30th October 2026
A growing off-grid solar industry could provide electricity to almost 400 million people by 2030, while creating jobs, supporting small businesses and helping some of the world's poorest communities gain access to reliable energy.
That is the central finding of a new report published on 27 October 2026 by the World Bank Group and GOGLA, the global association representing the off-grid solar industry.
The Off-Grid Solar Market Trends Report 2026 highlights how solar technology is increasingly providing an alternative to conventional electricity networks, particularly in remote rural communities where extending the national grid can be expensive and difficult.
A rapidly expanding market
The number of people using off-grid solar products increased by 26% in just two years, rising from 118 million in 2023 to 149 million in 2025.
These products include solar home systems, lighting, water pumps and small-scale electricity generators.
The World Bank estimates that off-grid solar is now the cheapest way of providing electricity to at least 398 million people who currently have no access to power.
The technology is also proving relatively reliable. Among customers surveyed, 95% reported that their solar home systems were still working four or more years after purchase.
Creating jobs and supporting businesses
The benefits extend beyond household lighting.
The report estimates that 7.4 million people are using off-grid solar to support small businesses and income-generating activities, including agriculture, retail and local services.
Over the past 15 years, these systems have generated an estimated $28 billion in additional income and savings for customers.
The sector itself now employs approximately 219,000 people in the markets covered by the survey, an increase of 29% over the past two years. Many work as local sales agents and technicians.
Solar-powered irrigation, refrigeration and electricity for small businesses can make a significant difference to rural economies, helping people earn more and reducing dependence on expensive or unreliable energy sources.
The affordability challenge
Despite the progress, the report identifies a major obstacle: affordability.
Only around one-third of households without electricity can afford an entry-level solar home system through pay-as-you-go financing. A further third could afford one, but only with difficulty.
This means that the technology is available, but millions of people still cannot afford to benefit from it.
The World Bank argues that governments can help through measures such as removing import duties and VAT on solar equipment, alongside targeted subsidies and improved access to finance.
An $11.4 billion investment requirement
The report estimates that around $11.4 billion of investment will be needed between 2027 and 2030 to realise the potential of off-grid solar.
This includes approximately $1.3 billion annually in grants and affordability subsidies, alongside $1.6 billion annually in private-sector financing.
The initiative is particularly important in sub-Saharan Africa, where the World Bank and African Development Bank are working towards connecting 300 million people to electricity by 2030 through their Mission 300 programme.
A lesson for the wider energy debate
The report demonstrates that the transition to renewable energy is not simply about replacing fossil fuels with large wind farms and solar installations. Smaller, decentralised systems can also play an important role.
For communities beyond the reach of national electricity networks, off-grid solar can provide a practical route to better living standards, improved education, healthcare and economic opportunities.
However, the report also makes clear that technology alone will not solve the problem. Financing, affordability and government support will determine how many people actually benefit.
The challenge now is to turn a rapidly growing industry into an affordable source of electricity for those who need it most.
World Bank Group and GOGLA Off-Grid Solar Market Trends Report 2026 27 October 2026