The Sindh government has launched an ambitious project to distribute 200,000 Solar Home Systems (SHS) to low-income families across the province. Announced by Sindh Chief Minister Syed Murad Ali Shah, this initiative targets households identified through the Benazir Income Support Program (BISP) data, aiming to provide sustainable energy solutions and alleviate poverty in the region.
Project Overview
Solar Kits to Low-Income Families in Sindh Key Announcements
- Initiative Launch: The distribution of 200,000 Solar Home Systems (SHS) across Sindh.
- Target Beneficiaries: Families identified through the BISP data in all 30 districts.
- Funding: The Sindh Solar Energy Project (SSEP) is being executed for Rs27.4 billion with $100 million financial support from the World Bank.
- First Batch: The first batch of 50,000 SHS kits is expected to arrive in Karachi by the end of October.
Components of the Solar Home Systems
The SHS kits will consist of:
- An 80-100 W Solar PV Plate
- A minimum 18 AH Lithium-ion battery
- One DC fan
- Three LED bulbs
- A mobile charging facility
Cost and Subsidy
- Estimated Cost: Each SHS kit costs approximately Rs.55,000, including transport, taxes, and duties.
- Subsidy: Eligible low-income families will receive the kits at around 80% subsidy, paying only Rs.6,000.
Selection Criteria
The selection of low-income households is based on the BISP register. The poverty scorecard, ranging from 21 to 50, is used for initial eligibility. Households with scores ranging from 0-20, which cannot pay even Rs.6,000, will receive the kits under the Annual Development Program (ADP) scheme of the Energy Department.
Program Strategy: Old vs. New
The program, initially started in 2020, faced challenges due to a lower subsidy (40%), leading to only 322 systems being sold. The strategy has since been revised, increasing the subsidy to 80% and adopting a Bulk Procurement Model to streamline distribution.
Challenges and Revisions
The program was delayed due to the 2022 floods and the COVID-19 pandemic. The revised strategy includes:
- Increasing the subsidy to 80%
- Expanding the coverage from 10 to all 30 districts, including seven districts of Karachi
- Implementing the Bulk Procurement Model through international bidding in compliance with World Bank guidelines
Distribution Strategy
Framework agreements have been signed with three private companies selected through a competitive process:
- M/S Bboxx Ltd, UK
- M/S Shenzen LEMI Technology Development Co. Ltd, China
- M/S D.light Design Ltd, USA
Five NGOs under the Sindh Peoples Housing Foundation Project (SPHF) will handle the collection, distribution, installation, and replacement of the SHS kits. Beneficiaries will pay Rs.6,000 via a Bank Challan receipt from Sindh Bank Limited.
Transparency and Monitoring
To ensure transparency and compliance, a database management system has been developed. Additionally, Independent Verification Agents (IVAs) will be appointed to conduct random checks and follow up on reported issues. A dedicated helpline number (021-111-222-262) has been set up for registering complaints.
Detailed Table of Key Data
| Aspect | Details |
|---|---|
| Total SHS Kits | 200,000 |
| First Batch Arrival | October |
| Cost per SHS Kit | Rs.55,000 (including transport, taxes, and duties) |
| Subsidy Percentage | 80% |
| Beneficiary Payment | Rs.6,000 |
| Key Components of SHS | 80-100 W Solar PV Plate, 18 AH Lithium-ion battery, 1 DC fan, 3 LED bulbs, mobile charging |
| Initial Launch Year | 2020 |
| Revised Strategy Year | 2023 |
| Number of Districts Covered | 30 (including 7 districts of Karachi) |
| Selected Companies | M/S Bboxx Ltd, M/S Shenzen LEMI Technology Development Co. Ltd, M/S D.light Design Ltd |
| NGOs Involved | 5 NGOs under SPHF |
| Helpline Number | 021-111-222-262 |
Conclusion
The distribution of 200,000 Solar Home Systems to low-income families in Sindh is a transformative step towards sustainable energy and poverty alleviation. By leveraging BISP data, providing substantial subsidies, and ensuring transparency through independent verification, the Sindh government aims to bring light and hope to the region’s most vulnerable households. This initiative not only addresses energy poverty but also contributes to the broader goal of sustainable development in Pakistan.