zeroPoverty Social Business for Rural Electrification
Description
zeroPoverty’s USP derives from the 5C-CoRE social business model that it employs. The 5C-CoRE model is built around five critical components that are focused on the rural community. They ensure i) inclusion of the rural customers in its governance, ii)appropriate technology that is sustainable and scalable, iii) training and customer support, iv) planning, measurement and evaluation of social impact and v) advocacy and local anchoring of the business.zeroPoverty strives for sustainable and scalable market penetration in India (76 million un-electrified households) through strategic partnerships with NGOs, corporate CSR organisations and government agencies, who are already engaged with rural communities. It deploys energy by piggy-backing on established rural networks and existing relationships of customer intimacy and trust.Mr Dipal C. Barua, a pioneer in the sector, Founding Managing Director of Grameen Shakti in Bangladesh and winner of the 2007 Alternative Nobel Prize, has endorsed the zeroPoverty business model and serves as mentor and advisor to the social business enterprise. The Solar Home System (SHS) consists of four distinct components: i) a solar PV panel, ii) a versatile SHS controller, iii) a battery that stores the electrical energy, and iv) the application, or load, that includes 2 LED lamps and a mobile charger. Different models, varying in power range from 6 Wp to 96Wp can drive different application, including TV and fan.The technology is both modular and scalable. This allows maximization of local content, ease of installation and debugging and recycling of waste while providing didactic benefits. The rural customer also has the option to upgrade the system to cover additional needs over time.For the simplest SHS product, the daily cost to the poor is the replacement cost of kerosene and mobile charging. Payback is in 1 year.Lighting and mobile charging are the primary applications. The Solar Home System builds confidence in solar PV technology among the rural community to trigger follow-up investment in further applications that extend to education, computer literacy, public facilities and security, domestic comforts and entertainment, health, irrigation and agriculture, power for small-scale industries and livelihood generation.A rural customer can opt to start with a basic system that provides 2 lamps and a single mobile charging facility. This can be upgraded over time to cover more lamps, power a television and even a fan.
The five strategic components of the 5C-CoRE business model are built into the organisational structure that deploys the rural solar electrification project.The organisational structure comprises three tiers. The zeroPoverty project office in India (red) – the “India Hub”, based in Bangalore - ensures the central functions of project management, operations, customer support, planning monitoring & evaluation and finance & accounting. The project office reports to the zeroPoverty International Project Team.Several solar circles (blue) are organised under a district office. Each circle caters to 10 villages or 1000 solar clients. Hence, ten circles, for example, together cover 100 villages or 10’000 solar clients. These circle offices are embedded within partner organisations. A project contract defines the relationship, roles and responsibilities and the deliverables between the partner organisation and the zeroPoverty social business.Under each circle, there are 3 village solar entrepreneurs (green) to ensure customer interface and to deal with local operational, training, customer service and financial issues at the village level.In all, about 40 local jobs are created for every 10’000 customers served.Technology is sourced locally in India
There is a project team consisting of seven members based in Switzerland. These are professionals covering the areas of general management, social business, rural development, marketing, finance, training and skill development, international cooperation, technology and policy, customer support, and logistics. This is the central coordination team for the initiative.A dedicated team is being hired in India and will be operational as of August 2016.Local implementation is in strategic partnership with an established local organisation in India. A steering committee is set-up between zeroPoverty Social Business and the local NGO, DHAN Foundation, to coordinate and manage joint operations.
SDGS & Targets
Goal 7
Ensure access to affordable, reliable, sustainable and modern energy for all
7.1
By 2030, ensure universal access to affordable, reliable and modern energy services
7.1.1
Proportion of population with access to electricity
7.1.2
Proportion of population with primary reliance on clean fuels and technology
7.2
7.2.1
Renewable energy share in the total final energy consumption
7.3
7.3.1
Energy intensity measured in terms of primary energy and GDP
7.a
7.a.1
International financial flows to developing countries in support of clean energy research and development and renewable energy production, including in hybrid systems
7.b
By 2030, expand infrastructure and upgrade technology for supplying modern and sustainable energy services for all in developing countries, in particular least developed countries, small island developing States, and land-locked developing countries, in accordance with their respective programmes of support
7.b.1
Installed renewable energy-generating capacity in developing and developed countries (in watts per capita)
SDG 14 targets covered
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Deliverables & Timeline
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Contact Information
Arun Sam Amirtham, Executive Director