Maldives almost entirely depends on imported fossil fuels for its energy generation. About 10% of Gross Domestic Product(GDP) is spent on fuel imports, which is not sustainable in the long term, and which results in reallocation of resources from more productive investments.In its plans to achieve a low emission development future, Maldives is focusing its efforts in reducing its Greenhouse Gas (GHG) emissions in the energy sector by targeting to take action to reduce unconditionally 10% of GHG emissions (under a Business as Usual [BAU]) by the year 2030. Towards this plan, the Government has adopted targets to install renewable electricity generation that meets up to 70% of daytime peak load in all inhabited islands.

As of now, 46 islands have renewable electricity generation setups in place, and the proposed project aims to install Solar PV Battery systems and connect to the existing power grids in additional 100 inhabited islands, across 12 atolls.