Solar photovoltaic technologies have for some time been promoted as a cost effective means of
rural electrification in developing countries. However, institutional structures resulting in poor
maintenance have adversely affected the sustainability of past solar projects. In Fiji, the Renewable
Energy Service Company (RESCO) program is the latest attempt to promote solar-based rural
electrification in a fee-for service model, aiming to remove the high upfront capital costs associated
with solar technologies and using a public private sector partnership for maintenance. This paper
assesses the program using survey and interview data. Major flaws are identified, relating to
incorrect treatment of principal-agent problems, information asymmetries, motivational problems,
and resourcing of government agencies. General lessons for fee-for-service solar home system
models emerge, including that incentives for stakeholders must take centre stage in designing and
administering such programs, and that active government support and ownership are required to
make programs sustainable.