Review of penetration and impact of utility solar installation in developing countries: policy and challenges

This review examines the penetration and impact of utility-scale solar installations in developing countries, focusing on the policy landscape and challenges associated with their adoption. Solar energy has emerged as a vital component of the global shift towards renewable energy, offering substantial potential for alleviating energy poverty and fostering sustainable development in regions with abundant solar resources. Despite these opportunities, the penetration of utility-scale solar in developing countries faces several barriers. These include financial constraints, inconsistent policy frameworks, technological challenges, and social acceptance issues. This review explores the current status of solar energy adoption, highlighting regional trends and key countries such as Kenya, India, and South Africa, which have made significant strides in solar deployment. It assesses the economic, social, and environmental impacts of utility solar projects, emphasizing their role in job creation, electrification, and climate change mitigation. However, challenges such as high initial costs, limited access to financing, weak grid infrastructure, and regulatory bottlenecks continue to impede broader adoption. Policy and regulatory support are critical to overcoming these challenges. This review outlines the national and international frameworks that influence solar energy penetration, as well as the incentives, subsidies, and financing mechanisms available. Recommendations include streamlining regulatory processes, improving access to finance through innovative models, and enhancing grid infrastructure. Finally, the review discusses future trends, including advancements in solar technology, energy storage, and smart grid integration, which could accelerate the growth of solar installations in developing countries. The findings underscore the need for comprehensive strategies that address policy, financial, and social challenges to fully realize the potential of solar energy in these regions.