WASHINGTON: An investment of approximately $11.4 billion over the next four years is needed to provide reliable off-grid solar electricity to hundreds of millions of people, according to a report by the World Bank’s Energy Sector Management Assistance Program and the Global Off-Grid Solar Association (GOGLA), Bloomberg reported.
Thank you for reading this post, don't forget to subscribe!The report highlights the affordability challenge facing off-grid solar users, despite solar energy accounting for the largest share of new power capacity added worldwide.
“Off-grid solar remains the least-cost solution for at least 398 million people without access to electricity and a strong complement to the grid, often serving communities beyond its reach,” the report said.
According to the latest Off-Grid Solar Market Trends Report, the required investment includes around $1.3 billion annually in grants and subsidies, alongside $1.6 billion a year in equity, debt and receivables financing.
The report also noted that the global energy transition requires an estimated $3 trillion to $5 trillion in annual investment by 2030.
The number of people using off-grid solar products increased by 26 per cent to 149 million in the two years to 2025. Over the past 15 years, these products have generated approximately $28 billion in additional income and savings for customers.
In sub-Saharan Africa, Kenya, Nigeria and Zambia accounted for 47 per cent of solar home system sales in 2025, while most other markets in West and Central Africa recorded limited growth.
Affordability remains a major barrier. Around one-third of households without electricity can afford an entry-level solar home system through pay-as-you-go financing, spending up to 5 per cent of household consumption expenditure. Another third could afford the systems with difficulty, spending as much as 10 per cent.
GOGLA Executive Director Sarah Malm said off-grid solar had demonstrated its ability to deliver electricity at scale in areas beyond the reach of conventional power grids.
She stressed that governments, investors and development partners must recognise off-grid solar as essential infrastructure to accelerate electricity access for hundreds of millions of people.
