsfringes)supplybothhouseholdandagro-relatedelectricityneeds.DRESixcommercialsolarPVmini-gridswith120kWpoftotalcapacityhavebeeninstalledacrosssolutionthefiverefugeecampsandareoperatedandmaintainedbytheirsolarco-operatives.Intotal,electricityissoldtomorethan1200householdsfrombothhostandrefugeecommunitiesandimplementingpartneroffices.Storageprovisioniswith6V,200Ahand12V,102Ahbatteriesthatprovidefornight-timeloads.Anoff-gridsolarwaterpump(apilotsurfacewaterpumpingstructure)hasbeendesignedtoirrigate45hectaresofarablelandthatisbeingcultivatedbybothhostandrefugeecommunities.OperatingundertheMelkadidairrigationscheme-1,theoff-gridsolarwaterpumpingsystemisaconsolidatedsystemconsistingoftwomainpumpswithacapacityof30kW,asinglevacuumpumpwithacapacityof2.2kWandatotalsolarPVcapacityof56.32kWp.ContextInEthiopia,Somalirefugeesareinaprotractedasylumsituationwithlimitedprospectsfordurablesolutions,suchasvoluntaryrepatriation,localintegrationorresettlementtoathirdcountry.SomalirefugeesarrivedinEthiopiainthreemainphases:inthelate1980sandearly1990sforreasonsrelatedtothefalloftheSiadBarreregime,in2008/2009relatedtotheoutbreakofnewviolenceandin2011duetodrought.RenewableenergyprojectsinthelocationlookbeyondbasicTier1electricitysupply,toactasanenablerforothersectorssuchashealth,educationandlivelihoods.Inprovidingenergytoboththerefugeeandthehostcommunities,theprojectsbuildharmony,provideimprovedpublicservicesandcreaterevenue-earningopportunities.DeliveryThebusinessmodelisbroadlypositionedasenergy-for-service.Ineachofthefivecamps,themechanismsolarenergyco-operativeispartofalargermanagementstructure.12Theco-operativesareorganisedtoprovidereliableelectricitysupplytothe1250connectedhouseholdsandoneimplementingpartneroffice.FinancialTheupfrontcostsofinstallingthesolarPVsystemsanddistributiongridshavebeenmetviabilitythroughgrantsfromphilanthropicorganisations.Financialviabilityisattainedthroughafee-for-servicemodelinwhichtheconsumerpaysaflatfeebasedonthehousehold’sconnectedload(e.g.thenumberandtypeofelectricalappliancesinuse).Tariffsaresetinconsultationwiththeconcernedparties,takingintoaccountthepurchasingpowerofthecommunityandtherevenuerequiredtomeetO&Mcosts.Theco-operativesareencouragedtousetheirsurplusearningstoprovidefreeelectricity13tovulnerablehouseholdsthatcannotaffordtopay.EmissionsTheamountofCO2eqemissionsreducedisestimatedtobe141tonnes.reduction12Thewholestructureisasumofcommittees:amanagementcommitteethatsetsthestrategicdirectionofthelargerco-operative,amarketandbusinesscommitteethatengagesinspecificaspectsoftheoverallmarketingstrategy,atechnicalcommitteethatreviewstechnicalelementsofitsactivities,andacontrolandauditcommitteethatoverseesthefinancialreportinganddisclosureprocess.13Supplytopowerasinglelightbulb(15W)fortwoconsecutiveyears.SincetheCOVIDpandemicstruck,theco-operativehashelpedpowerthehealthcentrestorespondtoemergencies.Thesolarunitsgeneratedarealsousedtopowerquarantinecentres,UNHCR’sfooddistributioncentreandthereceptioncentrefornewlyarrivedrefugeesinDolloAdo.ZANZANREGION,CÔTED’IVOIRECommunityRemotesettlementsinZanzanregion,Côted’IvoireSevenremotevillagesinCôted’Ivoireuseaninnovativedeliverymodelcombiningprivatesectorexpertise,publiccapitalandstrongcommunityownershipthroughanoverarchingMini-GridFederationandTechniciansAssociation.Withsizeableequityfromthemini-gridusersoftheruralhouseholdsinfinancingtheproject,thereisstrongownershipoftheproject,ensuringlong-termsustainability.DRESolarPVmini-gridswithatotalcapacityof214kWalongwithbatterystorageof1771kWh.solutionBack-uppowerisfornight-timeuseandprovidesautonomyof2.5daysofnon-sunshinehours.ContextTheZanzanregion,locatedtointhenortheastCôted’Ivoire,isthemostunder-utilisedandhadthelowestelectrificationratein2009.Thelikelihoodofattaininggridextensionforthesevenvillagesselectedformini-gridimplementationwaspoor.Theobjectiveofthemini-gridinstallationswasprovideinhabitantswithadecentralisedandsustainableelectricityinfrastructurethatmethouseholdneedsandthoseofvitalcommunityuses:education,health,informationandpubliclightinginallsevenvillages.DeliveryEachofthesolarPVmini-gridsbelongstothevillage(includingpeopleconnectedandnotmechanismconnectedtothemini-grid).Thelocalassociations(createdintheframeoftheproject)managethemini-gridsystems,includingtheproductiveusesofenergy(communityfridges,freezersandmills)thatwereencouraged.TheGbrekoKanianFederationcentrallymanagesthefinancialandtechnicaltasks.Energyusedbythemini-gridsisexclusivelyusedtopowertheassociationmembers’loads(households),localassociationproductiveactivities(fridges,freezers,mills)andcommunityuses(school,healthcentreandstreetlighting).FinancialGrants,equityandin-kindsupportinvolvingsevendifferentstakeholders(includingviabilityconsumers)contributedtotheupfrontcosts.Fee-for-serviceisfromaprepaidmodeoftariffssetforfivedifferentconsumerenergybundles.Monthlycontributionswerecalculatedtoensurefinancialbalance.Theyincludeindividualelectricityservices(50%),amortisationofbatteries(40%)andcommunityserviceconsumption(10%).Thetariffsforpowerconsumedbyhealthcentres/publiclighting/energyhouse/associationhousearemetbythemini-gridusers.Thetariffsforpowerconsumedbyschoolsaremetbyparentsoftheattendingstudents.EmissionsTheamountofCO2eqemissionsreducedisestimatedtobe271tonnes.reductionRENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS45TOTOTA,LIBERIACommunityRemotevillageofTotota,LiberiaIntheremotevillageofTotota,mini-gridusersformanelectricco‑operativetobecomethefirst-evermicro-utilityinLiberia.Theco‑operative,setupinpartnershipwiththeUnitedStatesnon-profitassociationNRECAInternational,showcasesthetremendouspotentialofcommunity-ownedco‑operatives,impactingmorethan20000peoplethroughasustainablecommunity-drivenDREdeliverymodel.DREAsolar/battery/dieselhybridsystemsuppliesnearly24-hourpowertothecommunity.Thesolutionrenewablepowersourceconsistsof72kWoffixed-tiltsolarPVpanels,a120kWhlithium-ionbatterywithsmartmicro-gridcontroller,andan80kVAbackupgenerator.Powerisdeliveredoveranetworkconsistingof7kmofthree-phase50squaremillimetresofaerialbundledcable240V/415Vlow-voltageline.ContextTototaisaruralcommunitylocatedapproximately128kmnortheastofMonroviainBongCountyalongthemainaccessroadfromMonroviatoCoted’Ivoire.Itisanimportantregionaltradecentre.TototawasselectedbecauseofthecommercialandindustrialpotentialalongthemainhighwaythroughtownamongothersuchtownsthroughaprioritisationprocessconductedwiththeRuralandRenewableEnergyAgencyofLiberia.DeliveryNRECAInternationalconstructedthehybridsystemandhastransferredownershiptothemechanismelectricco-operative,whichowns100%ofthegenerationsystemandthedistributionnetwork.Theelectricco-operativehassinceinvestedinadditionalmeters,andanadditionalgenerator,usingretainedoperatingfunds.Itsmembersaresimultaneouslyownersandconsumers.Theelectricco-operativeprovidesmeteredelectricitysupplyonregulatedtariffssetbyitsboardofdirectorsbasedonfinancialmodellingandasstipulatedbyLERC,theLiberianationalelectricityregulator.FinancialThetariffratesintheTototaElectricCo-operativearedesignedtocoveralloperatingcosts,viabilityincludingallfuelcosts(forthedieselpowerplant),commercialisationexpenses,staffsalaries,sparepartsneededtosupportgenerationanddistributionoperations,andothercosts.Theboardcontrolsthetarifftomeetthecash-flowobligationsoftheco-operative.Allusageiscontrolledbyautomatedprepaidmeterstowhichconsumersdonothaveaccess.TheycanbuyadditionalcreditbyphonefromTototaElectricCo-operative.Theschoolsandclinicshavethesametariffasresidentialconsumers,andtheirconsumptionismodest.Theybuycreditdirectlyfromtheco-operative.Theservicestheyprovidearepartiallysubsidisedbythegovernment(iftheclinicispublic)orpaidbythepopulationincasetheyareprivate.EmissionsTheamountofCO2eqemissionsreducedisestimatedtobe35tonnesintheperiodfrom2018reductionto2022.Thereasonwhypeoplejointheco-operativeisbecauselightislife.Lightbringssuccess,BecauseoflightinTototatoday…wehavesuccessinthecommunityJosephScott,theco-opboardpresidentandasmall-businessowner46RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTSOAXACA,MEXICOCommunityHigh-altitude,scatteredsettlementsinOaxaca,MexicoUndertheLuzenCasa,Oaxaca(LightatHome)programme,householdsettlementsinhigh-altitudeterraingetelectricityaccessfromthird-generationSHSsusingamodernandinnovativefinancingstructure.Financingisfromfundingthroughpublic-financingestablishmentsaswellasequityownershipbytheSHSusers,madepossibleinpartthroughmicro-loansgrantedviaacrowdfundingplatform.Thesolutionhasanimpactonalargegeographicalarea.DREThe3G-SHSshavea120wattpeak(Wp)-150Wppanelanda23Ah(12V)batteryorasolution240Wp-300Wppanelanda50Ah(12V)battery.ContextThemostremoteOaxacaruralcommunitiesliveinpoverty.Theirremotenesscomplicatestheaccesstobasicservicesandcontributestotheirisolationandinequalityofopportunitiesfordevelopment.TheseenduserswerethepopulationstargetedbytheLuzenCasaOaxacaprogramme.Thesettlementsarefarfromtowns,scatteredoversteeptopographyandhavenoroadaccess.DeliveryUsersgetaccessthroughafee-for-maintenancemodel,co‑fundedthroughaPPP.UserslearnmechanismthroughtrainingsessionsthedetailsoftheSHSequipment,anditsuse,maintenanceandactionsincaseoffailure.Thetrainingteachestheuserstoinstalltheequipmentintheirhomesbythemselvesafterhavingchosenthemostsuitablearrangementfortheirneeds.InOaxaca,therearesixmicro-franchisesthatoperatetosolveequipmentfailuresandsellhigh-efficiencyelectricalappliancescompatiblewithSHSs.MunicipalitiesandPVelectrificationcommittees(PECs)participateinprojectmanagementasservicesuppliersandcommunicationalchannels.PECsarealsoinchargeoffeecollection.FinancialThefirstphasesofLuzenCasaOaxacaprovidedthe3G-SHS(5.9Ahand9.5Ah)throughaviabilitysubsidisedsalewhereuserspaid50%ofthecostofthe3G-SHS,whichmeantapproximatelyUSD150.Thefee-for-maintenancemodelhasbeenestablishedtocoverrepairs,replacementofequipmentandcustomerserviceoftheCentroLuzenCasatechnician.Tomakethefeeaffordable,customershadaccesstothemicrofinanceprogrammeinco-operationwithKIVAInternationalOrganisation(acrowd-lending,non-profitorganisation).Thisgavethemthechancetoreducetheirmonthlyfeesforaone-yearperiod.Paymentswerelowerthanthealternativeenergycosts(batteries,candles,kerosene,etc.)wouldhaveincurred.ThefeedependsonthesizeoftheSHSandispaidevery60days,individuallyorcollectedbythePEC,inthecorrespondingCentroLuzenCasa.EmissionsTheamountofCO2eqemissionsreducedisestimatedtobe1810tonnesannually.reductionThankstoLuzenCasa,IcanseemylittlehomewithlightPaula,89-year-oldfemaleuserintheMixemountainsRENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS47OKHALDUNGA,NEPALCommunityRuralhillscommunityofOkhaldunga,NepalAlocalcommunityfromtheruralhillsofNepalsuccessfullysetupasolarPVmini-grid,co‑ordinatingwithaprivateenterprise.Installedwithupfrontgrantsfromadevelopmentbank,thevillagersaretrainedtooperateandmanagetherenewableenergysystem.Revenueearnedfromelectricitysupplyisgivenoutasmicrofinanceloansthatinturnspureconomicactivityandensurethesustainabilityoftheproject.DREThe50kWpsolarPVmini-gridisaccompaniedby345kWhofbatterystorage.solutionContextTheManeBhanjyangVillageislocatedinmountainousterrain,withlimitedaccesstobasicfacilities,includingroadwaysandtransportation.Povertypresentsanobstacletogettingessentialservicessuchashealthandeducation,andthevillageinhabitantsareamarginalisedcommunityearninglessthanUSD1.90/day.DeliveryThemini-gridiscommunityownedandoperated.Ausergroupformedbytheendusersactasmechanismabuilt-ingoverningbodytomanageandsustainthesystemoperations.FinancialTheusergroupcommitteeistaskedwithreadingtheenergymetersandcollectingtheviabilityelectricitytariffatafixedrate(USD0.11perunit).Thepoolofmoneycollectedisthenlentouttomembersoftheusergroupasneeded.Thepaymentrecollectionisdonebytheusergroup.Thecashreserveservesasmicrofinance,providingfinancialsupporttothelocalpeopleandpayingthegridemployees.Theseloansareexpectedtospurfurtherconsumptionandsocio-economicdevelopment,creatingavirtuouscycleandincreasingtheusergroup’savailablemoney.Thecollectedamountcanbeusedtopartiallyfundsubsequentscaling-upplans.EmissionsTheamountofCO2eqemissionsreducedisestimatedtobe192tonnesannually.reductionTheinstallationofthismini-gridhasgivenusthelightofhopeinourrespectivelivesCommunitymemberofthevillage©BlazejLyjak/Shutterstock.com48RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTSISLEOFEIGG,SCOTLAND,UNITEDKINGDOMCommunityRemoteislandcommunity,IsleofEigg,ScotlandLocatedinwesternScotland,theIsleofEiggcommunityof45householdschoseahybridrenewableenergysolutiontogainenergyindependencefromthemainlandandreduceitsstrongrelianceondieselfuel.Theprojectisfinancedforitsupfrontcoststhroughapartnershipoflocalgovernmentagencies,non-governmentalinstitutionsandthelocalpopulation.Theproject’snotablefeaturesincludeausagecapaswellasaremarkable“traffic-light”systemthathelpsreduceconsumptiontomanagedemandvs.supply,ensuringsustainedoperations.DREAnintegratedhybridrenewableenergysystemofhydro,windandsolarprovidesthesolutiondecentralisedgeneration(a100kWhydroplantsupportedbytwosmaller5kWplants,foursmallwindturbinesof6kWandasolarPVmini-gridof50kW).Theoutputofalltherenewableenergygenerationsourcesisbroughttogether,controlledanddistributedtohouseholdsandbusinessesontheislandusinganisland-widehigh-voltagegridapproximately11kminlength.Transformers,locatedincloseproximitytoclustersofproperties,convertthegridvoltagetodomesticvoltageforhouseholdsupply.Tocoveroccasionswhenrenewablegenerationislow,theintegratedrenewableenergysystemissupportedbyapairof70kWDGs,whichactalternatelyasbackupandreserve.TheDGssetscanbeswitchedintothesystemautomaticallyasapartofthecontrolstrategy.ContextEiggispartoftheHebrideanIslandsonanislandlocated12kmwestofmainlandScotland.DeliveryEiggElectricisamicro-utilitythatisfullycommunityownedandoperatedasabusinessmechanismenterprise.ItisregisteredasasubsidiaryofIsleofEiggHeritageTrust,whichownsEigg.Consumerspayfortheelectricitysupplythroughpre-paidcardsworthUSD12.25orUSD24.50.FinancialUpfrontcostshavebeenfinancedthroughseveralplayers,includinglocalgovernmentandviabilitynon-governmentagencies.Thesaleofpre-paidpackagesprovidesforthedailyoperationsandmaintenanceofthesystems.ExpensesfromanymajorrepairsandreplacementofsparepartsmustbemetbythemainlanddepartmentsofScotland’sgovernment.EmissionsCO2eqperhouseholdisevaluatedtobe20%lowerthantheUnitedKingdomaverage.reductionRENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS49SARAWAKSTATE,MALAYSIACommunityRemoteruralvillagesofSarawakState,MalaysiaInastateprogramme-drivenmodel,theSarawakAlternativeRuralElectrificationScheme(SARES),theutilitySarawakEnergyprovideselectricityaccesstoveryremotevillagesusingoff-gridsolarPV-basedsolutionstoachievetotalelectrificationby2025.DRETheSARESconsiderstwotypesofsolarPVoptions,SHSorsolarPV-basedmini-grids.Onesolutioncentralisedsystemisprovidedforeachcommunity.Thecapacityofthemini-gridislinkedtothesizeofthevillageandthenumberofitshouseholds.Thesystemcapacityallowsfor:•energyof3kWh/dayforeveryfamily•batterystoragewithsufficientcapacitytoallowforatleasttwodaysofautonomy•aloaddemandofof1000Wperfamily.Thesolutionalsoincludesestablishingalow-voltagedistributionnetworkandprovidinginternalwiringandsettingupelectricalconnectionsforeachofthehouseholds.ContextSarawakisthelargeststateinMalaysia,withatotalareaofnearly124,500km2.Atotalof45%ofthepopulationofSarawaklivesinruralareas.In2016,energyaccesscoverageforruralareasofSarawakwas87%.TheSarawakgovernmentintendstofast-tracktheruralelectrificationeffortandachieve100%electricitycoverageby2025.Itsapproachinvolvesextendingthegridorprovidingoff-gridsolutionstoruralcommunitiesthatarenotinreachoftheutilitygrid.Overall,550villageshavebeenidentifiedforSARESoff-gridsolarimplementation.TheSARESimplementationwillbecompletedinsixstagesandwillbefundedbySarawakStateandthefederalgovernment.DeliveryUndertheSARES,oncethemini-gridhasbeeninstalledandcommissioned,thecommunitiesmechanismareresponsiblefortheoperationsandbasicmaintenanceofthesystems.Relevantstakeholders,whichincludeSarawakEnergyandthestategovernment,havesharedobjectivesandstayinvolved.SarawakEnergy-appointedmaintenancecontractorsareresponsibleforcorrectiveandperiodicmaintenance.Theyalsotrainthecommunityonbasicoperationsandplanforbatteryreplacementsandgridtransitions.FinancialTheSARESisexecutedunderanoveralllong-termruralelectrificationprogrammetoviabilityprovideuniversalenergyaccess.TheCapexspentbySarawakEnergyisreimbursedbythegovernmentministry.Theoperatingexpenditurebudgetisallocatedthroughmaintenancecontracts.SarawakEnergyworkscloselywiththeSarawakgovernmenttoplanandestimatethebudgetneededtocoverthemaintenanceofSARESstationsacrossruralSarawak.Undertheschemethereisnoincomefromelectricitybillcollection.Theend-usercontributionisthatofprovidingsuitablelandfortheprojectwithoutanymonetarycompensation.Eachcommunityisresponsibleforbasicday-to-dayO&M.EmissionsTheamountofemissionsreducedisnotavailable.reduction50RENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTSLOLTONGVILLAGE,VANUATUCommunityRemoteislandcommunityofLoltongVillage,VanuatuThehybridDREsolutionofpico-hydroandsolarPVsystemsinmeetingthelocalcommunity’spowerneedsshowcasesaprovenmodelthatcanbereplicatedbysimilarcommunitiestoattainenergyself-sufficiencyandreducetheuseofdieselfuel.DREBasedonthefeasibilitystudy,theDREsolutionisapico-hydrosolarPVhybridmini-gridsolutionsystem.Theintegratedrenewableenergysystemismadeupofa7kWhydrosystem,a2.6kWpsolarPVarray,a15kVAbatteryinverteranda33kWhstoragebattery.ThesolarPVsystemactsasasupplementtothehydrosystemwhenconsumptionincreasesandmorepowerisneededtomeetdemand.Intotal,thePVandhydroelectricsystemdeliversacombinedgenerationcapacityof8.8kWofDCand8kWofACpower.ContextLoltongVillageislocatedinthenorthoftheislandofPentecost,whichisoneofthe83islandsthatmakeuptheSouthPacificnationofVanuatu.TheBRANTVprogrammeoftheGlobalEnvironmentFund(GEF)andtheUnitedNationsDevelopmentProgramme(UNDP),implementedbytheMinistryofClimateChangeandtheDepartmentofEnergyVanuatu,chosetheLoltongprojectsite.Thedecisionwasbasedonbaselineinformationofanexisting3kWcapacitypico-hydropowersystembuiltbythecommunityandfundedbytheNewZealandgovernment.Theexistingsystemwasnotoperatingduetopoordesign.GEF/UNDPfundswereusedtoinstallnewandincrementalfeaturestotheexistingsystemtomeettheloaddemandandprovideaconstant,sustainableandqualitysupplyofelectricitytothecommunity.DeliveryThecommunityofLoltongVillagemanagesthemini-grid.TheVanuatugovernmentretainsmechanismownershipoftheassets.TheHydroCommittee,whichhastwoappointedofficers–alocaltechnicianandclientrelationsofficer–isresponsibleforcollectingtariffbillingandpayingforO&Mcosts.Themini-gridisregulatedbytheUtilityRegulatoryAuthority(URA),whichisresponsibleformanagingend-usercomplaints,reviewingthetariffandmonitoringthequalityoftheservicesprovided.TheURAwassettoreviewthecommunitymanagementmodelafteroneyearofoperations,whichcommencedinJuly2022.Thetariffrates’effectiveperiodhasbeenextendedbyURAuntilMay2024.TheLoltongHydroCommitteereportstotheBRANTVProject,theDepartmentofEnergyandtheURAonbothaweeklyandamonthlybasisaboutthemini-grid’sproduction.FinancialThetariffmodeladoptedforhouseholds,USD0.71/kWh,isregulatedbytheURAandviabilitydeployedasaprepaidservice.TherevenueearningshelptomeettheO&Mcostsofthesystemandthetwoofficers’wages.Anadditionalmeansofearningrevenuefromproductiveuseshasbeenintroducedbysettingupablock-makingmachineforbricksthatisoperatedbythetechnicianorleasedtootherusers.EmissionsTheamountofCO2eqemissionsreducedisestimatedtobe160tonnesannually.reductionRENEWABLEENERGYFORREMOTECOMMUNITIES:AGUIDEBOOKFOROFF-GRIDPROJECTS51ANNEXII:ADVANTAGESOFDIFFERENTRENEWABLEENERGYTECHNOLOGIESFORREMOTECOMMUNITYACCESSMicro/minihydroSolar-batterySolar-battery+dieselBiomassgasifierWind-batteryDiesel500-100004000-7000(solidfuel)4500-13000300-800Rangeofinvestment3000–60001500-10000costUSD/kW(generation,SlightlycheaperthanIncludinggasifier,distribution)solar-batterycleaningsystem,heatexchanger,gasgenset,PureO&Mcostandgrid(assumingoverallsystemlifetimeof2-5%10-15%10-20%min10%5-15%about20years;withoutdepreciation)as%ofConsideringBatteryreplacementWithoutfuelcost;dailyTurbinereplacementinvestment(dependsreplacementofbatteryandgeneratormaintenancerequiredevery20yearsonequipmentquality;maintenancebatteryanddieselAnnualservicinggensetreplacementtobeincluded)HighestO&McostamongrenewablesRangeofcost(LCOE)inUSCentperkWh5-3030-10050-1005-5030-10035-120IncludingthecostofOftensubsidisedfuelbiomasscostpriceandtransportMicro/minihydroSolar-batterySolar-battery+dieselBiomassgasifierWind-batteryDiesel40-70%5%(solidfuel)5%20-40%Percentageoflocal5%30%-95%incommunitycontribution(equipmentand40-60%installation)incountryDependsoncountry;partslikechargecontroller,batteries,invertersetc.areoftenimportedLocalavailabilityof+++--+++++sparepartsDependingoncountry(normallyallsparepartscanbesourcedlocallyexceptmagnets)ResourceassessmentMeasurewaterlevelDatafromsolarDatafromsolarCollectdataonagroMeasurewindspeedAccessibilityfor(min1year)andflowradiationdatabases;radiationdatabases;residuesforatleast(minimum1year)dieseltransportandworldwideavailableworldwideavailable;3years(supplyaffordabilityofdiesel(seealsodieselchain);makeforecastsystems)SeasonalityimportanttoconsiderTypicalcostdriverLowhead–highflowBatterycomponent:Battery+costforBiomassfuelpriceRequiredbatteryLocalpriceofdiesel(moreexpensivethanhighinvestmentofdieselfuelGascleaningsystemcapacitydependingfuelreverse)about600-700USD/QualityofgasifieronvolatilityofwindkWhevery6-8years(insulationetc.)resourceComplicatedcivilLevelofautomatisationworks(difficultterrain)Distancebetweenthehydrosite&supplyareaMicro/minihydroSolar-batterySolar-battery+dieselBiomassgasifierWind-batteryDiesel(solidfuel)SystemdesigninDesignbasedonDesignformaximumGoodmodularityOftenexpandedwithCapacitycannotbeviewofscalability/availableflowandharvestofkWhto(oftenseveralunitsPV(bettermodularity);increasedwithoutnewmodularity(future)communityreduceinvestmentfrombeginningtoinvestmentcostpurchasedemandcost;especiallyprivateallowformaintenance)nonlineartosystemGeneraladvantagesdeveloperstendtosizeOversizinghasveryIdentifysufficient/bigundersizesystemtonegativeimpactonconsumers(productivereduceinvestmentefficiencyandfueluse)toincreaseloadrisk;laterextensionconsumptionfactorover24hour(+/-linearcostincrease)InvestmentcostnonlineartosystemsizeIfflowissufficient,noAbundantresourceFlexibilitythroughEasystorage(biomassLocalmanufacturingIndependentofstoragerequiredinparticularindrydieselback-uporgascanbestored,ofwindturbines(alsoavailabilityofclimates(Africa)allowstooperateatleadstolowerO&MrenewableenergyLowcostperkWandoptimumefficiency)cost)resourcesperkWhScalabilityofPVmodulesbutnotofPossibleadditionalComplementarysourceLocaladdedvalue;batteriesbenefitforbiomasstosolarPVordieselcanbecomecashcowvendorsincaseoflatergridconnectionLessemissionofparticulatematterPossibilityofdirectcomparedtootherdrivesolidfuelsMicro/minihydroSolar-batterySolar-battery+dieselBiomassgasifierWind-batteryDiesel(solidfuel)GenerallimitationsLackorseasonalityofLackofirradiationAccesstofundsforTechnologylessmatureHighspatialandCO2emissionandflowaccesstofundsforhighinitialinvestmentthanothers(earlytemporalvariabilityofenvironmentalimpacthighinitialinvestmentcommercialstage)theresourceAccesstofundsforAccessfordieselLongtermpricehighinitialinvestmentLimitedscalabilityofsupplyThoroughresourceHighmaintenanceincreaseoffuelbatteries(parallellead-assessmentrequiredrequirementsacidbatteries)HighoperationalcostsupplychainforfordieselbiomasscompetitionDuetohighvariabilityEnvironmentalimpactwithfood,dungetc.ofwind,unreliabilityofbatteriesofwindturbinesandNaturalbiomassnotdropinPVprices,pollutant,but:windbecomesacomplementaryDeficientoperationsourcetosavefuelorleadstogenerationgenerateelectricityatoftarfromcleaningnightorduringwinter/system;canberainyseasonproblemProductiveenduseDirectdrivee.g.ofagroDuetoresourceHeat(orcold)andprocessingmachinespeakindryseason,electricitycanbeusedpossibleveryappropriateforirrigationAgroenterprisesthatLowerLCOEattractiveproducethebiomassforenduseresourceUsedforvariousmillsandlocalindustrySource:(HPNETandSKAT,2020).Note:Localavailabilityofspareparts:“+”(plussign)isindicativeoftheavailabilityofthespareslocally.Anincreasingnumberofplussignsshowsincreasedmarketavailabilityofspareparts.www.irena.org©IRENA2023

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