This social enterprise has loosened the grip fossil fuel has on 65 million people, through the use of solar power. Now it’s cashed up and ready to do more.
The enterprise is d.light, which was founded in 2006 with a goal to manufacture and distribute solar lighting and power products to the more than 2 billion people around the world who don’t have access to safe, clean and reliable electricity.
The company announced yesterday (PDF) it had secured USD $22.5 million in financing – $15 million in Series D equity, debt funding of $2.5 million and $5 million in grants. The injection will help the company ramp up sales of its products; in particular the D30 solar home system.
The D30 consists of a small solar panel, a battery pack with a USB port for charging handheld devices, three solar lights that meet Lighting Global quality standards, three light switches, a torch and FM radio.
While the systems may be reasonably cheap to buy outright by our standards, they can be quite expensive to those they are primarily developed for – people in developing countries.
Acquiring the products often comes by means of low-interest micro finance loans or via d.light’s PayGo cell-phone-based payment system. Other companies using a mobile repayment model include Off Grid Electric (leasing) and Azuri Technologies.
“Consumer financing for solar home systems makes the technology significantly more affordable for our customers,” said d.light CFO Kamal Lath. “This funding will enable more families and business owners to enjoy access to the affordable, clean and reliable solar energy solutions they need to improve their quality of life.”
The repayments are pegged at a level that still makes using solar cheaper than dangerous, polluting fossil fuels such as kerosene.
d.light says the products it has sold to date have generated approximately 127 GWH of clean energy, saved customers $5.2 billion and avoided 23 million tons of carbon dioxide. It has sold twelve million solar light and power products in 62 countries.
With its war chest now full, d.light has set a goal of reaching 100 million people by 2020.
Aside from the direct benefits solar power provides to these households, a recent study from Lawrence Berkeley National Laboratory indicates solar-LED lighting could create 2 million jobs in developing nations. d.light says most of its employees are in the rural communities that it serves.
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