Call for Applications: Liberia Solar Home System – RBF

The LSHS-RBF provides Direct Subsidies (DS) which reduce the overall cost of ownership of SHS for eligible beneficiaries thus addressing the affordability gap and Indirect Subsidies (IS) which aim to provide an incentive for companies to expand and operate in underserved markets.

Objective

• The objective of the RBF is to provide access to quality, clean, affordable, and better energy services in existing and underserved markets across Liberia through stand-alone solar home systems (SHS) and close the affordability gap faced by the most vulnerable parts of the population.
• The key result indicator is the number of people provided with new or improved electricity access through SHS. The RBF also aims to encourage the growth of emerging solar companies where possible and support their participation in the OGS market growth.

Incentive Budget and Levels

• Companies are encouraged to apply for participation in both RBF components, DS and IS. All DS-supported sales are eligible for IS-support, but not vice versa.
• The total budget for disbursement of Direct Subsidies (EnDev/BRAC Liberia) amounts to approx. USD $2.1 million, while the total budget for Indirect Subsidies (RREA/World Bank) amounts to USD $1.5 million.

Target Population

• The RBF will target vulnerable beneficiaries (customers) in underserved and remote off-grid areas of Liberia.
• Generally, all sales to these counties are eligible to receive an Indirect Subsidy (IS), which provides an incentive for companies to expand and operate in underserved markets. Additionally, the most vulnerable beneficiaries – i.e., eligible residents of Gbarpolu and Grand Cape Mount counties – are eligible to receive a Direct Subsidy (DS), providing a direct price reduction to end-consumer prices.

Eligibility and Requirements

• The two RBF components support sales of the following product categories:
  • For the Indirect Subsidy (IS) component, eligible products include all Verasol-certified SHS that meet at least Tier 1 service level; with a maximum capacity of (up to) 350 Wp.
  • For the Direct Subsidy (DS) component, eligible products include all Verasol-certified SHS that meet at least Tier 1 service level; with a maximum capacity of (up to) 20 Wp. Thus, all sales meeting the requirements of the DS component can also be eligible to receive an IS payment.
• All products sold under this programme must comply with a minimum 2-year warranty period on the solar home system and minimum 1-year warranty on accessories (e.g., radio, flashlight) from date of purchase.

Company Eligible to Participate

• The RBF supports the sale of SHS to eligible end users on a commercial basis. As such, private firms, NGOs, or cooperatives (in the following: “companies”) that follow commercial business models are eligible to apply for the programme.
• Companies with a pay-as-you go model and/or direct cash sales model are eligible for the programme (Please note: Rental and fee-for-service models as well as productive-use-of-energy (PUE) applications are not eligible under the LSHS-RBF, but may be considered in a later phase of the programme).
• Applicants that have received grants from other organisations in the past and/or are currently receiving grants from another organisation are eligible to apply.
• In general, it should be noted that the following companies are excluded from the programme:
  • Charities and research/academic institutions operating in Liberia or outside of Liberia
  • Private companies owned or co-owned by staff from BRAC Liberia, GIZ, RREA, World Bank or any other institution directly involved in the RBF.

For more information, visit Energising Development.