Expanding access to clean energy in rural areas was a central goal of GEF’s early investments in off-grid solar photovoltaic (PV) projects, yet little evidence existed on how well different delivery models worked in practice. 

 

To address this, a 1999 thematic review assessed 23 projects in 20 countries, representing US$210 million in GEF financing and US$1.4 billion in total costs. The review compared sales models, where households buy and maintain their own systems, with service models, where companies provide electricity for a fee. Drawing on documents, reports, interviews, and field visits to Bangladesh, China, Ghana, India, Sri Lanka, Uganda, and Vietnam, it examined barriers such as affordability, financing, policies, marketing costs, and technical standards.

The review finds that strong institutions, viable business models, and supportive policy environments are critical to success. Service models proved particularly effective in improving affordability and extending access, since households could pay over time rather than make upfront purchases.

It concludes that lasting impact depends on shifting from demonstration projects to replicable, commercially viable, and sustainable delivery and credit models.