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Purpose

This study aims to focus on the nexus between off-grid systems and impacts on islands and remote villages in Ghana by investigating the sources and cost of energy, willingness to pay for electricity and impacts of off-grid energy on the local economy, education, health, social activities, the environment and migration.

Design/methodology/approach

Data were obtained from 110 households; heterogeneous impact analysis of off-grid technologies, average treatment effect by inverse probability weights (IPW) and inverse probability weighted regression adjustment (IPWRA) models were used to analyse the data.

Findings

The sources of energy are gas, kerosene, wood fuel and dry-cell battery. All households in communities with neither electricity nor off-grid system were willing to pay for electricity. Households without off-grid systems (US$8.1) were willing to pay higher amounts per month for electricity. The off-grid technologies improve the local economy, social activities, security, the environment, education and health as well as reduce out-migration.

Originality/value

Most of the literature on mini-grid/off-grid systems have been from the engineering and the technical perspective, with a few on the socioeconomic impacts of the systems and consumer engagements. Besides, methods including descriptive statistics, energy technology sustainability framework and qualitative analysis were used in these studies. Nevertheless, the authors used a more rigorous method of the doubly robust inverse probability weighted regression adjustment model and a heterogeneous method to model the impact analysis of off-grid systems.

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