Access to Energy for the Base of the - Ashoka
Access to Energy for the Base of the - Ashoka
Access to Energy for the Base of the - Ashoka
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such as charging mobiles <strong>for</strong> a small fee. CSOs can<br />
help <strong>the</strong>ir clients learn about <strong>the</strong>se opportunities<br />
and get ready <strong>to</strong> take advantage <strong>of</strong> new energy<br />
opportunities.<br />
5. Social marketing and awareness building<br />
especially around health and safety benefits. For<br />
example, CSOs focused on health may want <strong>to</strong> take<br />
a leading role educating <strong>the</strong>ir communities about<br />
<strong>the</strong> dangers <strong>of</strong> indoor air pollution. CSOs working in<br />
slums have helped communities understand how<br />
moving <strong>to</strong> legal grid connections will enable street<br />
lighting and improve neighbourhood safety.<br />
<strong>Energy</strong> social entrepreneurs<br />
Social entrepreneurs active in <strong>the</strong> energy space are at<br />
an interesting point <strong>of</strong> transition. Some are moving <strong>to</strong> a<br />
<strong>for</strong>-pr<strong>of</strong>it model, as SELCO did years ago, and some are<br />
creating hybrid value chains with companies, as Muthu<br />
Velayutham has done with BP Oorja in India. It is a<br />
moment <strong>of</strong> choice <strong>for</strong> social entrepreneurs, as <strong>the</strong>y look<br />
<strong>to</strong> expand products, promote <strong>the</strong>ir unique IP, and focus<br />
on <strong>the</strong>ir best value-add.<br />
1. Expand range <strong>of</strong> products. Distribution channels<br />
focused on one product are his<strong>to</strong>rically expensive<br />
<strong>to</strong> build and difficult <strong>to</strong> maintain. For example,<br />
Grameen Shakti has promoted more than solar<br />
systems, and benefits from <strong>the</strong> diverse family <strong>of</strong><br />
Grameen <strong>of</strong>ferings.<br />
2. Promote IP if distinctive and leverageable. Over<br />
<strong>the</strong> years social entrepreneurs have built unique<br />
capabilities that can help o<strong>the</strong>rs replicate and<br />
perhaps bring revenue or recognition <strong>to</strong> <strong>the</strong> CSO.<br />
For example, SEF’s training curriculum <strong>for</strong> SHS<br />
technicians could be licensed <strong>to</strong> o<strong>the</strong>r SHS<br />
providers, saving everyone time and money.<br />
3. Examine best value-add as new entrants emerge.<br />
One <strong>of</strong> <strong>the</strong> outcomes <strong>of</strong> innovation from social<br />
entrepreneurs is that o<strong>the</strong>rs enter <strong>the</strong> field, excited<br />
by <strong>the</strong> new possibilities. Some <strong>of</strong> <strong>the</strong>se new<br />
entrants will take on parts <strong>of</strong> <strong>the</strong> value chain that<br />
social entrepreneurs used <strong>to</strong> do. For example,<br />
distributing devices such as solar LED lanterns or<br />
cooks<strong>to</strong>ves may be rolled in<strong>to</strong> o<strong>the</strong>r commercial<br />
distribution systems.<br />
Multinational companies<br />
Multinational companies are already active in <strong>the</strong><br />
access <strong>to</strong> energy field. The cases highlighted here reveal<br />
a number <strong>of</strong> roles that MNCs can play in reaching poorer<br />
cus<strong>to</strong>mers and replicating in more regions. These<br />
include working with individual social entrepreneurs,<br />
building a portfolio <strong>of</strong> social entrepreneurs, launching a<br />
project around a key installation, and building a business<br />
in a key segment. The strategy that an MNC chooses<br />
depends on its objectives and capabilities.<br />
1. Support a social entrepreneur. Social entrepreneurs<br />
in <strong>the</strong> energy field have deep familiarity <strong>of</strong> <strong>the</strong> needs<br />
and desires <strong>of</strong> low-income communities, trust<br />
networks within <strong>the</strong>se communities, and a<br />
commitment <strong>to</strong> make seemingly impossible models<br />
come <strong>to</strong> life.<br />
An MNC may chose <strong>to</strong> work with social<br />
entrepreneurs if it hopes <strong>to</strong> learn about <strong>the</strong> BOP <strong>for</strong><br />
business development, and involve its staff in<br />
hands-on work. In turn, social entrepreneurs can<br />
use assistance with financing, technical<br />
2.<br />
competencies such as R&D facilities, and<br />
managerial competencies such as setting up a<br />
franchise system or managing inven<strong>to</strong>ry.<br />
Build a portfolio <strong>of</strong> social entrepreneurs. Over<br />
130 projects were pr<strong>of</strong>iled <strong>for</strong> this investigation,<br />
and each had something <strong>to</strong> teach about access <strong>to</strong><br />
energy <strong>for</strong> low-income people. In light <strong>of</strong> this<br />
diversity, one strategy is <strong>to</strong> fund a portfolio <strong>of</strong> social<br />
entrepreneurs.<br />
An MNC may build a portfolio <strong>of</strong> social<br />
entrepreneurs if it prioritizes having s<strong>to</strong>ries <strong>to</strong><br />
communicate externally, as well as learning about<br />
<strong>the</strong> BOP <strong>for</strong> business development and involving its<br />
staff (which could be accomplished with fewer<br />
social entrepreneurs).<br />
The portfolio <strong>of</strong> social entrepreneurs could use<br />
shared services such as web-hosting or bulk<br />
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