The purpose of this paper is to outline the principles of CESP (Community Energy Service Providers) and the issues involved, and to explain the CESP operational modality as applied in the REP (Renewable Energy Project).

Rural electrification can have many benefits-not only bringing lighting, but improving the quality of health care, spreading information and supporting productive enterprises. The extent of these benefits has been questioned, arguing that they may be insufficient to justify the investment costs. This report quantifies these benefits.

Chief Minister Shivraj Singh has announced waiver of the pending penalty on electricity bills of farmers, payment of their fifty percent pending electricity bills, arrangement for payment of electricity bills by farmers twice in a year, extension of benefit of Deen Dayal Upchar Yojana to farmers owning upto one hectare of land, additional bonus of Rs. 100 per quintal on procurement of wheat on minimum support price this year. The Chief Minister also announced to reduce the interest rate on cooperative farm loans from seven to five percent from April one next.

The paper assesses the demand for rural electricity services and contrasts it with the technology options available for rural electrification. Decentralised Distributed Generation can be economically viable as reflected by case studies reported in

The overall goal of this policy is to contribute to rural poverty reduction and environmental conservation by ensuring access to clean, reliable and appropriate energy in the rural areas. In order to achieve this goal, the

According to the 2001 census, about 43.5% of the households have been provided with electricity connections. This has gone up from 30.5% at the time of the 1991 census. The vast majority of rural population, however, still has no access to electricity and is dependent on kerosene lamps and lanterns. Jan-Mar 2005

Even remote areas can be electrified through biomass gasification

The word

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