The intention of households in the Daklak province to instal smart grid rooftop solar electricity systems

Abstract

Background: Smart grid rooftop solar electricity is a useful power resource and a viable alternative to conventionally generated energy. In the context of Vietnam, it could help people control their own source of electrical power and reduce power outages. This problem is expected to worsen in the future. Previous studies have shown that very few smart grid rooftop solar electricity systems have been installed by households in the Daklak Province, in the Central Highlands of Vietnam, and that as of 30th May 2019, only 18 out of 435,688 households had installed such a system. Moreover, only a small number of people knew about this resource. Method: Based on previous investigations, this study proposed a research model that includes factors, which might affect the intention to instal smart grid rooftop solar electricity systems. However, the amount of money that people would be willing to pay (WTP) for the installation of such systems depends on their current electricity consumption. Therefore, to investigate this issue, a questionnaire was developed to survey 300 households in the Daklak Province, in the Central Highlands of Vietnam. A probit binary model was used to analyse the collected data from the questionnaire for this study. Results: After interviewing the respondents from the 300 households in the research area and introducing into the concept and benefits of the smart grid solar electricity generating systems, they were more aware and knowledgeable of the concept. Thirty-three percent of households mentioned that they intended to instal such a system and were willing to pay between USD 1240 and USD 2220 for an appropriate-sized system based on their current electricity consumption and needs. Those households that possessed a high awareness of smart grid rooftop solar power were more likely to express the intention to instal such a system. However, it was also revealed that government incentives and household attitudes were important factors that influence the intention to instal such a system. In contrast, factors such as environmental concerns and the innovativeness of households were less influential. Conclusion: The awareness and understanding of the 309 households surveyed in this study regarding smart grid rooftop solar electricity systems and government incentives were the leading factors that affected the people’s intention to instal such systems. The majority of the respondents were willing to pay between USD 1240 and USD 2220 for installing such a system. In progressing this initiative in Vietnam, based on the results of this study, the Vietnamese government could identify those households that have the necessary degree of knowledge and awareness of such systems and offering incentives to instal such systems. The government could also develop communication programmes and other initiatives to enhance the understanding and awareness of the community of rooftop solar electricity so that programmes for the development of alternative energy sources could be more effective.