The lack of financial services for users of Solar Home Systems (SHS) is one of the main barriers to commercial PV dissemination. Task 9 has recently published a Recommended Practice Guide (RPG) to assist the design of financial mechanisms for PV dissemination in developing countries.

The RPG highlights the need for carefully designed target-group-oriented financial services to speed up the dissemination of SHS. It argues that any financial services have to fit into existing financial structures in order to be sustainable and to avoid distortions. In particular, subsidies have to be designed carefully in a way that they are transparent, serve public interest and do not distort the market.

Operating costs of SHS are often underestimated. Thus, even with financing services in place SHS are not affordable for the poorest. The wealthier segments of the rural population appreciate SHS highly but it is in many cases not considered as a primary commodity.

The report is available for download via the publications' section of this website.

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