PAYG solar

Pay-as-you-go solar in Nigeria — how it works and who it's for

PAYG solar lets you get a solar home system with little or no upfront cost, paying small daily or weekly amounts until you own it. Here's everything you need to know.

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What is PAYG solar?

How pay-as-you-go solar works

Pay-as-you-go (PAYG) solar is a financing model where a company installs a solar home system at your property for little or no upfront payment. You then pay for the system in small increments — daily, weekly, or monthly — usually via mobile money (USSD, bank transfer, or platforms like OPay). The system comes with a built-in GSM lock: if you miss payments, the system can be remotely disabled until you're back on track.

Once you've completed all payments — typically over 18–48 months — the system is fully yours. Until then, it's technically owned by the provider.

PAYG providers

Pay-as-you-go solar providers in Nigeria

ProviderSystem sizesMonthly cost (approx)Coverage
Lumos Nigeria80W – 200W home systems₦8,000 – ₦20,000/moNationwide (focus: North)
d.lightPico to 200W systems₦5,000 – ₦18,000/moNorth & South-West
PEG Africa50W – 200W₦6,000 – ₦16,000/moSelected states
Greenlight PlanetPico systems (Sun King)₦3,000 – ₦12,000/moRural nationwide
ZOLA Electric200W – 1kW home systems₦15,000 – ₦45,000/moUrban centres

Note on coverage

PAYG provider coverage in Nigeria is expanding but still uneven. Urban areas and Northern states tend to have the most options. Always verify a provider is active in your specific area before committing.

PAYG vs outright purchase

Is PAYG better than buying a solar system outright?

FactorPAYGOutright purchase
Upfront cost₦0 – small depositFull system cost (₦2.5M+)
Monthly cost₦5,000 – ₦45,000₦0 after purchase
System sizeSmall (50W–1kW)Any size
Total cost paidHigher (financing premium)Lower (no premium)
OwnershipAfter completing paymentsImmediate
Suitable for ACNoYes (right-sized system)
Best forLow income, rural, no creditMost urban households
Who should consider PAYG?

PAYG solar is best suited for

Rural and peri-urban households without access to formal bank credit, who currently spend on kerosene, candles, or small generator fuel for basic lighting and phone charging.

Low-income urban households who spend ₦5,000–₦15,000/month on fuel but can't access a lump sum for a full solar system and don't qualify for bank loans.

Households needing basic power only — lights, fans, phone and small TV — rather than a system capable of running refrigerators, ACs, or pumps.

If you need a system larger than 1 kVA, you're better served by an installer payment plan or bank solar loan — PAYG systems are too small for most middle-class Nigerian households' power needs. See our full financing guide for alternatives.

Frequently asked

PAYG solar questions

PAYG systems use GSM-enabled controllers that allow providers to remotely disable the system if payments lapse. Most providers give a grace period of 3–7 days before disabling. Once you make the payment, the system is re-enabled — usually within minutes. Providers don't typically remove the physical system for a single missed payment, but persistent non-payment can result in repossession.

Most PAYG providers allow early payoff — you pay the outstanding balance and receive immediate full ownership. Some providers offer a discount for early lump-sum settlement. Check your specific agreement for early settlement terms and whether any penalty applies.

Yes — rural coverage is actually where PAYG solar is strongest in Nigeria. Providers like Lumos, d.light, and Greenlight Planet specifically target rural communities that lack grid access. Payment via USSD codes means no smartphone or data connection is required to pay.

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