A large number of villages in the Lao PDR will not be hooked up to the grid for many years to come. Their only resource of electricity will be decentralized small systems, i.e. solar systems or micro-hydro, but these require high initial investments and continual servicing, which makes them not affordable to many villagers. Moreover, there is a lack of long-term credit available in Laos.

Sunlabob offers rental services for energy systems to overcome these problems. We buy equipment and install it, rent out energy systems, and pay back the investment.

First, Sunlabob offers a Rental Fund as an investment opportunity for private funding with a social background. With this fund, we finance the equipment and the installation of renewable energy systems, especially solar facilities, in remote off-the-grid areas.

In addition, we take care of the long-term-servicing. To achieve this, we implemented a widespread Franchised Network of service agents trained by Sunlabob, so that we can guarantee reliable and fast technical servicing.

The rents cover all costs, including replacements and payments, and the operational servicing costs. Villagers prefer this arrangement because they do not bear the technical and financial risks. The system is rented out to a Village Committee, which consists of Sunlabob-trained villagers. The Committee helps us to ensure the credible collection of rent.

With this rental system, rural households gain affordable access to electricity. The regular payments are at a manageable level. When the equipment breaks down, the household is not required to continue paying, and only pays again once it is repaired.  This ensures sustainability.

Because of this rental system, Sunlabob is able to install high quality equipment at affordable costs. Therefore, rural electrification can be achieved even in remote areas where incomes are unstable.