Advances in Phytochemistry, Textile and Renewable Energy Research for
Industrial Growth – Nzila et al. (Eds)
© 2022 Copyright the Author(s), ISBN: 978-1-032-11871-0
Open Access: www.taylorfrancis.com, CC BY-NC-ND 4.0 license
Mini-grids as the vehicle to rural development in Uganda: A review
R.G. Mugagga
Kenyatta University, Nairobi, Kenya
H.B.N. Chamdimba
Malawi University of Science and Technology, Limbe, Malawi
ABSTRACT: Mini-grids are regarded as the technology that shall equitably realize the last mile connectivity
through a blinding pace. In this paper, the authors investigated the socio-economic impact of mini grid adoption on
the rural communities which was undertaken through a review of literature on the existing large scale mini grids
in Uganda. Simultaneously, the benefits, challenges and opportunities of mini-grid development in the country
were also assessed. Among the fourteen mini grids currently operational in the country, five case studies based on
three typical technology types i.e. solar, hydro and biomass were reviewed. The results showed increasing costs
per kilowatt in the order of hydro, solar and biomass technologies corresponding to $0.11-0.18, $0.19-0.28 and
$0.28 respectively. Secondly, that households in tiers 1-2 were the main beneficiaries as opposed to commercial
customers and lastly that the prospects of stimulating productive uses of energy shall inevitably impact rural
development in Uganda positively.
1 INTRODUCTION
Universal electricity access continues to be fronted
with more concerted efforts more critically in this last
decade of action for the UNAgenda 2030 (IEA IRENA
UNSD WB WHO, 2019). Though this motive is faced
with several impediments, several strides are underway ranging from several global, regional, and national
plans (Bhatia & Angelou, 2015; Narayan et al., 2020).
Rapid deployment technologies inclusive of mini grids
(MGs) have been envisaged to expedite the last mile
connectivity to the rural communities so as to reduce
the electricity access gap (Weston et al., 2016). In
Uganda, several institutional frameworks have been
put in place being supplemented by nascent policy
developments. Among these was the advent of the
Rural Electrification Agency (REA) whose mandate
is to widen the rural electricity access in more adequate and reliable approaches through off- and on-grid
solutions (MEMD, 2002, 2019). The policy developments on the other hand continue creating favorable
environments for the participation of the private sector
in the deployment of emerging green technologies for
distributed generation (DG) (MEMD, 2015b; Twaha
et al., 2016).
In effort to increase rural electrification for socioeconomic development, the country needs to invest
more in MG projects (MEMD, 2015a). Increased
adoption is being fueled by their numerous factors
such as reducing technology costs, autonomy in nature,
modularity, short lead times and increasing productive
uses of energy (PUE) (Opiyo, 2019). MGs are regarded
as intermediate power utilities that can serve the rural
communities with sufficient energy demand through
a blinding pace (Bahaj & James, 2019). Furthermore,
they are essential solutions to rural electrification
with preferences of higher value of power, reduced
losses, reduced costs of transmission and distribution networks and micro generation within consumers’
proximity (Marnay, Asano, Papathanassiou, & Strbac,
2008).
In the past, several authors have devoted several
studies to the renewable energy (RE) resource potential (ERA, 2016; MEMD, 2015a; Twaha et al., 2016)
as well as on the levels of deployment of nascent green
technologies in Uganda (Fashina, Mundu, & Akiyode,
2018; Mugagga & Chamdimba, 2019). But few studies
(Nygaard et al., 2018) have been conducted to reveal
the practical implications of MG adoption to the society. Therefore this paper seeks to fill this research
gap. The authors conducted a desk review methodology of existing literature on the available reported
MGs upon which a further review of five of them was
conducted. The selection was based on the diversity
of technologies that have been employed inclusive of
solar photovoltaics (PV), hydro and biomass which
were analyzed to assess their independent penetration impacts. This shall aid in establishing the linkage
between rural electrification and its related socioeconomic impacts towards rural development on a
local context hence provide the impetus for better
policy and increased technological penetration.
This review has been organized as follows; first, is
an analysis of the impact of rural electrification to rural
246
DOI 10.1201/9781003221968-34
Industrial Growth – Nzila et al. (Eds)
© 2022 Copyright the Author(s), ISBN: 978-1-032-11871-0
Open Access: www.taylorfrancis.com, CC BY-NC-ND 4.0 license
Mini-grids as the vehicle to rural development in Uganda: A review
R.G. Mugagga
Kenyatta University, Nairobi, Kenya
H.B.N. Chamdimba
Malawi University of Science and Technology, Limbe, Malawi
ABSTRACT: Mini-grids are regarded as the technology that shall equitably realize the last mile connectivity
through a blinding pace. In this paper, the authors investigated the socio-economic impact of mini grid adoption on
the rural communities which was undertaken through a review of literature on the existing large scale mini grids
in Uganda. Simultaneously, the benefits, challenges and opportunities of mini-grid development in the country
were also assessed. Among the fourteen mini grids currently operational in the country, five case studies based on
three typical technology types i.e. solar, hydro and biomass were reviewed. The results showed increasing costs
per kilowatt in the order of hydro, solar and biomass technologies corresponding to $0.11-0.18, $0.19-0.28 and
$0.28 respectively. Secondly, that households in tiers 1-2 were the main beneficiaries as opposed to commercial
customers and lastly that the prospects of stimulating productive uses of energy shall inevitably impact rural
development in Uganda positively.
1 INTRODUCTION
Universal electricity access continues to be fronted
with more concerted efforts more critically in this last
decade of action for the UNAgenda 2030 (IEA IRENA
UNSD WB WHO, 2019). Though this motive is faced
with several impediments, several strides are underway ranging from several global, regional, and national
plans (Bhatia & Angelou, 2015; Narayan et al., 2020).
Rapid deployment technologies inclusive of mini grids
(MGs) have been envisaged to expedite the last mile
connectivity to the rural communities so as to reduce
the electricity access gap (Weston et al., 2016). In
Uganda, several institutional frameworks have been
put in place being supplemented by nascent policy
developments. Among these was the advent of the
Rural Electrification Agency (REA) whose mandate
is to widen the rural electricity access in more adequate and reliable approaches through off- and on-grid
solutions (MEMD, 2002, 2019). The policy developments on the other hand continue creating favorable
environments for the participation of the private sector
in the deployment of emerging green technologies for
distributed generation (DG) (MEMD, 2015b; Twaha
et al., 2016).
In effort to increase rural electrification for socioeconomic development, the country needs to invest
more in MG projects (MEMD, 2015a). Increased
adoption is being fueled by their numerous factors
such as reducing technology costs, autonomy in nature,
modularity, short lead times and increasing productive
uses of energy (PUE) (Opiyo, 2019). MGs are regarded
as intermediate power utilities that can serve the rural
communities with sufficient energy demand through
a blinding pace (Bahaj & James, 2019). Furthermore,
they are essential solutions to rural electrification
with preferences of higher value of power, reduced
losses, reduced costs of transmission and distribution networks and micro generation within consumers’
proximity (Marnay, Asano, Papathanassiou, & Strbac,
2008).
In the past, several authors have devoted several
studies to the renewable energy (RE) resource potential (ERA, 2016; MEMD, 2015a; Twaha et al., 2016)
as well as on the levels of deployment of nascent green
technologies in Uganda (Fashina, Mundu, & Akiyode,
2018; Mugagga & Chamdimba, 2019). But few studies
(Nygaard et al., 2018) have been conducted to reveal
the practical implications of MG adoption to the society. Therefore this paper seeks to fill this research
gap. The authors conducted a desk review methodology of existing literature on the available reported
MGs upon which a further review of five of them was
conducted. The selection was based on the diversity
of technologies that have been employed inclusive of
solar photovoltaics (PV), hydro and biomass which
were analyzed to assess their independent penetration impacts. This shall aid in establishing the linkage
between rural electrification and its related socioeconomic impacts towards rural development on a
local context hence provide the impetus for better
policy and increased technological penetration.
This review has been organized as follows; first, is
an analysis of the impact of rural electrification to rural
246
DOI 10.1201/9781003221968-34