This study, the first to concentrate onBangladesh's energy systems and their effects on thelives of rural people, drew on these background studies, aswell as other World Bank-financed research on IAP and ruralinfrastructure, to present a rural energy strategy for thecountry. The study's broad aim was to identify ways toimprove the living standard in rural Bangladesh throughbetter and more efficient use of energy, while creating anenvironment conducive to growth and poverty reduction. Forany developing country, the crux of a rural energy strategyis to have more and better choices for meeting rural demandfor energy through market mechanisms and sound policy. Thisgoes hand in hand with the development of competentimplementing institutions, which are critical to theprocess. Also important are new supply- and demand sidetechnologies that can be used to raise rural people'swelfare and improve productivity to increase growthprospects. Accordingly, the rural energy strategy advocatedby this study aims to satisfy the types of demand thatincrease household welfare and raise rural growth prospectsas energy becomes a direct input into the production process.