The World Bank’s Energy Sector Management Assistance Program (ESMAP) and GOGLA are set to unveil the highly anticipated Off-Grid Solar Market Trends Report 2024 at the upcoming Global Off-Grid Solar Forum & Expo 2024 in Nairobi, Kenya.
The report, scheduled for release on October 8th, 2024, provides crucial insights into the global off-grid solar sector and its potential to address energy poverty.
The report reveals that 685 million people worldwide still lack access to electricity, with off-grid solar solutions potentially serving 41 per cent of this population by 2030.
This statistic underscores the critical role of off-grid solar in achieving universal energy access.
Despite the sector’s potential, significant investment gaps persist.
The report indicates that $21 billion is required to meet off-grid solar’s contribution to universal electricity access by 2030.
However, only $1.2 billion in investments has been secured over the past two years.
In spite of economic challenges such as inflation and currency devaluation, the off-grid solar sector has demonstrated remarkable resilience.
Over 50 million off-grid solar products were sold annually in 2022 and 2023, surpassing pre-pandemic sales levels.
The sector generated a market turnover of $3.8 billion in 2022.
The report highlights an increasing demand for larger solar systems, with 75,000 units sold in 2023 to power schools, health centres, and other public facilities in rural areas.
As of 2023, off-grid solar solutions were estimated to benefit over 560 million people worldwide.
Governments are increasingly recognising the role of off-grid solar in their energy transition plans and climate goals.
The report estimates that replacing diesel generators with off-grid solar solutions could save between $6.3 and $12.5 billion in fuel costs while avoiding 8.3 to 16.6 metric tonnes of carbon dioxide equivalent emissions annually.
While the sector shows promise, the report also identifies significant challenges.
Over half of the unelectrified population cannot afford off-grid solar solutions without subsidies, highlighting the need for increased public funding and consumer support.
The Off-Grid Solar Market Trends Report 2024 serves as a critical resource for investors, policymakers, and industry leaders, offering valuable insights into the investment landscape, challenges, and opportunities within the off-grid solar sector.
