Solar energy is widely perceived as a promising technology for electricity
generation in remote locations in developing countries. It is estimated tha
t 1-3 million solar home systems had been installed by early 2000. An estim
ated one-third of installed systems were backed by foreign donor support in
government programmes and two-thirds supplied by commercial dealers. The e
stimated growth in the deployment of solar lanterns is less than for SHS. O
ne out of every 100 households that gain access to electricity in developin
g countries uses solar power. In spite of these successes, doubts have aris
en about the effectiveness and suitability of small PV systems for rural de
velopment. Many organisational, financial and technical problems appear to
present difficulties. A literature survey has been conducted to make an inv
entory of experience with solar PV applications for households in developin
g countries. The main finding is that an adequate service infrastructure is
required to make projects viable. Household choice in system sizes is ofte
n too restricted in donor-funded projects. Smaller systems sold for cash ca
n he a good alternative to credit systems by offering to increased affordab
ility. Gaps in existing knowledge have been identified, which could be over
come by field monitoring programmes. Copyright (C) 2001 John Wiley & Sons,
Ltd.