Enhancing affordability for productive uses of renewable energy

On May 15, SNV and partners will participate in a new webinar series titled ‘End-user Subsidy Lab: Productive Uses of Renewable Energy (PURE)’.

 The webinar, co-hosted by GOGLA, ESMAP - Energy Sector Management Assistance Programme, Energising Development (EnDev), and the Clean Cooking Alliance (CCA), with special collaboration from SNV and support from the IKEA Foundation, will explore the design principles behind DSS schemes and the conceptualisation of end-user subsidies.

Demand-side subsidy (DSS) programmes are emerging as effective solutions in making solar energy and other renewable technologies accessible and affordable for end-users. These programs democratise access to solar solutions, strengthening the PURE ecosystem and fostering sustainable development.

 The first event of the series will introduce SNV’s latest discussion paper, which addresses the critical challenge of affordability that hinders the widespread adoption of PURE technologies.

About the discussion paper

The paper, Enhancing Affordability for Productive Uses of Renewable Energy, examines the role of demand-side subsidies (DSS) in overcoming end-user affordability constraints that hinder the adoption of agricultural productive use of energy (PUE) equipment. Developed through an extensive literature review and stakeholder interviews, the paper offers a nuanced approach to subsidy design, aligning subsidy tools with the specific affordability constraints within a given market ecosystem.

Productivity gains in smallholder agriculture can significantly improve rural livelihoods, but affordability constraints limit the use of productive equipment. The paper introduces this approach in three parts:

 Nuances of affordability: The paper delves into the concept of affordability, establishing a foundation for understanding how subsidies can address specific end-user affordability challenges.

Agricultural PUE ecosystem maturity: Next the varying maturity levels of agricultural PUE ecosystems are explored. This helps us understand how specific affordability challenges and corresponding subsidy tools manifest differently across diverse settings.

Conceptual framework: Finally, a conceptual framework is presented designed to guide decision-making on when and how to apply demand-side subsidies concerning the maturity of the ecosystem.

This discussion paper is now public to foster dialogue and contribute to ongoing efforts in tackling end-user affordability challenges. You can download the paper here.

Join the discussion

We invite you to join this insightful exploration and be part of the conversation that aims to make renewable energy solutions more accessible and affordable for all.

You can participate in the webinar ‘End-user Subsidy Lab: Productive Uses of Renewable Energy (PURE)’ by registering at the following link.

Learn more about SNV's sustainable energy initiatives