Unlocking Solar Energy Access in Lebanon through Innovative Finance and Blended Models – Arab Reform Initiative

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  1. Executive Summary

Lebanon’s chronic electricity crisis has left citizens and businesses with only a few hours of daily power, forcing a reliance on costly private diesel generators. In the absence of public alternatives, solar adoption has grown rapidly since 2020. The rollout, however, has been fragmented and largely self-financed, leaving low-income households, Micro, Small, and Medium Enterprises (MSMEs), and municipalities excluded from access. While solar offers a clean and viable alternative, the lack of enabling policies, regulations, and finance has meant that benefits remain concentrated among wealthier groups, undermining national recovery and energy justice.

To address these gaps, Lebanon should adopt targeted financing solutions that make solar accessible to all segments of society. Priority actions include supporting microfinance institutions (MFIs) that extend small-scale loans for households, expanding blended…

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