Page 12 - Money in Energy
P. 12
Money in energy -Investment Opportunities and risks 2010

According to a sample of 97,882 households in 2002, electricity was the main
source of lighting for 53% of rural households compared to 36% in 1993.
2.1Energy production In India

2.2 The transition to modern energy services
As poor families in developing countries gradually increase their incomes, they
can afford more modern appliances, and they demand more and better energy
services. But the transition from traditional biomass use to full dependence on
modern energy forms is not a straight-line process. The three main determinants
in the transition from traditional to modern energy use are fuel
-Availability. If a modern distribution system is not in place, households cannot
obtain access to modern fuels, even if they can afford them. LPG penetration
rates are slow in many developing countries, partly because distribution
infrastructure is lacking.
Affordability The affordability of energy-using equipment is just as important as
the affordability of fuels and the initial cost of acquiring kerosene and LPG stoves
may discourage some people from switching away from biomass.

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