Are Solar Streetlights Cheaper?

There is a concept in Economics known popularly as the "Sunk Cost Fallacy". This concept will form the basis for the argument as to why Solar Street Lightening Systems are not standard in most African Countries.

What is a "Sunk Cost Fallacy"?

According to Investopedia, sunk cost fallacy is a company or individual's wrong mindset when working through a decision. This fallacy is based on the premise that committing to the current plan is justified because resources have already been committed.

We shall come back to this idea. First, let us explore some context.

Street lighting is an essential aspect of the security architecture of any country. It is usually provided by

the government and is regarded as a public good. However, maintaining the lights is very expensive for the public. Technological advancement has allowed for the development of more efficient lighting systems like solar-powered systems that provide an opportunity for governments, industrial complexes, and privately managed housing estates to cut the cost of street lighting.  

If solar street lighting is cheaper, then why has everyone failed to adopt it? 

Your answer lies in the "Sunk Cost. Fallacy". Many entities, especially governments in Africa, pay considerable costs to give their populace daily power for street lighting. It is a critical part of the security cost expended by governments. The idea is that money has been spent on existing infrastructure for local lighting systems powered by diesel generators, preventing the decision to invest in solar systems that saves cost in the long run. 

Understandably, an established value chain may benefit from power generation activities for street lighting or infrastructure deficits to support solar lighting initiatives. However, the cost of new infrastructure may be too staggering to fund in the short term. Still, when the cost that governments could save in the long term is put into perspective, it makes sense for Governments and even private individuals to invest in solar outdoor and street lighting solutions.

The world is adopting renewable energy solutions and doing away fast with fossil fuel solutions. Therefore, we must rethink how we create and use energy to meet these global objectives. 

According to a report by the  International Renewable Energy Agency (IRENA) as reported by the World Economic Forum, solar energy solutions cost 85% less, in the long run, to maintain than conventional energy sources. Solar lighting solutions by governments and individuals are an excellent place to start, and Macosine is here to help you get started.

At Macosine, we have innovative solar street lighting solutions and expertise for projects of any size. Street lighting solutions at affordable pricing packages to meet demand at any scale.

We also offer support services to help you make the right decision on the solution that minimizes cost and efficiency for your energy needs. 

Call us today or visit our website, macosine.com, to learn more about our services.