Electrification For The Elite? Examining Whether Electrification Programs Reach The Poor In Bolivia

The Government of Bolivia (GoB) aims to provide electricity coverage for all citizens by 2025. This implies reaching remote areas, where electricity access rates are currently below 90% (as of 2018). To achieve this objective, the country has implemented several initiatives, such as the "Living with Dignity" program (PEVD) launched in 2008 to promote access to electricity for all, targeting the country's poorest areas. Identifying these communities requires relying on different poverty indicators, including the unsatisfied basic needs (UBN) index. This paper focuses on identifying whether the PEVD is targeting the poorest communities. Thus, we explore the criteria that guide the GoB in selecting the areas that should be prioritised. We analyse the suitability of using the UBN index as the social criterion for this purpose. We draw on data provided by the local Censuses of 2001 and 2012. Results suggest that Bolivia's poorest states, namely those having the highest UBN indices for 2001, experienced the largest improvements in electrification between 2001 and 2012. These results could enable policymakers to target future interventions and prioritise the poor for the provision of electricity access. However, using complementary socio-economic indicators, such as the Multidimensional poverty index (MPI), could complement the traditional UBN index by capturing more relevant information that could lead to a more accurate poverty measurement and rural electrification interventions. In addition, Bolivia is not on track to achieve universal access by 2025 and additional investments should focus on increasing electricity access rates in the states of Potosi, Pando, and Beni.