National Grid to receive rural electrification for over 30,000 households

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Hsu/ Cherry (NP News)-July 23
An official from the Rural Electrification Department under the Ministry of Cooperatives and Rural Development told The Statesman that rural electrification projects outside the national grid will be carried out in over 30,000 households in the current fiscal year.
It is understood that while the Ministry of Electric Power is responsible for nationwide electricity expansion, the Rural Development Department has taken charge of providing electricity to remote villages, areas where power lines are difficult to extend, locations far from the grid, and regions where electrification may take a long time. This is part of an annual budgeted initiative.
"The main goal is to achieve nationwide electricity access by 2030, with the Ministry of Electric Power expanding power supply. However, nationwide expansion is challenging. That’s why our off-grid rural electrification program was introduced. This is a state project developed in collaboration with the World Bank and the government," the official said.
The rural electrification program is being implemented through two primary approaches: whole-house solar systems and mini-grid power systems. Under the whole-house solar system model, individual households are equipped with solar power setups capable of supplying either 60W or 100W of electricity, each complete with a dedicated battery storage unit. Meanwhile, the mini-grid system involves constructing centralized power stations that provide electricity to either a single village or a cluster of two to three neighboring villages. These dual methods aim to ensure reliable electricity access for rural communities beyond the reach of the national grid.
For the current fiscal year, 22 billion kyats have been allocated for rural electrification. Whole-house solar systems will be installed in 339 villages across Naypyidaw Council Territory, Yangon Region, Ayeyarwady Region, Southern Shan State, and Eastern Shan State, benefiting 28,076 households.
Currently, an additional 22 billion (kyats) has been allocated. However, due to the need to reallocate funds for earthquake damage repairs, some reductions may be necessary. For this fiscal year, plans are in place to implement whole-house solar systems under the rural electrification program across 28,076 households in 339 villages located in Nay Pyi Taw Council Territory, Yangon Region, Ayeyarwady Region, Southern Shan State, and Eastern Shan State. Additionally, mini-grid power systems will be installed in 10 villages across Ayeyarwady Region and Tanintharyi Region, benefiting a total of 2,154 households," the official explained.
However, challenges have emerged during implementation. In remote areas with limited governance access and logistical difficulties, service delivery has proven problematic. Additionally, improper usage and failure to follow maintenance guidelines have led to rapid system deterioration in some locations.
"In the mini-grid system, costs are shared between the state, the implementing company, and the village. While some villages contribute consistently, others struggle with public payments. In some areas, governance and accessibility issues make service provision difficult, and even companies hesitate to operate there," the official added.
For the 2024-2025 fiscal year, rural electrification expenditures totaled around 22 billion kyats, achieving 100% completion for all planned projects except those scheduled for two-year implementation. –