Expanding rural access to renewable energy: lessons from Sri Lanka's Energy Services Delivery Project (ESDP)

Abstract

The Energy Services Delivery Project (ESDP) in Sri Lanka was an exemplary renewable energy access programme. Consisting of a Credit Component, a Wind Farm Component and a Capacity Building Component, the $55.3 million ESDP successfully installed 21,000 offgrid Solar Home Systems (SHS), 31 megawatts (MW) of grid-connected mini-hydro capacity, 574 kilowatts (kW) of offgrid village hydroelectric systems serving 2,897 households, and a 3 MW grid-connected wind farm from 1997 to 2002. By the end of 2004, two years after the ESDP’s close, the Sri Lankan renewable energy industry boasted more than 40 mini-hydro developers, 10 registered solar companies, 22 registered village hydro developers and 12 village hydro equipment suppliers compared to less than three of each before the ESDP began. This study explores the dynamics of the ESDP, investigates its structure, benefits, challenges and broader implications.