Assessing the Diffusion of Renewable Energy Technologies and Socio-economic Development: A Ripple Effect Analysis of Two Policy Choices: Inclusive Clean-burning, Fuel-efficient Cook-stoves and Solar PVs for Street Lighting, Institutional and Home Applications in Hoima District, Uganda

Abstract

This study assessed the diffusion of renewable energy technologies and its impact on socioeconomic development of rural livelihoods, focusing on the ripple effect analysis of two policy choices: disseminating clean-burning, fuel-efficient cook-stoves and photo-voltaic systems in Hoima District, Uganda. The specific objectives were: to identify the factors influencing accessibility and adoption of clean burning, fuel-efficient cook-stoves, to assess the level of investment and the market for clean burning, fuel efficient cook-stoves, and to determine the socio-economic benefits of photo-voltaic systems for street lighting, home and institutional use in the development of rural livelihoods of the study area. The multistage sampling technique was employed, beginning with the purposive selection of Hoima District as the major study area. Secondly, respondents were purposively selected for a desired sample size, where by a sample size of 146 respondents and 8 focus group discussions was taken. The data collected were analysed using SPSS version 20 and STATA version 13.0 software. The results from the regression model indicated that education level, household income, household head occupation, access to information, training service and technical support have facilitated accessibility and adoption of clean burning, fuel-efficient cook-stoves and are statistically significant at 1% level. However, all these variables are attributed to the availability of artisanal fabricators that produce different sizes and designs of stoves at segmented prices from various materials, satisfying the customers‟ choices and preferences. Age, distance from fuel sources and from the market negatively affect the adoption at 10% level. Investment in fabrication on the other hand, is still low, but highly influenced by cheap raw materials that are easily available, high ready market, access to credit, expenditure levels and low levels of education leading to unemployment because most of the fabricators are the youth, implying an unemployed age bracket in the African trend. The study also established that photo-voltaic systems significantly transform rural livelihoods through energy services, money savings, business activities, environmental sustainability, employment, improved study conditions, increased business opportunities all of them at 1% level; PVs increase fish harvests and lead to emergence of new businesses like casinos, salons, and football/cinema show centres (ebibanda), thus significantly transforming rural communities. Therefore, the government should prioritise the investment and promotion of the diffusion of renewable energy technologies to eradicate all forms of poverty sustainably