An Entrepreneurship Model for Energy Empowerment of Indian Households – Economic and Policy Analysis

Author: 
B. Sudhakara Reddy, P. Balachandra, Hippu Salk Kristle Nathan
JEL codes: 
Description: 
WP-2008-024
Abstract: 

Provision of modern energy services for cooking (gaseous fuels) and lighting (electricity) is
an essential component of any policy aiming to address health, education or welfare issues;
yet it gets little attention from policymakers. Secure, adequate, low-cost energy of quality
and convenience is core to the delivery of these services. The present study analyses the
energy consumption pattern of Indian domestic sector and conceptualizes availability,
accessibility, and affordability indicators of modern energy services to households and
describes the practical ways of evaluating them. A comprehensive analysis is done to
estimate the cost for providing modern energy services to everyone by 2030. A publicprivate
partnership-driven business model, with entrepreneurship at the core, is developed with
innovative institutional, financing and pricing mechanisms for diffusion of energy services.
This approach facilitates largescale dissemination of energy efficient and renewable
technologies like smallscale biogas/biofuel plants, and solar water heating systems to
provide clean, safe, reliable and sustainable energy to rural households and urban poor. It is
expected to integrate the processes of market transformation and entrepreneurship
development involving government, NGOs, financial institutions and community groups as
stakeholders.