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IndiGo is a solar company trying a new business model: ‘pay as you go’ in Kenya.
They install the system at your home (with LED lights and the possibility to recharge a mobile phone).
To get power you:
- buy a scratch card which has a number on it
- send a text with that number and you receive a code via sms
- you type that code into your IndiGo system and you have power (two solar lights and a re-charger for your mobile phone) for for a day or a week or a month (depending on the amount you paid)
If you have ever experienced the darkness of no lights in Africa, you will understand what a difference a solar light can make. One of the problems is the initial investment, most people can’t afford to pay 30-40 dollars upfront. Even if it’s much cheaper in the long term compared to a kerosone lamp (In Cambodia, for example, villagers can buy a solar lantern at US$25 and use it for two years without any extra costs, where their previous spending on kerosene for lighting was about $2.5 per month, or $30 per year. In Kenya a solar kit that provides bright light or powers a radio or cell phone costs under $30 at retail stores. By switching to this kit Kenyans can save $120 per year on kerosene lighting, radio batteries and cell phone recharging fees. from the article Delivering Solar to a distribution cursed market by Yotam Ariel)
IndiGo offers an elegant solution to this problem because you don’t have to pay anything upfront. You just pay for your energy. I’m very curious how this pilot will work out and if they are able to scale this to a level where it has impact.
Rural populations in developing regions such as Africa enjoy some of the world’s sunniest days - but they also experience the darkest nights. Lacking electricity, over a billion people in these regions are forced to rely on kerosene lamps that emit no more light than a cigarette lighter, or on batteries that can supply power to a hut but require frequent refilling journeys to diesel-powered charging stations.
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More than 10 billion US dollars is spend in Sub Saharan Africa alone every year for kerosene lighting. Apart from that it kills millions because of the fumes, fires, eye problems etc.
No wonder hunderds of companies rush into this space with solar lighting systems. But distribution is still a difficult challenge. Yotam Ariel wrote a nice article about it and how different companies and ngos are trying to get solar into the rural areas.
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