Almost 25 million people in Indonesia are still living in poverty. Most of these people are living in a rural area. Energy provision is considered as one of the first steps towards poverty alleviation. However, there are many challenges faced by the Indonesian government in provi
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Almost 25 million people in Indonesia are still living in poverty. Most of these people are living in a rural area. Energy provision is considered as one of the first steps towards poverty alleviation. However, there are many challenges faced by the Indonesian government in providing electricity to the rural area, because most of the non-electrified villages are difficult to access by off-grid connection. Hence, renewable energy technology is widely considered as the most viable option for rural electrification that could stimulate economic growth without harming the environment. As technology provider agents, social entrepreneurs and NGOs have an essential role in technology development and knowledge transfer to people in a rural area. This highlights the importance of social entrepreneurship in supporting rural development and electrification. However, the implementation of rural renewable energy has high dependencies on charitable funding and grants. This addresses the most critical challenge for social enterprises and NGOs, that is to become financially and socially sustainable, especially after the launch of the innovation. Thus, identification and analysis of critical success factors for the commercialization phase of social innovation are needed. This study aims to identify and analyze the critical success factors influencing social innovation and entrepreneurship, particularly in the rural renewable energy field. Then, possible recommendations can be proposed to overcome the barriers. A combination of research methodologies is used in this study, combining both primary and secondary data through literature review, interview, and case study with cross-case analysis. The case study will be conducted by analyzing three social entrepreneurs focusing on rural renewable energy in Indonesia, such as Lentera Bumi Nusantara (LBN) for the wind turbine, Renewable Energy Service Company (RESCO) Sumba for solar PV, and Institut Bisnis dan Ekonomi Kerakyatan (IBEKA) for micro-hydro. The main deliverables from this study are the framework of influencing factors for social innovation in the commercialization phase and recommendations to overcome the barriers. The proposed framework and suggestions can be used as a basis for future research in other cases of social innovation, not only limited to rural development and renewable energy field. The study provides a final framework of 20 factors, which is based on these three levels: individual organization, civil society, and state. For the “individual organization” level, the factors are long-term goals and commitment, planning and targets, credibility and capability of the company, organizational culture and environment, qualified personnel, benefits for personnel, the role of company leaders, products and services, cost recovery model, natural resources, and standard procedures and practices. For the “civil society” level, the factors are target market readiness, benefits for users or community, community involvement and participation, network and partnership, financial support, and competition. For the “state” dimension, the factors are regulations and policies, administrative and bureaucratic procedures, and infrastructure.