Access to Energy for the Base of the - Ashoka

More documents

Recommendations

Info

74 � Financials: Hari Sharan, Founder What makes your project so unique? H. Sharan: We have a strong impact on the economy of our villages. Out of 5 Rs spent in energy, 3.5 go directly to the villagers: 2 for biomass collection and processing and 1.5 for the staff operating the plant. And the energy we supply allows job creation in farming and in the local market. It is also CO2 neutral. Ours is thus a real Triple Bottom Line model which makes economic, social and ecological impacts locally and globally. Project ability to solve the problem � Problem and magnitude: 300k villages (300-500m people) without electricity in India �� Ability to serve the poorest: � Employees are selected amongst the poorest of the villages � Micro entrepreneurs and customers are also from BOP500 in Bihar, one of the poorest region of India � Poor farmers are main beneficiaries, getting irrigation water more than 25% cheaper than before � Needs addressed: Mainly income generation and energy services; a mini grid has been set up in one of the villages in 2009 � Sustainability: �� First plants using the same technology are still operating after 40,000 hours � Biomass is renewable and CO2 neutral �� Impact: � 19 direct jobs creation and over 50 indirect jobs in Baharbari (250 HH village) � An R&D institute in Madras is setting up indicators for impact measurement Project economic viability Project scalability �� €150k plants viability seems possible (after 3 years and with a 50% load) though not achieved yet � Each plant requires additional investment: ~€7k for training and cooperative building, ~€65k for microenterprises loans and/or equity � Reducing dependence on grants: � Current plants have been largely financed with owners funds, CDM advance, grants/awards and one external equity investor � CDM could bring up to €160k of revenue per plant over 12 years � Ability to attract funding: � CDM opportunity has attracted equity, local bank has agreed to give loans for future plants and social investors are interested in new projects Sources: Desipower; field visit; management interviews; Hystra energy workshop; Hystra analysis ★★★ ★★✩ ★★✩ � Management plan is to scale up to 100 villages in the district of Bihar � Building clusters is key to leverage local staff, provide extension services and create economic links between the villages � Regulation may be a bottleneck � Sale of electricity by private entities is not allowed except to society members � This is solved if users own a share of the plant, creating a captive unit � Main constraints are due to the operational model that requires: � Local partner to build the cooperative � Microfinance for SMEs � Skilled staff, hard to find in the villages and who may leave to cities once trained
PEOPLE CENTERED ECONOMIC & BUSINESS INSTITUTE Micro Hydro Plants Indonesia Executive Summary: People Centered Economic and Business Institute, an innovative establishment in Indonesia, is changing the way that rural villages get electricity. 105m people in Indonesia lack electricity. In the 60 villages that Tri Mumpuni works with, community cooperatives own and operate 100kW micro hydro plants. The set-up of the plants is subsidized 50% by grants. The community uses energy for value-added agricultural processes and sells power back to the grid, earning over $3.3k a month for education, health care, and business grants. The model could be commercially viable, and IBEKA is currently looking for social venture capital in the form of low-interest loans or patient equity to fund new installations. � Date of creation: 2002 � Service delivered: �� Micro hydro plants owned and managed by the community � Pricing: � 100kW plant costs $250k - $300k to build �� Each customer pays $0.10 per kWh, roughly $2 a month � Beneficiaries: 60 villages; 300,000 people � Partners involved: state-owned and subsidized electricity company, PLN, and UNESCAP � Leadership: funded by Tri Mumpuni, an Ashoka Fellow � Operating model: � Villagers are organized into cooperatives �� These cooperatives plan and own the plant, as well as provide maintenance and manage billing � Expenses of the plant are paid by tariffs from villagers and revenue from selling to the grid � Remaining resources go to village development fund for school fees, health care, seed capital for businesses, and value-added agricultural processing Project basic information Community-managed hydro plants for tsunami reconstruction in Aceh Community planning for hydro installation 75
Page 1:
Access to Energy for the Base of th
Page 6 and 7:
FOREWORD 1.6 billion people do not
Page 8:
INTRODUCTION The opportunity to wri
Page 11 and 12:
The projects discussed reflect mark
Page 13 and 14:
Despite its size, the BOP energy ma
Page 15 and 16:
3. STATEMENT OF THE PROBLEM Energy
Page 17 and 18:
electricity generating targets over
Page 19 and 20:
4.1 GRID CONNECTIONS Transforming s
Page 21 and 22:
connections will provide safe, reli
Page 23 and 24:
Before 1999, LYDEC experienced a lo
Page 25 and 26: LYDEC Legal slum grid connection in
Page 27 and 28: FUNDACION PRO VIVIENDA SOCIAL Natur
Page 29 and 30: SLUM ELECTRICITY COOPERATIVE Slums
Page 31 and 32: CONLOG Grid electricity with pre-pa
Page 33 and 34: CODENSA Slum Electricity grid conne
Page 35 and 36: 4.2 DEVICES Providing mass-market d
Page 37 and 38: A Mightylight, Cosmos pioneering so
Page 39 and 40: Enterprises on the way to being pro
Page 41 and 42: BSH PROTOS Plant Oil Stove Indonesi
Page 43 and 44: BP INDIA Mass-market bio-fuel pelle
Page 45 and 46: ENVIROFIT INTERNATIONAL Mass-market
Page 47 and 48: COSMOS IGNITE INNOVATIONS Solar LED
Page 49 and 50: D.LIGHT DESIGN LED-solar devices In
Page 51 and 52: TOTAL LPG Mobile Retail Dealers Ban
Page 53 and 54: VIDAGAS LGP for vaccines cold-chain
Page 55 and 56: 4.3 SOLAR HOME SYSTEMS Lighting, co
Page 57 and 58: Interview Solar Home Systems basic
Page 59 and 60: Finally, SHS have traditionally bee
Page 61 and 62: expects that the growing force of t
Page 63 and 64: Grameen Shakti has already built up
Page 65 and 66: Ability to solve the problem Econom
Page 67 and 68: � Financials: Solar technicians i
Page 69: "At the beginning, I was skeptical.
Page 72 and 73: 70 A rural cooperative is an enterp
Page 74 and 75: 72 Additional investment is often r
Page 78 and 79: 76 � Financials: Tri Mumpuni, Fou
Page 80 and 81: 78 The four groups of business mode
Page 82 and 83: 80 Carbon credits is a challenging
Page 84 and 85: 82 AFRICAN RURAL ENERGY ENTERPRISE
Page 86 and 87: 84 E+CO Clean Energy Finance Global
Page 89 and 90: 5 Recommendations
Page 91 and 92: 5. Support favourable energy regula
Page 93 and 94: such as charging mobiles for a smal
Page 95 and 96: 6 Appendix
Page 97: which corresponds to a daily income
show all

Access to Energy for the Base of the - Ashoka

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?