Session 3.3: Innovative and Inclusive Microfinance for Renewable Energy

May 22nd, 2019

Energy access for poor rural communities is dependent on three core pillars: appropriate renewable energy technologies, effective distribution channels, and affordable financing. Microfinance institutions (MFIs), in partnership with pro-poor energy product suppliers, can offer financing and built-in distribution channels to their existing clients, most of whom are women. Presenters in this session highlighted efforts to improve financial inclusion for energy access through microfinance and will discuss how investments in clean energy can improve productivity, create jobs, and enhance livelihoods for poor rural families, and especially for women.

Moderator: Niki Armacost, Managing Director, Arc Finance


Creating Clean Energy Entrepreneurs through Affordable Financing
Rakesh Dubey, CEO, S V Creditline Limited

SVCL initiated financing e-rickshaws in FY 2016-17. This presentation provided an overview of the financing program and its impact. The loans, coupled with easy repayments, has helped the rickshaw drivers manage their finances well and acquire an affordable asset. More than 300 families are progressing well through this intervention.

Sustainable Business Models for MFIs to Deliver Renewable Energy
Raymond Patrick Serios, Assistant Director for Strategic Projects, Negros Women for Tomorrow Foundation, Inc.

This presentation highlighted NWTF’s success story on achieving scale and sustainability for its solar program focusing on two aspects: demand generation through marketing and education by dedicated program officers, and product support (technical support, inventory management, returns, distribution) through partners and suppliers.

How Microfinance Helps Individuals Climb the Energy Ladder
Sanaullah Fathi, Business Leader – Asia & Pacific Greenlight Planet

This presentation provided an overview of Greenlight Planet and ASHI’s collaboration on green lending to help their clients improve their quality of life through energy access. ASHI's clients who have invested in solar products report longer study time for their children, ease in accomplishing domestic chores, and higher safety factor.

Universal Access to Energy – the Future
Mayukh Choudhury, CEO, Milaap Social Ventures

As of 2018, India claims to have achieved 100% electrification across all states. This does not necessarily translate to continued supply of power for all and calls for more reliable sources of energy. However, this will result in a shift of consumer demand to grid-connected devices and systems. This presentation focused on the need for loans with larger ticket sizes; from the $50 solar lantern, to the $200 home system and $ 10,000 microgrid for neighborhoods. These macro trends, pave the path, and also the challenges for those working in energy access, for the product/service providers, and for the financiers.