Financing Distributed Renewable Energy Deployment
2014
Alison, Matthew
The current market of financing mechanisms to support distributed solar energy within the Middle East and Northern Africa (MENA) region is infant and as such has not been described or analysed appropriately. Within Morocco, Tunisia, Jordan and Egypt this research firstly identified and described the contextual background of these four countries and how they impact on financing mechanism deployment and use, using four key contextual descriptors. Secondly, the paper then describes the current financing mechanisms that are offered by public and private institutions to enable greater solar energy technology diffusion. Then, utilising data attained from literature and on-site interviews the paper evaluates how these mechanisms are designed, implemented and adopted by the consumer within the setting of the national contexts. It was found that the design and implementation features of the identified financial mechanisms in combination with the contextual background had a significant impact on the use of the mechanisms by the targeted consumer. The most utilised financial mechanisms were found in Jordan and Tunisia which both had an appropriate policy context in place that were conducive to financing mechanism deployment and use. Also, collaboration in the design and implementation of the financing mechanisms was found to be a major factor in the success (use) of the financing mechanisms. Additionally, financial mechanisms that were underutilised had obvious design and implementation issues that could be rectified by the relevant actors and improve use.
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