Evaluation of Mass Electricity Connections in Kenya

Last registered on August 15, 2023

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Pre-Trial

Trial Information

General Information

Title

Evaluation of Mass Electricity Connections in Kenya

RCT ID

AEARCTR-0000350

Initial registration date

April 23, 2014

Initial registration date is when the trial was registered.

It corresponds to when the registration was submitted to the Registry to be reviewed for publication.

First published

April 23, 2014, 3:56 PM EDT

First published corresponds to when the trial was first made public on the Registry after being reviewed.

Last updated

August 15, 2023, 6:30 PM EDT

Last updated is the most recent time when changes to the trial's registration were published.

Locations

Country

Kenya

Region

Busia, Siaya

Primary Investigator

Name

Edward Miguel

Affiliation

University of California, Berkeley

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Other Primary Investigator(s)

PI Name

Catherine Wolfram

PI Affiliation

University of California, Berkeley

Contact Investigator

PI Name

Kenneth Lee

PI Affiliation

University of California, Berkeley

Contact Investigator

Additional Trial Information

Status

Completed

Start date

2014-02-07

End date

2020-08-31

Keywords

Environment & Energy

Additional Keywords

Electrification, Energy

JEL code(s)

Secondary IDs

Prior work

This trial does not extend or rely on any prior RCTs.

Abstract

Electrification has long been a benchmark of development, yet almost 70% of the population of Sub-Saharan Africa lives without access to electricity. Since 2006, Kenya’s Rural Electrification Authority (REA) has rapidly expanded the national grid, installing electricity distribution lines and transformers across many of the country’s rural areas. There is now a unique opportunity to increase rural energy access through grid connections. This study explores the opportunity to increase rural energy access through grid connections. We utilize a randomized controlled trial to examine: 1) the demand for grid connections in rural areas, 2) the cost economies associated with mass connections, and 3) the social and economic impacts of grid power.

External Link(s)

Registration Citation

Citation

Lee, Kenneth, Edward Miguel and Catherine Wolfram. 2023. "Evaluation of Mass Electricity Connections in Kenya." AEA RCT Registry. August 15. https://doi.org/10.1257/rct.350-8.3

Former Citation

Lee, Kenneth, Edward Miguel and Catherine Wolfram. 2023. "Evaluation of Mass Electricity Connections in Kenya." AEA RCT Registry. August 15. https://www.socialscienceregistry.org/trials/350/history/189938

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Experimental Details

Interventions

Intervention(s)

In partnership with the Rural Electrification Authority (REA), our team of researchers will distribute national grid connection subsidies of varying amounts to randomly selected unconnected households in rural parts of Western Kenya. These subsidies will allow households to connect to the national power grid at relatively low prices (compared to the current connection price of $412). There will be three levels of subsidies: (1) high value subsidies equal to $412, (2) mid value subsidies equal to $235, (3) low value subsidies equal to $118.

The randomized encouragement design will allow researchers to generate exogenous variation in electricity connections. In the first stage of the project, the intervention will allow researchers to: (1) trace out the demand curve for electricity connections in order to better understand the price at which the majority of Kenyans would connect to the grid, and (2) trace out the economies of scale in costs resulting from coordinated (grouped) connections. In the second stage of the project, the intervention will allow researchers to measure the social and economic impacts of electrification. The remainder of this text will focus on describing the first stage of this project.

Intervention Start Date

2014-04-28

Intervention End Date

2014-08-31

Primary Outcomes

Primary Outcomes (end points)

The following are the key outcome variables of interest in the first stage of the project:

1. Demand: Different levels of subsidies will create random variation in the effective prices faced by rural households. By comparing take-up rates at different prices, researchers will be able to trace out a demand curve for grid connections.

2. Costs: Different levels of subsidies will create random variation in the number of households applying for power at the same time. By connecting multiple households at the same time, utilities can experience significant economies of scale in transport, design, and low-voltage line costs. We will therefore estimate the effect of increasing scale (i.e. number of applications) on the average connection cost per household.

In the second stage of the project, we will examine the impacts of electrification on a range of outcomes, including energy consumption, household structure, productivity and wealth, consumption, health and wellbeing, education, social and political attitudes, and community outcomes.

Primary Outcomes (explanation)

Secondary Outcomes

Secondary Outcomes (end points)

Secondary Outcomes (explanation)

Experimental Design

The study will take place across 150 “transformer communities” in Western Kenya. Each transformer community is defined as the group of all households located within 600 meters of a central electricity distribution transformer. In Kenya, all households within 600 meters of a transformer are eligible to apply for an electricity connection. The study will enroll roughly 25 randomly selected households from each transformer community. The subject population will consist of roughly 4,000 unconnected households in total.

The total sample of transformer communities will be randomly divided into treatment and control groups of equal size (75 treatment, 75 control). Each of the 75 treatment communities will be randomly assigned to one of three treatment arms (i.e. subsidy groups). Within each treatment community, all enrolled households will receive the same subsidy offer. After receiving the subsidy offer, treatment households will be given 8 weeks to accept the offer and deliver the required payment to REA. REA will then ensure that an electricity connection is delivered within a reasonable timeframe. Within each treatment community, connection applications will be grouped together, allowing REA to install multiple connections at the same time.

Experimental Design Details

Randomization Method

Randomization done in office by a computer

Randomization Unit

Randomization will be performed at the level of the transformer community. There are 150 transformer communities in total, of which 75 will be assigned to the treatment group and 75 will be assigned to the control group.

Was the treatment clustered?

Yes