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Improving Society through Electrification: The Case of Solar Energy in Mozambique
Moore, Christian
Moore, Christian
Abstract
This paper estimates the impact different forms of investment in solar energy would have on the economy of Mozambique. As a poor country, electrification could help spur investment and productivity growth in Mozambique. Rural electrification in particular could help move Mozambique’s farmers past subsistence agriculture, helping to create a more inclusive economy. Due to the exponential relationship between GDP and carbon emission in Mozambique, we focus on electricity from solar because that resource represents the best pathway for decoupling emissions from growth in the electricity sector. The results find that while investments in solar energy improves overall economic performance, household consumption levels fall due to an increase in household savings, and that the investments in solar actually lead to increases in emissions for Mozambique.
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2021-05-01
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Economics