Future energy systems need to be renewable, inclusive, and resilient. Decentralised energy, where generation and governance occur closer to the point of use, is gaining traction as a way to achieve these goals. ‘Community energy’ is one approach within this broader shift, ensuring that people play a central role in decision-making and ownership. Whether through local control or collective governance, these systems give communities a direct stake in their energy future. More broadly, decentralised energy models, ranging from cooperative solar projects to independent microgrids, can accelerate the deployment of renewables and generate significant local socio-economic benefits. However, challenges such as financing constraints, technical capacity, and regulatory hurdles continue to limit their expansion.

This inquiry will explore locally led development in the context of energy systems. It will assess the UK Government’s role in addressing global energy poverty while promoting clean energy and strengthening local communities abroad. It will seek to understand how much Official Development Assistance (ODA) supports localised energy projects, how effective and transformative this funding is, and where gaps exist in financing, technology, and capacity-building. It is interested in understanding the value-for-money of financing localised energy projects, accounting for their full environmental and social benefits.

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