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Business solutions to enable energy access for all

Business solutions to enable energy access for all. Washington, February 21, 2012. Global Village Energy Partnership. 1. Organisation London-based NGO with 50 staff based primarily in Africa and Latin America Mission Increased access to clean energy in developing countries

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Business solutions to enable energy access for all

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  1. Business solutions to enable energy access for all Washington, February 21, 2012

  2. Global Village Energy Partnership 1 OrganisationLondon-based NGO with 50 staff based primarily in Africa and Latin America MissionIncreased access to clean energy in developing countries ApproachEnterprise development for SMEs and project developers through provision of technical assistance and access to finance ThemesSolar lighting, small hydro, wind, waste-to energy, biogas, biomass, clean cooking (cookstoves and briquettes), rural electrification and mini-grids

  3. Energy SMEs will be a major part of the solution Only 40% of the new generation capacity required for universal access by 2030 is by grid extension – and the rest is the natural domain of SMEs Off-grid Off-grid On-grid On-grid Mini-grid Mini-grid

  4. Helping energy SMEs to grow Market demand Macro-economy SKILLS TECHNOLOGY Business concept Performing business CAPITAL DELIVERY NETWORK Demographics Policy & Regulation

  5. Lots of important linkages... • ... and reasons for Large Cos & local firms to collaborate • Direct supply chain: • suppliers, • customers, • distributors • Existing markets • Brand positioning • Affinity sales • New markets • Product development • Technology transfer • Consumer intelligence • Promoting access to energy to strengthen • Local supply chain • Workforce welfare & productivity • Reputation & local mandate

  6. One lesson…. You need to be selective about who to work with.... Key issues identified by GVEP entrepreneurs Sales volumes by entrepreneur, Ugandan briquettes .... and also flexible about what to offer % of survey respondents

  7. Other lessons… • It’s not just about electricity – especially in the long term … but think about business opportunities created by powering communities! • Small local companies can be challenging partners …but they have the virtue of being there • Supportive policy & regulatory environment helps … but so what? • A great opportunity to expand the role of private capital ….but grants/soft money will maintain a big role, & sometimes get in the way • Establishing the right relationship is tricky • It’ll take longer than you think, • aligning long term expectations • Knowledge will flow in both directions

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