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The problem with access to electricity -

In certain parts of the world, access to electricity is limited. Communities that cannot rely on transmission from the national grid must find other ways to light their homes and power their businesses.

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Sub-optimal solutions -

Traditionally, people in these communities have relied on either manual labor or a diesel-powered generator to provide their power. Neither of these solutions is ideal.

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Defining mini-grids -

Enter: mini-grids. A mini-grid is best defined as a small-scale electricity generator interconnected to a distribution network that supplies electricity to a localized group of customers.

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Size -

The size of a mini-grid is not strictly defined, but the general consensus is that a mini-grid should supply more than a few kW of electricity to multiple consumers.

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Solar mini-grids -

There are several different technologies that can power a mini-grid; the first is solar. Solar mini-grids are popular now due to the falling price of solar panels, but they do rely on battery storage to meet demand at night.

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Wind mini-grids -

Next up are wind mini-grids, which use turbines to convert wind energy into electrical energy. Wind mini-grids are site specific and they depend on wind speed.

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Hydro mini-grids -

Then there are hydro mini-grids, which are very cost-efficient and have a low environmental impact. These are only a viable option in places with a certain geography, however.

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Hybrid mini-grids -

Finally, we have hybrid mini-grids, which use more than one energy source, including sometimes a non-renewable one. The benefit of a hybrid mini-grid is that it is flexible and can generate power on demand.

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Statistics -

According to the United Nations Industrial Development Organization (UNIDO), in 2019 some 47 million people worldwide were already connected to a total of 19,000 mini-grids.

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Success -

Indeed, in many communities where they have been implemented, mini-grids have emerged as the superstars of reliable and quality electricity supply.

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Social impact -

In addition to providing electricity access in rural communities, mini-grids have also been shown to have a positive social impact by improving the local governance structure.

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Autonomous decision-making -

This is because with mini-grids, members of the community can be involved in the decision-making process linked to their own energy system.

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Opportunities with mini-grids -

There is a lot to be said for scaling mini-grids and increasing their global uptake. Firstly, they are a great way to increase the reliability of energy supply.

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Less power theft -

Since they are small scale in nature and have a higher level of local ownership than the national grid, the problem of power theft can be significantly reduced.

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Reliable power supply -

The reliability of supply is greater still with hybrid mini-grid systems: if for some reason one system is not working, the availability of power is not disrupted.

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Environmental benefits -

There are also obvious environmental benefits to building more mini-grids, both in terms of efficiency and a reduction in carbon emissions.

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Environmental benefits -

Hybrid mini-grid systems, for example, often have an energy supply that comes from 75-99% renewable energy sources.

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Creating growth -

Mini-grids are also great for creating economic opportunity in countries where the national grid system is not well developed, but there is a strong private sector.

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Adaptable -

Furthermore, mini-grids are adaptable in the sense that they can be connected to the national grid as the economy expands.

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Economically attractive -

Finally, mini-grids are becoming more economically attractive as the cost of fossil fuels goes up and the cost of renewable energy sources goes down.

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Subsidies -

Subsidies are still required for certain mini-grid schemes, but they tend to make up a smaller percentage of the investment than with on-grid schemes.

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Challenges -

That is not to say that mini-grids are without their challenges, however. Indeed, there is a reason their penetration remains low in most developing countries.

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Poor maintenance and technology -

The first common challenge is a lack of maintenance and/or the use of poor quality or untested technology when building the grid system.

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Shortages -

This can be due to a lack of sufficient funding to sustain the project over its lifetime and/or a shortage of local skills to maintain the mini-grid.

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Lack of resources -

In certain areas, there is also a problem with access to sufficient primary energy resources. There are several bio gasification projects that remain in their infancy for this reason.

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In Zambia -

This is also the case for several diesel-powered mini-grid projects in countries such as Zambia, where the infrastructure is not adequate and the projects therefore remain in their pilot stages.

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Lack of data -

Another problem is that a lack of data on the local physical parameters can make it difficult to do a proper assessment prior to building the mini-grid.

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A lot of data needed -

To build an efficient mini-grid, a wealth of data is needed on parameters such as population density, types of terrain, and seasonal resource fluctuations. This can be difficult to obtain.

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Sole focus -

Finally, some developers have found it difficult to sustain their mini-grid project because they don’t pay due attention to developing supplementary programs.

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Not sustainable -

Mini-grid projects must go hand in hand with programs that deal with things like market access and SME (small and medium-sized enterprises) development. If they don’t, they are usually not sustainable.

Sources: (Energypedia) (UNIDO)

See also: The energy breakthrough that could change everything

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