Technical Report Inclusive Innovation Bundling and Scaling Pathways for Smallholders’ Solar Irrigation in Ethiopia Zeleke Agide Dejen, Mebratu Negera, Desalegn Tegegne, Wolde Mekuria, Gudina Legese Feysa and Amare Haileslassie December 2025 Scaling for Impact | Page 1 of 59 CGIAR Acknowledgments The study was conducted with support from the CGIAR Scaling for Impact (S41) program and the Nature-based Solutions for Sustainable and Inclusive Development (NSSID) program funded by the Swedish International Development Cooperation Agency. The authors thank all funders who supported this research through their contributions to the CGIAR Trust Fund (www.cgiar.org/funders). They are also grateful for the guidance and support provided by the stakeholders, including farmers and experts from the four woredas (districts), who participated in the consultations, field visits, focus group discussions and key informant interviews for this study. The authors also thank Maha Al-Zubi, Regional Researcher - Sustainable & Resilient Water Systems at IWMI based in Jordan for providing valuable feedback on the draft. About NSSID The Nature-based Solutions for Sustainable and Inclusive Development (NSSID) program addresses environmental, social and economic challenges across three eco-regional clusters in Ethiopia: Wabi- Shebele and Gelale-Dawa, Omo-Gibe and Baro-Akobo, and the Rift Valley and Awash river basins. Led by Farm Africa with national and international partners, it builds on the Growth for the Future (G4F) program, which covers 2.5 million people. NSSID promotes integrated landscape management, focusing on biodiversity, climate resilience, food security and conflict reduction through gender- sensitive and inclusive nature-based solutions. Scaling for Impact (S4I) is a CGIAR program (2025–2030) that tests, refines, and scales innovations in food, land, and water systems. It works to align those innovations with stakeholder needs to achieve transformative impact. Website: https://www.cgiar.org/cgiar-research-portfolio-2025-2030/scaling-for-impact/ About CGIAR Scaling for Impact (S4I) program CGIAR is a global research partnership for a food secure future. Visit https://www.cgiar.org/cgiar-research-porfolio-2025-2030/ to learn more about the Science Programs in the CGIAR research portfolio. About CGIAR https://www.cgiar.org/funders CGIAR Scaling for Impact | Page 2 of 59 © 2025 CGIAR System Organization. This publication is licensed for use under a Creative Commons Attribution 4.0 International License (CC BY 4.0). To view this license, visit https://creativecommons.org/licenses/by/4.0. Authors Zeleke Agide Dejen: Associate Professor - Irrigation Engineering, Addis Ababa University, Addis Ababa, Ethiopia (zadejen15@gmail.com) Mebratu Negera: Assistant Professor - Environmental Economics, Ambo University, Ambo, Ethiopia (moneibsa2014@gmail.com) Desalegn Tegegne: Research Officer - Agricultural Water Management, International Water Management Institute (IWMI), Addis Ababa, Ethiopia (D.Tegegne@cgiar.org) Wolde Mekuria: Senior Researcher - Environment and Development, IWMI, Addis Ababa, Ethiopia (w.bori@cgiar.org) Gudina Legese Feysa: Program Director, Farm Africa, Addis Ababa, Ethiopia (GudinaL@farmafrica.org) Amare Haileslassie: Principal Researcher - Agricultural Water Management and Systems, IWMI, Ethiopia (a.haileslassie@cgiar.org) Suggested Citation Front cover photo: Soil moisture monitoring at living lab (Photo credit: Amare Haileslassie) Back cover photo: An on-farm trial at a solar-powered irrigation site (living lab) to test the benefits of complementary agricultural inputs (Photo credit: Wolde Mekuria) Dejen, Z. A.; Negera, M.; Tegegne, D.; Mekuria, W.; Feysa, G. L.; Haileslassie, A. 2025. Inclusive innovation bundling and scaling pathways for smallholders’ solar irrigation in Ethiopia. Colombo, Sri Lanka: International Water Management Institute (IWMI). CGIAR Scaling for Impact Program. 60p. https://creativecommons.org/licenses/by/4.0 https://creativecommons.org/licenses/by/4.0 mailto:zadejen15@gmail.com mailto:moneibsa2014@gmail.com mailto:D.Tegegne@cgiar.org mailto:w.bori@cgiar.org mailto:GudinaL@farmafrica.org mailto:a.haileslassie@cgiar.org Scaling for Impact | Page 3 of 59 CGIAR Contents Summary 4 Introduction 6 Rationale for Scaling 8 Methodology 10 Generating Evidence 10 Analytical Framework 11 Limitations 12 Results and Discussion 13 Insights From Field Observations and Stakeholder Consultations 13 Overview of Innovation Bundling in Solar-powered Irrigation 15 Overview of scaling Pathways and Financial Mechanisms 19 Dimensions of Solar-powered Irrigation Scaling 19 Core Components of the Priority Scaling Pathway 38 Scaling Roadmap: Key Milestones and Risk Mitigation 42 Anticipated Barriers to Adoption and Sustainability 44 Monitoring, Learning and Evidence Framework 45 Sustainability and Exit Strategy 49 Conclusion and Recommendations 50 Conclusion 50 Recommendations 50 References 52 Annex 1. Innovation bundling Elements: A quick Reference 57 Annex 2. Policy Mapping: Relevant national Policies, Strategies and Programs 59 Annex 3. Training Outline for Farmers 60 CGIAR Scaling for Impact | Page 4 of 59 Summary This report is based on a synthesis of literature review, extensive field reconnaissance visits to pilot solar-powered irrigation sites (living labs), key informant interviews (KIIs) at different institutions and with model farmers, focus group discussions (FGDs) with solar irrigation users in four woredas and a stakeholder consultation workshop to co-select scaling pathways and elements of innovation bundling. It presents key findings from field visits on existing solar irrigation practices, live challenges and opportunities and on solar irrigation scaling strategy (including bundling features and challenges, scaling pathways and financing options for solar irrigation systems). The study contributes to existing knowledge on responsible scaling by providing new evidence on the importance and effectiveness of bundling, participatory prioritization of scaling pathways and financing mechanisms for solar irrigation systems. Solar-powered irrigation supplies water for irrigation which can also be supplied by diesel pumping and gravity diversion. However, water supply is only one element of irrigated agricultural development. Scaling — the widespread and sustainable adoption and integration of solar irrigation systems moving from pilot donor-supported systems — faces multifaceted systemic challenges. These challenges include the lack of targeted and customized policy support and financing solutions, limitations in institutional readiness, capacity limitations, weak learning and feedback loops. Evidence has shown that to attain sustainable productivity, other technologies and services need to be bundled with solar irrigation systems. Accordingly, this study identified six bundling elements, namely: policy, financing, technology and hardware, water resource and agronomic integration, capacity development and services, and markets and value chains. The solar-powered irrigation systems implemented in Ethiopia to date have been mainly donor- or subsidy-dependent, with very low potential to reach scale. They need to be commercialized and market- based to yield sustainable benefits. Institutional readiness and addressing systemic challenges are vital for sustainable scaling. As such, this study identified relevant and suitable scaling pathways for solar- powered irrigation in developing countries, and then selected those more suitable for the Ethiopian case using participatory approaches based on multiple criteria. Four scaling pathways were thus selected: 1. Cooperatives based: This scaling pathway can address high upfront costs through self-financing or loans, by accessing after-sales and operations and maintenance (O&M) services and market linkages; 2. Large solar panels shared among farmers: This allows shared investment and affords enhanced access to services and markets. 3. Irrigation/water service providers: This would relieve farmers from high upfront costs and administrative challenges and could benefit both farmers and service providers. But it requires directives/guidelines to determine appropriate irrigation service fees; and 4. Individual smallholder farmer based: Farmers purchasing solar irrigation equipment individually and directly with little administrative effort, suitable for capable smallholder farmers. These four pathways can be applied to the Ethiopian cases under different physical, environmental and economic situations. Most smallholder farmers in Ethiopia find the high upfront costs of solar irrigation equipment prohibitive. The financial services/products available in the sector too are less developed. There is, therefore, a need to recognize solar-powered irrigation as a competitive investment sector and transform the financing landscape. It is time to move away from small subsidies and donor-supported projects to well- mainstreamed and private sector-led development. To this end, this study identified possible financing mechanisms to scale solar-powered irrigation and selected through a participatory approach, the five most suitable ones for Ethiopia: Contract farming/crop leasing, loans from financial institutions (FIs), revolving funds, group investment and direct purchase. Furthermore, blended financing approaches within these models could be more appropriate, or multiple financing mechanisms might be applicable to a particular scaling pathway on a case-by-case basis. Scaling for Impact | Page 5 of 59 CGIAR In conclusion, this report outlines a practical framework for adaptive scaling of solar-powered irrigation with a view to transforming pilot initiatives into sustainable, inclusive and farmer-driven systems in Ethiopia. The proposed scaling pathways can also enhance feedback mechanisms through iterative learning and evidence generation. By integrating technology, finance, capacity development, policymaking and institutional coordination, the proposed pathways promote economic viability, resilience and learning-based adaptation. Participatory selection of bundling, scaling and financing mechanisms emphasizes local ownership and flexibility to adjust as contexts evolve. Moving forward, collaboration among government, private sector and farmer organizations will be essential to sustain the momentum of promoting climate-smart, market-oriented and adaptive solar irrigation systems for smallholders. CGIAR Scaling for Impact | Page 6 of 59 Introduction Agriculture in Ethiopia is dominated by smallholder farming systems characterized by rainfed production with low productivity. The Government of Ethiopia has followed an extensive and multifaceted approach to improve agricultural productivity, with a shift from rainfed to irrigated agriculture to mitigate climate risk, food security being the major policy goal (UNFCCC 2022). Irrigation is expected to triple agricultural production, which will improve food security, rural livelihoods and standards of living. Efforts have been made in the past two decades with encouraging results to expand irrigated agriculture (Gebul 2021; Dejen 2025). Yet, much more needs to be done to expand and modernize irrigation systems, improve water use efficiency and productivity, and support irrigation with improved technologies for water abstraction and application as well as soil moisture monitoring. While the large gravity-based irrigation systems in the country enable conveyance and application of irrigation water, they have limitations in reaching smallholder farmers on a wide scale. Farming is highly disintegrated in Ethiopia; so while large-scale schemes are key, decentralized irrigation systems are equally important to reach smallholder farmers (Cochrane and Cafer 2020; Gebul 2021). Decentralized smallholder-driven irrigation development has the potential to enhance inclusiveness and sustainability (Smur et al. 2021). Such irrigation systems mainly depend on shallow groundwater and freshwater lakes and streams, which generally require water-lifting devices conveying irrigation water from source to agricultural land. Energy sources play a crucial role in this respect. Pumping for smallholder irrigation in Ethiopia has conventionally been dependent on diesel-powered pumps, which puts a burden on farmers in the form of increasing fuel prices as well as poor accessibility in rural areas, adulteration and high maintenance and repair costs. Furthermore, in some areas, uncontrolled pumping from shallow groundwater and lakes using diesel pumps is threatening sustainable management of water resources and ecological integrity. For instance, Goshime et al. (2021) report that uncontrolled pumping from Lake Ziway is posing a threat to its sustainability. Sunshine is abundant and water resources are substantial in Ethiopia. If combined, they can transform rural livelihoods (Toga 2020). Solar-powered irrigation is rapidly emerging as a game-changing technology in rural areas. It is poised to overcome the limitations of conventional irrigation. By turning solar energy into a reliable, cost-effective and clean source of power for water pumps, small-scale farmers can be enabled to irrigate their lands throughout the year. A shift toward solar pump irrigation not only promises to increase food security and income but can also be a significant step toward more sustainable and climate-resilient agriculture in Ethiopia. The nation's perennial solar abundance could become a catalyst for water security and rural prosperity. Solar pump irrigation is not merely a technological shift. It has the potential for broader rural institutional scaling, leading to inclusive growth. Its adoption by smallholder farmers can spur new forms of organization and governance (e.g., farmer groups, cooperatives and water-users’ associations) to manage shared infrastructure, financial systems and maintenance services (Closas and Rap 2017; Aarnoudse et al. 2018; Lefore et al. 2021). These institutional innovations can contribute to farmers’ empowerment and inclusion by increasing their collective bargaining power, strengthening decision- making processes and enabling access to credit (Lefore et al. 2021). Solar-powered irrigation can also help farmers smoothen production across seasons, diversify into higher value crops and participate more competitively in agricultural markets (Burney et al. 2013; Closas and Rap 2017). All these factors can enhance market integration and value chain upgrading, stimulate local agribusiness development, and, in turn, create rural employment opportunities and attract investment (Lefore et al. 2021). Thus, solar-powered irrigation, when supported by policy, facilitative institutions and financial systems, holds the promise of a systematic rural transformation, linking clean energy transition with inclusive economic growth and institutional resilience. Investing in solar irrigation in Ethiopia would benefit smallholder farmers by decentralizing access to water-lifting technology although the impacts would depend on the type of crops cultivated, water resources and application systems, and the size of the cultivated area (Otoo et al. 2018). Solar-powered Scaling for Impact | Page 7 of 59 CGIAR irrigation schemes have been implemented at pilot scale by different organizations including Netherlands Development Organization (SNV), Agricultural Transformation Institute (ATI), Farm Africa and the International Water Management Institute (IWMI) in various areas of the country such as the Central Rift Valley, Hawassa Zuria, East Shewa, Amhara and Tigray regions (Negera et al. 2025). In these pilot projects, solar-powered irrigation systems proved to be extremely useful as a water-lifting solution. Smallholder farmers who adopted solar pump technology reported positive impacts on their livelihoods (Negera et al. 2025). There were positive economic, social, environmental and strategic benefits to smallholder farmers in general and to the broader national economy. However, despite these results, solar pump technology adoption remains low in Ethiopia (Teferi et al. 2024). Scaling solar-powered irrigation presents a systemic challenge as it involves interconnected elements including energy, water, agricultural, institutional and financial systems which all shape rural livelihoods and development. Among the key challenges are the lack of alignment of policies across sectors, financial and market barriers, weak institutional and governance arrangements and limited learning and adoption processes (Phiri et al. 2021; Durga et al. 2024; Negera et al. 2025). Since solar irrigation technology is relatively new to Ethiopia, testing technologies and bundling innovations at pilot sites will produce critical learning relevant to adaptive scaling. Toward this end, IWMI has been undertaking studies in the solar irrigation living labs in four districts (Hawassa Zuria, West Meskan, South Sodo and Adami Tulu) in Central and Southern Ethiopia. This report presents evidence on scaling pathways and financing mechanisms that can overcome the systemic challenges that currently hinder sustainable development of solar-powered pump irrigation among smallholder farmers in Ethiopia. This evidence can inform integrated policies, country-specific scaling pathways and effective financing models, and provides feedback loops essential for adaptive learning and policymaking. CGIAR Scaling for Impact | Page 8 of 59 Rationale for scaling Agriculture in Ethiopia is significantly impacted by climate change. Irrigation is widely practiced to build resilience and enhance livelihoods and food security. To this end, smallholder farmers are increasingly adopting irrigation practices, mainly depending on diesel-powered pumps which are expensive and pose accessibility challenges (Tesfaye et al. 2021). Lifting water is the main component of irrigation systems apart from other elements that enable water supply and enhance productivity. Solar-powered irrigation is an alternative solution for lifting groundwater or surface water. In the context of solar irrigation, bundling refers to the practice of combining solar-powered irrigation systems with other related technological and agricultural products, services and financial mechanisms into a single, integrated package for farmers (Ofosu and Minh 2021; Birhanu, Sanogo et al. 2023). Bundling ensures lasting and maximized benefits for farmers by taking care that high direct costs become affordable, irrigation water supply is reliable, there is significant reduction in operational costs (eliminating diesel cost), services are provided, policy support is available, and there is sustainable increase in productivity and income. Solar-powered irrigation systems are emerging as reliable solutions for sustainable water supply and agricultural productivity in Africa. In Ethiopia, these systems implemented in different regions at pilot stages have proven to be excellent energy solutions for reliable smallholder irrigation water supply. Given the huge energy scarcity in rural areas, scaling solar-powered irrigation systems for wider adoption is crucial. Scaling in this context refers to the strategic and expanded deployment of solar-powered irrigation systems, moving away from small and isolated pilot-level projects. It includes both scaling out (wider coverage) and scaling up (larger scale, policy integration and commercialization). It is about creating an entire conducive ecosystem where sustainable solar-powered irrigation systems become a fixture in irrigation water management. However, scaling is constrained by the lack of local resources and capacity, and often the failure to respond to farmer demands, thus necessitating smart financing models (Otoo et al. 2018) and support systems. The lack of customized financial services and the high upfront cost of solar panels have also hindered scaling. Ethiopia’s irrigation sector is small scale, fragmented and highly dependent on water lifting with diesel- powered pumps. The poor and inefficient water management systems and practices are constrained by the increasing cost of fuel (Ahmed and Tilaye 2024) and its inaccessibility in rural areas. Under these circumstances, solar-powered irrigation holds great potential for sustainable, environmentally sound and economically viable irrigation development. However, existing pilot-level solar irrigation practices need to be scaled up for wider adoption to have pronounced impacts. Solar-powered irrigation systems come with economic, social and environmental benefits and enable more efficient irrigation w ater management if bundled with appropriate technologies and services. Therefore, scaling solar-powered irrigation and improving service provision and value chains are critical for more pronounced benefits at the national level. Ethiopia has several examples of successful smallholder solar-powered irrigation practices with reliable irrigation water supply, and no farmer issues associated with fuel access and increasing fuel costs. Such a system with an irrigation capacity of about 8 ha was recently installed at Hawassa Zuria woreda (Figure 1) with reliable irrigation water supply for farmer groups. Solar irrigation systems implemented by IWMI and partners in Hawassa Zuria, Adami Tulu, East Meskan and South Sodo woredas have seen farmers using solar irrigation systems to pump water mainly from shallow groundwater (6–10 m). The farmers mainly grow vegetables and harvest up to three seasons a year, thereby increasing crop yields and improving livelihoods. These solar-powered irrigation living labs enhanced technology testing and adaptive learning for scaling. Field visits to these sites and consultations with the farmers confirmed that they are very comfortable with the use of solar irrigation systems and have reaped several benefits. Scaling for Impact | Page 9 of 59 CGIAR Figure 1. (Left) The solar-powered irrigation facility installed for a group at Hawassa Zuria woreda; (right) papaya grown with solar irrigation (Source: Zeleke Agide Dejen) Rainfed agriculture in Ethiopia is highly vulnerable to climatic shocks and has reported losses. Smallholder farming households face high livelihood risks due to multiple factors, including land degradation and climatic shocks. Scaling solar-powered irrigation systems along with watershed management activities can enhance their resilience to climatic shocks and enhance productivity. Solar- powered irrigation systems are more suitable in areas without electricity and with reliable shallow to medium groundwater resources. Previous pilots have demonstrated their effectiveness given appropriate support. There is vast potential to scale solar-powered irrigation in the following suitable sites with shallow groundwater resources: (1) Abaya-Chamo sub-basin (in the Rift Valley Lakes Basin); (2) Lake Tana sub-basin (in the Upper Blue Nile Basin); (3) several woredas in East Gojjam Zone (in the Upper Blue Nile Basin); (4) Kobo Girana area in North Wollo Zone; and (5) Becho plain (in the Upper Awash sub-basin). Scaling has multiple dimensions, including scaling in technology (horizontal or vertical), practices, systems, etc. In Ethiopia, where the technology itself is new to farmers and has reached only a few pilot areas, scaling solar-powered irrigation technology is a priority. In the few areas where the technology was piloted, it was meant for individual farmers (irrigating less than half a hectare). Given Ethiopia’s smallholder-dominated farming system, horizontal scaling is relevant. On the other hand, large solar- powered irrigation systems (by cooperatives or group investment) are also important to reach a larger number of farmers and ensure water resources sustainability. Practices and enabling systems support the scaling of solar-powered irrigation technologies, and these can be improved through adaptive learning and feedback loops. Following are the benefits of scaling solar-powered irrigation systems: • Reliability: Solar energy is an independent and assured source of energy for reliable and low- cost irrigation water supply to smallholders. • Economic benefits: Lifetime economic analysis indicates that solar pumps are a cheaper irrigation water-lifting technology compared to diesel-powered pumps. • Climate resilience and decarbonization: Solar energy has zero direct emissions, helping decarbonize the agriculture sector. • Increased agricultural productivity and farm income: These systems ensure reliable irrigation water supply, allowing farmers to triple cropping intensity and productivity. • Enhanced irrigation efficiency: By integrating drip irrigation and sprinklers, solar-powered irrigation can ensure very high irrigation efficiency in water-scarce areas. CGIAR Scaling for Impact | Page 10 of 59 • Meeting global emission goals: Solar pumps can enable governments to meet renewable energy and global climate targets. Methodology Generating evidence This technical report is based on field observations and extensive consultations with diverse stakeholders, including smallholder farmers, local agricultural experts, financial institution experts and stakeholder consultation workshops. Therefore, the evidence underpinning this report derives from both secondary and primary sources. Secondary data encompassed policy documents and literature, incorporating peer-reviewed publications and official reports. Primary data were collected through field visits, FGDs, KIIs and stakeholder consultation workshop (Figure 2). A detailed description of the methods applied follows. Figure 2. Methods of evidence generation employed Secondary data Policy review: The primary objective of this review was to assess existing policy provisions relevant to solar pump irrigation, uncover opportunities, identify gaps and challenges and evaluate the current state of policy implementation in Ethiopia. It began with the systematic collection and mapping of relevant policy documents. National policies on energy, water and the environment were thoroughly examined. The key policies examined include the Climate-Resilient Green Economy Strategy (2012), Draft National Energy Policy (2021), Sustainable Energy Development Strategy (SEDS 2024-2030), Agriculture and Rural Development (ARD) Policy (2024), National Electrification Programme (NEP 2.0), Small-scale Irrigation (SSI) Strategy, Climate-smart agriculture investment plan for Ethiopia, and National Ten-Year Development Plan, among others. Additionally, policies related to the financing of smallholder farmers, including the National Agri-Finance Implementation Roadmap (NAFIR) and National Bank of Ethiopia (NBE) directives were identified and analyzed. Literature review: A comprehensive literature review was conducted to explore scaling pathways and financing mechanisms for solar pump irrigation in Ethiopia. This involved systematically identifying, selecting and synthesizing relevant literature on business models and scaling strategies in the Ethiopian context. The review critically assessed the advantages and disadvantages of various pathways and financing approaches to determine the ones most suited to Ethiopia. Its findings guide the prioritization Scaling for Impact | Page 11 of 59 CGIAR of effective scaling options to promote the widespread adoption of affordable and reliable Solar-Powered Irrigation Systems (SPIS) in Ethiopia. Primary data Field observation: A field reconnaissance survey was carried out in four solar irrigation pilot woredas – Hawassa Zuria, Adami Tulu Jido Kombolcha, East Meskan and South Sodo – to assess the status of solar pump irrigation. The survey focused on water sources used by smallholder farmers, the capacity of solar pumps, irrigated crops, irrigation practices and technical challenges associated with solar pumps. Farmers’ focus group discussions: FGDs were conducted with farmers currently using solar irrigation across the four pilot woredas, intentionally including men, women and youth. In some woredas, separate FGDs were held for men and women to capture more different perspectives. The discussions primarily explored the benefits and challenges associated with solar pump irrigation to identify the key obstacles smallholder farmers faced during the pilot phase and to gather recommendations to inform the scaling strategies. Key informant interviews (KII): These were conducted with local agricultural experts and model farmers. The interviews highlighted existing challenges related to technical support and training in solar pump use. Additionally, KIIs with experts at Awash Bank and SIINQEE Bank explored their perspectives on the creditworthiness of solar pump irrigation and the financial institutions’ willingness and commitment to finance smallholder farmers’ adoption of this technology in Ethiopia. Stakeholder consultation workshop: A consultative workshop brought together stakeholders from more than 15 diverse institutions – including the Ministry of Agriculture, Ministry of Irrigation and Lowland, nongovernment organizations (NGOs), financial institutions, solar system suppliers, consultants and Woreda Agricultural Offices. Participants shared valuable insights and recommendations on various scaling pathways and their priorities. The workshop played a pivotal role in jointly selecting the scaling pathways and financing mechanisms detailed in the forthcoming sections. Analytical framework A participatory approach was employed involving diverse stakeholders – such as smallholder farmers, local agricultural experts, financial institutions, solar pump suppliers and policymakers – to identify and select viable solar pump scaling pathways and financing models. Initially, potential scaling pathways and financing models were identified through a comprehensive literature review and consultations with farmers, local experts and financial institutions. Engagements with farmers and local experts provided insights into the practical challenges and opportunities in solar irrigation financing systems. Interviews with financial experts provided contextual insights on the creditworthiness of solar pump irrigation investment, financing options, risks and mitigation strategies. The potential scaling pathways and financing models were subsequently presented at a multistakeholder workshop which selected and validated these based on a Multi-Criteria Analysis (MCA) approach in a participatory consensus-based process. Based on IFC and IFAD (2022), the evaluation of scaling pathways and financing mechanisms was based on five key criteria: 1. Feasibility: The practical viability of the pathways under existing technical, institutional, financial and environmental conditions (Hartung and Pluschke 2018); 2. Relevance: Alignment of the pathways with farmers’ needs, policy directions, existing capacities and national plans (Hartung and Pluschke 2018); 3. Equity and inclusiveness: The pathways’ potential for responsible scaling, particularly the inclusion of women and youth and resource-poor smallholder farmers (Shrestha et al. 2023); CGIAR Scaling for Impact | Page 12 of 59 4. Sustainability: The long-term viability of pathways from social, economic, institutional and environmental perspectives (Hartung and Pluschke 2018); and 5. Scalability: The pathways’ potential to successfully expand solar irrigation beyond pilot projects while maintaining their effectiveness, affordability and environmental and social benefits (Lefore et al. 2021). All criteria were assigned equal weight and the total scores for each potential scaling pathway and financing model were computed on a consensus-based qualitative prioritization. Based on these scores, the options were ranked, leading to the selection of scaling pathways and financing mechanisms (Figure 3). Figure 3. Stages in the participatory prioritization and selection of scaling pathways and financing mechanisms Limitations The study has a few limitations. First, its findings are context-specific, reflecting primarily the Central Rift Valley’s distinct agroecological, hydrological, market and institutional conditions. Though the study involves national-level stakeholders to reflect on issues in other parts of the country, care is needed in interpreting and implementing this across different agroecological characteristics. Second, the suitability of solar irrigation systems varies widely with biophysical conditions, solar system size, O&M arrangements and financing mechanisms; thus the selected scaling pathways may not be uniformly applicable across vast heterogeneous systems. Third, dynamic factors such as shifting institutional roles, evolving policy priorities, or changes in subsidy schemes can significantly influence implementation. Moreover, while the study assumes economic rationality, behavioral aspects such as risk aversion, social norms and trust play a crucial role in shaping the adoption of solar irrigation technologies. Scaling for Impact | Page 13 of 59 CGIAR Results and Discussion Insights from field observations and stakeholder consultations Farmers’ FGDs and KIIs with local agricultural experts Valuable insights from field observations, farmers’ FGDs and KIIs with local experts showed that solar pump irrigation has both opportunities and challenges in the pilot areas. Consultations clearly highlighted the benefits and challenges that address the systemic barriers (financial, institutional, behavioral, market and resources) to scaling and adoption. Opportunities Solar pump irrigation was identified as a viable option for many smallholder farmers to enhance food security, resilience and environmental sustainability, with the following key opportunities: Strong community awareness of the benefits of solar pump irrigation: Farmers’ attitudes and behavior play a key role in successful scaling. Users of solar pump irrigation and the broader community in the pilot areas acknowledged its significant socio-economic and environmental advantages, which drive its expanding adoption. Participants in the FGDs and KIIs emphasized that it reduces costs, saves time and minimizes labor in delivering water to farmers’ fields. Unlike diesel pumps, solar pumps eliminate fuel expenses, exhibit lower failure rates and require less frequent maintenance. Once installed, SPIS offers greater durability and longer service life compared to diesel alternatives. This is consistent with a study (Arefin et al. 2022) that underscores the financial relief solar pumps provide smallholder farmers by eliminating operational costs. Additionally, solar irrigation causes no environmental pollution and poses no health risks. The community’s positive perception of these benefits aligns with earlier studies (Arefin et al. 2022; Hartung and Pluschke, 2018) documenting the global advantages and challenges of solar-powered irrigation. Focus group discussion participants and local agricultural experts noted that solar pump innovations provide year-round irrigation water access, allowing farmers to cultivate crops more frequently and realize multiple harvests annually. Its impact on food security and household dietary diversity is significant. Adopters emphasized that SPIS greatly enhances household food security by boosting local food production and reducing dependence on costly and unreliable food purchases. Furthermore, SPIS supports dietary diversity by enabling smallholders to grow a variety of nutritious crops, including high- value vegetables and fruits, which also increase income and reinforce food security. Access to larger solar pumps would further amplify these benefits, improve household food security and enable the production of marketable crops. Farmer experiences in the pilot areas are consistent with a study by Gupta (2019) from India, that reported that solar pump adoption improves food security by 2–10 percent. Women’s economic empowerment: Currently, women are economically empowered through different gender-sensitive technologies including solar irrigation systems. In the pilot areas, SPIS fosters women's engagement in productive agriculture and advances their economic empowerment. Female FGD participants highlighted that SPIS offers significant advantages by reducing labor intensity and eliminating the heavy lifting associated with manual pumping. Unlike traditional or diesel-powered irrigation, SPIS demands minimal physical effort, making it especially suitable for women. Through solar- powered pump irrigation, women can grow crops in their gardens, market their produce and generate income to support household expenses. This nurtures financial autonomy, encourages less dependence on the spouse and provides opportunities to build personal wealth. These findings are consistent with Lee et al. (2025), who found that small-scale irrigation systems such as solar pump irrigation promote women’s empowerment by optimizing their time allocation. CGIAR Scaling for Impact | Page 14 of 59 The FGD participants also highlighted that SPIS effectively minimizes water wastage compared to traditional irrigation methods. By using water from dug wells either for irrigation on sunny days or for storing within the well, the system ensures minimal water loss. The integration of a solar pump for drip irrigation further enhances water efficiency by preventing wastage during the flow from source to fields. This aligns with Lefore et al. (2021) and Biberci (2023) who described solar pump irrigation as both cost effective and a promising innovation in irrigation technology. Availability of shallow groundwater and solar energy suitable for solar irrigation systems: Resources such as water, irrigable land and solar irradiation are key for the sustainable development of solar irrigation. Ethiopia’s substantial shallow groundwater and solar energy resources present a promising opportunity to expand solar pump irrigation. This enables cost-efficient, climate-resilient agricultural growth for smallholder farmers, especially in areas rich in solar energy and with accessible shallow aquifers. Scaling solar irrigation, however, needs to be grounded in thorough assessments of local water resource availability. Financial institutions’ commitment to solar pump irrigation: Limited access to finance has been a persistent bottleneck in Ethiopia. Ethiopian financial institutions currently demonstrate a robust commitment to expanding solar pump adoption by offering consumer loans, pioneering financing solutions and fostering public-private partnerships. In particular, the National Agricultural Finance Implementation Roadmap 2025-30 (NAFIR) mandates these institutions to support the agriculture sector (NBE 2025). Such efforts can stimulate investments in agricultural technologies, notably solar pump irrigation. Access to long-term credit at preferential interest rates can significantly boost loan uptake for solar-powered irrigation system investments. Challenges The FGD participants and local experts highlighted the following key challenges to the widespread adoption of solar irrigation systems: High initial investment costs: Smallholder farmers face prohibitive initial costs for SPIS, especially for large capacity pumps needed for sizable land areas. Since these pumps are imported, their price has been rising and is currently around USD $1107 for a small capacity pump, making them unaffordable without sufficient financial support. The continuous depreciation of the currency further increases the cost, limiting widespread adoption. Lack of technical support and training: Technicians skilled in repairing and maintaining solar pumps are unavailable at the woreda level, hindering the scaling up of solar pump irrigation. This results in long wait times and extra costs for farmers needing repairs. Nonavailability of spare parts locally: The FGD participants and local agricultural experts noted the lack of locally available spare parts as a major barrier to adoption. Smallholder farmers face difficulties repairing pumps as spare parts are not accessible nearby, requiring travel to the country’s capital. Additionally, solar pump suppliers often do not provide reliable guarantees. Improved local access to spare parts either by direct purchase or through credit would increase farmers' confidence in adopting solar pumps. Limited financing: Credit facilities for the agriculture sector in general are limited, and existing ones are costly. Those specifically designed for SPIS are lacking. Current credit-based solar pump purchases are poorly structured, with high collateral demands and complex bank procedures that discourage investment in solar pump irrigation. Insights from KIIs with financial institutions Key informants from financial institutions emphasized that solar pump irrigation is highly creditworthy due to its low operational costs and minimal environmental and human impact. They underlined the Scaling for Impact | Page 15 of 59 CGIAR social responsibility of financial institutions to support the agriculture sector, particularly smallholder farmers. Consequently, banks and microfinance institutions are actively developing financial products tailored to the needs of smallholders as part of broader financial inclusion efforts (Guja 2022; NBE 2025). The informants also noted that SPIS aligns with green financing initiatives and complies with financial institutions’ environmental protocols. Additionally, it fits within climate-smart agriculture frameworks, making its financing economically, socially and environmentally advantageous. Financial institutions know the multiple advantages of supporting SPIS scaling up, which include enhancing financial literacy, financing solar pump irrigation inputs, facilitating market access for farmers and forming partnerships to mitigate investment risks. However, key informants stressed that successful financing of SPIS depends on ensuring robust technical support (such as after-sales service), reliable irrigation water sources and improved financial literacy for smallholder farmers. To address risks related to technology, water scarcity and credit default, collaboration among financial institutions, governments and donors is crucial. Informants also expressed a preference for group lending over individual loans and favored in-kind loans rather than cash to minimize the risk of loan misuse. Overview of innovation bundling in solar-powered irrigation Innovation bundling elements Bundling refers to the practice of combining solar-powered innovation with related innovation elements to improve adoption, productivity and sustainable benefits. Bundling is receiving increasing attention to ensure access, complementarity and uptake by smallholders for the sustainability of agricultural development (Abetu et al. 2024). Solar irrigation technology requires several innovation system elements to be developed. Current practices in Ethiopia are dominated by piecemeal approaches. The concept of bundling is less developed, which has resulted in suboptimal productivity. Bundling specifically helps avoid high upfront costs, provides reliable irrigation water supply, enables efficient water use, leads to sustainable increase in productivity and increases farm incomes (with potential to increase 2-3-folds, Negera et al. 2025). Bundling in solar irrigation can comprise several elements that collectively could result in optimal benefits. The following six bundling elements play a vital role in successfully adopting and deriving optimum benefits from solar irrigation (Otoo et al. 2018; Negera et al. 2025): • Policy: Enabling policy and integration; • Financing: Affordable and inclusive financial access that ensures affordability and ease of access; • Technology and hardware: Product access and effectiveness, pump, panels, controller and drip kits that ensure reliability, compatibility and efficiency; • Capacity building and services: Inputs access, farm profitability, training and O&M services that ensure sustainable operation; • Water resource and agronomic integration: Agronomic support and optimal water use that ensure maximized income; and • Markets and value chains: Profitability and hybrid financing options that ensure increased farm incomes and loan repayment. The bundling elements for scaling solar irrigation are described in Figure 4 and Table 1. Further details on bundling elements are also provided in Annex 1. CGIAR Scaling for Impact | Page 16 of 59 Figure 4. The different elements in solar-powered irrigation bundling Table 1. A description of bundling elements in solar-powered irrigation Bundling elements Description Policy Successful scaling of solar-powered irrigation requires integrating enabling policies that enhance sustainable adoption. It requires strategic alignment of policies or goals across the energy, water and agriculture sectors and policy frameworks that ensure sustainable water resources and environmental management, water saving technologies and laying down mechanisms for affordable funding for smallholders. Ethiopia has good policy frameworks supporting renewable energy solutions, including solar (Annex 2); although some gaps still exist in some areas and in policy implementation. Policies supporting multiple scaling and financing mechanisms need to be in place. For example, policies guiding irrigation-as-a-service and solar irrigation fund models of scaling are critical. Also, enforcing existing policy implementation is crucial. For instance, solar pumps are exempt from import duties. The improper implementation of this policy is resulting in very expensive equipment compared to the price prevalent in neighboring countries. Policies impact all the bundling elements and enable enhanced adoption and institutionalization. Financing Accessible and tailored financing mechanisms are essential to bring solar-powered irrigation systems within the reach of smallholder farmers. Blended financial instruments such as cooperative-derived models, low-interest loans and crop leasing can lower entry barriers and promote the adoption, replication and upscaling of solar irrigation technologies and practices. Technology and hardware This refers to physical and technological components such as solar panels, pumps, controllers and water storage and distribution systems. It covers solar panel size, pump capacity and type, water storage design and efficient irrigation methods (e.g., solar- powered systems combined with drip irrigation). The integration of smart monitoring tools (e.g., soil moisture and flow sensors) ensures precise water delivery and optimal irrigation efficiency. This enhances fit-for-purpose scaling. Water resource and agronomic integration The expansion of solar-powered irrigation depends on reliable water sources. Therefore, water resource assessments covering availability, quality, well depth, safe pumping rates and surface water intake are critical. Integrating agronomic practices such as matching crops to water availability, promoting high-value and water-efficient crops and applying soil Scaling for Impact | Page 17 of 59 CGIAR and water conservation measures ensures long-term resource sustainability. It thus ensures sustainable and responsible scaling. Capacity building and services Farmers often lack training in solar-powered irrigation technologies, system operation, maintenance and efficient input use. Capacity-building initiatives should provide technical training, agronomic guidance (crop selection and protection, irrigation scheduling) and after-sales support. Establishing local maintenance networks (service providers), input supply chains and extension services is vital for long-term system performance and farmers’ success. These enhance replication and sustainable use. Markets and value chains Strong market linkages and efficient value chains make solar-powered irrigation economically viable. Currently, many smallholders have poor market access and input distribution systems. Developing robust value chains for both agricultural inputs and produce through, for example, strong partnerships and contract farming, ensures reliable input supply, fair pricing and stable markets for farmers’ outputs. This enhances adoption rates and sustainable profitability. Technology bundling by irrigation typology Hardware technology bundling can vary based on the source of water for irrigation, water abstraction arrangements and method of water application to the fields. The most viable sources of irrigation water for smallholder farmers are shallow wells, fresh lakes and perennial rivers. While the bundling elements related to capacity building and markets are the same across typologies, there are differences in hardware- and water resources-related bundles for different typologies. Four common typologies for smallholder solar irrigation systems in Ethiopia were identified, by stakeholder, with different bundling elements. 1. Typology I (shallow well with surface flood irrigation): Solar pumps are used to pump water from shallow wells, with water pumped over the land surface to flow and be distributed by gravity. 2. Typology II (shallow well with drip irrigation): Water from shallow wells is pumped while being connected to drip irrigation systems for better water distribution and irrigation efficiency. 3. Typology III (surface water with drip kits): Surface water from lakes and perennial rivers is used by solar pumps for irrigation. It is connected to drip systems for efficient irrigation. 4. Typology IV (solar pumps used by multiple farmers): Large solar panels can be used by multiple farmers, bringing economies of scale and collective management. The bundling elements for the four irrigation typologies are described in Table 2. Table 2. Solar-powered irrigation technology bundling by typology developed based on stakeholders’ consultation Elements of technology bundling Description Irrigation typology Typology I: Shallow well with surface flood irrigation Typology II: Shallow well with drip irrigation Typology III: Surface water with drip kits Typology IV: Solar pumps used by multiple farmers Water resources assessment This includes groundwater availability and depth, depth of well, safe pumping rates, water quality, etc., for a sustainable and successful solar irrigation system. √ √ √ √ Solar panel/pump capacity This includes the size of solar panels and capacity and pump capacity selection to enable farmers to irrigate their land adequately. √ √ √ √ Water storage facilities Farmers may sometimes need to irrigate out of the hours of the day where pumping is possible, which necessitates water storage. For irrigation during non-sunshine hours or on cloudy days, water storage facilities (elevated tanks and ponds) are needed. Elevated storage is needed for drip systems. √ √ √ √ Moisture sensors for irrigation scheduling Smallholder farmers often schedule irrigation (amount and interval) based on their own experiences. To support the application of the right amount of water, moisture sensors of any form play a key role in irrigation scheduling. Bundling it with solar irrigation, when possible, matches water-crop demand. √ Drip kits specification and capacity Drip kits need to meet specific field and crop requirements (head, application rates). √ √ Water sharing arrangement When infrastructure is owned by a group, clear water sharing arrangements are vital. Therefore, rules and schedules of water delivery/sharing need to be part of the bundle. √ Water filters Surface water contains a substantial amount of physical, biological and chemical impurities which clog drippers. If solar irrigation is to be combined with drip, the selection and provision of suitable filters is required. √ √ Overview of scaling pathways and financial mechanisms Dimensions of solar-powered irrigation scaling Scaling is aimed at creating an enabling environment where farmers, service providers, financiers, policymakers and private sector players aggregate to offer accessibility, affordability and long-term sustainability. Scaling involves shifting agriculture systems, increasing water savings and improving the institutional, financial and market structures under which solar irrigation systems operate. Effective scaling ensures that solar irrigation transitions from small, scattered pilot schemes to mainstream and integrated ones that foster productivity and resilience and address equity and livelihood issues. This is called responsible scaling. Pilot projects tend to focus on one aspect of scaling (technology supply), often excluding value chain development from solar irrigation projects (Lefore et al. 2021). Responsible scaling is not entirely about expanding the number of solar pumps, but about developing a sustaining system that makes solar irrigation a central component of climate-resilient, economically viable and environmentally sustainable agriculture systems. Also, solar irrigation scaling can be viewed from multiple perspectives: technologically (involves improving system design, standardization and local manufacturing capacity); financially (with innovative and inclusive financing models that lower cost to enable access by smallholder farmers); institutionally and policywise (involves facilitating regulations, incentives and stakeholder coordination; gender mainstreaming); and environmentally and socially (demands responsible management of water, equitable access and conservation practices to prevent depletion of resources). In a broader sense, scaling of solar irrigation can be considered along four interconnected dimensions: horizontal, vertical, impact and sustainability scaling (Table 3). Horizontal scaling or numbers scaling is a replication and diffusion of solar irrigation technology to geographically spread places and farmer groups. Vertical scaling is about institutional and systemic integration, where solar irrigation becomes part of government programs, financial systems and policy incentives for long-term scaling up. Impacts scaling accounts for the broader social, economic and environmental impacts, e.g., improved food security, increased farmer incomes and reduced greenhouse gas emissions. Sustainability scaling and responsible scaling ensure that growth in adoption is ecofriendly, economically viable and socially just, balancing technological progress with ecosystem integrity and equity. Together, these dimensions present an integral framework for transformative and sustainable scaling in solar irrigation development (Figure 5). Table 3. Four dimensions of scaling solar-powered irrigation systems Scaling dimensions Description Horizontal scaling (scaling in numbers) Horizontal scaling refers to the expansion/replication in coverage and adoption of solar irrigation systems to wider geographic and user bases, i.e., moving from hundreds of installations to millions, from pilot projects to national and regional programs, and from tens of early adopters to several thousands/millions of smallholder farmers. It targets replication, applying proven models to alternative settings supported by proven supply chains, strong private sector engagement and supporting policies that promote mass uptake. Vertical scaling (scaling up) Vertical scaling involves expanding the technology, infrastructure and capability of solar irrigation systems to reach larger farms, groups, or irrigation schemes, i.e., to supply multiple consumers, communal farms, or irrigation clusters. This approach improves economies of scale and encourages collective ownership and optimal use of resources. It requires coordinated management structures, water-sharing structures and institutional arrangements to ensure fair access and system sustainability in the long run. CGIAR Scaling for Impact | Page 20 of 59 Impacts scaling and responsible scaling Scaling up solar irrigation generates transformative economic, environmental and agricultural advantages/outcomes at country and district levels: • Economic impacts entail reducing farmers' cost of doing business, such as fuel and electricity expenses, while increasing productivity, profitability and rural employment. • Environmental impacts stem from replacing polluting diesel energy with clean solar energy and reducing carbon emissions and pollution in rural landscapes. • Agricultural productivity impacts occur through reliable, year- round irrigation that underpins higher yields, crop diversification and several cropping seasons, resulting in increased food security and rural resilience. • Responsible scaling occurs through inclusiveness, i.e., the participation of women and youth in scaling interventions. Sustainability scaling Sustainable scaling entails that the expansion of solar irrigation systems is not followed by new problems, such as groundwater depletion or overexploitation of resources. • Scaling water efficiency means coupling solar pumps with drip irrigation or sprinklers to grow more crops per drop, rather than just pumping more water. • Scaling management occurs by implementing smart water governance, for example, water abstraction caps, abstraction monitoring and regulatory frameworks to prevent overexploitation of groundwater. • Scaling resilience occurs by creating systems that are durable, well- maintained and integrated into the local economy, so that they last longer (through local maintenance services, viable financial products, etc.). Potential scaling pathways identified with stakeholders Scaling pathways define the avenues/strategies through which technologies move from pilot to widespread, long-term uptake. Effective scaling pathways combine bundles including policies, technological innovation, financial inclusion, water resources and agronomic studies/advisory, institutional facilitation, environmental sustainability and markets/value chains to promote long-term and equitable adoption and productivity. Moreover, scaling encompasses horizontal scaling, vertical scaling, impacts scaling and responsible scaling and sustainability scaling. These dimensions are complementary and interdependent to ensure collective and effective scaling. A number of possible scaling pathways were identified through a stakeholder consultation for solar irrigation (Table 4). Potential financing mechanisms identified with stakeholders Sustainable financing is a key aspect of solar irrigation scaling and is the main bottleneck to adoption by smallholder farmers. Over the past decade, solar irrigation development has been largely dependent on subsidies/grants, a model with very limited accessibility and rollout potential and suitable only for piloting and testing technologies. Scaling pathways and financial mechanisms are interlinked; scaling works best only with appropriate financing mechanisms. Possible alternative solar irrigation financing mechanisms are described in Table 5. Table 4. Scaling pathways for solar-powered irrigation identified through stakeholder consultation Scaling pathways Description Suitability (context) Pros Cons Resource and institutional requirements Cooperatives Smallholders form a legal cooperative to collectively own, manage and benefit from SPIS For farmers with small plots near each other and where individual farmers face challenges covering upfront costs Lower per capita costs, economies of scale, creditworthiness, optimal water use, resource sustainability, gender inclusiveness, opportunities to invest in efficient irrigation systems Not suitable for fragmented lands, incidence of conflicts, effort in setting up cooperative, needs technical skills Individual contributions, better access to loans, officially formed legal cooperative entity with bylaws and elected leadership Small-scale systems (<1 ha) Small solar irrigation systems are expanded for smallholders who individually hold less than 2 ha For smallholders with resources, fragmented landholdings Autonomy and flexibility, simplicity, reduced potential for conflicts, no administrative costs Risk of unsustainable use if unregulated, higher initial costs by farmers, own responsibility for O&M Farmers’ own resources or from loans, scant institutional requirement Large solar panels shared among farmers Large solar panels/pumps are shared among a group of up to 10 smallholders For smallholders having plots in proximity and those facing the financial burden of self- investment Lower entry barriers, cost effective and shared investments on irrigation systems Possibility of conflicts only in geographically close plots Resources raised by individuals, mutual agreement on collective ownership and management Private/government extension system Expansion of government/private extension services for solar irrigation practices For areas where extension services can be introduced Closeness to farmers, better technical assistance Possible limitation in capacity to deliver effective extension services, limited private extension services Government commitment, resource allocation and policy support Private Public Partnership (PPP) A collaborative approach where the public sector (government) and the private sector (companies, individuals) work together to enhance the adoption of solar irrigation systems Leverages government support and private sector resources, suitable where it is attractive for the private sector to invest Avoids high upfront costs for farmers, provides confidence for the private sector to invest, ensures sustainability and could be a win-win solution for farmers, the government and the private sector Could result in a feeling of control of resources by the private sector and the possibility of dissatisfaction by users Need for private sector investment, agreement on modalities of payment by farmers and policy support Irrigation/water service providers Private sector, groups of farmers or cooperatives For productive areas willing to pay, No high upfront costs, payment for services Possibility of higher operational costs for Private sector investment or group investment, CGIAR Scaling for Impact | Page 22 of 59 invest in solar irrigation systems and provide irrigation water services to farmers willing to pay for the services presence of policy framework for modalities of service provision/payment received by farmers, reduced O&M and scheme administration efforts by farmers providers, recurring payment obligations for farmers that may lead to payment defaults and complexity of measuring the level of service policy framework and regulations on payment modalities/ irrigation service fees Hybrid scaling A combination of more than one of the scaling options above Combines models’ contextually: e.g., PPP in the midlands and small scale in the highlands, private extension systems in peri-urban or commercializing zones Leveraging the benefits of more than one contextualized model under different conditions, multiplying impacts Possible ambiguity in the roles of the public and private sectors and farmers Resources are mobilized from different sources, wide policy framework accommodating various scaling options Scaling for Impact | Page 23 of 59 CGIAR Table 5. Financing mechanisms for solar-powered irrigation identified through stakeholder consultation Financing mechanisms Description Suitability Pros Cons Resource and institutional requirements Direct purchase Farmers buy pumps with their own funds and own them Medium income smallholders with a clear benefit-cost analysis Simple, no debt, full ownership by farmers, and scant administrative efforts High upfront cost, could be risky without technical advice on feasibility Own funds from farmers, no major institutional requirement Financial institution loans Loan from microfinance institutions (MFI)/banks, repaid in instalments; may require a longer repayment period for successful implementation Low to middle income farmers capable of repaying Access to capital, relief from upfront costs, can be bundled with training and other services Need for creditworthiness, repayment capacity, including interest MFI/banks’ commitment to rural financing, resources from farmers to pay back in instalments, policy for financial institution’s governance of rural loans Pay-As-You-Go (PAYG) Solar panels and pumps are supplied without high capital expenditure and farmers make small periodic payments Suitable for smallholder farmers with small but regular cash flows Little financial burden on farmers, affordable Vendor lock-in in case of payment failure Repayment modality Lease-to-own A provider installs the solar irrigation system and farmers pay for it in regular instalments until they finally own it Suitable in areas with potential farmers, but having low cash payment capacity; payment could be based on PAYG or regular instalments Little or no initial cost to farmers, flexibility, good where there is low cash flow, can address goals of government (fast rollout) and the private sector Possible higher total cost to farmers and penalties if not paid on time Vendor has a direct relationship with farmers, clear agreements between the supplier and farmers Group investment Resources mobilized from groups of farmers who wish to invest in solar irrigation infrastructure, they share the investment, and collectively own the systems For medium income farmers with lands proximate to each other and who wish to invest in a group Pooling resources for investment, reduced financial pressure for entry, collective responsibility for O&M Possibility of conflicts, benefit-sharing challenges Shared investment, willingness to invest together in groups, water sharing arrangements Grant/NGO/development partners subsidy Hardware components are provided free or at a subsidized price from NGOs or development partners Suitable for marginal, poor and low-income farmers needing systems to be implemented as a pilot in select areas Affordable free/subsidized access, less cost to farmers, may often come with training Limited spatial coverage, very limited rollout and may not reach scale, less appropriate for sustainable scaling NGOs/development partner interventions and resources, which are often limited CGIAR Scaling for Impact | Page 24 of 59 Results-based finance Paying farmers for verified outcomes/results that solar irrigation systems generate instead of a one-time capital subsidy; payments are made based on proven results over time by government agency, climate fund, etc. Incentivizes results such as water saving, increase in productivity and reduction in emission of gases Predictable revenue streams for farmers, potential to derisk private investment, and potential for improving the efficiency of water use Defining and measuring the right result (such as productivity, water efficiency, volume of water pumped, amount of diesel oil replaced) Loans for initial investment by farmers, resources for verification of results, policy for results-based financing Revolving fund A donor or government provides a lump sum capital to establish a fund, loans are provided to farmers, and they repay with a small interest rate over time, which is again given to another pool of farmers as loans. Sustainability and scalability of financing, for low to medium income farmers Affordable credit for farmers, scalability, sustainability, promotes ownership and potential to attract more capital Initial scaling could be slow, possible risk of default, high inflation may erode resources Initial capital to set up the fund, managing repayment of loans Contract farming/crop leasing Farmers agree to grow specific crops for a buyer (often a company) based on a pre-determined price agreement. Suitable where companies need a secure supply of products and quality produce, and in potentially productive areas Guarantee on markets, risks shared among suppliers and farmers, access to inputs and technical support Risk of farmer exploitation, possibility of breaching contracts, and management intensive for companies Supplier resources, clear contracts, policy framework governing contract farming Social responsibility/ banks and enterprises Various institutions/ enterprises allocate a certain amount of their profit to expanding solar irrigation to support green development and climate resilience. Suitable where there is an established culture of implementing corporate social responsibility of the private sector (companies, MFIs and enterprises) Corporate social responsibility can be linked to the company’s license and business viability Can potentially be used in limited needy areas (marginal, poor farmers) but may have a slower rollout Policy/ laws/ directives for implementing social responsibilities for MFIs and different enterprises, with strong monitoring and evaluation Stakeholder-driven scaling pathways’ prioritization and selection Inclusive stakeholders’ consultations on scaling pathways/financial mechanisms were conducted in the form of KIIs, FGDs and consultation workshops involving farmers, local experts, experts from financial institutions, ministries, solar companies, consultants, etc. Consultations with farmers and local experts enabled a better understanding of the live challenges and opportunities in solar irrigation systems. Those with financial institutions provided valuable insights on opportunities for financing scaling of solar irrigation, the associated risks and mitigation strategies. Financial institutions are very keen on supporting this sector for two key reasons: Solar irrigation is a promising business opportunity for them; and supporting the sector is part of their corporate social responsibility. The consultations enabled the identification of possible scaling and financing mechanisms, described in previous sections. From these, the most suitable scaling pathways and financing mechanisms were identified through participatory prioritization-based qualitative ranking by participants at a consultation workshop (represented by about 15 diverse stakeholders). The process involved a consensus-based ranking of the pathways by stakeholders split into three groups (Table 6). Each group discussed each scaling pathway and ranked each one through mutual consensus and based on collective criteria. Scaling models and financing mechanisms can be evaluated based on several criteria (IFC and IFAD 2022). In the current case, feasibility (readiness), relevance, equity and inclusiveness, sustainability and scalability were the criteria used. These criteria were considered to have the same weight and were collectively used for the evaluation. Individual smallholder farmer-based systems, sharing of large solar panels among farmers, cooperatives, and irrigation/water service providers were selected as the four most promising pathways (Figure 5) with high relevance and high potential for rolling out solar-powered irrigation technologies to reach scale in the Ethiopian case. These are believed to address the major systemic barriers to solar pump adoption, including finance, accessibility, management and sustainability. A brief description, advantages and limitations of these pathways follow. Table 6. Participatory stakeholder prioritization of scaling pathways Scaling pathways models Group 1 = Not at all important 2 = Slightly important 3 = Moderately important 4 = Very important 5 = Extremely important Pathways selected Cooperatives G1 √ Cooperatives Individual smallholder farmer based Large solar panels shared among farmers Irrigation/water service providers G2 √ G3 √ Individual smallholder farmer based (<1 ha) G1 √ G2 √ G3 √ Large solar panels shared among farmers G1 √ G2 √ G3 √ Private/government extension system G1 √ G2 √ G3 √ Private Public Partnership (PPP) G1 √ G2 √ G3 √ Irrigation/water service providers G1 √ G2 √ G3 √ Hybrid scaling G1 √ G2 √ G3 √ Figure 5. Solar-powered irrigation scaling pathways selected for smallholders a) Individual smallholder farmer-based model (<1 ha) Individual farmers directly invest in and manage their own solar-powered irrigation systems. Ethiopian farmers are largely smallholders with average landholdings of less than 1 ha (Zerssa et al. 2021; Assefa and Muluken 2024). Since they cultivate a majority of the country’s farmland, placing them at the center of solar-powered irrigation adoption ensures that technologies are designed around their needs, affordability and resource constraints. When smallholders lead the scaling process, adoption becomes more demand-driven, locally appropriate and sustainable. While many smallholder farmers are financially constrained to invest in solar-powered irrigation systems with their own resources, others have the financial capacity to invest on their own. This model applies to the Ethiopian case due to the fragmented nature of agricultural lands. Advantages: Smallholder farmer-led approaches encourage active participation in technology selection and installation, enhancing a strong sense of ownership. The model significantly reduces administrative efforts and costs compared to cooperative- or group-based scaling. Moreover, total control by individual farmers allows for quick decision-making regarding system operations, cropping patterns and technology adoption, providing flexibility and responsiveness to changing farm needs. Limitations: It may not be ideal for financially weak smallholder farmers, youth and women because it is not affordable. The limited influence of individual farmers reduces their negotiation power to obtain equipment, inputs, services and market access. The model is generally associated with slow scaling, as high investment costs restrict widespread adoption among smallholders. b) Cooperative-based scaling In this model, multiple farmers form a cooperative that collectively invests in solar-powered pump irrigation infrastructure. Pooling funds lowers the individual’s financial burden and enables access to better financing options such as loans with low interest rates. Cooperatives pool resources, share investment costs and jointly manage solar-powered irrigation systems (Paranjothi and Mishra 2019). The cooperative owns and manages the pumps, establishing rules for usage, maintenance, cost-sharing and conflict resolution. This ensures sustainability and equitable water allocation. This model leverages collective bargaining power and shared responsibilities to overcome financial and operational barriers faced by individual smallholders (IWMI 2024a). Scaling for Impact | Page 31 of 59 CGIAR Advantages: Cooperative-based scaling has many advantages for smallholder farmers. Shared costs and risks make solar-powered irrigation systems more affordable and accessible. Water resource efficiency and sustainability can be enhanced through water saving, improved water productivity and better monitoring of groundwater, enabled by increased investments and professional management. Cooperatives often qualify for better loans or grants due to their collective strength and creditworthiness. Shared ownership fosters accountability for the O&M of the systems, ensuring long-term functionality. The model can also empower marginalized groups, including women, by providing a collective voice and support. Finally, bulk production and collective marketing can improve farmer incomes, allowing members to benefit from economies of scale and strong market positioning. Extension services can be delivered more effectively to groups. Group production can increase crop volumes and quality, improving market access and bargaining power for crops irrigated with solar-powered pumps. Limitations: Effective cooperative management is critical, as poor leadership, internal conflicts or weak governance can undermine success. The location of solar-powered pumps and water sources may pose challenges in ensuring equitable access to all members. Additionally, organizing, training and monitoring cooperatives call for extra resources and administrative effort. If not well managed, collective water pumping can lead to increased water abstraction, making strong monitoring and management of groundwater essential for long-term sustainability. c) Large solar panels shared among farmers (group investment) A cost-effective and more sustainable alternative is for clusters of farmers to come together and share their technical and financial resources to finance a single large solar-powered irrigation plant. The process involves initially determining groups of farmers who own parcels of land adjacent to one another, and are genuinely willing to cooperate and spend their time and resources. Second, there must be feasibility studies to project the availability of water and solar resources, costs and benefits, and location, usually by professional technical assessments. An open business model should then be developed, setting out the management model and funding and benefit-sharing mechanism among members. Then, the group employs skilled solar-powered irrigation system installers to implement the project. Finally, the group implements a long-term management and monitoring plan to ensure efficiency, sustainability and fairness in operations. This scaling model has the following advantages and limitations (Otoo et al. 2018). Advantages: Economies of scale are achieved as the unit cost of large solar irrigation systems is significantly lower than that of multiple small solar panels, with bulk purchasing and installation reducing overall costs. There is also an increased return on investment, as a larger system can be effectively used by farmers to maximize their incomes and returns. The reduced individual financial risk allows farmers to share the high initial capital cost, making the investment more accessible and less risky for each participant. These systems ensure sustainable energy supply, providing farmers with reliable and predictable energy for uninterrupted irrigation services. Through professional management, the group can contract qualified personnel to manage the system’s O&M, ensuring optimal performance. Finally, bargaining power is enhanced, as collective ownership enables farmers to negotiate more effectively with suppliers, financiers and service providers. Limitations: Group investment in solar irrigation may have limitations that can affect its effectiveness and sustainability. Ineffective coordination among members can often lead to disputes over water allocation. The approach also requires adjacent plots of smallholder farmers to ensure efficient water use and minimize wastage, since the transportation of water becomes costly and impractical when farms are widely dispersed. In addition, the location of pumps must be carefully selected to remain accessible to all members, which can be challenging in uneven or fragmented landscapes. Successful operation further depends on strong group cohesion and governance skills, as weak organization or lack of trust among members can undermine collective decision-making and long-term system management. CGIAR Scaling for Impact | Page 32 of 59 d) Irrigation/water service providers-based scaling Irrigation-as-a-service is an emerging and market-driven pathway to scaling solar-powered irrigation, especially for smallholder farmers often struggling with upfront investment limitations. Farmers pay for the irrigation service based on the amount of water consumed, the size of the irrigated plot, or the duration of the service. In this model, solar irrigation assets are owned, managed and maintained by private sector service providers, cooperatives, or entrepreneurs who offer reliable and effective irrigation services. The approach reduces farmers' risks, eliminates technical inconveniences and provides access to modern irrigation services to farmers who cannot afford their own private systems. This scaling pathway can be implemented with loan-based and group-based financing mechanisms. The pathway provides a transformative solution, tackling the principal barriers of high upfront capital cost and technical complexity. By essentially separating asset ownership from use, the model brings in a powerful new actor, the specialized service provider who invests in, installs, owns and operates the solar-powered irrigation infrastructure and sells water or irrigation hours to farmers as a commodity (service) utility. This shift from a product to a service economy is revolutionary as it directly identifies the financial interest of the provider with the long-term performance and efficiency of the system. The provider's profitability is directly linked to the minimization of operational costs, which automatically stimulates energy and water conservation. It guarantees farmers stable water supply without maintenance or repair hassles. As a result, it not only ensures optimal system performance and encourages sustainable groundwater resource utilization but also sparks local economic development by generating a new ecosystem of green jobs stimulating private sector investment in rural economies. This model goes beyond merely dispensing technology; it establishes a self-sustaining agricultural ecosystem where the interconnected goals of commercial viability for suppliers, crop yield enhancement for farmers and environmental stewardship are ingrained. However, success in deploying this model depends on favorable policies and clear agreements, cost effectiveness and affordability and access to sustainable financing for investment at scale (Otoo et al. 2018). Advantages: This model lowers adoption barriers as it eliminates the high upfront capital expense on purchasing and installing solar panels and pumps, converting this capital expenditure (CapEx) into an operating expenditure (OpEx) that makes the technology accessible to many farmers. It also ensures reliability of maintenance and optimal system performance, since the service provider owns the asset and has an economic stake to operate it efficiently, relieving farmers from technical burdens. Additionally, it promotes effective and sustainable water utilization, as providers are incentivized to minimize operational costs and avoid wasteful practices, thereby enhancing water and energy efficiency. It contributes to local job creation and economic growth, generating skilled employment opportunities for installation, operation, monitoring and maintenance, while attracting private sector investment and building local capacity. Limitations: High capital needs may present a challenge, as service providers must invest in equipment, installation and infrastructure, perhaps creating entry and scaling barriers. Management issues arise because coordinating irrigation schedules, collecting payments and maintaining systems require significant organizational effort. Pricing issues are another constraint, as it can be difficult to set fees that remain affordable for smallholders while ensuring profitability for providers, risking the exclusion of poorer farmers or financial losses for providers. Finally, accountability issues may occur if providers fail to maintain the system well or if regulation is weak, potentially resulting in system failure, lower service quality and loss of farmer confidence. e) Hybrid scaling pathways Although individual scaling pathways were compared and evaluated for suitability for the Ethiopian case, hybrid pathways (a combination of two or more) can also be applied. This was also selected by the stakeholders as it can enable the leveraging of resources and capacities from multiple sources. Hybrid scaling pathways can achieve faster and more sustainable adoption of solar-powered irrigation systems through both horizontal and vertical scaling initiatives. They also strengthen institutional support and service delivery. Following are its benefits: Scaling for Impact | Page 33 of 59 CGIAR • Inclusive access and affordability: Hybrid models integrate private ownership and support from the public and cooperatives or the private sector, expanding solar irrigation access to smallholders with limited capital through collective financing, leasing, or pay-as-you-go contracts. This enables affordability and widens the opportunity for entry. • Increased efficiency and sustainability: Leveraging different capacities enables the professional provision of services, better maintenance of systems, efficient use of water and technical support. The result is sustainable operations enabling lasting benefits. • Improved productivity and market linkages: Through cooperative agreements and irrigation service models, farmers have coordinated production calendars, access to input and output markets and enjoy economies of scale. This enhances farm productivity and profitability. • Scalability and institution strengthening: Hybrid scaling establishes an enabling environment in which different stakeholders, farmers, cooperatives, private service providers and financial institutions collaborate. The multistakeholder partnership accelerates scaling, enhances rural institutions and incorporates solar-powered irrigation into large agricultural value chains and energy transition strategies. Selection of financing mechanisms Stakeholder-driven participatory evaluation and selection of financing mechanisms from pre-identified options were carried out as shown in Table 7. Table 7. Participatory stakeholder-driven selection of financing mechanisms Model Group 1 = Not at all important 2 = Slightly important 3 = Moderately important 4 = Very important 5 = Extremely important Selected financing model Direct purchase G1 √ Direct purchase Financial institution loans Group investment Revolving fund Contract farming/crop leasing G2 √ G3 √ Financial institution loans G1 √ G2 √ G3 √ Pay-As-You-Go G1 √ G2 √ G3 √ Lease-to-own G1 √ G2 √ G3 √ Group investment G1 √ G2 √ G3 √ Grant/NGO/development partners’ subsidy G1 √ G2 √ G3 √ Results-based finance G1 √ G2 √ G3 √ Revolving fund G1 √ G2 √ G3 √ Contract farming/crop leasing G1 √ G2 √ G3 √ Social responsibility/banks and enterprises G1 √ G2 √ G3 √ Based on participatory co-selection, six financing mechanisms for solar-powered irrigation pathways were selected. a) Direct purchase Direct purchase is a financing model where smallholder farmers acquire solar pump irrigation systems by paying the full cost upfront, without relying on loans or subsidies (Otoo et al. 2018; IWMI 2018). Farmers buy solar pumps directly from local suppliers, dealers, distributors, or manufacturers using cash, funded through personal capital, savings, or informal community support. Often, the solar pump comes bundled with installation, training, and maintenance services, which suppliers use to promote adoption (IWMI 2023). This is primarily feasible for wealthy farmers, as those with limited financial resources cannot afford the upfront investment. Otoo et al. (2018) find that direct purchase is viable in Ethiopia, especially where farmers have savings or capital access. Its effectiveness increases when bundled with financing options from suppliers. Nonetheless, relying only on direct purchase financing may restrict adoption among smallholders. The direct purchase of a solar pump has several advantages (IWMI 2024a). Farmers immediately own the pump, with no debt or repayment obligations tied to the acquisition. The ownership avoids additional costs such as loan interest, fees, or financing charges, thereby reducing overall expenditure. The purchasing process is straightforward and transparent, requiring no credit assessment or formal financing procedures. Consequently, farmers retain full control over managing their irrigation without depending on external parties. Direct purchase also has notable limitations (IWMI 2024a). The high upfront cost often proves prohibitive for smallholder farmers with constrained liquidity, limiting adoption primarily to relatively wealthier households. The high initial investment can cause stagnation in uptake rates or delays in pump acquisition. Additionally, private suppliers may lack sufficient incentives to extend distribution networks to remote rural areas without supportive mechanisms in place. After-sales service and technical support may also be difficult to access when pumps are bought independently, especially if no bundled service contracts or supplier support accompany the purchase. b) Contract farming/crop leasing Contract farming is an arrangement whereby farmers contract to produce specific agricultural products according to conditions set by a buyer, often a company or aggregator. This formalizes the relationship between farmers and buyers, ensuring a guaranteed market for the produce while often providing support in inputs or technical advice (Hartung and Pluschke 2018). Such contracts usually specify price, quantity, quality and production methods, thus reducing transaction risks and uncertainties (Eaton and Shepherd 2001). In the solar pump irrigation context, companies investing in solar irrigation pumps aim to reduce risks of crop failure and secure a steady, high-quality supply. These companies may deliver pumps to farmers and provide technical support while retaining ownership initially. Farmers use the pumps to improve yields in return for contractual obligations, which may include subsidy schemes or pay-as-you-go models where payments depend on sales or production rather than on fixed loans (Minot and Ronchi 2014). This model supports vertical coordination, addressing market imperfections and enhancing efficiency, particularly for perishable or quality-sensitive crops (Doktar 2024). Contract farming offers several advantages, including access to costly solar irrigation technology through financing or leasing, eliminating the need for high upfront capital. It enables farmers to cultivate more profitable crops or achieve multiple cropping cycles, boosting income and improving returns on irrigation investments. It enables smallholder farmers to increase productivity under better technical and financial arrangements secured by contracts that enhance trust and reduce uncertainties in agricultural value chains. This model shifts some financial risks and maintenance responsibilities from farmers to agribusinesses or financiers, with payment terms often aligned with farmers' income flows, facilitating manageable repayment and better loan recovery (Otoo et al. 2018). CGIAR Scaling for Impact | Page 36 of 59 However, challenges remain high. Initial pump costs can hinder very small farmers lacking credit or collateral. Contract farming may restrict farmer autonomy and require robust enforcement to avoid unfavorable terms. Additionally, while solar-powered pumps demand low maintenance, any failure without prompt repair can disrupt irrigation, making clear responsibility for upkeep essential, especially in smallholder contexts with fragmented land holdings (Practica 2022). Ethiopia’s policy environment supports PPPs in agriculture, including contract farming which serves as a viable mechanism to finance SPIS. The recently promulgated Agricultural Production Contract Proclamation No. 1289/2023 (FDRE 2023) provides a legal framework aimed at protecting farmers and ensuring enforceability of agricultural contracts, enhancing the environment for contract farming schemes in Ethiopia. However, success depends on effective contract enforcement, transparent partnerships and fair terms to farmers to mitigate risks and power imbalances inherent in contract farming (Rankin et al. 2016). Financing SPIS through contract farming is also practiced in India, Bangladesh, Uganda, Malawi and South Africa, where it helps smallholders access irrigation technology linked to assured markets or input supply chains (Seyoum et al. 2025). c) Loans from financial institutions Financial institutions play a crucial role in financing solar-powered irrigation for smallholder farmers by providing formal credit, often through commercial banks and microfinance institutions (Minh and Ofosu 2022). Farmers typically apply for loans to cover the upfront costs of solar irrigation pumps, with credit assessments emphasizing collateral, credit history, income and repayment capacity. These criteria often pose challenges to smallholders with limited formal financial records or assets. Loan repayment terms are usually structured around harvest seasons or farmers’ cash flow patterns. The funds obtained are used to purchase solar pump systems either directly from suppliers or through intermediaries. To support loan repayment success, this financing model often integrates technical assistance in irrigation technology and farm business management. Additionally, banks may collaborate with solar pump suppliers, government bodies, or NGOs to streamline loan processing, offer guarantees, or develop tailored financing solutions. For example in Ethiopia, microfinance institutions have partnered with solar pump suppliers and agricultural offices to offer cost-sharing agreements where farmers pay part of the cost and the remainder is financed through loans, supported by capacity-building and after-sales services (Otoo et al. 2018). The bank loan-driven scaling-up approach is considered feasible in developing countries, but it requires addressing several important conditions and challenges. Evidence from Bangladesh and Ethiopia highlights both the potential benefits and limitations of this financing model (IWMI 2018; Islam and Hossain 2022). The advantages of this model include the ability of banks to provide relatively larger loans than pay-as-you-go models, enabling more comprehensive irrigation solutions. Formal banking loans often charge lower interest rates compared to informal lenders. Bank financing also encourages the integration of agriculture into formal financial systems, improving overall access to credit and financial services. Furthermore, banks have a wider reach and greater capacity for capital mobilization, which can facilitate large-scale adoption of solar-powered irrigation technology. However, there are significant challenges too. One major issue is the requirement for collateral, typically land or property, which many smallholder farmers do not possess, limiting their access to loans (Balana and Oyeyemi 2022; Balana et al. 2022). Interest rates in the market can be high relative to expected returns, discouraging smallholder farmers unless subsidies or guarantees are provided. The presence of rural banks is often limited, with few branches or credit officers experienced in agricultural finance, thereby restricting outreach. Financial literacy and credit readiness are also low among smallholders, meaning many are not prepared to engage with formal banking. Lastly, risks like climate variability, market fluctuations and crop failure increase the chances of loan default, which can reduce banks’ willingness to lend (Birhanu, Kassie et al. 2023). Scaling for Impact | Page 37 of 59 CGIAR d) Revolving fund A solar-powered irrigation revolving fund is essentially a capital pool recycled through loan repayments to finance multiple rounds of solar irrigation kit purchases and installations by farmers or cooperatives, providing continuous access to irrigation technologies without large upfront costs. Literature supports this mechanism as a sustainable financial model to scale solar-powered irrigation by avoiding dependence on recurring grants. Public-private partnerships and cost-sharing enhance accessibility by reducing upfront financial payments while promoting repayment-based recycling of funds (IWMI 2024b). Strategies for scaling such funds typically involve deliberately structured credit terms, aggregation of users and policy incentives to expand coverage and impact sustainably (Hardiana and Sagala 2024; Practica 2022). These findings underscore the importance of well-designed revolving credit funds with supportive ecosystem actors and flexible payback schemes to enable continuous reinvestment and extension of solar irrigation services to smallholders at scale. This model has several advantages. It provides proactive funding by allocating resources in advance, specifically for solar-powered pump irrigation investments. It ensures timely response, as funds are readily available when needed, enabling quick deployment of irrigation technologies (Hardiana and Sagala 2024). Revolving funds reduce the financial burden on governments and smallholder farmers and promote financial sustainability since repayments replenish the fund, minimizing reliance on one- off donor grants. Furthermore, it allows for impact at scale because high repayment rates enable the same capital to support many more irrigation systems over time. It can also leverage additi