RURAL ELECTRIFICATION POLICY AND INSTITUTIONS IN A REFORMING POWER SECTOR1

Some of the problems that have besieged rural electrification in most developing countries include; inadequate policies, limited application of appropriate technologies, limited financing and weak institutional frameworks. In the last two decades, governments have been making various efforts at the policy level to facilitate increased levels of access and affordability of electricity in rural areas. However, the introduction of market-based reforms in the power sector in the last decade has affected existing institutional and financing arrangements for rural electrification. With the privatisation and commercialisation of power supply activities, rural electrification is being classified as a social activity that must be directly supported by government resources. Consequently, implementation of reforms has affected the rate of electrification and affordability of electricity in rural areas. There is need therefore formulate new strategies to support rural electrification. The impact of the reforms have been far reaching such that the new strategies should be rooted in government policy and could call for a re-orientation or establishment of new institutions to specifically deal with rural electrification