The concept of living labs is gaining traction worldwide as a tool for advancing sustainable energy solutions. A living lab is essentially a user-centred, real-life testing ground for innovation. In the energy sector, living labs create open innovation ecosystems where new solutions are co-created and tried out with actual users in their real environments​. By involving various stakeholders (finance institutions, investors, end users, innovators) in an iterative design process, living labs help ensure clean energy technologies are practical, scalable, and tuned to local needs.

Living labs and product development

One of the biggest advantages of living labs is the ability to shorten the feedback loop for product development. Instead of spending years in a closed lab design cycle, companies and researchers in a living lab can deploy early prototypes in the field and observe how they perform. This allows for rapid prototyping and iterative improvement in response to real user feedback. In practice, this means a solar appliance or mini-grid component can go through multiple design tweaks in a matter of months, informed by how people actually use it day-to-day, rather than relying solely on theoretical models.

The living labs concept is the same as iterative field testing which involves deploying early stage product versions (prototypes and MVPs) in different practical contexts in order for the developers quickly learn what works and what fails. Maybe a solar water pump’s valve clogs in silty water, or a pay-as-you-go battery interface confuses shop owners, these issues surface early, when they can still be fixed. The living lab framework encourages a “fail fast, learn fast” mentality. Innovators can implement fixes or refinements to the product and immediately re-test in the community, accelerating the evolution toward a market-ready solution. Using some principles from the lean start up model by Eric Ries, a methodology for developing businesses and products that focuses on rapid iteration, validated learning, and customer feedback, this rapid iteration not only saves time, but also money, by catching design flaws or misalignment with user needs before full commercial rollout.

Customer driven

In a living lab, developers work with end users or communities. For instance, Kijani Testing field testing services use the living lab concept in their demonstration/test sites. First, they research to understand end user needs and constraints before settling on a site where the field testing will be conducted. Once the site is selected, the preceding stages mimic the process, that would be followed if the end user (now site owner) purchased the product themselves without money being exchanged. The site owner will prepare their site for installation at their cost, this instils a sense of ownership. This is followed by training the site owner on product installation, set up and operation. The entire process is closely observed and recorded by Kjani’s technicians. The insights from observation often lead to unexpected innovations or features that a lab engineer might not have anticipated. For example, the site owner might repurpose a solar device in creative ways, revealing new use-cases, or they might identify cultural preferences that shape how a product should look or operate.

Real-world testing and validation

A core function of living labs is to provide a real-world testing ground for emerging technologies. Clean energy solutions, whether a solar mini-grid, a biofuel cookstove, or an efficient irrigation pump, must perform reliably outside the lab, in all the messiness of real life. This on-the-ground testing yields critical insights into a product’s durability, quality, and maintainability.

Field validation through living labs is especially important for technologies destined for challenging environments (like off-grid rural areas). In these contexts, maintenance infrastructure is limited, so repairability becomes a key factor. Living labs provide the perfect venue to evaluate repairability: local technicians attempt to fix the devices when they break, and their success (or struggles) inform design tweaks.

Another benefit of real-world testing is building credibility and proof-of-concept. Demonstration in a living lab yields data on performance (kWh generated, liters of water pumped, hours of light provided) and impacts (money saved on fuel, increase in productivity, etc.) in an actual use case. This validated evidence is powerful for convincing investors, policy-makers, or customers to support the solution.

Scaling Up Productive Use of Energy Solutions

Ultimately, living labs are not just about testing in one locale, they are about setting the stage for broader scaling and replication of successful solutions.

First, they focus on real-world viability, living labs help identify the conditions needed for an innovation to thrive at scale. They answer questions like: what business model makes this appliance affordable to hundreds of end users? What training do users need to fully utilize it? What supply chains for parts and maintenance must be in place for long-term sustainability? By developing and refining the solution in a living lab, these surrounding pieces (financing schemes, user training programs, maintenance networks, etc.) are also tested and improved.

Second, living labs create local success stories that can fuel wider adoption. Word of mouth is one of the most effective marketing tools. Likewise, policymakers and investors pay attention to demonstrable outcomes. A well-documented living lab project can attract funding to replicate its model elsewhere. We see this in programs like SESA, where lessons from one country’s living lab are shared to implement similar projects in other countries​.

Finally, living labs often foster capacity that drive scaling. One of the biggest barriers to uptake for new technologies is lack of awareness that often leads to misinformation. Witnessing of a new technology at work in a practical setting serves as an effective training tool that does not discriminate of people with low literacy levels. By the time the innovation is ready to scale, it’s not just a piece of hardware being dropped into communities, it’s a solution whose value has been proven in practice, with a network of people who know how to implement and maintain it.