Ceiling Fan Market Transformation in India

Ceiling fans are among the most ubiquitous appliances in Indian homes, with over 90% of households relying on them as the primary source of cooling, especially in low-income and rural areas. They account for approximately 40% of residential electricity consumption. However, about 97% of these fans are not energy efficient, resulting in higher electricity consumption, increased household energy bills, and elevated emissions associated with cooling.

Within market transformation, bulk procurement programs are powerful tools for transforming markets by accelerating the availability, adoption, and affordability of energy-efficient technologies. This report analyzes a case study of a bulk procurement program in India’s ceiling fan sector, focusing on its outcomes, successes, and lessons learnt.

Fans

CLASP and GEAPP Expand Access to Affordable, Energy-Efficient Appliances in Africa

Cape Town, 18 June, 2025 At the Africa Energy Forum in Cape Town, CLASP and the Global Energy Alliance for People and Planet (GEAPP) announced a substantial expansion of the Productive Use Financing Facility (PUFF). This $6.1 million USD funding boost will help accelerate the uptake of clean, energy-efficient appliances that power small businesses, support farmers, and transform the lives of thousands of people across Africa.

Despite their potential to improve lives globally, efficient appliances are still out of reach for over 600 million people without access to electricity. High costs and limited financing make it difficult for business and households to afford them. PUFF helps bridge that gap.

The facility provides grants, subsidies, and technical assistance to suppliers and distributors to lower prices and reach more customers. This enables small businesses, entrepreneurs, and households to purchase energy-efficient technologies at favorable prices, allowing them to grow over time.

Building on success 

This extension builds on the success of the two-year pilot project that connected people with the useful appliances to earn a living. From 2022 to 2024, PUFF worked with 24 companies across six countries, helping to deploy nearly 16,000 appliances, and directly improve the lives of over 58,000 households. These appliances, such as solar-powered refrigerators, solar water pumps, and solar milling machines, had a direct, transformative impact on people’s livelihoods.

“Access to energy is foundational for economic growth. Efficient appliances and equipment, which are how people turn energy into opportunity, need to be considered essential energy infrastructure, alongside renewables. PUFF’s pilot phase proved that targeted support could unlock meaningful change. With effective financing, companies can reach more people with the right appliances, and they can change lives,” said Emmanuel Aziebor, Senior Director for Africa at CLASP.

What’s new in PUFF 2.0?  

CLASP and GEAPP are renewing their partnership focused on scaling appliances for agriculture and entrepreneurship in Ethiopia, Kenya, and Nigeria. This new round aims to create over 3,000 green jobs through the sale and use of 10,000 appliances in four years, including established appliances like solar water pumps and refrigerators, and more specialized technologies such as coffee pulpers and honey extractors.

This expansion also deepens commitment to gender equity and youth inclusion. In the pilot, women made up nearly half of all appliance buyers, and households where women bought appliances saw a 94% increase in average income. PUFF 2.0 will have an even greater focus on equity by utilizing outreach and financing strategies that center women and young entrepreneurs.

“While electrification has expanded, many investments fail to turn access into economic opportunity, with limited job creation or enterprise growth. Through initiatives such as PUFF 2.0 collaboration with CLASP, we are addressing these shortfalls by ensuring that new energy connections drive productivity and power agriculture, energizing ambition in small and medium sized enterprises, and output in local manufacturing. Increased incomes from these activities spur economic growth and wellbeing in growing communities, creating jobs, and improving the quality of life,” said Makena Ireri, Managing Director for Productive Use of Energy at GEAPP.

CLASP’s Productive Use Financing Facility is supported by The Global Energy Alliance for People and Planet (GEAPP). Learn more about how it’s benefiting people and our planet.

A farmer in Ethiopia using solar-powered drip irrigation acquired through PUFF support. Photo credit: CLASP

CLASP
Women in Nigeria using a solar-powered mill acquired through PUFF support. Photo credit: CLASP

Rekik Bekele, CEO of Green Scene Energy, a leading solar appliance distributor, is expanding access to solar in Ethiopia with support from PUFF. Photo credit: CLASP

Abibat Akinwale, a shopkeeper in Nigeria, with the solar-powered refrigerator she acquired through PUFF support. Photo credit: CLASP

Lolade Esther Alonge of Koolboks shows the CLASP team their solar refrigerators, made more affordable for off-grid communities in Nigeria with PUFF support. Photo credit: CLASP

About CLASP

CLASP is the leading global authority on efficient appliances’ role in fighting climate change and improving people’s lives. An international NGO with 25 years of expertise and offices on four continents, CLASP collaborates with policymakers, industry leaders, and other experts to create a more sustainable future for people and the planet.

About GEAPP

The Global Energy Alliance for People and Planet (GEAPP) is an alliance of philanthropy, governments in emerging and developed economies, and technology, policy, and financing partners. Their common mission is to enable LMICs’ shift to a clean energy, pro-growth model that accelerates universal energy access and inclusive economic growth, while supporting the global community to meet critical climate goals during the next decade. As an Alliance, they aim to reduce 4 gigatons of future carbon emissions, expand clean energy access to one billion people, and enable 150 million new jobs. With philanthropic partners, IKEA Foundation, The Rockefeller Foundation, and Bezos Earth Fund, GEAPP works to build the enabling environment, capacity, and market conditions for private sector solutions, catalyze new business models through innovation and entrepreneurship, deploy high-risk capital to encourage private sector solutions, and assist just transition solutions. For more information, please visit www.energyalliance.org and follow us on LinkedIn.

Media inquiries: Stella Madete, Africa Communications Manager, smadete@clasp.ngo

India Unveils 18 New Appliance Efficiency Policies

In a landmark year for energy policy, India’s Bureau of Energy Efficiency (BEE), with support from CLASP, advanced 18 appliance efficiency regulations in 2024. This is a testimony to the country’s fast-paced policymaking and strong national commitment to appliance efficiency as a key lever for climate action and energy security.

Fast-paced policymaking to meet urgent needs

As India undergoes rapid urbanization and industrial growth, the demand for appliances is surging. Left unchecked, this growth could place immense pressure on the power grid and accelerate emissions. Recognizing this, the government prioritized improvements that directly address the rising energy demand from homes, commercial spaces, and industry.

18 new policies – large emissions cuts and cost savings

CLASP advocates for appliance efficiency which ensures that everyday products from refrigerators and fans to inverters and TVs consume less energy while delivering the same or better performance. This is critical in a country like India, where millions of households are purchasing new appliances for the first time. By using higher effiicency appliances, India is building a more resilient energy system, reducing energy bills for consumers, and cutting emissions at scale.

The cumulative effect of these 2024 policies is significant. By 2030, they are expected to save over 180 terawatt hours (TWh) of electricity and avoid nearly 146 megatons (Mt) of CO₂ emissions.

Standouts include policies covering:

  • Packaged boilers, commercial beverage coolers, solar inverters, and refrigerant compressors, which are collectively estimated to save 32.2 terawatt-hours (TWh) of electricity and avoid 24 megatons (Mt) of CO₂ emissions.
  • Ceiling fans, a widely used appliance that will now become more efficient, saving 35.9 terawatt-hours (TWh) of electricity and avoiding 29 megatons (Mt) of CO₂ emissions.

Full list of 2024 appliance policies:

Improving appliance efficiency across states

CLASP has also been working closely with the State Designated Agencies (SDAs) in Odisha and Kerala to support the implementation of India’s national appliance efficiency policies. By strengthening the adoption and enforcement of BEE’s Standards & Labeling program at the state level, CLASP is helping ensure that the benefits of energy-efficient appliances reach households and industries across these regions.

Aligning with CLASP’s global mission

Emissions reductions and energy savings not only bolster India’s energy security and climate goals but also resonate with CLASP’s global mission to advance appliance efficiency for people and the planet. By supporting national institutions like BEE in strengthening appliance efficiency policies, CLASP continues to catalyze transformative, long-lasting change.

Doubling Cooling Efficiency

New CLASP research, “Bridging the Cooling Gap: Energy Efficiency as a Driver for Appliance Access”, finds that doubling cooling appliance efficiency in India, Indonesia, and Nigeria would make cooling more affordable, expand access to millions of people, and improve climate resilience.

Energy-efficient cooling appliances play a critical role in improving living standards, promoting economic growth, enhancing energy security, and reducing climate emissions. They are also saving consumers money as they have lower running costs. Building on recommended targets in CLASP’s Net Zero Hero analysis, doubling the efficiency of fans, refrigerators, and air conditioners in the three countries by 2030 would drive down the total costs of ownership for each appliance by close to 60% in 2050.

Other benefits include:

  • $105 billion USD in annual consumer savings through reduced purchase and running costs in 2050
  • Access to cooling appliances for an additional 510 million people
  • More than 420,000 avoided premature heat-related deaths

Total energy consumed by these appliances would be halved compared to business as usual, as shown in the graph below.

National room air conditioner energy use between 2023-2050 (indexed to 2023) in TWh under Net Zero Hero and Business as Usual scenarios. 

This research highlights how smart energy efficiency policies reduce costs, boost appliance ownership for people who need them, lower energy demand, and curb emissions.

Click here to read the full report.

Bridging the Cooling Gap: Energy Efficiency as a Driver for Appliance Access

This research is posted preprint and will be published in the EEDAL’24 Book of Proceedings.

Energy efficient cooling appliances play a critical role in addressing climate resilience and cooling equity. This new research investigates how doubling the energy efficiency of cooling technologies globally can reduce lifecycle costs, expand appliance access, and limit energy demand growth. It focuses on three high-impact, low-access countries: India, Indonesia, and Nigeria and evaluates the impact of efficiency improvements on affordability, ownership, and climate adaptation, offering critical insights into policies needed to close access gaps and achieve net zero goals.

Key Findings

Doubling the efficiency of fans, refrigerators, and room air conditioners globally by 2030 could unlock great benefits. By 2050, in the three countries studied, this could:

  • Drive down the total cost of ownership by 60% for room air conditioners and refrigerators and 58% for fans
  • Deliver $105 billion USD in annual net consumer benefits in 2050
  • Expand access by an additional 4-13 percentage points
  • Avoid more than 420,000 premature deaths
  • Limit the total energy consumed by these appliances to about half of what it would be otherwise

Recommendations

To realize these benefits, governments and other market actors must:

  • Increase research and development funding, financing and financial incentives, bulk procurement schemes, awards, and informational tools to drive market uptake of efficient appliances
  • Implement innovative financing schemes to reduce upfront costs
  • Reduce tariffs to make efficient appliances more affordable locally
  • Expand decentralized energy solutions, like solar home systems and mini-grids to help rural, low-income communities access energy services more readily

Leave No One Behind: Bridging the Energy Access Gap with Innovative Off-Grid Solar Solutions

Millions of people lack access to the power grid, particularly in low-income rural areas of Africa and South Asia. If the current slow pace of electrification continues, 660 million people – most of them in Africa – will remain without electricity in 2030. Due to numerous challenges, people in off-grid settings typically have a lower quality of life, worse health outcomes, higher energy costs, and fewer economic opportunities than their grid-connected peers. High-quality, efficient off-grid solar appliances are a proven solution to these challenges.

This report – the third in the State of the Off-Grid Appliance Market series – finds that while the sector has strong fundamentals, it must rapidly grow in scale and ambition to avoid leaving people behind.

Key Findings: 

  • Approximately 159 million off-grid solar fans, water pumps, refrigerators, and grain mills are needed to serve people who lack access to the electric grid. Less than 2% of this demand is being met, leaving more than half a billion people without life-changing appliances.
  • There is a significant market opportunity of $58 billion USD for off-grid solar appliances like fans, water pumps, refrigerators, and grain mills.
  • The off-grid appliance sector is characterized by a multitude of business models, reflecting a diverse range of technologies, end users, and operating environments. There is no one right business model; rather, chosen models need to be managed appropriately.
  • Closing the energy service gap in sub-Saharan Africa and South Asia requires exponential growth in the appliance sector. This can be achieved by deploying significantly more capital, strengthening cross-sectoral collaboration, and developing coherent policies and innovative business models.

Recommendations:  

  • Governments should emphasize quality assurance and consumer protection through rigorous quality standards and tax and duty exemptions to make high-quality solar products more accessible; support an enabling environment by incentivizing local manufacturers and launching consumer awareness campaigns; and develop integrated policies by establishing cross-ministry task forces to integrate and harmonize policies and regulations.
  • Investors, development partners, and financiers should encourage market entry by increasing the deployment of capital over the next ten years; create public-private partnerships by developing programs that combine public and private funding; integrate with climate finance by leveraging carbon credits and other climate finance mechanisms; and provide innovation funding to local and foreign technology innovators.
  • Technology innovators should design appliances that meet the specific needs of local off-grid consumers; and enhance product durability and reliability that focuses on long-term user satisfaction and low maintenance costs.
  • Venture builders and entrepreneurs should work to expand pay-as-you-go (PAYGo) models; leverage catalytic grants to innovate business models and build partnerships; and focus on specific market segments to enhance efficiency and increase market penetration.
  • All market actors should prioritize user-centric data that directly benefits appliance users; harmonize methodologies that establish standardized tracking systems for assessing progress and informing policy decisions; and facilitate data sharing to inform decision-making and policy development.

Read the “Leave No One Behind: Bridging the Energy Access Gap with Innovative Off-Grid Solar Solutions” report.

About Efficiency for Access 

Efficiency for Access is a global coalition working to promote renewable and energy efficient appliances to deliver clean energy to the world’s poorest people. It is coordinated jointly by CLASP and the UK’s Energy Saving Trust.

How National Appliance and Equipment Energy Conservation Standards Can Improve Public Health in the US

Gain insight into the critical role of national appliance standards in improving public health and discover how to measure their impact against Justice40 goals. Find actionable recommendations for maximizing their benefits for a healthier, greener, and fairer future.

Key findings

  • National appliance standards have led to significant reductions in PM2.5 and PM2.5 precursor emissions, avoiding hundreds of thousands of tons of pollutants in 2017.
  • These standards prevented between 1,900 and 4,400 PM2.5-related deaths in 2017, translating to monetary benefits of $18 to $41 billion.
  • Health benefits from national appliance standards have been distributed relatively equitably. Communities designated as disadvantaged by Justice40, representing 33% of the total population, have received 36% of the health benefits.

Recommendations

  • The US Department of Energy must meet legal deadlines for updating appliance efficiency standards to maximize public health benefits.
  • Governments should expand outreach and incentives to promote efficient appliance adoption, prioritizing disadvantaged communities, renters, and low-income households.
  • Engage disadvantaged communities and people of color in all stages of policy development and implementation.

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Additional Resources: 

Press Release

CLASP Supports Pakistan Government’s Efforts with Cooling Needs Assessment

Pakistan faces one of the highest cooling demands globally, ranking fifth in a recent study1. Despite this, access to cooling remains low, leaving a significant portion of the population vulnerable to heat-related risks. In response to this challenge, CLASP and local partner SAMA^Verte have collaborated with the Pakistan Ministry of Climate Change and Environmental Coordination to conduct a comprehensive Cooling Needs Assessment (CNA) to inform strategic initiatives, and serve as a foundation for a Pakistan Cooling Action Plan (PCAP).

The CNA analyzed the current state of cooling demand and notes that, while temperatures are rising, many households lack access to adequate space cooling and refrigeration. Although nearly all households have at least one electric fan, only 11% of households own an air conditioner, while 55% refrigerator ownership and limited use of cold chain technology create food safety and waste issues. Additionally, barriers such as access to a steady electricity supply and the affordability of cooling appliances hinder widespread adoption, particularly for the 26% of the population not connected to the grid.

The CNA provides insights into the existing policy landscape, current cooling demand, and future projections under different policy scenarios, which were used to guide the selection of priority interventions for the PCAP.  A comprehensive assessment focused on key cooling appliances – domestic and commercial refrigeration, domestic air conditioning and electric comfort fans – with largest potential for energy consumption and emissions reduction. The data was gathered though extensive consultative processes. The main CNA results include:

  • In a Business-As-Usual scenario, indirect emissions from the priority cooling appliances are responsible for 86% of the total emissions, with direct emissions from the refrigerants accounting for only 14%.
  • Of the indirect emissions, the emissions resulting from the use of fans are the highest at 54% of the total, but fans also offer the greatest potential for reducing energy consumption and emissions.
  • Without policy intervention, between 2024-2030, Pakistan’s cumulative energy consumption and indirect CO2 emissions from the priority cooling appliances are projected to reach 695.4 TWh and 326.8 megatons (Mt) respectively.

As Pakistan continues its journey towards becoming the world’s 20th largest economy by 2030, the PCAP will play a crucial role in ensuring sustainable and efficient cooling, aligning with the country’s development and climate ambitions. Increasing access to affordable, efficient cooling will ease the strain on national power grids and reduce consumers’ energy bills.

Building on the analysis in the CNA, the PCAP details concrete interventions to effectively manage the projected growth in cooling demand associated emissions, and reduce the cooling access gap. The PCAP has been finalized and is currently in the process of approval by the government of Pakistan.

The developments of CNA and PCAP were funded by Clean Cooling Collaborative.

Download the full Cooling Needs Assessment report here.

0. This is the product of population and Cooling Degree Days (CDDs) per year (230M x 2,810 CDDs). The Person CDDs methodology has been described by the US Department of Energy in The Future of Air Conditioning For Buildings (2016), which uses the 2016 population figure of 182M. This has been updated using population of 230M in 2022. The 646-billion-person CDDs still ranks Pakistan in 5th place behind India, China, Indonesia and Nigeria.

Improving Public Health & Advancing Equity Goals with Appliance Energy Efficiency Standards

Federal energy efficiency standards for appliances and equipment lead to cleaner air, creating health benefits. By conserving energy, standards reduce both indirect emissions (from power plants) and direct emissions (from fossil fuel appliances). This decreases human exposure to fine particulate matter (PM2.5) pollution, a harmful form of particle pollution capable of entering the lungs and bloodstream and contributing to increased incidences of respiratory and cardiovascular health complications.

This factsheet summarizes the key findings from a recent report that estimates the distribution of public health benefits in disadvantaged communities in the United States. Specifically, it estimates the reductions in PM2.5-related deaths that can be attributed to standards adopted over a 30-year period and explores how standards can contribute to Justice40 Initiative goals.

0. This is the product of population and Cooling Degree Days (CDDs) per year (230M x 2,810 CDDs). The Person CDDs methodology has been described by the US Department of Energy in The Future of Air Conditioning For Buildings (2016), which uses the 2016 population figure of 182M. This has been updated using population of 230M in 2022. The 646-billion-person CDDs still ranks Pakistan in 5th place behind India, China, Indonesia and Nigeria.