Community Electrification Research Study

Niti Foundation in collaboration with National Association of Community Electricity Users Nepal (NACEUN), a national federation of community electricity users’ group, and funding from The Asia Foundation conducted a study that compared the cost of distribution of electricity between community groups and Nepal Electricity Authority (NEA), a semi-autonomous government agency, in rural communities in Nepal. Findings indicate that communities are able to efficiently manage the distribution of electricity at a lower cost than by Nepal Electricity Authority. Furthermore, such distributive mechanism generates additional benefits, e.g. entrepreneurial activities, social capital, and social equity, which are (re)usable in addressing a wide range of other community problems.