In Ghana, Kenya, Nigeria and South Africa, expansion of their national industrial sector is hindered by shortage of power, high-energy costs and lack of efficient transmission infrastructure. Accordingly, diesel-powered generators are widely used to back-up the grid or mitigate its fluctuations or as substitutes where there is no grid access. This in turn has a two-fold effect:
It increases the total cost spent on electricity for a firm, thereby reducing its profit margins
It generates greenhouse gas emissions that accelerates climate change and causes pollution and health problems.