Breaking News: At least 10 feared to have drowned in Makueni river
Solar firm targets a million households
M-KOPA Solar managing director Jesse Moore (left), Commercial Bank of Africa chief executive officer Jeremy Ngunze (centre) and Safaricom chief executive officer Bob Collymore during a media briefing where they announced a partnership deal that will facilitated Safaricom customers get loans from CBA to purchase the solar system through the mobile provider mobile money platform for low income consumer-most of whom live below the poverty line. The event was held at Safaricom House in Nairobi on February 6, 2014.
What you need to know:
- M-Kopa Solar has raised Sh1.7 billion to expand its existing customer base to a million households by 2018 from the current 50,000 users.
- “This is a combined savings by existing M-Kopa Solar households estimates based on a four-year average usage of solar system, or Sh64,000 per household,” he said.
M-Kopa Solar has raised Sh1.7 billion to expand its existing customer base to a million households by 2018 from the current 50,000 users.
Commercial Bank of Africa (CBA) has injected Sh860 million into the project that targets off-grid households with the green energy.
Under the M-Kopa Solar model, customers buy a solar home system with an initial deposit followed by daily payments of Sh50 for one year before owning it.
According to Mr Jesse Moore, managing director of M-Kopa Solar, users of the products have achieved a combined saving of Sh3.2 billion since October 2012 when the product was launched.
“This is a combined savings by existing M-Kopa Solar households estimates based on a four-year average usage of solar system, or Sh64,000 per household,” he said.
AFFORDABLE SOLAR
M-Kopa Solar is a mobile money-based model that makes systems using the sun affordable for low income consumers - most of whom live below the poverty line, and are out of formal banking system.
“There is very little formal credit and it is clear that there is an enormous credit market that wants to be empowered to access alternative energy sources conveniently,” said CBA chief executive Geremy Nguze.
