RENEWABLE ENERGY MODELS

Presented by:
Melissa Summers, Jesse Lee and Gitanjali Mukherjee
AGENDA
 Case study 1:
 Sky Link
 Case study 2:
 Fabio Rosa
 Case study 3:
 Sun Stoves
 Group discussions
 Discussion of common
strengths
SKY LINK INNOVATORS
Waste, It’s Not
 BACKGROUND
 Build biogas plants in Kenya
 Startedin 2007
 200 biogas plants in domestic use, 5
schools and 1 prison
 Currently benefiting 5,200 people
 Grown quickly since its inception

 Winner: Ashden Awards 2010

 Sky Link Movie
SKY LINK INNOVATORS
 Mission
 Sky Link Innovators aims to develop biogas technology as a
commercially viable source of energy, and to tackle the issues
of deforestation, indoor air pollution and access to affordable
energy.
 Overview
 Construction materials sourced locally
 Flexible financing system and aid in finding loans
 One year of guarantee and frequent check-ups
 Locals trained in maintenance of systems
 Community leaders trained as consultants
IMPACTS
• Wood use reduced by 800
tonnes/year
• CO2 emissions reduced by
1,100 tonnes/year
• More free time allows children
to attend school
• Residue is a nutrient-rich
fertilizer
• Employment opportunities
• Improved Hygiene:
– Smoke free environment
– Improved sewage management
 CHALLENGES AND OPPORTUNITIES
• High cost of domestic systems (US$1,850)
– Short term financing options: pay back is about 4 years on average with
savings not spent on fuelwood and fertilizer
– Option to pay off part of cost with labor
– Help customers borrow from local Savings and Credit Society
• Maintenance of systems
– Sky Link provides free maintenance for 1 year
– Trains community leaders as technicians
• High upfront cost and lack of consumer awareness
– Planned education campaigns and advertising
FABIO ROSA
Let’s Go Solar
BACKGROUND
 Working with government to bring cheap electricity to
rural areas since 1983
 Under existing system, providing electricity to one rural
household cost US$ 7,000
 Help to bring electricity to 42 municipalities with up to
90% cost reduction
 Privatization of electricity market lead to modification of
business models
SUN SHINES FOR ALL INITIATIVE
 Mission
 The mission of the for-profit
venture, dubbed The Sun Shines
for All (TSSFA) is to provide
affordable energy solutions to
the portion of Brazil’s
population that does not have
access to electricity. That is,
Brazilians primarily in rural,
off-grid communities.
TSSFA
 People not interested in solar panels, but they are
interested in electricity
 Product – Basic kit: 4 fluorescent lights, a 12-volt
outlet, all necessary wiring, a battery and panel. Free
battery change after 3 years
 Pilot-run: target market is low-income region of
Encruzilhada do Sol
 25% of the population lacks access to electricity
 Lease not selling – use contract
 Break-even point: 6,000 units leased
IMPACTS

Environmental Social

 Reducing carbon  Improved quality of life

emissions  Opportunity for income
 Close the circle of generation
product life  Reduce massive exodus to
 Recycling cities
 Natural managed grazing
techniques
CHALLENGES AND OPPORTUNITIES
 Challenges
A decentralized system
depends on the reliability
of the workers
 Disruption by the
expansion of electric
companies
 Opportunities
 Stay on top of new
technologies for cost
reduction
SUN OVENS INTERNATIONAL
INC
What’s Cooking?
BACKGROUND
 2.5 billion people rely on biomass sources for energy like
firewood, charcoal and animal dung
 This has significant effects on human health
 Also serious financial effects

 Founded in 1985 by restauranteur, Tom Burns

 Portable models have been shipped to more than 125 countries

 Paul Munsen took over in 1998 and moved the plant from
Milwaukee to Illinois
GOALS AND OBJECTIVES
 Develop and implement
comprehensive solar cooking
programs
 Decrease developing world’s
dependency on biomass for primary
cooking fuels
 Benefit the environment

 Raise standards of living

 Improve health of world population

 Make some money in the process of

all this
BUSINESS MODELS
 Markets
 Developed Country Markets –
green consumers, food
enthusiasts and emergency
preparedness
 Developing Country Markets –
poor families
 Models
 Entrepreneurial
 NGO
 BUSINESS MODELS CONT…
Developed Countries Developing Countries

 Designed, built and  Designed, built and assembled in

assembled in IL IL
 Website distributed via  Local entrepreneur identified and

third party shipping. US qualified

and overseas  Entrepreneur due diligence for
 Marketed on Sun licensing contract
Ovens’ website and via  Design and initial lot of ovens
word-of-mouth shipped to entrepreneur
 Initial help with marketing and
education provided
 Entrepreneur establishes plant and
starts selling
FINANCES
MEASURING IMPACT
INNOVATIONS
 Subsidizing the poor
 Design for imitation but
keep their edge
 Turning demonstration to
down payment
 Managing non-traditional
challenges
CHALLENGES
GROUP DISCUSSION
 In small groups, please discuss the commonalities found
in the three case studies presented that are also shared by
other successful models you are aware of.
 What makes these models successful?
COMMON STRENGTHS
 Community involvement/ownership
 Local involvement in systems

 Flexible pricing/financing schemes

 Appropriate to target market
 Adaptable, flexible, ready to change as needed
 Simple designs/technologies are easily replicable

 Never sacrifice the social impact for profit

 Patient in awaiting returns on investment