Market Potential Analysis of Renewable Energy Technology for Household Application in Ghana (A Case Study of Solar in Accra).

Market Potential Analysis of Renewable Energy Technology for Household Application in Ghana (A Case Study of Solar in Accra).

Cephas Raphael Kwakye Konadu

This study analyses the market potential of renewable energy technology for household use in Ghana. The research used solar technology in the Greater Accra Region as a case study. With the research on the resource and techno-economic potential of solar already done, the next step was to analyse the market potential to ascertain the existence of the demand for the technology. The study accessed the awareness and potential adoption of the renewable energy. It also evaluated the barriers preventing the mass adoption and diffusion of the solar technology. The research also looked at how policy initiatives of the regulatory body for the renewable energy sub sector is affecting the acceptance and popularity of the technology. A research design for descriptive survey was used for the study with data collection done using online questionnaire and interview. A total of 376 people from the general public were sent questionnaires via an online tool called Google Forms for the acquisition of data for quantitative analysis. Personnel of the Energy Commission and key industry players were interviewed using pre-structured questions. The results from the study show that households in Ghana are aware of renewable energy and very interested in the adoption of the technology. Over 99% of the respondents knew about solar though other renewable sources like geothermal and tidal were not that popular. However, barriers like high initial installation cost, access to funds and inadequate availability of technical experts hinder the adoption of the technology. The study revealed that over 80% of the respondent has concerns with respect to the high initial cost of the installation of solar. Based on these challenges, the
government is being urged by stakeholders to make policies or revise existing ones to reduce the cost burden on the consumers to facilitate adoption and mass diffusion of the technology. Some recommendations which were proposed included an improvement of the net metering system and tax cuts or free duty for the importation of renewable energy equipment into the country. It was also recommended that renewable energy companies should seek a market model like partnering with the banks to make affordable payment plans available for prospective customers.

MSc Engineering and Management

September, 2018