Assessment of Renewable Energy Technology Financing Models in Developing Countries Using Sustainability Metrics

Renewable energy technology (RET) project is a capital investment; hence, enough fund must be made available to prevent either delay or abandoning of the project. It is, therefore, compulsory that stakeholders consider all alternatives for RET funding before the commencement of a RET project. This article presents a framework that improves how RET financing models are analyzed under uncertainty conditions. The framework integrates best worst (BW) method and extended Technique for Order of Preference by Similarity to Ideal Solution (TOPSIS) method; these methods were selected because they improve the optimality of a decision-making process. Selected social, technical, economic, environmental and policy (STEEP) indicators were used to evaluate RET financing models. BW method was used to evaluate these indicators importance. The implementation of solar photovoltaic (PV) micro-grid project in a remote community in Nigeria was used as a case study. Based on literature knowledge, three RET financing models (debt -P1, private equity -P2, and public funds -P3) were selected based on their unique attributes to public projects success in developing countries. From a STEEP perspective, these models were ranked as follows: P1>P2>P3.