*4.2. Survey Data: Community Ecosystems—Central Features*

While the literature review has pointed toward the necessity of including the community context for an interdisciplinary research and implementation approach of sustainable decentralised energy systems, the following section aims to illustrate how the community context facilitates or limits the operational sustainability of RE MGs.

The empirical survey data as a basis for this evaluation focuses on four main aspects which are relevant with this regard: (1) the income situation of rural households, (2) the current use of energy, (3) the potential creation of added value through energy demands and (4) end-user experience. The data is presented for Uganda and Zambia to increase the applicability and validity of data for generalisable outcomes [68] and has been detailed for the national, regional and community levels in Zambia to account for eventual local and regional variations.

### 4.2.1. Socio-Economic Characteristics and Rural Income Situation

The financial and hence operational sustainability of MGs is directly interlinked with the income situation of its potential and actual customers as it determines levels of energy affordability, consumption levels and overall MG revenues. Hence, the full utilisation of the energy generated from the energy system and steady cash flow are central to cover at least the operating expenses of the system.

The empirical data presented in Figure 2 indicates, that well over 80% of the respondents in Zambia are self-subsistence farmers with a high dependency on seasonal rainfalls and reported low average household spending levels of around ZMW 288 as of 2020. This amount lies significantly below the reported average rural household income levels of ZMW 810 reported in 2015 [69] and translates into around \$13 per month under currency exchange rates of spring 2021 as Figure 3 illustrates. For Uganda, the data suggests higher average household incomes and monthly spending levels of around \$86 per month.

It must be noted, however, that capturing income data has proven to be challenging due to high variations of income levels stated by the respondents in Zambia for example between ZMW 5000 to ZMW 20 monthly. This is also due to the fact that many respondents only generate an income once or twice annually as they rely on the sales of seasonal farming produce, mainly maize, with no or just very little other income. Hence capturing actual local income levels is challenging and needs local verification. Furthermore, the calculation in \$vs local currency is subject to significant fluctuations. The Zambian Kwacha for example lost over 60% value over the US Dollar between 2019 and 2021.

The high prevalence of over 95% of income generation through some form of selfemployment including self-subsistence farming and low levels of wage labour are interrelated with high degrees of income intermittency in Uganda and Zambia. Close to 80% of the respondents in Uganda, where the proportion of income generation through small businesses is slightly higher than in Zambia, and around 90% of respondents in Zambia reported a significant income variation throughout the year. Interestingly, MG or SHS access does not impact or reduce the income variation in both countries. This indicates either a low or no use of productive use appliances or their limited impact to generate stable income throughout the year.

**Figure 2.** Socio-economic characteristics of rural communities in Uganda and Zambia (N = 1016; Responses in %; Multiple responses possible).

**Figure 3.** Average monthly spending levels of rural communities in Uganda and Zambia (N = 1016; Responses in %; Multiple responses possible). \* Based on currency exchange values of 2020.

The causes of income fluctuation have been evaluated in more detail on community level in Zambia among non-MG users and are mainly related to the direct and indirect dependency on seasonal rainfall patterns due to the absence of irrigation solutions and low degrees of agri-processing which requires small scale industrialisation and affordable energy supply. Climate change-induced droughts as experienced in the rainy season of 2018/2019 in Southern Zambia seriously threaten the socio-economic fragility of these communities and seriously threaten food security in the region.
