By 2016, logistics spendings by manufacturers and retailers in Africa will have increased from $128.5 billion in 2012 to $157.3 billion. The African clean energy access market is valued at $12 billion with an estimated 621 million individuals in sub-Saharan Africa lighting their homes at night using kerosene lamps. The Onelamp recognizes that extending the electricity grid to remote areas in Africa is fraught with problems. It is expensive, transport costs are high, and accessibility is difficult. In sub-Saharan Africa, grid-extension costs $23,000 per kilometer. Onelamp provides a last mile same day on-demand delivery service for clean energy at the bottom of the pyramid. Solar lights can be ordered by SMS, paid with mobile money and delivered door to door using an existing transport infrastructure.
There are over 400 million cell phone users in Africa without light. The World Bank light Africa report estimates that up to 11% of household income is spent on charging phones. These households face recurring expenses on energy costs ranging between 50 - 65% of their monthly expenditures. Currently, dozens of solar companies specialize in the manufacturing of solar lights, but rely on existing limited distribution networks to reach potential off grid customers on the African market. A majority of the population in developing African economies live in rural areas often accessible only by poor quality road infrastructure.
The delivery and the usage of solar lights in off grid homes translates to a reduction of greenhouse gases and its impact on the off grid livelihood of communities. According to UNEP a full transition to energy efficient off-grid lighting in Uganda would result in:
- 823.3 million USD annual savings
- 1.7 million tons of CO2 emissions reduction annually
- 6.5 million households with better quality light
- a reduction or elimination of fuel-related health issues, fire hazards and toxic fume
In 2016, OneLamp intends to deliver over 10,000 solar lights to off-grid rural households in Uganda directly impacting over 50,000 people. We hope to save low income households approximately $1m that could have gone to kerosene expenditures.
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