Large parts of the rural areas of Nepal are still not connected to electricity, especially through the national grid. Therefore, attempts are being made by both the government and the private sector to supply renewable and alternative energy sources to such areas.

Dalits comprise one-fifth of the total population of Nepal. Terai Dalits are economically and socially more marginalized than people living in the hills and mountain areas. Even among Terai Dalits, Musahar is the poorest and most deprived community. The Musahar community of Dumraha (VDC–7) in Sunsari district, comprising thirty-five households, has been living in the area for the last four decades. They are mostly discriminated against, illiterate and live in mud houses with thatch roofs, surrounded by an unhygienic environment.

Research shows how a lack of development affects the livelihoods of the Dalit communities. “Two studies show that most Dalits suffer from discriminatory practices involving food and drink (38.9%) and prohibition of entry into houses, temples and other public places (28.3%). Both studies show that incidence of caste­-based discrimination is higher in the western region than in the eastern region of the country. It means that the form and extent of discrimination against Dalits are positively correlated with the extent of development of the area where they reside.” ^[1][2]

Musahar is a mere 3 kilometrers from the East–West Highway and the national grid, they are deprived of basic facilities such as electricity and safe drinking water. Some of them have never seen a television or computer set, read a newspaper or used landline phone. The mobile phone, as all over the country, is common among the community members. However, without access to electricity, the people are forced to go to other villages located farther away to charge them, which costs them a Rs10 fee per mobile phone. The main constraint, as identified by them, was unavailability of reliable access to energy.  The grid is far and they were not aware of the usage of reliable alternative sources of energy.

With UN Capital Development Fund’s (UNCDF) CleanStart programme initiatives, implemented by Ace Development Bank in partnership with Sahara Savings and Credit Cooperative, with technical assistance from Winrock International, these households have experienced important changes.

Under the programme, 22 households of this community installed 20 Wp solar home systems in their houses. This provided them with access to lighting and enabled them to charge their mobile phones. Furthermore, under the project financing modality of subsidy and loans, some households have borrowed loans of Rs 5,000 per system, even though many Dalits are excluded from formal finance. 

Ms. Jokhini Sada, a member of Sahara Savings and Credit Cooperative, has praised these overwhelming changes. An active community leader, in 2014, she formed a 16-member group of women and applied for an installation loan under the Sahara scheme. Since the system was installed, she has been saving Rs 25 per day, otherwise required for buying kerosene for lighting.

She also said that lighting has helped them see and avoid snakes at night. She, herself, had a horrible experience in the past when she was once bitten by a snake in the dark. Another benefit noted by Sada is that their children can now study at night, whereas before, the darkness was an excuse for them not to study. In addition, Sada also feels that security around her house has improved by the lighting.

Rapid and visible changes in the lives of neighbours have fuelled the interest of the remaining thirteen households to install similar systems in their houses. In order for this to happen, continued support is necessary. Energy access has made big differences to the quality of life of the Dalit households in Musahar.  The challenge is to scale this hundreds of additional poor communities in the Terai region.

CleanStart supports low-income households and micro-entrepreneurs to jump-start their access to clean energy through microfinance. It encourages greater financing choices for poor people, supported by high-quality technologies and services, and enabling ecosystems for energy and financial service providers to achieve scale and impact. UNCDF aims to invest resources in at least six countries in Asia and Africa to create a clean energy future for 2.5 million people.