Empowering Rural Electrification in Honduras: An Integrated Assessment of PV/BESS and Productive Uses of Electricity in Gracias a Dios

Honduras faces significant challenges in its energy sector, particularly in rural areas where access to reliable and affordable electricity remains limited. The flagship rural electrification initiative for Honduras Secretary of Energy (SEN) is the Politica de Acceso Universal a la Electricidad (PAUEH - Universal Electricity Access Policy), a key solution for addressing this energy poverty is the deployment of more than 1700 distributed solar and hybrid mini-grid solutions. In late 2023 as a first step towards supporting SEN's electrification efforts, the National Renewable Energy Laboratory (NREL) developed a literature review of SEN electrification policy documents and conducted a series of technical capacity-building workshops with SEN and other energy sector stakeholders in Honduras focused on using NREL's open-source REopt tool to conduct techno-economic assessments and develop least-cost optimizations for potential solar + storage mini-grid systems. Building on some initial capacity building on mini-grid modeling, the National Renewable Energy Laboratory (NREL) worked with SEN to develop a detailed techno-economic assessment for electrifying two schools, a healthcare clinic, and a hospital in a hypothetical community within the department of Gracias a Dios. The analysis also evaluates the business case for cold storage productive use of energy (PUE) applications for the fisheries value chain and how the incorporation of these PUE loads potentially impacts both the viability of the PV+BESS solutions as well as local economic development. By assessing the potential for deployment of integrated PV/BESS systems to both support critical community services like education and healthcare, as well as potential for downstream enterprise and economic development, this analysis represents a first step that can help to inform specific strategies for development of pilot PV+BESS projects aligned with national priorities and sector level planning under PAUEH.