Source: http://allafrica.com/stories/200703070406.html
by Sylvestre Tetchiada Yaounde
For Merline Momo Azeufac, a teacher at Balefock village in western Cameroon, the days of fearing nightfall while correcting pupils' work are over. She's no longer hostage to the poor light provided by kerosene lamps.
"I always had sore eyes, and also a headache because of the smoke," Azeufac told IPS. "Imagine that I used to correct about a hundred exercise books in bad lighting conditions But this hasn't been a problem since we had solar power."
At the end of 2006, Balefock received four solar panels to produce power, under a grant from the Rural Entrepreneurship Foundation (REF). This non-governmental organisation (NGO), based in the Cameroonian capital of Yaoundé, was responding to a request from the Balefock Public School Parents' Association.
The advent of solar power made the village part of a trend towards alternative energy use in Cameroon that has gained momentum amidst difficulties with giving all homes access to the national electricity grid.
"It's very expensive, and impractical, to connect remote and scattered households to the electricity grid," Jacques Kamche, an engineer at the Ministry of Energy, told IPS. "This is why people are now searching for new ways of enabling those in rural areas to cook, obtain light, pump water and light clinics -- using independent sources of energy, such as solar power "
Of the 30,000 villages in Cameroon, only 2,000 are linked to the electricity grid of AES-SONEL, the sole national electricity provider in Cameroon. This firm was formerly the government-run National Electricity Company (Société nationale d'électricité, SONEL). It was privatised in 2001, after being bought out by AES, a U.S. company.
According to a 2006 study from the Ministry of Water and Energy, most inhabitants of rural areas of Cameroon -- who account for 60 percent of the approximately 17 million residents of this Central African country -- still make use of kerosene lamps for lighting.
The REF electrification project is funded with about 150,000 dollars from the United Nations Development Programme, under the auspices of the Global Environment Facility (GEF). The donor-supported GEF assists developing countries with environmental protection.
"The project consists of installing solar power systems in villages of mountainous areas with the goal of improving living conditions for people, but also to reduce soil degradation and pollution," Georges Akonteh, REF coordinator, told IPS.
Solar power is not without its own costs. "In our country, you need on average 500 to 1,000 dollars to equip a home (with solar electricity systems), and most do not have the money," Yves Ngouala, an economist based in Yaoundé, told IPS.
But, this hasn't stopped the Association for the Support and Assistance of Women (Association pour l'appui et le soutien à la femme, ASAFE), an NGO based in the economic hub of Douala, from sending four women to India for six months' training in solar power technology.
The women were briefed at the Barefoot College, an organisation founded in 1972 to equip rural people with various skills, which has branched out across India.
"The women we sent to train in the technique of solar power will return to electrify 100 houses each in their respective villages, where inhabitants made use of kerosene and wood for cooking and heating until now," says ASAFE President Gisèle Ytamben.
Similar projects are planned for Bolivia, The Gambia, Malawi, Paraguay and South Africa, according to the NGO.
Residents of the women's villages spend between three and four dollars monthly on kerosene, Ytamben adds. In future, they will spend approximately the same amount on salaries for those in charge of the project, who are to be tasked with replacing faulty components and replacing solar system batteries every five years.
Tuesday, March 13, 2007
Tuesday, February 27, 2007
Report on Varying Quality of Solar PV Products in Kenyan Market
Slides from an interesting presentation on the variances in product quality for solar pv products in the Kenyan market:
http://www.solar2006.org/presentations/tech_sessions/t25-m199.pdf
It may be worth getting in touch with the researchers to learn which brand/systems they recommend.
http://www.solar2006.org/presentations/tech_sessions/t25-m199.pdf
It may be worth getting in touch with the researchers to learn which brand/systems they recommend.
Mark Hankins on Solar PV in East Africa
Kenya RPCV Mark Hankins says: Contrary to what many people think, solar PV is not too expensive for ordinary folk
Kenya RPCV Mark Hankins says: Contrary to what many people think, solar PV is not too expensive for ordinary folk
Seeing the Light: Solar PV in East Africa
By Ann Heidenreich, NGONET, Kenya.
Contrary to what many people think, solar PV is not too expensive for ordinary folk.
Hundreds of thousands of rural households in East Africa now pay $5 to $10/month or more for kerosene for lighting and drycell batteries for radios, and small businesses are paying significantly more. These are potential customers for solar PV systems. Small solar systems pay for themselves over a period of one to three years, and after that, savings are significant. In addition, the quality of lighting is far better and the house is free of unhealthy kerosene fumes.
I visited a small business (SuperLife Bar) in Komolo on the Maasai Steppe in Tanzania in early April that had been using 20 litres of kerosene/week at TSh 400/litre (US$16/week; $64/month; $832/year). Late last year, the owner, Mr. Lengai, bought a solar PV system for about $1,000. In just over a year from the time of purchase, he will have recovered the cost of his system and after that, costs for lighting and music in his establishment will be drastically reduced.
With the recent dramatic rise in production and drop in costs, solar PV is already on the market and powering lights and radios in tens of thousands of rural homes in East Africa. There are small entrepreneurs selling PV systems in many villages, and local manufacturers producing system components.
Solar PV has become a new fashion in donor, government and NGO circles. There is a danger that the influx of donor funds will undermine local entrepreneurs who are already in the business. New projects must build on work that has already been done. Mass dissemination of any technology is best done through the market. Donor interventions in the field of solar PV should be aimed at building an infrastructure for market dissemination of solar PV. Support is appropriate for training, demonstration, credit, design, policy formulation and networking.
KARADEA Solar Training Facility, Tanzania, has regular courses supported by EAA (see issue no.11). The next course is 8-28 July 1996.
The 4 As for customer satisfaction:
Awareness
Most people won't buy what they have never seen. Donor funds could be channelled into small, well-maintained demonstration systems in public buildings such as schools, hospitals, libraries and offices. These should be decided upon by local groups, purchased locally, installed and maintained by local technicians.
Availability
Local businesses should be on hand in rural villages to design, deliver, install and maintain PV systems and to instruct customers in operation and maintenance.<%-2> <%-3>Donor funds are needed to establish and operate solar training centres, provide scholarships for trainees, and support credit schemes to start-up small businesses, with the aim of having an electrical shop in every village.
Affordability
Although some people have sufficient cash to buy solar PV systems up front, many people do not. Reduction of import duties, downsizing (not downgrading) of systems to match rural financing schemes are needed to enable many more people to buy solar PV. While systems should be affordable, they should not be given away free or at subsidized rates that undercut local companies.
Appropriateness
Most solar equipment on the market today is not designed for the rural African market. Development banks should give credit to companies for market surveys and redesign of equipment. In Kenya, various ways to finance solar PV are being tried, supported by the World Bank (ESMAP/GEF/IFC) and/or the Ashden Trust, and implemented by Kenya Rural Enterprise Programme and Energy Alternatives Africa (EAA). Some examples:
* "Solar Energy for Rural Kenyan Businesses" provides loans to qualifying businesses and community groups together with required training and support to establish small, solar-based businesses.
* "Testing of Financing Mechanisms for Solar Equipment in Rural Villages" will be a 3.5-year project.
* Several projects are underway to field test solar lighting and radio systems, particularly solar lanterns. A number of small local companies sell the lanterns at subsidized rates and gather information on customer response. Many of the lanterns being sold are designed for the US camper market, not for everyday use in rural African homes. These surveys will provide valuable feed- back to manufacturers on how to design for the African market, where potential sales are in the millions of units.
* A workshop entitled "Building Renewable Energy Infrastructure in Africa" was held for Development Officers from 18 districts in Tanzania, Kenya and Uganda, 1-3 April 1996 in Arusha, Tanzania. The report of the workshop includes a list of 70 solar PV businesses in East Africa. Copies are available from EAA.
More info: Ann Heidenreich, NGONET, PO Box 76406, Nairobi, Kenya. Ph/fax: +254-2-729447; email: annh@chasque.apc.org; or Mark Hankins, EAA, PO Box 76406, Nairobi, Kenya. Ph/fax: +254-2-565616; email:energy.africa@tt.sasa.unon.org.
The article is compiled from an article in EcoNews Africa (18 April 1996) by Ann Heidenreich, and a paper by Ann Heidenreich and Mark Hankins presented at the World Bank Donor's Roundtable on Energy and Development, April 1996 in Washington DC.
More info: FWD / INforSE East Africa
Kenya RPCV Mark Hankins says: Contrary to what many people think, solar PV is not too expensive for ordinary folk
Seeing the Light: Solar PV in East Africa
By Ann Heidenreich, NGONET, Kenya.
Contrary to what many people think, solar PV is not too expensive for ordinary folk.
Hundreds of thousands of rural households in East Africa now pay $5 to $10/month or more for kerosene for lighting and drycell batteries for radios, and small businesses are paying significantly more. These are potential customers for solar PV systems. Small solar systems pay for themselves over a period of one to three years, and after that, savings are significant. In addition, the quality of lighting is far better and the house is free of unhealthy kerosene fumes.
I visited a small business (SuperLife Bar) in Komolo on the Maasai Steppe in Tanzania in early April that had been using 20 litres of kerosene/week at TSh 400/litre (US$16/week; $64/month; $832/year). Late last year, the owner, Mr. Lengai, bought a solar PV system for about $1,000. In just over a year from the time of purchase, he will have recovered the cost of his system and after that, costs for lighting and music in his establishment will be drastically reduced.
With the recent dramatic rise in production and drop in costs, solar PV is already on the market and powering lights and radios in tens of thousands of rural homes in East Africa. There are small entrepreneurs selling PV systems in many villages, and local manufacturers producing system components.
Solar PV has become a new fashion in donor, government and NGO circles. There is a danger that the influx of donor funds will undermine local entrepreneurs who are already in the business. New projects must build on work that has already been done. Mass dissemination of any technology is best done through the market. Donor interventions in the field of solar PV should be aimed at building an infrastructure for market dissemination of solar PV. Support is appropriate for training, demonstration, credit, design, policy formulation and networking.
KARADEA Solar Training Facility, Tanzania, has regular courses supported by EAA (see issue no.11). The next course is 8-28 July 1996.
The 4 As for customer satisfaction:
Awareness
Most people won't buy what they have never seen. Donor funds could be channelled into small, well-maintained demonstration systems in public buildings such as schools, hospitals, libraries and offices. These should be decided upon by local groups, purchased locally, installed and maintained by local technicians.
Availability
Local businesses should be on hand in rural villages to design, deliver, install and maintain PV systems and to instruct customers in operation and maintenance.<%-2> <%-3>Donor funds are needed to establish and operate solar training centres, provide scholarships for trainees, and support credit schemes to start-up small businesses, with the aim of having an electrical shop in every village.
Affordability
Although some people have sufficient cash to buy solar PV systems up front, many people do not. Reduction of import duties, downsizing (not downgrading) of systems to match rural financing schemes are needed to enable many more people to buy solar PV. While systems should be affordable, they should not be given away free or at subsidized rates that undercut local companies.
Appropriateness
Most solar equipment on the market today is not designed for the rural African market. Development banks should give credit to companies for market surveys and redesign of equipment. In Kenya, various ways to finance solar PV are being tried, supported by the World Bank (ESMAP/GEF/IFC) and/or the Ashden Trust, and implemented by Kenya Rural Enterprise Programme and Energy Alternatives Africa (EAA). Some examples:
* "Solar Energy for Rural Kenyan Businesses" provides loans to qualifying businesses and community groups together with required training and support to establish small, solar-based businesses.
* "Testing of Financing Mechanisms for Solar Equipment in Rural Villages" will be a 3.5-year project.
* Several projects are underway to field test solar lighting and radio systems, particularly solar lanterns. A number of small local companies sell the lanterns at subsidized rates and gather information on customer response. Many of the lanterns being sold are designed for the US camper market, not for everyday use in rural African homes. These surveys will provide valuable feed- back to manufacturers on how to design for the African market, where potential sales are in the millions of units.
* A workshop entitled "Building Renewable Energy Infrastructure in Africa" was held for Development Officers from 18 districts in Tanzania, Kenya and Uganda, 1-3 April 1996 in Arusha, Tanzania. The report of the workshop includes a list of 70 solar PV businesses in East Africa. Copies are available from EAA.
More info: Ann Heidenreich, NGONET, PO Box 76406, Nairobi, Kenya. Ph/fax: +254-2-729447; email: annh@chasque.apc.org; or Mark Hankins, EAA, PO Box 76406, Nairobi, Kenya. Ph/fax: +254-2-565616; email:energy.africa@tt.sasa.unon.org.
The article is compiled from an article in EcoNews Africa (18 April 1996) by Ann Heidenreich, and a paper by Ann Heidenreich and Mark Hankins presented at the World Bank Donor's Roundtable on Energy and Development, April 1996 in Washington DC.
More info: FWD / INforSE East Africa
Kenya: Firm Fires Up the Use of Solar Energy
Source: AllAfrica.com
URL: http://allafrica.com/stories/200501100208.html
A fascination for solar energy forced Mark Hankins to abandon a teaching career to start a company that would help to build a sustainable energy infrastructure.
One of the pioneers behind the alternative energy sector in Kenya, Hankins says his company was built on renewable energy resource assessment, market studies and field surveys, policy study and development, renewable energy financing design and project pipeline development, renewable energy extension and training.
URL: http://allafrica.com/stories/200501100208.html
A fascination for solar energy forced Mark Hankins to abandon a teaching career to start a company that would help to build a sustainable energy infrastructure.
One of the pioneers behind the alternative energy sector in Kenya, Hankins says his company was built on renewable energy resource assessment, market studies and field surveys, policy study and development, renewable energy financing design and project pipeline development, renewable energy extension and training.
Attached to the US Peace Corps in 1983, Hankins came to Kenya as a science teacher and worked at Karamugi High School in Chuka, Meru. A holder of a Master of Science degree in Alternative Energy Engineering from Reading University in the UK, Hankins is also the author Solar Electric Systems for Africa, a book published in 1992 when he set up his company, Energy Alternatives for Africa.
In 1998, Energy for Sustainable Development (ESD), one of Europe's leading sustainable energy companies, partnered with Hankins to form what has now come to be known as Energy for Sustainable Development Africa (ESDA).
Hankins has gained a wealth of experience through working with the Ministry of Energy in Kenya on a number of projects. He has also worked in the UK as a consultant besides conducting regional training for basic photovoltaic installation in Tanzania, Kenya, Somalia and Ethiopia.
He says he was also part of a team that designed the Ethiopian Rural Electricity Fund, which manages private sector-led rural electrification programmes throughout the country.
"When I started my own company, I only had two people and I used to do a lot of community-based projects," he says. "Most of my clients were small non-governmental organisations but now I have employed 10 people and my clientele has continued to grow over the years."
Excerpts
What role does ESDA play in the energy sector?
It helps to build local sustainable energy by providing technical, policy, training and management expertise in Eastern, Southern and the Horn of Africa. We work in partnership with clients ranging from local communities and industries to international organisations and help them in selecting appropriate energy options.
What scope of work do you handle?
ESDA has vast experience including project design, technical assistance and management using energy system design and planning, solar photovoltaic (PV), wood and non-wood biomass production and conversion technologies. We also help in promoting efficiency and conservation methodologies, provide off-grid power supply, solar thermal and wind energy.
What is your marketing strategy?
We mainly work with small and medium-sized rural enterprises where we act as a catalyst for the commercialisation of sustainable energy. Our main focus remains sustainable, commercially viable renewable energy technologies.
What services do you offer?
Clean development mechanism, renewable energy demonstrations, small business support, and financing of businesses and end-users. We also do energy auditing and planning, off-grid energy systems design and installation, which includes designing and installing appropriate sustainable energy systems for applications ranging from hospitals to eco-tourism to remote households.
We also undertake renewable energy training, product design and test marketing and improving biomass production and conversion.
Have you noticed any change in the industry over the years?
Initially, there were various small companies trying to tap into the solar market, but now bigger companies have taken over resulting in fewer players such as Kenital, Chloride Exide, among others. The awareness among people is at a higher level, there is more professionalism, the prices are much more competitive, companies also tend to specialise more - either on exports or consumer products.
About 200,000 households are using solar products and one million use lead batteries in rural areas.
Are there other types of renewable energy?
Yes, and they include wind, geothermal, biomass and hydropower. It's not just about solar energy any more; globally, use of different types of renewable energy is big business.
Is the government supportive of renewable energy?
It has greatly reduced duty on solar products but in terms of projects, the government has done little in comparison to Uganda and Tanzania.
Photovoltaic Systems in Kenya
Source: http://rael.berkeley.edu/old-site/aSikenya.html
Photovoltaics Commercialization Support Project (East Africa)
Kenya is the hub of an active and internationally important regional market for photovoltaic (PV) solar home systems. Over 100,000 systems and more than 2 MWp have been installed in Kenya over the past decade. As a result, a recent wave of grants and development assistance programs have targeted photovoltaics, with East Africa as one of the primary target regions. Important programs are currently in place or about to be implemented to support the PV industries in Indonesia, Ghana, Mexico, Kenya, Morocco, Uganda, Zambia and Zimbabwe. Critical to the maturation and sustainability of the international and regional PV industries are: (1) an understanding of the performance history of systems currently in use in the field; (2) an expanded training capacity to support local entrepreneurs, vendors, installers, and PV service companies as well as consumers of PV systems.The work described here is from a joint project between RAEL and Energy Alternatives AFRICA (EAA) of Nairobi, Kenya. The project was made possible with generous funding from the Dexter Trust. In this project we evaluated the performance and condition of single junction amorphous silicon (a-Si) modules used in PV systems installed in Kenya, and used this opportunity to provide additional training and market analysis opportunities for local East African renewable energy entrepreneurs. We carefully surveyed a-Si PV systems and measured PV module performance in each site. We analyzed the data in order to establish the survival rate and performance of a-Si modules in field operating conditions and to identify equipment and institutional options that could benefit the private PV industry and the end-user community in East Africa. We are sharing the results with solar rural electrification projects, manufacturers, dealers and end-users as well as the international development community through publications, correspondence, and regional workshops.
This project meets three key needs in the emerging market for solar home systems: (1) an immediate need for accurate information on photovoltaic home system performance both as the systems age and as a way to compare actual versus advertised performance; (2) provides a field-based collaborative training opportunity for local entrepreneurs, emerging researchers, and community participants; and (3) more generally, this work provides a tested model for the evaluation of system performance that can be adapted and adopted by PV programs worldwide.
A second phase of this project will be to integrate the system performance data into a larger study to evaluate the future of public sector, multinational donor, and private-sector photovoltaic commercialization.
PBS KQED-TV Green Means Production
The PBS (KQED-TV, San Francisco) Green Means series has just produced and is airing throughout this Spring, Kenya Solar: Using Solar Energy in Remote Locations, a short piece focusing on RAEL's work in Kenya to help develop a photovoltaics market. The Green Means series produces short stories about ordinary people whose lifestyles and activities are making positive contributions to the environment. See the Broadcast Schedule and view the Video (using RealPlayer). (4/22/2000) Press Release
- Study finds that small size a-Si modules perform well in field.
- Announcing the 1999 research results of our study of the field performance of single junction amorphous silicon (a-Si) photovoltaic (PV) modules in Kenya. (PDF) (4/9/2000)
Support for this project has been provided by:
- The Dexter Environmental Trust
- The Woodrow Wilson School of Public and International Affairs, Princeton University
- U.S. Environmental Protection Agency STAR Program
- The Link Energy Foundation
References
- Jacobson, A., Duke, R.D., and Kammen, D.M., (2000) "Amorphous Silicon PV Panels: Are They a Good Value for the Money?", Solarnet, 2(2), Nairobi, Kenya. (PDF)
- Duke R.D., Graham S., Hankins M., Jacobson A., Kammen D.M., Osawa B., Pulver S., and Walther E., (2000) "Field Performance Evaluations of Amorphous Silicon (a-Si) Photovoltaic Systems in Kenya: Methods and Measurements in Support of a Sustainable Commercial Solar Energy Industry", ESMAP, World Bank.(PDF)
- Jacobson, A., Duke, R.D., Kammen, D. M.; Hankins, M. (2000) "Field Performance Measurements of Amorphous Silicon Photovoltaic Modules in Kenya", in Conference Proceedings of the American Solar Energy Society (ASES), Madison, Wisconsin, June 16-21. (PDF)
Monday, February 26, 2007
Renewable Energy Companies in Kenya
Importers, Manufacturers, and larger dealers:
Chloride Exide Kenya Limited
P.O. Box 14242
Nairobi, Kenya
Tel: 532211/48/49/51
Fax: 532043
E-mail: exide@iconnect.co.ke
Attn: Joseph Muthoka
Products: Solar PV
Davis & Shirtliff Limited
P.O. Box 41762
Nairobi, Kenya
Tel: 558335
Fax: 557617
Att: Director
Products: Water pumps, wind
pumps
Energy Alternatives Africa
P.O. Box 76406
Nairobi, Kenya
Tel: 714623
Fax: 720909
E-mail: energyaf@iconnect.co.ke
Attn. Mark Hankins
Product: RE Consultants
Kenital Solar Limited
P.O. Box 55517
Nairobi, Kenya
Tel/Fax: 572424
E-mail:info@kenital.com
Attn: Silvio Borraccino
Products: PV sales, Solar water
heaters,
Wind generators.
Neste Advanced Power Systems
(NAPS)
P.O. Box 19553, Nairobi, Kenya
Tel: 561096/561130
E-mail: napsk@form-net.com
Fax: 561098
Att: Jim Fanning
Products: Solar PV importers
Sollatek Electronics (K) Ltd.
P.O. Box 83831
Mombasa, Kenya
Tel: 011-3311715, 312413,
Fax: 312689
E-mail: sollatek@swiftmombasa.com
Attn: Chris Soper
Products: Solar PV and Charge
Solagen Limited
P.O. Box 45679
Nairobi, Kenya
Tel: 441160/1, 251650/1/251652
Fax: 251652
E-mail: info@solagen.com
Attn: Erick Muhanji
Products: Solar PV, Water heaters
Installation
Austral Ken Limited
P.O. Box 51937
Nairobi, Kenya
Tel: 222297/224885/339618
Fax: 331016
E-mail: ak@africaonline.co.ke
Products: PV Solar and Solar
Water Systems
Telesales Ltd.
P.O. Box 45525 Nairobi, Kenya
Tel: 213143/336027
Fax: 745655
Att: Anil Abdulla
Products: Solar Systems
Marathon Marketing Ltd
P.O. Box 58391
Nairobi, Kenya
Tel: 530654/530655/530703/542841
Fax: 5330656:
Att: Simon Pertet
Products: Solar PV
Voltammeter Batteries
P.O. Box 18646
Nairobi, Kenya
Tel: 552251/553383
Fax: 545688
Attn: S.Nagarajen
Products: Batteries Manufacturers
Wilken Telecommunications
P.O. Box 49428
Nairobi, Kenya
Tel: 501506/7/8
Fax: 501754
E-mail: wtkl@africaonline.co.ke
Attn: Mrs. Nina Muturi
Products: PV and Solar water
heaters sales.
A S P Solar Kenya Limited
P.O. Box 18654
Nairobi, Kenya
Tel: 823411,823901
Fax: 823905
ASP@Net2000Ke.com
Attn: Vincent Log
Products: Solar PV & Water
Heaters and Solar pools
Alpa Nguvu Solar Systems
P.O. Box 45155
Nairobi, Kenya
Tel: 743113/746466
Fax: 746466
Attn: Dickson Muchiri
Products: Solar PV, Water Heaters.
Animatics Limited
P.O. Box 72011
Nairobi, Kenya
Tel: 210316/210744
Fax: 210315
Products: Solar PV
Associated Battery Manufacturers
P.O. Box 48917
Nairobi, Kenya
Tel: 532211/558022
Fax: 531218
Attn: Guy Jack
Products: Batteries Manufacturers
BP Solar East Africa Ltd.
P.O. Box 47796
Nairobi, Kenya
Tel: 569780/565812
Fax: 573339
Attn: Francis Hillman
Products: Solar PV importers
bpsea@africaonline.co.ke
Bobs Harries Engineers
P.O. Box 40
Thika
Tel: 0154-472345/47250
E-mail: bobs@africaonline.co.ke
Contact: Mike Harries
Product: Kijito Windmills and
generators
Retailers, technician and small scale manufacture
American Solar Technology
PO Box 1614
Meru
Tel: 0164-30575
Attn: Steve Wambua
Products: Solar PV Sales and
Installation
Allas Electronics
PO Box 10674
Tel: 229912
Attn: Bakul Shah
Product: Solar PV Sales
Bright Home Solar Energy
PO Box 65
Kamkuywa
Bungoma
C/o Tel/Fax: 02- 763595
Attn: Henry Watitwa
Botto-Solar
P.O. Box 2191
Nakuru, Kenya
Tel: 037 42192/213327/211913
Fax: 42192
Att: Ephraim Botto
Products: Solar Systems, energy
efficient Cooking Stoves.
Chintu Engineering Works
P.O. Box 11467
Nairobi, Kenya
Tel: 747401/748317
Fax: 750634
Att: Arvin Raikundalia
Products: Solar PV
Creative Innovations Limited
P.O. Box 49644
Nairobi, Kenya
Tel: 533991
Fax: 540656
Att: Richard D‘souza
Products: Lamps, Batteries
Electronics and Telecom Lab
PO Box 7135
Nairobi
Tel: 571143
Attn: John Oloo
Products: Solar PV and Charge
Controllers assembly
Happy Go Ltd.
P.O. Box 3319
Nakuru, Kenya
Tel: 037 215415
Att: Ashish S. Shah
Products: PV Systems
Hensolex Ltd
P.O. Box 158
Gilgil, Kenya
Tel: 0367-5025/5099
Fax: 5025
Att: Francis Kamau
Products: Solar PV
Industrial Robotics
P.O. Box 78878
Nairobi, Kenya
Att: Dadhley Shanny
Interlinks Solar Systems Ltd.
P.O. Box 25161
Nairobi, Kenya
Tel: 541838/9
Fax: 541170
Att: Director
Products: Solar Water heaters
Kensolar Services
P.O. Box 21611
Nairobi, Kenya
Tel: 330898
Fax: 243448
Att: Ishmael Kome
Products: Solar Water heaters
Mitha & Company Ltd
P.O. Box 98
Kisumu, Kenya
Tel: 035 44316/41366/21120
Fax: 40706
Att: Altaz Mitha
Products: Solar PV
Ekero Jikos Sales
P.O. Box 292
Mumias, Kenya
Tel: 0333 41272
Att: Mohamed Olunga Juma
Products: Stoves
Renewable Energy Enterprises
P.O. Box 28201
Nairobi, Kenya
Tel: 554414/557946
Fax: 540447/217381
E-mail: rteretap@nbnet.co.ke
Attn: Charles Gitundu
Hydrosun Limited
P.O. Box 66113
Nairobi, Kenya
Tel: 443463/443346/442577
Fax: 442551
Att: P. Mburu Douglas
Kalyet Limited
P.O. Box 3461
Eldoret, Kenya
Tel: 0321 31075/61088
Fax: 0321 63375
Att: Titus Waihenya Mbatiah
Products: Solar Panels
New Point Industries
P.O. Box 2574
Nakuru, Kenya
Tel: 037 213691
Fax: 037 43979
Att: D. Karia
Products: Solar Systems
Petro Solar Inc.
P.O. Box 52795
Nairobi, Kenya
Tel: 720371/714070/714412
Fax: 560776/720371/445387
Att: Chrispus Mongare Osero
Products: Solar Systems
Retec Energy Centre
P.O. Box 2688
Kakamega, Kenya
Tel: 0331 20603
Att: David Osotsi
Products: Solar Systems
Solar World (E.A.) Ltd.
P.O. Box 61835
Nairobi, Kenya
Tel: 556240/543959
Fax: 543959
Att: Charles Rioba
Products: Solar PV
Solraye Ltd.
P.O. Box 5002
Eldoret, Kenya
Tel: 0321 62515
Fax: 0321 62893
Solar Taa Ltd.
P.O. Box 75939
Nairobi, Kenya
Tel: 223956 / 577315
Alternatives to Fuel-Based Lighting at the Base of the Pyramid
Contents:
I) Working Hypothesis on the Most Effective and Sustainable Means
II) Industry Analysis
III) Two Possible Business Models
I) Working Hypothesis:
The most cost-effective and sustainable means of providing affordable alternatives to fuel-based lighting for rural regions of Africa will be delivered by private enterprises providing rechargable LED or CFL lighting appliances. In order to overcome challenges in sourcing, marketing and financing (see Industry Analysis below for an overview of these challenges), a capable entrepreneur will require business acumen, technical aptititude, financial resources, and access to a network of complementary organizations that have a stake in the success of the lighting enterprise.
Given our belief that the ultimate provision of rural off-grid lighting solutions can best be undertaken by a private enterprise, and that the social benefits from provided by such an enterprise are highly desired, the role of our team should be to provide as many of the necessary resources as possible in order to encourage the success of such an entrepreneur.
As Columbia Business School students working with the Earth Institute, our team will add value to the enterprise by providing information on the cost attributes of a range of possible lighting products as part of an actionable business plan. In addition, we will work to establish a series of relationships with complementary organizations that a would-be entrepreneur can access at a later date.
Among the resources our team can most easily offer include:
* Research into the availability, price and lighting attributes of a range of available lighting products (supply chain research in China/India/Kenya; Columbia ME Dept. Studies on Attributes)
* Contacts with suppliers, importers, distributors and other key players in the supply chain for these products (contacts made during supply chain research, Nate Choge's father, transport companies)
* Links to potential sources of financing from local or international lenders (local MFIs, E+Co, Enterprise Works, etc)
* Information on the market for alternatives to fuel-based lighting (IFC, Practical Action, etc)
* Information about successful distribution models for related products in similar markets (cell phone companies, Enterprise Works)
* Links to academic institutions that can offer marketing and operations expertise within Kenya (University of Nairobi School of Business)
Although we would prefer to have a candidate for establishing the enterprise before setting out to acquire the required information and resources, we see considerable benefits in developing the knowledge and relationships now rather than waiting. Our hope is that our project will provide an actionable business plan that can serve as a means for catalyzing the future growth of such an enterprise. Once a suitable entrpreneur comes forward, he or she will be able to leaverage the information and contacts gathered as a part of this project to deliver the desired lighting solutions to rural areas. More specifically, he or she will gain signifiant credibility by referencing our team, the Columbia Business School and the Earth Institute when communicating with the businesses and supportive groups in this network.
II) Industry Analysis for Rechargable LED and CFL Lighting Appliances for Off-Grid Areas of Rural Kenya
Any enterprise hoping to enter the business of providing LED and CFL lighting appliances to the rural poor will face challenges created by the lack of leverage with key suppliers and the extreme poverty and isolation of target customers. However, LED and CFL lighting products' clear superiority over existing substitutes, the relatively low barriers to entry, and existence of a strong network of complementary organizations present an attractive industry environment. Because very few businesses are currently serving this market, a considerable advantage may be available to the first individual or group to successfully enter.
Substitutes:
Rechargable LED and CFL lighting products enjoy considerable benefits relative to existing substitutes, however the large up-front costs will pose a challenge for a business targeting the rural poor. Existing substitutes to rechargable battery-based lighting appliances in rural areas of Kenya include kerosene, candles, biomass (firewood), grid connections, small-scale solar systems, microhydro systems, and liquid petroleum gas. Each of these options has considerable drawbacks relative to rechargable battery systems for use in rural Kenya. Yet according to the IFC, worldwide fuel-based lighting currently represents a $38 billion/year business with an established value-chain, collection systems, “technical support,” access to spare parts, and repair services.
Some existing substitutes to LED and CFL rechargable battery lighting include:
- Kerosene lighting costs 150 times more per lumen than LED lighting. Kerosene emits greenhouse gases and hazardous smoke that in large enough quantities can lead to health problems. Kerosene is the lighting product of choice because it can be packaged in very small quantities to bring it into reach of the rural poor.
- Candles – expensive, poor light. Like kerosene, can be sold in small enough packages to make it affordable for the rural poor.
- Biomass (firewood) - low quality light, generates severe respiratory problems, diminishing availability without proper management of forest resources. Where available, firewood is often free, making it an attractive source of light and heat energy.
- Microhydro - a viable option only in population centers close to a suitable hydrologic resource. Requires communal organization or outside support to raise the funds needed to construct the project.
- Solar home systems are too expensive, and businesses providing these have proven only marginally successful; not a solution for the rural poor
- LPG - too expensive for the vast majority of rural households
- Grid-connections are slow to arrive, too expensive, and generally uneconomic in remote parts of rural Kenya. In Sauri grid connection at the household level is simply not a viable option.
Barriers to Entry:
Entering the industry on a small scale would require low capital investment. Lighting and battery systems are available as off-the-shelf commodities, assuming the enterprise can make the right connections with China, has adequate knowledge of ocean freight procedures, contacts in the customs industry.
System costs for LED lighting appliances have only recently fallen into affordable range for the rural poor. As a result, the pay-back period for an LED lighting system has decreased to about 6 months.
The biggest challenge for any company entering this industry is establishing a distribution network in geographically isolated areas with customers who cannot afford to pay for your product up-front.
Customers:
Demand for lighting solutions in rural areas is high, and customers have demonstrated a willingness to pay for products that resolve this problem.
- Only 6 percent of rural Kenyans are connected to electricity grids. Meanwhile, 96 percent of rural and 82 percent of urban customers use kerosene for lighting.
- Strong demand for light to allow increased productivity and entertainment after dark
- Lighting allows kiosks and small storefronts to extend their operating hours and boost their income
- End-users motivated to adopt alternative to fuel--based lighting but constrained by choice at level of income- Off-grid lighting often most expensive energy item in household –up to 50% of energy expenses, as much as 33% of household income
- Value offered is in energy savings and higher quality light output.
- Households–Rural–Urban–Peri-urban–Refugee camps
- High potential Non-Household markets include Street vendors and kiosks*–Schools–Clinics–Fishermen–Manufacturing–Signage–Night watchmen–MiningQuickTime
- Per capita income is just $400, purchasing power parity adjusted = $1200
- 90 percent of rural Kenyans live within 10 km of the grid
Stats from IFC Lighting the Bottom of the Pyramid:
Suppliers:
The best suppliers are likely to be Chinese or Indian manufacturing firms. These are large companies that prefer to sell in allotments of 10,000 units or more, creating challenges for any player starting out at the village level. A larger scale distribution network would provide the economies of scale necessary for leverage with suppliers. Such leverage would help reduce unit costs and allow for broader reach in price sensitive rural markets.
Key Complementors:
The key to tapping this market is for the enterprise to leverage the vast supportive network of complementary organizations in addressing the challenges outlined above. Some organizations with the ability to increase customers willingness to pay for rechargable battery home lighting solutions include:
- Microfinance organizations – can help finance a business providing the lights, and perhaps more importantly, provide the credit that customers need to meet the up-front costs of the lighting appliances.
- Kenyan Government – provision of infrastructure needed for the market to develop: grid electricity to schools and other potential recharging stations; roads for transport to remote regions; stable environment for capital investments; incentives to market development.
- IFC’s Efficient Lighting Iniative, Lighting the Bottom of the Pyramid and Light up Africa Projects:
The IFC seeks long-term and sustained impact on markets through: Increasing consumer knowledge and demand, Improved accessibility of capital, Increasing sales volume, and product availability The IFC has said that it will support individual company strategies, Provide and/or Mobilize Debt/Equity for a local assembly facility; Provide and/or Mobilize Trade-Finance products to support imports; Provide and/or Mobilize Micro-financing.
- Mobile Phone companies – distribution of rechargeable batteries and establishment of a charging network will increase demand for their product Mobile telephone use in Kenya has skyrocketed to nearly 6,000,000 customers since introduction of the technology in 1997. The lighting enterprise can benefit from the phone company's successful experience rolling out a new technology on a massive scale in just the last few years.
- Battery Companies - African battery companies would benefit tremendously from the growth of such an enterprise in their home countries. Their existing distribution networks and locale expertise would be very valuable to the enterprise.
- Academic Institutions - Schools such as the University of Nairobi School of Business have offered their assistance with the project. They may be able to offer localized expertise in marketing and operations.
- NGOs - promote awareness of the benefits, offer local knowledge, access to networks of other players in the industry.
III) Two Possible Business Models
Each of these business models require low levels of investment while offering a relatively high probability of financial reward for the entrpreneur.
1) Night market model:
The enterprise acquires ~25 rechargable lighting appliances which he or she offers for rent each night to merchants at the local night market. The entrepreneur charges the batteries during the day (preferably at a grid connected locale) and brings them to the market at night. At the close of the market, he or she collects the products from the merchants.
Benefits:
* The entrpreneur(s) will be working only in the evenings, allowing them to continue their day-time income earning activities
* The rental price can be set below the cost of existing substitutes such as kerosene but above the average cost of using the lighting appliances (avg. cost = up-front cost divided by useable lifespan of the product)
* Only one enterprse requires financing
* Generates positive cash flow for the entrepreneur on a daily basis
* Placing the products on display in the commercial center will provide exposure to very large market of potential customers
* The benefits to the merchants are quantifiable in terms of savings on kerosene and improved lighting of their merchandise
Drawbacks:
* Potential for theft -- the entrepreneur(s) will need to know the clients personally to insure the products are returned safely at the end of the market each nigth
* Inferior product performance could greatly increase the average cost of the appliances, making it impossible for the enterprise to price them at a competitive rate vis-a-vis kerosene -- supportive organizations may need to provide some insurance in the event that the lighting appliances don't perform up to promised standards
* High interest rates may erode all profitability
* Relatively low initial penetration of households will eliminate some of the hoped-for benefits to child schooling and other domestic activities
2) Membership Club Model
The enterprise stocks 100 units (arbitrary number chosen for simplicity) and allows up to 80 people to join in an arrangment to use a lighting appliance. At all times the enterprise will keep at least 20 units on hand for recharging. When a "member's" appliance runs out of charge, he or she may simply stop by the vendor's location to exchange it for a fully charged battery. A variety of pricing schemes and financing structures would be available to such an operation. The entire cooperative might secure a joint-loan from a microlending organization, allowing for shared risk. Alternatively the enterprise itself could be the only borrower, and then price the monthly membership at or below the amounts paid for kerosene.
Benefits:
Above benefits apply, plus:
* Because the products can be taken home, benefits to child-schooling and other domestic functions may be realized
* A successful enterprise using this model would also be able to let out some of its spare capacity during night markets
Drawbacks:
Above risks apply, plus
* Less oversight, increased risk of product loss or damage
* Greater time commitment as the enterprise must be manned throughout the day to allow for ease of exchange
* Increased capital requirements, as the model requires idle units not required in the night market model
Kenya joins IFC Lighting Project
Date: October 17, 2006
Author:John Oyuke
Source: http://allafrica.com/stories/200610161293.html
Author:John Oyuke
Source: http://allafrica.com/stories/200610161293.html
The International Finance Corporation (IFC) has announced a new $7 million (Sh511 million) project to increase access to modern energy services in Africa.
It said the initiative, "Lighting the Bottom of the Pyramid" would support LED (Light Emitting Diodes) companies to enter the off-grid lighting markets in Africa and other developing countries - currently estimated at $40 billion a year.
IFC will, among other things, facilitate partnerships between international and local firms and finance as appropriate operations and investments, which companies need to enter these markets, such as a local assembly or manufacturing.
IFC said the project would be first piloted in Kenya and Ghana and is already seeking partners across a wide range of donors, private sector companies, and stakeholders to collaborate in the initiative.
"We are seeking to provide the poorest of the poor - or the "bottom of the pyramid" with greater access to reliable and affordable lighting services," IFC, a member of the World Bank group said.
It said there were currently about 1.6 billion people who lack access to electricity, and currently spend $38 billion a year on fuel-based lighting, 500 million of them in Africa.
IFC said lack of access to modern lighting services hinders development, noting that among the poorest of the poor, lighting is often the most expensive item among their energy uses.
For instance, it added, fuel-based lighting can account for up to 50 per cent of all energy expenses and up to 33 per cent of total household income.
"While consuming a large share of scarce income, fuel-based lighting provides very little in return," IFC noted in the project's promotional flyer.
IFC observed that the low quality of the lighting provided by fuel-based devices did not support productive or income-generating activity.
In addition, it pointed out they reduce educational performance, as children lack the opportunity to study without eyestrain in the evenings.
Further, indoor pollution from fuel burning normally leads to health problems, the IFC said, noting however that increased access to modern lighting products could reverse this scenario.
"Modern lighting technologies have lower ownership costs than fuel-based lighting, do not generate indoor pollution, and can support small scale income generating activities - thus fostering a virtuous cycle of development and poverty reduction," it said.
Sunday, February 25, 2007
Solar Buzz's Off-Grid Lighting Resource Directory
Check out this list of resources related to off-grid lighting solutions
http://www.solarbuzz.com/Links/OffGrid.htm
http://www.solarbuzz.com/Links/OffGrid.htm
Off-grid rural electrification for $25
Submitted by Rob Katz on June 15, 2005 - 10:26.
Published in: Energy
A recent article (available here, PDF) in the journal Science tackles the problem of electrification in low-income households with analysis showcasing a robust technical solution that could be made available for US$25 fixed-cost, without subsidy. The technology, solar-powered white light emitting diodes (WLEDs) are more efficient than fuel-based lighting (biomass, kerosene, candles, etc) by a factor of 100. In addition, the article’s author, Evan Mills, estimates that fuel-based lighting accounts for annual worldwide energy consumption of 77 billion liters of fuel per year – an amount equivalent to US$38 billion per year or US$77 per household. Mills states:
“Despite the paucity of lighting services obtained, individual unelectrified households in the developing world spend a comparable amount of money on illumination as do households in the developed world.”
With 14% of urban households and 49% of rural households without electricity as of 2000 (citation here), this represents a huge market opportunity. Companies are starting to take high-tech water filters, wireless telecommunications, and financial tools into low-income communities. When will companies start taking high-tech approaches to off-grid electrification into those same communities? At $25 per year, some microfinance organizations should think hard about giving loans to purchase these systems.
Published in: Energy
A recent article (available here, PDF) in the journal Science tackles the problem of electrification in low-income households with analysis showcasing a robust technical solution that could be made available for US$25 fixed-cost, without subsidy. The technology, solar-powered white light emitting diodes (WLEDs) are more efficient than fuel-based lighting (biomass, kerosene, candles, etc) by a factor of 100. In addition, the article’s author, Evan Mills, estimates that fuel-based lighting accounts for annual worldwide energy consumption of 77 billion liters of fuel per year – an amount equivalent to US$38 billion per year or US$77 per household. Mills states:
“Despite the paucity of lighting services obtained, individual unelectrified households in the developing world spend a comparable amount of money on illumination as do households in the developed world.”
With 14% of urban households and 49% of rural households without electricity as of 2000 (citation here), this represents a huge market opportunity. Companies are starting to take high-tech water filters, wireless telecommunications, and financial tools into low-income communities. When will companies start taking high-tech approaches to off-grid electrification into those same communities? At $25 per year, some microfinance organizations should think hard about giving loans to purchase these systems.
Dean Kamen Addresses Energy and Water Challenges in Developing World
Source: http://money.cnn.com/2006/02/16/technology/business2_futureboy0216/index.htm
San Francisco (Business 2.0) - Dean Kamen, the engineer who invented the Segway, is puzzling over a new equation these days. An estimated 1.1 billion people in the world don't have access to clean drinking water, and an estimated 1.6 billion don't have electricity. Those figures add up to a big problem for the world—and an equally big opportunity for entrepreneurs.
To solve the problem, he's invented two devices, each about the size of a washing machine that can provide much-needed power and clean water in rural villages.
More...
San Francisco (Business 2.0) - Dean Kamen, the engineer who invented the Segway, is puzzling over a new equation these days. An estimated 1.1 billion people in the world don't have access to clean drinking water, and an estimated 1.6 billion don't have electricity. Those figures add up to a big problem for the world—and an equally big opportunity for entrepreneurs.
To solve the problem, he's invented two devices, each about the size of a washing machine that can provide much-needed power and clean water in rural villages.
More...
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