Africa’s PAYGO sector is dominated by non-African companies, some of which compete heavily with each other through their investors. They have adjusted to the multiple risks and side effects of the PAYGO model, including a shift in the main customer group from remote to peri-urban customers.
Mini-grid markets cannot realize their full potential as most energy regulators do not provide an appropriate answer to the simple question “What happens when the main grid arrives?”
The sale of off-grid solar systems using end-customer credits has become a widespread standard today under the overall term pay-as-you-go (PAYGO). Even though the off-grid solar market in sub-Saharan Africa has received a considerable boost as a result and the instrument has often proven to be effective, it is also associated with risks.
Kinabi in eastern Uganda is the 19th solar village of the Solar Energy Foundation in East Africa. 100 households now have a basic supply of solar energy.
Emissions accounting and drivers in East African countries, published by Science Direct, focussed on the carbon emission inventories of Ethiopia, Kenya, Tanzania, Uganda, Djibouti, Eritrea, Rwanda and Burundi.
Because of unreliable grids, there are millions of small fuel generators in (not only) Nigeria that emit millions of tons of CO2 every year. The Access to Energy Institute (A2EI) set out to provide the sector with an open source hardware solar business system that can replace the noisy, unhealthy fossil fuel generators.
The constant blackouts were caused either by load shedding or when Eskom cut off the supply owing to non-payment of the steep electricity bill. “At some point we were owing Eskom around R300,000. But load shedding was also a major problem, it was hitting us really hard,” says Chief Livhuwani Matsila, who heads the Matsila royal family in Limpopo.
The cooperative of local solar companies in Uganda (Sendea) welcomes another member: Solar Nation Ltd. The company was established in 2019 to serve the growing energy sector needs and is now the seventh member of Sendea.
Dr. Harald Schützeichel
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