Paper
Philippines - Energy through Microfinance
A note on rural energy financing
Download
2 pages
This note presents a report on the Global Village Energy Partnership (GVEP) Microfinance Workshop, held in the Philippines. The workshop aimed to increase access to modern and affordable energy services in areas not served by current energy delivery systems.
The note states that the participants of the workshop:
- Discussed new and innovative as well as tried and tested means of increasing access to energy services through financial services;
- Concluded that microfinance institutions (MFIs) and consumer credit can increase lending for energy access projects;
- Studied new ideas about savings products and payment plans for energy suppliers;
- Identified key conditions for MFI financing for rural energy and good practices to serve as replicable models;
- Determined how GVEP could improve rural energy financing;
- Explored various institutional options for extending microfinance for energy services;
- Examined GVEP's current design and structure of financing facilitation services that can target the consumer;
- Found a role for GVEP in facilitating both consumers access to, and delivery of, microfinance;
- Assessed possible obstacles to extending consumer loans and savings products for energy services;
- Examined field experience with alternative capitalization guarantees and interest rate structures designed to fully recover an organization's operating costs.
The note concludes that the participants' hard work produced informative conclusions about GVEP's role in using microfinance to increase the rural poor's access to energy vital to their participation in their own economic development.
About this Publication
Published
