d.light to participate in $148m off-grid solar grant facility in Uganda

 d.light, the global provider of transformational household solar products and affordable finance for low-income households, is participating in new grant-funded initiatives backed by the Ugandan Government to extend access to clean, affordable solar energy to homes, businesses and public institutions in the country that lack energy access.

d.light will draw on grants with a total value of USD$148M to subsidise the prices of its clean cookstoves, Solar Home Systems, and solar lanterns, and to provide financing for low-income customers to purchase these products on credit by leveraging a credit line of up to USD$100M.

The grants are results-based, and d.light will receive the funding once it achieves sales targets agreed with the Uganda Energy Credit Capitalisation Company (UECCC), the organisation wholly owned by the Ugandan government that is responsible for coordinating and allocating public and private investment in renewable energy infrastructure in the country.

The initiatives include the Uganda Government’s own Electricity Access Scale Up Project (EASP) which is funded by the World Bank. In addition to the EASP initiative, d.light is taking part in a separate programme to support refugees in Uganda and the communities who host them with subsidised solar products and affordable personal finance. This programme is supported by multiple international development agencies, including the German Government’s international development agency Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) and is structured as a demand-side results based finance project funded by the Government of Netherlands through Energising Development (EnDev).

d.light first launched operations in Uganda in 2016 and offers a range of solar-powered household appliances and systems, including solar home systems, solar lanterns, clean cookstoves, TVs and smartphones. d.light has an office in Kampala and employs more than 120 staff nationwide.

According to US government agency USAID, Uganda has one of the lowest electrification rates in the world. The World Resources Institute estimated in 2020 that more 18 million Ugandans – that is, 58 percent of the population – were living without access to electricity.

Commenting on the news, d.light CEO Nick Imudia said, “Access to a reliable and affordable electricity supply is essential for achieving the economic growth and social development that will lift people and communities out of poverty and improve their quality of life. In countries such as Uganda where much of the population still live without electricity, off-grid solar products are a proven, practical solution for their day-to-day energy needs. Government subsidy and credit support programs like the UECCC initiative opens up access to these products and allows more people to benefit from clean, safe, sustainable energy.”

“d.light has been present in Uganda for seven years and has an established network of distributors and agents across the country. Our knowledge, experience and resources on the ground there make us an ideal partner to work towards the Government’s objective of increasing access to energy for households, businesses and public institutions.”