More than 20% of the world population still does not have access to electricity, approximately 1.411 billion people (IEA, 2011). Brazil represents a facet of this reality: electricity access has been recognized as a citizen right, and thanks to the program Luz Para Todos (Light for all) approximately 14 million people have received electricity access since 2003 in the country (ANEEL, 2010).
However, further extension of the interconnected grid is no longer an option in the Amazon region, due to the long distances that need to be covered and a very difficult topography. There is a need for a new delivery model in which the demand-‐‑side is privileged and decentralized solutions based on local renewable resources are well investigated. (Gómez and Silveira, 2012). More than 700.000 households still have to be served in Brazil with an off-‐‑grid connection, most of those in the north of the country (ANEEL 2011). In addition,
most of the local grids are unsustainably fuelled with Diesel fuel. Diesel generators (DG) are cheaper than renewable solutions in the short term but their operation is costly: The cost of diesel for isolated communities, once the transportation costs are considered, may be two or three times higher than prices charged at gas stations (Silva et al., 2010).
This study explores the possibility of integrating renewable energy in the Amazon region, both for new installations and for hybridization of the existing diesel generators. For doing that a multi criteria analysis have been developed, to explore all the main aspects that should influence aware decisions among the various systems that can provide Energy services to rural populations in the Amazon. Economic, technologic, environmental, social and institutional factors are explored.
With this methodology for each system compared the main positive and negative aspects for providing energy services to rural communities with a determined system are studied and commented. DG solutions, considered as benchmark, are compared with hybrid diesel systems (DG + PV), and with renewable systems chosen for their potential in the area (PV, Micro Hydro Installations and Biomass systems).
The methodology and the conclusions are especially targeted to help decision makers in the region to make more informed choices, with the possibility of looking at a variety of different parameters during the decision process.