Lighting Africa: Expansion to Ethiopia and Tanzania

Background

The majority of households in Sub-Saharan Africa rely on costly, inefficient and hazardous fossil-fuel based lighting, and buying the kerosene for lamps can consume up to 30% of total family incomes.  

Lighting Africa (LA) is a joint IFC/World Bank programme to accelerate the market for affordable and modern off-grid lighting solutions in the region. LA is mobilizing the private sector to provide 500,000 high quality lanterns by the end of 2012, benefiting some 2.5 million people.  The longer-term goal is to provide 250 million people with clean off-grid lighting by 2030.

Two previous REEEP-funded projects supported LA exhibitions in Ghana and Kenya to showcase modern off-grid lighting solutions. Currently LA is widening its scope to Ethiopia, Tanzania, Mali, Senegal, and Liberia.

Purpose

To expand Lighting Africa activities to Ethiopia and Tanzania, bringing affordable, clean off-grid lighting to poor households as part of the larger LA expansion effort in Sub-Saharan Africa.

Main Activities

  • Identify local companies in Ethiopia and Tanzania, assist them in conducting market research on user preferences for off-grid lighting; produce market intelligence reports
  • Develop the LA programme design and strategic plan for market expansion in each country and identify pilot projects
  • Facilitate financing for three small and medium sized enterprises (SMEs) distributing three quality off-grid lighting products in bulk
  • Train at least 50 government and business stakeholders on products and their benefits
  • Support participation in 3rd Off-Grid Lighting Conference in Autumn 2012 to promote country activities, learn lessons/best practices, exhibit products, and network

Expected Impact

  • Three quality products introduced into the marketplace in large quantities with financing facilitated for the operation of three SMEs.
  • Off-grid lighting solutions provided to households in Ethiopia and Tanzania, substituting for fossil fuel based lighting sources with better quality at lower costs.
  • Extension of the productive working day for rural enterpises and small businesses, contributing to increased incomes and improved working conditions.
  • Expanded markets, business models and incomes for local entrepreneurs/businesses. Lowering of barriers to market entry across the value chain.
  • Effective engagement of global lighting manufacturers in a new market area.
  • Reduced greenhouse gas emissions and environmental pollution from displaced fossil fuels.
  • Reduced consumer prices for a range of affordable, reliable, and high-quality lighting products and services.
  • Improved market conditions for the scale-up of modern lighting products through the reduction of existing technical, financial, policy, information, and institutional barriers.
  • Mobilization of the international community-governments, private sector, international organizations, and NGOs to aggressively support the penetration of modern lighting services for the poor in Africa.
  • Improvements in children's grades and study habits by expanding time for studying.
  • Improved health from reduced indoor air pollution.
  • Enhanced safety by reducing the fire hazard associated with flammable fuels.

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Programme sector: 

RE & EE (Business&Finance)

Stage of project: 

Completed

Location: 

ET/Ethiopia, TZ/Tanzania (Liberia, Mali, Senegal)

Duration: 

2011 - 2013

Budget: 

€ 710,617 including co-funding from World Bank/ESMAP/Bilateral Donors

Implementing agency: 

World BankEnergy and Security Group

REEEP grant funded by:

United Kingdom

Norway