Access to Energy in Rural Areas II
Project description
Title: Access to Energy in Rural Areas II – IGEN Access II
Commissioned by: German Federal Ministry of Economic Cooperation and Development (BMZ)
Country: India
Overall term: 2019 to 2023
Context
The spurt in economic and demographic growth in India has resulted in an average increase of 8 per cent per annum in energy consumption over the last ten years. Through different initiatives the Government of India is making efforts to ensure a supply of energy to every household in the country. In addition, to reduce dependence on fossil fuel resources and to diversify energy sources, India has also set itself the target of having 175 gigawatts (GW) of installed renewable energy by 2022. However, the affordability, reliability and quality of energy is still an issue in rural India.
Decentralised renewables present an opportunity to contribute towards sustainable energy access for household consumers as well as for productive uses of energy. In addition, achieving overall energy security through decentralised sources coupled with better planning would also reduce the burden on the exchequer.
Objective
The energy supply in rural areas of selected federal states in India have been improved.
Approach
IGEN Access II seeks to upscale the proven results achieved in Phase I of the project. The project plans to deliver by adopting a holistic approach in overall planning by assisting the states in developing Energy Action Plans, disseminating proven models and instruments for improving the basic energy supply, and establishing a conceptual basis for enhancing the energy supply.
Strategic energy planning: the project aims to achieve overall energy security in the states. The contribution from renewable energy, including the decentralised systems, will be used as a strategic option in energy planning.
Proven models and instruments for improving basic energy supply are being disseminated: financial service providers will be supported in upscaling models and instruments to conclude new loan agreements with rural energy users. This will lead to an improved supply situation in rural areas.
Conceptual basis for improving energy supply quality is in place: the programme will support planned advisory measures to create necessary enabling conditions.
Last update: January 2021