EnDev Digitalisation for scale – Consulting services in the area of energy access through digitalization

Project description

In this project, RLI scientists are working to identify digital solutions that support greater market development of energy access products and services. This concerns, for example, the provision of reliable and efficient lighting, heating, cooking facilities, mechanical energy or transport and telecommunications services. The digital solutions should be able to be applied on a large scale as part of the Energising Development (EnDev) programme.

The EnDev Program

EnDev is an energy access programme currently funded by four countries: the Netherlands, Germany, Norway and Switzerland. With it, they promote sustainable access to modern energy services worldwide. The programme targets countries with low economic power and high poverty.

Market-based approach to energy poverty

EnDev has helped more than 28 million people gain sustainable access to modern energy. To ensure universal access, profitable business models are needed. The program supports national governments in creating an economic environment that enables the supply and demand of sustainable energy. Energy poverty will be addressed with a market-based approach. RLI will support this with its expertise in off-grid and mini-grid energy solutions, the design and implementation of stakeholder workshops and the establishment of a Practioner Group on “Digitalization for Scale”.

Project period: 27.03.2023 – 01.03.2024

Tasks

  • Define and structure digital solutions in general
  • Assess status quo in EnDev projects (through 5 short interviews with people from EnDev projects in Kenya, Benin, Sierra Leone, Rwanda and Bangladesh).
  • Analysis of details on 5 key topics (through workshops & long interviews): Development, implementation, operation & maintenance, consumer/market, capacity development/knowledge transfer & sharing.

Results

In the project, the team discovered the following key findings:

  • We collected different digital tools based on short interviews and literature review. We further categorised these tools into these 6 categories which are based on the project value chain and sector perspectives: Project Planning and Development, Financing and Payments, Learning, Analysis and Capacity Building, Demand Simulation and Consumers, Market Platforms and Matchmaking, Operation and Management.
  • We found a broad landscape of digital tools already out there.
  • The main recommendations for scaling up energy access through digitalisation we found are:
    1. Find the right digital solution by understanding your specific challenge / need.
    2. Depending on the challenge, the best fitting drivers can be identified with the related tools.
    3. The key drivers and corresponding digital tools we derived from our analysis are the following: Cost reduction, Risk minimization, Aggregation, Capacity Building, Demand stimulation, Support decision making
  • The digital solutions come with its own challenges and risks. A diligent assessment is needed to see if benefits of digital solutions outweigh their challenges and risks. Don‘t follow blindly the digital path – check for simple solutions first..

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