Economic Viability and Socio-Environmental Impacts of Solar Home Systems for Off-Grid Rural Electrification in Bangladesh
Abstract
:1. Introduction
2. Materials and Methods
2.1. Study Area and Data Collection
2.2. Sample Selection for Case Studies
2.3. Analytical Procedure for Financial Analysis
- I = Total Investment
- R = Total Return
- E = Total Expense
- Bn = Total benefit
- Cn = Total cost
- r = Discounting rate
- NPV1 and NPV2 = Two different interest rates (NPV1 is positive, and NPV2 is negative)
- n = Lifespan of a system (1, 2, 3…20 year).
3. Results and Discussions of Financial Analysis
3.1. Cost Items
- ➢
- Scheme 1: 15% will be the down payment, and the remaining 85% will be 36 months’ installment payment @ 8% flat interest rate service charge
- ➢
- Scheme 2: 25% will be down the payment, and the remaining 75% will be 24 months’ installment payment @ 6% flat interest rate service charge
- ➢
- Scheme 3: 35% will be down the payment, and the remaining 65% will be 12 months’ installment payment @ 5% flat interest rate service charge.
3.2. Results and Discussions
3.3. Comparison with Previous Studies
4. Impacts of Solar Home Systems
4.1. Environmental Impacts
4.2. Socio-Economic Impacts
4.2.1. Lighting Impacts
4.2.2. Recreational and Information Impacts
4.2.3. Economic Impacts
4.2.4. Health Impacts
5. Constraints of Solar Home Systems
5.1. Disposal of Battery
5.2. Lack of Technical Support
5.3. High Initial Investment and Repair Cost
5.4. Technical and Maintenance Problems
6. Conclusions
Author Contributions
Funding
Conflicts of Interest
References
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District and Upazila Name | Village Name | SHS Users’ Category | ||
---|---|---|---|---|
Micro-Enterprise | Household Lighting | Household Lighting with Income Generation | ||
Netrokona district, Durgapur Upazila | Kulagura | 10 | 10 | 5 |
Boroikandi | 10 | 10 | 5 | |
Dhakmara | 10 | 10 | 5 | |
Sub-total | 3 | 30 | 30 | 15 |
Grand Total | 75 |
Items | Lifespan (Years) |
---|---|
Solar home systems | |
Solar panel | 20 |
Panel/Charge controller | 5 |
Solar inverter | 15 |
Battery (lead-acid battery) | 4 |
Switch | 4 |
Cable | 5 |
LED Light | 2 |
LED light holder | 3 |
Kerosene lamp system | |
Hurricane | 5 |
Chimney | 0.5 |
Wick or mantle | 0.5 |
Pressure lamp | 3 |
Capacity (Wp) | Package Details | Back-Up Time | Cost, BDT (1$ = 80 BDT) |
---|---|---|---|
20 | 1 Solar Panel-20 W | 3–4 h | 16,000–17,000 |
1 Internal Battery-15 Ah | |||
1 Solar inverter | |||
2–3 LED Lights | |||
Electric wiring and Installation | |||
30 | 1 Solar Panel-30W | 3–4 h | 22,000–23,500 |
1 External Battery-30 Ah | |||
1 Solar inverter | |||
2–3 LED Lights | |||
Electric Wiring and Installation | |||
40 | 1 Solar Panel-40 W | 4–4.5 h | 28,500–29,500 |
1 External Battery-40 Ah | |||
1 Solar inverter | |||
3–4 LED Lights | |||
Electric Wiring and Installation | |||
42 | 1 Solar Panel-40 W | 4–5 h | 31,500–32,500 |
1 External Battery-55 Ah | |||
1 Solar inverter | |||
4–5 LED Lights | |||
1 Solar Stand Fan | |||
Electric Wiring and Installation | |||
50 | 1 Solar Panel-50 W | 4–5 h | 36,000–37,000 |
1 External Battery-55 Ah | |||
1 Solar inverter | |||
4–5 LED Lights | |||
1 Solar Stand Fan | |||
Electric Wiring and Installation |
Items | Price in BDT (1$ = 80 BDT) |
---|---|
Panel/Charge controller | 1300 |
Solar inverter | 5800 |
Battery (lead-acid battery) | 12,500 |
Switch | 100 |
Cable | 250 |
LED Light | 220 |
Hurricane | 450 |
Chimney | 150 |
Pressure lamp | 2500 |
Wick or mantle | 50 |
Charge light | 250 |
LED light holder | 80 |
Case Studies | Capacity Wp | Purpose of Use | Replaced Items | Payback Periods (Years) | NPV | IRR (%) | ||
---|---|---|---|---|---|---|---|---|
6% | 8% | 12% | ||||||
1 | 20 | Lighting in house | 2 kerosene lamps | 8.81 | −8373 | −8771 | −9055 | -- |
2 | 20 | Lighting in house | 2 kerosene lamps and 1 kerosene pressure lamp | 5.27 | 9571 | 6334 | 2356 | 15.89 |
3 | 30 | Lighting in house | 2 kerosene lamps | 40.90 | −8852 | −9340 | −9685 | -- |
4 | 30 | Lighting in the shop | 2 kerosene pressure lamps | 1.96 | 40,792 | 35,868 | 26,020 | 75.19 |
5 | 30 | Lighting in house | 1 kerosene lamp and 1 battery | 31.80 | −7775 | −8122 | −8994 | -- |
6 | 40 | Lighting in the stationary shop, radio, and phone charge | 2 generator bulbs and 1 electric charger light | -- | 73,187 | 60,161 | 41,688 | 45.99 |
7 | 40 | Lighting in the house and mobile phone service, television, and phone charge | 3 generator bulbs, 1 battery, and 1 electric charger light | 2.27 | 39,650 | 32,698 | 23,028 | 130.95 |
8 | 40 | Lighting in the grocery shop, television, and phone charge | 2 generator bulb and 1 kerosene pressure lamp | 2.80 | 30,549 | 27,666 | 16,427 | 38.90 |
9 | 42 | Lighting in the grocery shop, television, and phone charge | 2 generator bulb and 1 electric charger light | 2.21 | 81,383 | 67,023 | 46,951 | 86.56 |
10 | 42 | Lighting in the house, operate a sewing machine, television, and phone charge | 2 generator bulb and 2 kerosene pressure lamps | 1.16 | 89,681 | 75,604 | 55,781 | 46.20 |
11 | 42 | Lighting in the phone service shop, television, and phone charge | 2 generator bulb and 1 battery | 3.56 | 42,285 | 33,079 | 20,509 | 33.84 |
12 | 42 | Lighting in house | 3 kerosene lamps | 9.57 | −11,580 | −12,481 | −14,283 | -- |
13 | 50 | Lighting in the grocery shop, television, and phone charge | 2 generator bulbs,1 kerosene pressure lamp, and 1 battery | 2.27 | 39,650 | 32,698 | 23,028 | 130.90 |
14 | 50 | Lighting in the stationary shop, and phone charge | 2 generator bulbs and 2 electric charger light | 2.44 | 81,050 | 58,730 | 46,349 | 45.70 |
15 | 50 | Lighting in the house, mobile phone charge, television, and sewing machine | 3 generator bulbs, 1 electric charger light, and 1 battery | 2.21 | 90,430 | 74,475 | 52,170 | 86.56 |
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Sarker, S.A.; Wang, S.; Adnan, K.M.M.; Anser, M.K.; Ayoub, Z.; Ho, T.H.; Tama, R.A.Z.; Trunina, A.; Hoque, M.M. Economic Viability and Socio-Environmental Impacts of Solar Home Systems for Off-Grid Rural Electrification in Bangladesh. Energies 2020, 13, 679. https://doi.org/10.3390/en13030679
Sarker SA, Wang S, Adnan KMM, Anser MK, Ayoub Z, Ho TH, Tama RAZ, Trunina A, Hoque MM. Economic Viability and Socio-Environmental Impacts of Solar Home Systems for Off-Grid Rural Electrification in Bangladesh. Energies. 2020; 13(3):679. https://doi.org/10.3390/en13030679
Chicago/Turabian StyleSarker, Swati Anindita, Shouyang Wang, K M Mehedi Adnan, Muhammad Khalid Anser, Zeraibi Ayoub, Thu Hau Ho, Riffat Ara Zannat Tama, Anna Trunina, and Md Mahmudul Hoque. 2020. "Economic Viability and Socio-Environmental Impacts of Solar Home Systems for Off-Grid Rural Electrification in Bangladesh" Energies 13, no. 3: 679. https://doi.org/10.3390/en13030679