A recent award given to a Bangalore-based solar electric company, SELCO, demonstrates an innovative new approach to microfinance. SELCO sells power systems that can electrify a room with one to four bulbs, and has already installed 42,000 such systems in rural
With over 1.6 billion people worldwide lacking electricity, the market for such services is vast. Apart from ensuring better livelihoods, electricity also offers financial benefits. A recent article discusses these foreseeable incentives, which include being able to save money on alternative sources of energy, as well as not being restricted to working during the daytime. The most common options for basic lighting include candles, kerosene and oil lamps, which are low-quality, cumbersome, expensive, and often dangerous, but are usually the only options available to rural families. With the help of microloans, monthly payments for access to solar power are often below what a family is currently paying for alternative sources of energy.
Additional Resources
1) Main article discussed in entry, Times of India: "Solar Power Can Light Up Villages."
2) Ashden Award: Press Release
3) Solar Electric Light Fund (SELF): Economic Benefits
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