Applicability of renewable energy technologies in developing countries

Generating and distributing electricity is an $800 billion business. It is twice the size of the world's automobile industry. Despite this enormous investment, an unacceptably large portion of the world's population does not have access to electricity or its services. In addition, the proportion of the global population that is unserved is growing. To continue to meet the energy needs of its growing population, the world must begin to spend a significant portion of capital on renewable and energy efficiency technologies. The multilateral aid agencies, led by the World Bank, have begun a modest effort to speed up this transition to a sustainable economy. Much more needs to be done in terms of involving other aid agencies and educating policy makers on the benefits of renewables. Governments can play a key role in this area by adopting appropriate policies and reducing subsidies on fossil fuels. Case studies show how renewables have succeeded in favourable investment and policy climates. In the long term, one can envision a hydrogen economy with a large portion of electricity generated by renewables and hydrogen being used as an energy carrier.