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3. Evaluate the Business Environment
While adoption of SPIS within a region may be feasible from a geophysical perspective, the operative business environment plays a key role in the actual uptake of the technology. There are various factors that contribute to an enabling environment for the adoption of SPIS, and whose significance varies with the entity promoting SPIS adoption. The 9 parameters presented in this chapter are seen to play the most significant role.
3.1 Government Interventions
3.2 Development Organization Interventions
3.4 Availability and Cost of Alternative Fuels
3.5 Technical Capacity
3.6 Awareness of Solar PV Technology
3.7 Significance of Agriculture in the Local Economy
3.8 Land Access and Tenure
Transport and Communication Infrastructure
Infrastructure is an organizational system of resources that is needed for a society or business to run. Transportation infrastructure such as roads, harbours, airports and rail, and telecommunication infrastructure are physical systems that are needed for efficient operations within a country or region.
Transport infrastructure determines the ease of movement of goods and people. Lack of transportation infrastructure (e.g in deep rural areas and islands) can have significant cost impacts - inefficient transport systems make it difficult to obtain inputs and to deliver products to customers affecting scalability and quality of services. For SPIS market potential, good transport infrastructure would mean reduced costs of system installation as well as easier access to skilled labour for installation and maintenance. Additionally, lower transportation costs could lead to better allocation of funds in running businesses and ease of access to new markets. Good physical connectivity in the urban and rural areas is therefore essential for SPIS users.
Communication infrastructure (especially mobile phone connectivity) would be relevant to SPIS as indicative of access to mobile banking in rural areas and implementing monitoring devices in SPIS. Mobile phone use can also be used as a proxy indicator for income levels. Mobile phone usage in rural areas also shows the users can access services such as agricultural information and financial services such as mobile remittances and loans.
- Assessment of transport and communication infrastructure
- Data on transport network especially roads in rural areas
- Data on mobile penetration particularly in rural areas
- Government ministry of transport and communication
- World Bank ease of doing business report