An estimated 1.3 billion people worldwide lack electricity. MIT researchers, after two years of development and repeated trips to India, built a system that lets rural villagers who can afford solar panels sell their excess output to neighbors — income for the owners, power for everyone else.

At its heart is a power management unit smaller than a shoebox. It regulates where electricity from solar panels goes — to immediate uses like lights and phones, or into batteries for later — and monitors how much power each user draws, providing a billing record with no need for individual meters. Doctoral students Wardah Inam and Daniel Strawser, supported by the MIT Tata Center, field-tested it in summer 2015 in a village near Jamshedpur, northeastern India, where some houses already ran small solar systems.

The design is deliberately bottom-up: rather than importing an outsider's system, locals shape what gets installed where. Owners who know they can sell surplus have a reason to invest in larger systems upfront; their neighbors get better, safer lighting for an estimated $2–5 a month — less than they already paid for kerosene and candles. 'We want to empower the people to build a grid,' Inam said.

Individual meters cost more than the electricity they measure in a village setting; folding metering into one shared management unit removes the economics that kill microgrids.

The device aligns incentives: solar owners only earn if neighbors buy, so bigger panels get financed by expected sales rather than aid.

Neighbors join with no upfront installation cost — the $2–5 monthly fee undercuts what they already spent on kerosene and candles.

Field-testing in Jamshedpur anchored the design in real usage patterns instead of outsider assumptions about what a village grid should be.

The missing piece of a bottom-up grid isn't generation but settlement: make allocation and billing one cheap shared device, and existing solar owners become the utility.

After the summer 2015 field tests, participants were slated to receive permanent solar installations that would let them earn revenue by selling excess power to neighbors; the unit remained an MIT Tata Center research system.

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  1. Power to the People technologyreview.com