Renewable energy in developing countries is an increasingly used alternative to fossil fuel energy, as these countries scale up their energy supplies and address energy poverty. Renewable energy technology was once seen as unaffordable for developing countries. However, since 2015, investment in non-hydro renewable energy has been higher in developing countries than in developed countries, and comprised 54% of global renewable energy investment in 2019. The International Energy Agency forecasts that renewable energy will provide the majority of energy supply growth through 2030 in Africa and Central and South America, and 42% of supply growth in China. Most developing countries have abundant renewable energy resources, including solar energy, wind power, geothermal energy, and biomass, as well as the ability to manufacture the relatively labor-intensive systems that harness these. By developing such energy sources developing countries can reduce their dependence on oil and natural gas, creating energy portfolios that are less vulnerable to price rises. In many circumstances, these investments can be less expensive than fossil fuel energy systems. In isolated rural areas, electricity grid extensions are often not economical. Off‐grid renewable technologies provide a sustainable and cost‐effective alternative to the diesel generators that would be otherwise be deployed in such areas. Renewable technologies can also help to displace other unsustainable energy sources such as kerosene lamps and traditional biomass. Kenya is the world leader in the number of solar power systems installed per capita (but not the number of watts added). More than 30,000 small solar panels, each producing 12 to 30 watts, are sold in Kenya annually. Kenya was the first African country to use geothermal power, and still has the largest installed capacity of geothermal power in Africa at 200 MW, with a potential of up to 10 GW.
Rationale for renewable energy
In 2009, about 1.4 billion people in the world lived without electricity, and 2.7 billion relied on wood, charcoal, and dung for home energy requirements. This lack of access to modern energy technology limits income generation, blunts efforts to escape poverty, affects people's health, and contributes to global deforestation and climate change. Small-scale renewable energy technologies and distributed energy options, such as onsite solar power and improved cookstoves, offer rural households modern energy services. Renewable energy can be particularly suitable for developing countries. In rural and remote areas, transmission and distribution of energy generated from fossil fuels can be difficult and expensive. Producing renewable energy locally can offer a viable alternative. Renewable energy doesn't always have to come from a developing country. The Developing Areas Study Group session is a group of speakers from all over the energy businesses discusses the potential ideas to get developing countries the renewable energy that they need. Papers written by W. Morgan, R. Moss and P. Richard discuss the opportunities of renewable resources that lie within the developing country as well. Morgan and Richard claim firewood and agriculture could play a great role in an alternative energy solution in developing countries, while Richards claims that efficient use of agriculture could lead to renewable energy. Morgan also points out that green plants could play a great role in producing synthetic fuel alcohol, which would not only impact the developing country but the world as a whole in providing an alternative fuel source. Interest in renewable energies has increased in recent years due to environmental concern about global warming and air pollution, reduced costs of the technologies themselves, and improved efficiency and reliability. In recent years, supportive programs from governments, businesses, nonprofit organizations, and community cooperatives have expanded access to these off-grid technologies and the energy services they provide. Program planners should select "low-hanging fruit" first, aiming for maximum access to modern energy services with the least effort.
Use of renewables
Collectively, developing countries have more than half of global renewable power capacity. China and India are rapidly expanding markets for renewable energy. Brazil produces most of the world's sugar-derived ethanol and has been adding new biomass and wind power plants. Many renewable markets are growing at rapid rates in countries such as Argentina, Costa Rica, Egypt, Indonesia, Kenya, Tanzania, Thailand, Tunisia, and Uruguay. In isolated rural areas, electricity grid extensions are often not economical. Off‐grid renewable technologies provide a sustainable and cost‐effective alternative to the diesel generators that would be otherwise be deployed in such areas. Renewable technologies can also help to displace other unsustainable energy sources such as kerosene lamps and traditional biomass. Technology advances are opening up a new solar power market for the approximately 1.3 billion people around the world who don't have access to grid electricity. The majority of this population uses kerosene lamps and solar power costs half as much as lighting with kerosene. An estimated 3 million households get power from small solar PV systems. Kenya is the world leader in the number of solar power systems installed per capita. More than 30,000 very small solar panels, each producing 12 to 30 watts, are sold in Kenya annually. Micro-hydro systems configured into village-scale or county-scale mini-grids serve many areas. More than 30 million rural households get lighting and cooking from biogas made in household-scale systems. These stoves are being manufactured in factories and workshops worldwide, and more than 160 million households now use them.
Poverty alleviation
Renewable energy projects in many developing countries have demonstrated that renewable energy can directly contribute to poverty alleviation by providing the energy needed for creating businesses and employment. Renewable energy technologies can also make indirect contributions to alleviating poverty by providing energy for cooking, space heating, and lighting.
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