Communities in rural Bolivia often lack access toelectricity. Off-grid micro-hydro power (MHP) canoffer a technologically and economically viablesolution. Despite Bolivia’s huge potential, thetechnology has not been widely diffused yet. Thisstudy investigates which barriers exist and how theycan be overcome. This has been done by using adynamic learning-based approach, to be able to tellwhy sometimes barriers act as true ‘killer constraints’, whereas at other times barriers spur local communities and implementing organizations intoaction to resolve them, serving as inducements for local learning and strengthening capabilities overtime. This study of eight remarkable projects showsthat a basic understanding of the technology and somefinancial knowledge is indispensable. However, oftenother surprising barriers play a key role, like e.g.a history of distrust between various communities.Fortunately, it is shown that solutions do not alwayshave to be expensive or hard to implement. Lessonslearned in successful projects, e.g. a project thatis competing with the national grid, can and shouldbe used to overcome the barriers other projects are facing.