1 / 19

Context

Context. 40 % do not have electricity connection Another 30 – 40% have erratic supply > 70% people still use biomass for cooking/ heating Expenses on energy is 2 nd highest item in rural and 3 rd highest in urban => How do people cope? Rich - Inverter, Diesel Gensets

lisle
Télécharger la présentation

Context

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Context • 40 % do not have electricity connection • Another 30 – 40% have erratic supply • > 70% people still use biomass for cooking/ heating • Expenses on energy is 2nd highest item in rural and 3rd highest in urban => • How do people cope? • Rich - Inverter, Diesel Gensets • Poor – Kerosene???, Candle, Biomass • Implication on income, education, health • Government Response – Big Power Plants • Generation vs. Distribution • Demand - Urban/ Rich/ Industrial vs. Rural/ Remote / Poor

  2. Solution • Decentralized and Alternative/ sustainable sources • Hydro • Tidal • Wind • Biomass • Solar

  3. SELCO • Established in 1995 with strong social emphasis • To dispel three myths • Poor people cannot afford sustainable technologies. • Poor people cannot maintain technologies. • One cannot build a sustainable business while meeting social objectives. • Services • Solar Home Lighting Solutions for under-served communities

  4. Key Structural Differentiations • Enterprise : Private Company v/s NGO • Equity/ Long term debt v/s Grants • Investors all NOT FOR PROFIT foundations • Service orientation v/s Product focus • System Integrator v/s Manufacturer • Flexibility to choose the best value • Marketed as an utility investment rather than consumption/ direct income expenditure

  5. Key Operational Differentiations • Customised solutions – Need based for income generation • Link financing to investment and more importantly HH cash flow • Flexible Tenure and EMIs • Risk perception sharing with Fis • Door step service and financing • Third Party piggy backing on local financial infrastructure • Own Service Center • staff rather than dealers

  6. User’s Reasons • Lighting for Study • Powering small motors • For Income Generating activities • Cleaner • Safer • No maintenance • Financial Institution’s Role • Accessing the credit worthiness of the client • Creating the appropriate financial product • Partnering with SELCO to meet the needs. • Collection of loan installments • SELCO’s Role • Demo of Technology • Accessing the needs • Developing the need based product • Partnering with local financial institutions • Installation of the system • After Sales Service Typical chain of an energy delivery services setup of SELCO.

  7. Customers ESC RO ESC HQ ESC RO Salesforce Sales force Salesforce Salesforce ESC BA BA BA BA SELCO’s Supply Chain Distribution Network Regional Offices Located strategically throughout service territories, each office directly manages about 5 ESCs HQ: SELCO INDIA headquarters located in Banaglore. Salesforce& Business Associates SELCO’s direct sales force and BAs market SELCO’s products to potential customers ESCs SELCO’s Energy Service Centers, base of sales, service, and inventory. Located in central rural towns.

  8. Snapshot till date • More than 125,000 households and 2000 institutions as clients • 210+ employees • 32 Energy Service Centers • 9 partnerships with Financial Institutions.

  9. Solar Light Point Project The project of renting solar lights (Solar Light Point Project) involves following participants – • Roadside vendors, beneficiaries of the Solar Light Point Project • An Entrepreneur, who ownsthe solar lights and rents to road side vendors • SELCO, the technology provider - Installs and maintains the Solar Lighting System • The local financial institution – provides loan to the entrepreneur to purchase the Solar Lighting System • A NGO may be involved to ensure success of the project – with concern for the roadside vendors and the entrepreneur

  10. The alternative: bulbs and kerosene lanterns Bank gives a loan to an interested, eligible entrepreneur who procures material from SELCO. Solar charging station for batteries owned by entrepreneur at his house. Power per charging station can vary from 100W to 1.5Kw. Vendors using solar charged batteries to run their lights. They pay a nominal rental fee (Rs.10 to 20/-) to the entrepreneur at the time of battery delivery. The entrepreneur retrieves the batteries once discharged and restarts the cycle. Typical central charging of SLA/Deep cycle 10Ah-15Ah batteries. Around 10 to 150 batteries can be charged. Charged batteries being transported to the vendors in the evening.

  11. Light for Education Programme • Inspired by Mid Day Meal Scheme • Central Solar Charging Station at School • Lamp at Home and Portable Battery (size of a mobile phone) • Kids need to come to school to charge the battery so that there is light at home (including for study) • Mostly Donor Driven, but could be sustainable

  12. Scaling Up & Challenges • Is it about numbers in Decentralised energy? • Lateral or vertical • Customization vs. commoditization • Deeper into the socio economic strata • Technology as well as financing • Big SELCO or several smaller SELCOs

  13. Incubation Philosophy • Holistic approach needed from end-to-end across the value chain – an enterprise approach which includes • Customized solutions to fit needs of the customer • Appropriate end cons. financing to make solutions affordable to underserved • Strong service and support infrastructure to ensure reliability • Passionate entrepreneurs equipped with appropriate tools will be the foundation for scale and impact in addressing global energy security • The initiative will constantly look to gain efficiencies through strong partnerships and innovations in process, products, operating and delivery models, etc

  14. The Approach • Key criterion is passion for social development • Identification through partner networks • Transfer of knowledge on business model & processes in partnership with successful social enterprises • Help establish operations/ buss. processes • Help develop vendor linkages • Help develop linkages for end consumer financing • Help develop the strategy & business plan • Help identify and negotiate appropriate deal with investors • Partnership with a successful enterprise to provide hand on experience of business model and processes • Continuous Mentoring Support • Platform for sharing Best Practices

  15. ASHIS KUMAR SAHU ashis@selco-india.com

More Related