Publication: Private Rural Power : Network Expansion Using an Output-Based Scheme in Guatemala
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2002-06
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2002-06
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In 1998 the government of Guatemala privatized the two companies responsible for distributing electricity in rural areas. The new owner, Union Fenosa, was obliged to implement an ambitious five-year rural electrification program. The goal: to increase the share of households with an electricity connection from 64 percent to 90 percent by 2004. Under this output-based scheme the two companies are paid US$650 for each eligible residential connection made. If no connections are made, no payment is made. So far the scheme has performed well-completing 122,000 new rural connections between May 1999 and May 2002-and is on track for the 2004 targets.
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“Harris, Clive. 2002. Private Rural Power : Network Expansion Using an Output-Based Scheme in Guatemala. Viewpoint. © World Bank. http://hdl.handle.net/10986/11341 License: CC BY 3.0 IGO.”
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