Rural electrification

Rural electrification is the process of bringing electrical power to rural and remote areas. Rural communities are suffering from colossal market failures as the national grids fall short of their demand for electricity. As of 2019, 770 million people live without access to electricity – 10.2% of the global population.[1] Electrification typically begins in cities and towns and gradually extends to rural areas, however, this process often runs into obstacles in developing nations. Expanding the national grid is expensive and countries consistently lack the capital to grow their current infrastructure. Additionally, amortizing capital costs to reduce the unit cost of each hook-up is harder to do in lightly populated areas (yielding higher per capita share of the expense). If countries are able to overcome these obstacles and reach nationwide electrification, rural communities will be able to reap considerable amounts of economic and social development.

This graph shows the world rural electrification rate along with the electrification growth rate 1990–2016 and synthesizes data from the World Bank.[2]
  1. ^ IEA (2022), SDG7: Data and Projections, IEA, Paris https://www.iea.org/reports/sdg7-data-and-projections, License: CC BY 4.0
  2. ^ "Access to electricity, rural (% of rural population) | Data". Archived from the original on 2018-09-17. Retrieved 2019-03-13.