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Izael Da Silva, Strathmore University - Kenya

Understanding the Solar PV paradox in East Africa – the 4 barriers yet to be put down

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Izael Da Silva, Strathmore University - Kenya

  1. 1. Understanding the Solar PV paradox in East Africa – the 4 barriers yet to be put down Presenter: Prof. I. P. Da Silva – Director Workshop: Innovative Finance for Access to Energy Milan, September 21st, 2015
  2. 2. The Paradox The Solar Belt (+/-35 degrees latitude) Huge grant support by developing agencies Favourable taxation and yet: Less than 5% of the world installation in this so sunny area
  3. 3. The Four barriers for the uptake of Solar PV in East Africa Access to Finance (Green line of credit; Get FiT) Awareness (Last Mile Entrepreneurship – GIZ/SNV) Access to Technical Support Services (PEER) Enabling Environment (Government Input – LCPDP)
  4. 4. One example where all barriers are dealt with Energy Company C. B. O LUAV Technical Support Participant Recruitment; Management of Payments; Awareness Creation Technical Services; After sale Support Technical Training Technology, Training, Vetting Awareness Creation; System installations JO7
  5. 5. Diapositiva 4 JO7 What is an CBO? => please define Janosch Ondraczek; 21/03/2014
  6. 6. Features A LUAV consists of at least 100 households organized into a CBO Energy company sets up a revolving fund for each CBO through a financial intermediary Management of the revolving fund and collection of payments is done by CBO Households access the SHS at 130 USD payable over 12 months to the CBO. Success to date Over a 12 month trial period, 18 LUAVS set-up to date 3000 households have accessed SHSs Low delinquency rate noted – Only one CBO defaulted
  7. 7. Conclusions FiT, Net Metering, Green lines of funds, support to the local industry (Ubbink; Chloride Exide) Proximity to operational solar technology solutions increases uptake. Use of Schools and County Government Offices to educate the population. Curbing low standard products (Lab) Would you buy a car if… Training of Trainers; TTIs; Women; ERC – The stick and the carrot! AEP(EA) The upcoming Energy Bill 2015; Zero VAT; Review of the LCPDP to include Solar PV; matching speeds of public and private sector
  8. 8. Q&A

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