Diffusion of solar products on the african market (case: ghana)

Thesis Abstract

Solar energy is one of the numerous renewable energy sources that can be relied upon when thinking about the provision of sustainable energy to the vast majority of people living in the developing countries who are yet to have access to clean and sustainable energy. The potentials of solar energy has not been realized yet in the developing Sub-Saharan African countries like Ghana due to several barriers which impede the penetration and diffusion of solar products into the African market and Ghana for that matter. Meanwhile, a research on the energy system in Ghana shows that many consider solar power as an alternative energy source due to the unreliable nature of the sources of power in the country, mainly hydro and thermal power plants.

This research studied the major barriers that impede the penetration and diffusion of solar products into the African market(s) and the case country in the study was Ghana, West Africa. The solutions to the identified barriers have also been captured in the work with some recommendations.

1   1. INTRODUCTION

1.1 Background

Energy has become an essential ‘commodity’ in our modern day society. Whether a nation is developed or undeveloped it can only function well if energy is prevalent. However, threats of global warming, acidification and nuclear accidents have made it possible to transform the energy we already have into a new focus since the demand for energy is fast growing (Tester, Drake, Driscoll, Golay & Peter 2005). Essential to development and without energy, countries cannot achieve the Millennium Development Goal.

Renewable energy has become one of the strongest partners to improve the plight of about two billion people around the world who are living in mostly rural areas and have no access to any form of energy which is considered as modern. It is estimated that about half a billion people also have limited or unreliable access to energy. It must be noted that these people are living the most remote parts of the world where population growth is on the increase. If there is any difference to be made in the lives of these people then it must be a way of helping them to get connected to power sources. In spite of development in technology and economic viability of so many applications, renewable energy has been utilized to a small fraction of the total potentials it has. This is because of the presence of so many barriers to the penetration of renewable energy products. The barriers to renewable energy products may differ within technologies across countries. This research focuses on the identification of these barriers and if possible how to overcome them.

Since the beginning of the 1980s, the rate of growth in the use of solar power for domestic purposes has shown that the use of solar energy is both mature and technically reliable (James & James 2003).

This research is about the diffusion of solar systems in the African market and the case country is Ghana in West Africa. It is to provide empirical evidence on the critical factors that influence the success of energy products in Ghana and if possible the neighboring countries, which are Togo, Burkina Faso and La Cöte d’ Ivoire.