Customers who have a solar home system installed by one of our funded partners generally use the pay-as-you-go (PAYGO) model, which can be applied in one of two ways: 

  1. The first is energy-as-a-service, where customers make regular monthly/weekly/daily payments to receive solar electricity, but they will not own any of the installed solar equipment.
  2. The second is rent-to-own, where customers make regular payments over a defined period of time, and then own the solar equipment once it has been paid off. The customer then has free electricity for the remaining life of the equipment.

Since the primary obstacle to solar energy access in emerging markets, such as Kenya, India and Guatemala, is the upfront costs, customers are able to self-finance their access to clean solar energy by paying small, regular amounts using mobile phone technologies

PAYG utilizes the fact that solar energy is cheaper over the long run than existing off-grid alternatives. Thus, access to solar energy can reduce local populations’ energy costs by up to 50% over existing alternatives like kerosene. 

This means people can start saving money and reducing emissions immediately. 

In the end, the overall result is better health, a cleaner environment, and an improved overall standard of living.

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