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The development of any country depends on the electrification of rural regions as most of the population is residing in rural areas. Development is counted in terms of per capita energy consumption as well as even distribution of electricity. This paper presents an investigation of the impact of rural electrification on lighting, studying, energy expenditure, and income. Data has been collected from southern region rural villages. Some villages are connected and some are non-connected with the grid. To estimate the decision probability of getting connected from households, electrified and non-electrified villages are evaluated. These observations are used to determine the impact of electrification of rural areas on resultant indicators. The authors observed a minor positive effect on home study and income, whereas a major effect on lighting usage. Finally, the potential improvements in the socio-economical status of rural people by improved lighting are highlighted.