Lighting Up the Last Mile: The Benefits and Costs of Extending Electricity to the Rural Poor
What role does electricity play in improving people’s lives? An analysis of the Philippines suggests that the benefits of rural electrification may be significantly high, even in the very short run.
- Our study of the Philippines shows that access to electricity leads to large short-run gains in welfare at the village level.
- We use household-level data to study the causal effect of rural electrification in the country from 2003 to 2014 and compare that to data on actual electrification costs provided by the Philippine government.
- Our analysis suggests that the physical infrastructure costs of extending the electricity grid to a village are, on average, recovered after just a single year of realized welfare gains.
- A large part of these gains occur in the agriculture sector, not from increased employment outside the home.
Resources Magazine — Sep 14, 2016
Lighting Up the Last Mile: The Benefits and Costs of Rural Electrification
The benefits of extending electricity to Philippine villages are so large that the costs are often recovered in one year.
On the Issues — Jan 19, 2024
On the Issues: New Magazine, City-Splitting Highways, and More
A biweekly newsletter connecting global current events, pressing climate and energy policy news, and economics research from RFF scholars. This week: US emissions trends, city-splitting highways, and more.
Resources Radio — Jan 2, 2024
2023 Year in Review: Energy and Environmental Policy, with Karen Palmer and Joseph Majkut
Karen Palmer and Joseph Majkut discuss the important and overlooked stories in energy and environmental policy from 2023, along with stories and issues to watch for in 2024.