Page 5 - Market Creation for Clean Energy Access - Insights from Jeevika-TERI partnership in Bihar
P. 5
SUMMARY
In the recent years, enterprise approach for energy service delivery in the rural and
remote areas has gained wider momentum. This has resulted in surge of social enterprise
start-ups that provide decentralized clean energy services to households in the bottom
of the pyramid (BoP) segments of Bihar. Statistics on rural energy access reveal Bihar has
the lowest number of rural households that have access to modern energy. However,
rampant poverty in rural Bihar and consequent affordability issues minimize growth
prospects for most of these social enterprises that are already grappling with dual
challenges of scale-up and sustainability. Hence, newer models for energy access service
delivery have to be explored. Based on learning from implementation of an energy access
project in Purnia district of Bihar, this report emphasizes on energy entrepreneur model
and recommends shift of energy access goals from mere dissemination to wider goal of
market creation. Further, it recommends approaches for triggering market creation in
BoP through engagement of local institutions in sales and service of frugal
technology solutions.
LaBL Publication 5
In the recent years, enterprise approach for energy service delivery in the rural and
remote areas has gained wider momentum. This has resulted in surge of social enterprise
start-ups that provide decentralized clean energy services to households in the bottom
of the pyramid (BoP) segments of Bihar. Statistics on rural energy access reveal Bihar has
the lowest number of rural households that have access to modern energy. However,
rampant poverty in rural Bihar and consequent affordability issues minimize growth
prospects for most of these social enterprises that are already grappling with dual
challenges of scale-up and sustainability. Hence, newer models for energy access service
delivery have to be explored. Based on learning from implementation of an energy access
project in Purnia district of Bihar, this report emphasizes on energy entrepreneur model
and recommends shift of energy access goals from mere dissemination to wider goal of
market creation. Further, it recommends approaches for triggering market creation in
BoP through engagement of local institutions in sales and service of frugal
technology solutions.
LaBL Publication 5
