Bangladesh Rural Electrification and Renewable Energy Development – SHS Project

In 2010, a Global Partnership on Output-Based Aid (GPOBA) grant for $13.95 million was approved to improve electricity access for poor households in rural Bangladesh in remote, off-grid areas through the provision of SHSs. This project was part of a larger SHS program using the OBA approach that began in 2003 with financial and technical support from the World Bank under the Rural Electrification and Renewable Energy Development (RERED) project.

This project exceeded its initial targets, and positive outcomes for rural households were recorded. The project’s original aim was to support installation of 315,000 SHSs, benefitting about 1.4 million people. As the subsidy amount per SHS gradually decreased from $50 per connection to $20 per connection for smaller systems, it was possible to install about 497,608 SHS, benefitting over 2.2 million people. An impact assessment funded by GPOBA has shown that the use of SHSs in rural Bangladesh has had several positive outcomes. 

This Lessons Learned discusses project insights gathered at the end of this project.