Does Electrification Really Cause Economic Growth?

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Villages brightened from 2001 (L) to 2011 (R). Images: Burlig & Preonas / NOAA

Electrification is associated with a seemingly endless list of social and economic goods. Nations that use more power tend to have increased income levels and educational attainment and lower risk of infant mortality, to name but a few. So I was baffled to stumble across a pair of economic analyses on electrification in India and Kenya, posted last month, that cast serious doubt on what has long assumed to be a causal link between the glow of electricity and rural development.

“It is difficult to find evidence in the data that electrification is dramatically transforming rural India,” concludes Fiona Burlig, a fourth-year UC Berkeley doctoral student in agricultural and resource economics who coauthored the India study. “In the medium term, rural electrification just doesn’t appear to be a silver bullet for development.” Continue reading

Tata and Berkeley Frigid to MDI’s Air Cars

Air France and KLM agreed to test a dozen AirPods from spring 2009 but still await delivery from MDI

Indian carmaker Tata Motors is voicing concerns about the range and durability of the compressed-air powered minicar technology that I critically analyzed for IEEE Spectrum this month (see “Deflating the Air Car”). Tata Motors invested in French air car developer Motor Development International (MDI) in early 2007, but yesterday Mumbai-based news source DNA reported that Tata sees ongoing issues with MDI’s technology.

Tata already sells vehicles that run on gasoline, compressed natural gas, and liquid petroleum gas and is launching a battery-powered sedan in Europe. However, Tata Motors’ vice-president for engineering systems S Ravishankar apparently told DNA Money that the company’s efforts to add air-powered cars to its fleet are hung up by range limitations:

“Air is not a fuel, it is just an energy carrier. So a tank full of air does not have the same energy as a tank full of CNG. Any vehicle using only compressed air to run would face problems of range.”

When asked whether this means that “the ‘Air Car’ project [is] off?,” Ravishankar declined to comment. Instead, Ravishankar added that excessive cooling of the air car’s pneumatic engine is also presenting a challenge. Continue reading