When there’s no electricity to power the appliances essential to wellbeing and prosperity, what’s a community to do?

In sub-Saharan Africa, the answer is often turning to kerosene and diesel to run everything from lights to farm equipment. But fossil fuels are expensive and polluting. Reliance on these energy sources leads to a host of negative impacts across the region, from financial stress to lower crop yields.

David Wanjau, a Kenyan entrepreneur and rabbit farmer who trained as a scientist, spent six years watching this issue play out across sub-Saharan Africa while working at a nonprofit focused on food security. The experience changed his life.

“I noticed that every farmer we were supporting did not have access to electricity,” he said. “So I stopped what I was doing to focus on energy access and become an agent of change in these communities.”

Today, Wanjau leads Nairobi-based distributor Deevabits Green Energy, a small business that’s one of more than 200 companies working to expand solar energy access to the hundreds of millions of people in Africa who lack access to the electric grid.

Deevabits began by selling solar lights, but customers soon began asking for more. “They wanted solutions that could be used for their businesses: for cooling drinks, or for meat preservation,” Wanjau said. So his team decided to start stocking solar-powered refrigerators.

Today, sales cover less than 2% of the estimated global demand for solar appliances. It’s a gap that has remained frustratingly difficult to bridge, said CLASP’s Nyamolo Abagi, a coauthor of Leave No One Behind.

“Here in sub-Saharan Africa, 60% of households still do not own a refrigerator, an essential appliance for preserving food that is almost ubiquitous in homes across the Global North. This is a classic example of energy poverty,” she said. “The solar appliance sector has to grow rapidly in both scale and ambition in order to serve this enormous need.”

Solar appliances are a gamechanger for small businesses

Most solar fridge customers live in rural areas with no grid access. Deevabits’ customers are typically small shopkeepers selling cold beverages—water, juice, milk, yogurt, and soda—to parched customers. “In very hot areas, cold drinks are a luxury,” said Wanjau. “That’s why for shops, these fridges are gamechangers.”

The company also serves clients in the medical and food retail sectors. Clinics use solar-powered fridges to keep vaccines and medicines cold, explained Wanjau, while fish traders see fridges as a safer way to preserve their wares than the traditional drying or deep frying.

Meanwhile, butchers tend to use the freezer setting on the Deevabits model to reduce waste. Before acquiring these appliances, “they would hang their meat, and it would go bad after two or three days,” Wanjau said. “Now people can stock larger volumes and sell it for a whole week.”

SureChill works with a similar clientele. “We primarily target productive-use customers: someone with a small shop or someone in the homemade juice business,” said Wangila. “They do not have a lot of money, but they make enough to be able to support a fridge. They are able to see the positive financial impact that owning a fridge could have on their business.”

For most shopkeepers, a solar fridge can significantly boost revenue. “It attracts more customers,” Wangila explained. “And if they buy a cold beverage, those customers will also buy something else, which increases overall sales for the business.”

Increased income for a shopkeeper has ripple effects within families and communities, he added. “It benefits them and four or five other people. That’s how our communities work.”

SureChill also serves the medical field, offering World Health Organization–approved vaccine fridges, in addition to cost-effective alternatives designed to store temperature-sensitive medications when power is unavailable.

The challenge of scaling up

Despite the advantages such appliances offer, many companies in the sector struggle to scale.

“Compared to a product like lights, productive-use appliances like these are energy-intensive, specialized, and expensive,” noted CLASP’s Abagi. “Fewer consumers can afford them, and the distribution model is more complicated. This makes the growth of companies trying to sell these bigger solar appliances slow.”

Cost is a major barrier. Many people would like to have solar refrigerators at home, but with prices up to $1,800 USD per unit (85% of the average annual household income in Kenya), they typically can’t afford them. “People want the fridge, but they then say, ‘Oh my goodness, it’s so expensive!’” explained Wanjau.

Appliances’ sheer weight and bulk also make it difficult to attract new customers through tactics like door-to-door sales. “You have to get people to believe that a solar fridge works,” said Wangila. “So when salespeople can’t carry it around, it’s a big challenge.”

Wanjau agrees. “When people are not aware of the product, they don’t demand it. They don’t have a reference point for a solar-powered fridge, so they need to see it—maybe feel the chill, take a cold soda from it.”

Companies like his participate in roadshows and market exhibitions required to build this awareness, but this costs money, ultimately driving up the price of their appliances.

Innovating to improve affordability

Solar appliance companies have been searching for ways to make their products more affordable for low-income customers. Both Deevabits and SureChill sell fridges on a rent-to-own basis, using internet-connected devices that activate the fridge when customers make weekly or monthly mobile money payments. This model enables shopkeepers to own their fridges after several years, allowing them to benefit from cooling without tying down their capital.

Another payment innovation is cooling-as-a-service (CaaS), in which customers lease appliances indefinitely. But despite its potential to bring down costs, both companies have found CaaS challenging to implement on the ground. “The way people use those fridges can be very unpredictable,” noted Wanjau. “If someone stops using it, how do you take it back? How can you resell it if it’s dirty and the butchers were cutting meat on top of it?”

In both cases, Wangila added, the risk of default is high. “That money is competing with school fees and medication when a family member falls sick. We try to mitigate this by telling them to pay more when business is good, to cover for the dry season.” But, he said, “even if you do very good customer selection, there are always people who will default.”

Stimulating growth

Ultimately, said Abagi, companies like Deevabits and SureChill need a more supportive environment to help bridge Africa’s yawning energy service gap. While they provide a crucial service, they can’t meet the overwhelming demand on their own.

“We need innovators, but we also need to attract incumbent manufacturers who have more resources,” she said. “Governments have a role to play in terms of better regulations and lower tariffs, and we also need development partners to help with long-term, consistent subsidies.”

Wangila and Wanjau point to the importance of grant funding in developing their own businesses. Both companies have benefitted from CLASP market activation grants, which help small businesses meet costs associated with product sales, marketing, distribution, and delivery in remote areas.

“Grants can be a sort of non-dilutive funding to help people scale,” said Wanjau. “A lot of these [solar appliance companies] are locally owned businesses, and grants could really stimulate their growth.”

Despite the challenges they face, both men are confident that solar appliances are the clean energy solution Africa needs.

“We are so blessed to have a lot of sun, so the future is bright,” Wangila insisted. “It’s just a question of maintaining focus and getting the right support in place.”