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Increasing access to energy services in rural areas - REEEP ...

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MODULE 10: INCREASING ACCESS TO ENERGY SERVICES IN RURAL AREAS<br />

page 10.43<br />

<strong>in</strong>g, a second f<strong>in</strong>anc<strong>in</strong>g could assist <strong>in</strong> the company’s start-up; this transaction<br />

might <strong>in</strong>volve an additional loan or the purchase of an equity stake <strong>in</strong> the<br />

company. In this <strong>in</strong>itial period, significant <strong>in</strong>-k<strong>in</strong>d support is provided <strong>in</strong>clud<strong>in</strong>g<br />

a B-REED representative work<strong>in</strong>g closely with the company’s management.<br />

The support <strong>in</strong>creases the probability that a more “bankable” project can eventually<br />

be presented <strong>to</strong> f<strong>in</strong>ancial <strong>in</strong>ves<strong>to</strong>rs and partners.<br />

Grameen Shakti <strong>in</strong> Bangladesh 49<br />

The Grameen Bank of Bangladesh, a reputable and effective micro-lend<strong>in</strong>g<br />

agency, with over 1000 branches and two million members, <strong>in</strong>itiated a programme<br />

<strong>in</strong> 1996 <strong>to</strong> provide credit for renewable <strong>energy</strong> systems <strong>to</strong> serve those without<br />

<strong>access</strong> <strong>to</strong> electricity, through a non-profit <strong>rural</strong> <strong>energy</strong> company, Grameen Shakti.<br />

Loans are made for solar pho<strong>to</strong>voltaic home systems, which call for a small down<br />

payment. Grameen Shakti’s first <strong>in</strong>itiative has been a 1000 unit project <strong>to</strong> determ<strong>in</strong>e<br />

a number of important po<strong>in</strong>ts concern<strong>in</strong>g household solar pho<strong>to</strong>voltaics.<br />

These <strong>in</strong>clude:<br />

• The technical performance of these systems <strong>in</strong> <strong>rural</strong> Bangladesh;<br />

• Their acceptance by the poor;<br />

• The <strong>in</strong>come-generat<strong>in</strong>g potential of the extended workday;<br />

• The affordability of such systems, especially when technical improvements and<br />

economies of scale are fac<strong>to</strong>red <strong>in</strong>;<br />

• The tra<strong>in</strong><strong>in</strong>g, moni<strong>to</strong>r<strong>in</strong>g and evaluation expertise requirements <strong>to</strong> successfully<br />

expand this experience should it prove successful.<br />

More than 72000 solar home systems have been <strong>in</strong>stalled as of September 2006,<br />

and an average of 2000 such systems are be<strong>in</strong>g sold every month. Twelve technological<br />

centres have been set up (with plans <strong>to</strong> set up an additional 18) and<br />

already 2000 women have been tra<strong>in</strong>ed as solar system technicians.<br />

A similar approach is considered for bio-digesters and solar thermal applications.<br />

Research is be<strong>in</strong>g conducted for the development of a high quality solar water<br />

heater, a solar cooker, a solar drier etc. A 1500 liter capacity solar water heater<br />

was already <strong>in</strong>stalled on the roof of a dormi<strong>to</strong>ry. 50<br />

49<br />

WEC report, the Challenge of Rural Energy Poverty <strong>in</strong> Develop<strong>in</strong>g Countries, 1999<br />

50<br />

www.gshakti.com

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