Energy Access Gateway/Policies
IEA (2009b) cites “sound statistical data...and a clear description of the [energy services] situation” as the first of the preconditions for successful rural energy access policies. This means that before we can fully understand the policies that need to be created to help impoverished nations and people gain access to energy sources through the grid, or through improved energy services, we must first have the data to help create that roadmap.
The International Energy Agency (IEA) has a long history of using energy indicators. The Energy for Development Index (EDI), first presented in the 2004 World Energy Outlook (IEA, 2004), is a composite measure of energy use in developing countries. Designed to mirror the UNDP’s HDI, the EDI is intended to assess a country’s or region’s progress in its transition to modern fuels and electricity in its energy end- use. The EDI is composed of three indicators: per-capita commercial energy consumption16, share of commercial energy in total final energy use, and share of population with access to electricity. These three indicators have been chosen because they represent the best measures of a country’s degree of transition towards modern energy use, taking into account the need to choose indicators for which data is available for the greatest possible number of countries. A separate indicator is created for each dimension, and the final index is then calculated as the arithmetic average of the three normalized indicators’ values. In addition, WEO projections are used to evaluate future trends in EDI values, providing insights with regard to the need for policies and investments.