Management of innovation in the electricity sector: impact of framework policy

Abstract

The framework policy has a significant impact on the management of innovation in the electricity sector. To be effective, the framework policy should be adapted to the local, national, and international context. In order to find out how to adapt the policy framework efficiently, it is important to carefully examine the existing situation. When considering the development of renewable energy technology for electricity generation, policy framework plays a more important role. A short literature review analysis on the topic reveals that for developing countries having a low electricity access rate, the deployment of mini-grid presents a huge opportunity. In each local context it is important, however, to define which type of mini-grid should be adapted and how to increase the renewable energy share of mini-grid. It is also important to review the different existing policy mechanisms related to mini-grid and renewable energy development and consider how each mechanism can influence innovation in the electricity sector. The current research is dedicated to the framework policy analysis only.