Presentation by Jeffery Dickinson


Published on

Jeffery Dickinson, Asia Regional Manager - E+Co - Thailand

  • Be the first to comment

  • Be the first to like this

No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide

Presentation by Jeffery Dickinson

  1. 1. How triple bottom line investments contribute to a modern rural energy sector Jeffery Dickinson E+Co - Asia
  2. 2. <ul><li>300+ million households lack access to any source of modern energy. </li></ul><ul><li>Energy infrastructure will likely pass them by. </li></ul><ul><li>Their basic sources of energy are threatened. </li></ul><ul><li>There is a limited flow of investment to support companies willing to serve these people. </li></ul>The Energy Poor
  3. 3. <ul><li>Increases in quality of life and economic development are merely a wish rather than a reality. </li></ul><ul><li>But technologies exist, business models exist, ability and willingness to pay exist. </li></ul><ul><li>… the small, local enterprise is the key to bringing energy access. </li></ul>Without Modern Energy… … But they can afford it.
  4. 4. Clean Energy <ul><li>Solar PV and thermal, hydro, biomass, biogas, wind, efficiency equipment. </li></ul><ul><li>Will improve the lives of the energy poor … If financing is available for local entrepreneurs. </li></ul><ul><li>Requires combination of patient capital + services, local presence </li></ul>
  5. 5. A new investment space… <ul><li>Not charity - Combines public and private sector approaches and resources. </li></ul><ul><li>Blends resources from different sources. </li></ul><ul><li>Provides services and capital – the services provided both before and after investment reduce risk. </li></ul><ul><li>Still at the infant stage of cobbling together the value chain that would make it easy for investors to connect with specific opportunities. But the sector has good examples to look to and is gaining strength. </li></ul>
  6. 6. Vacvina - Vietnam <ul><li>National Association of Vietnamese Gardeners following a market approach to the sale of household biogas systems . </li></ul><ul><li>Uses pig manure to produce methane sufficient for the cooking needs of a rural household. </li></ul><ul><li>Provides clean cooking fuel , displacing fuelwood and coal briquettes and reducing indoor air and water pollution and methane emissions </li></ul><ul><li>More than 9,000 digesters installed in the last 5 years </li></ul>Highlights E+Co Financing: US$ 82,000 Co-Financing: US$ ±400,000 Jobs Created : 200 Environmental Impact : Emissions reduced by 80,000 tons CO 2 E per year through the displacement of fuelwood and coal briquettes.
  7. 7. SELCO India <ul><li>Successfully marketing small-scale photovoltaic (PV) power systems since 1995. </li></ul><ul><li>Sold 30,000 PV systems on a cash basis. </li></ul><ul><li>Also partnering with rural banks and micro-finance organizations to provide credit to customers. </li></ul><ul><li>With improved lighting households and enterprises are able to earn higher incomes . </li></ul>Highlights E+Co Financing: US$ 107,500 Co-Financing: US$ 4.5 million Jobs Created : 143 Environmental Impact : Emissions reduced by 2,000 tons CO 2 per year.
  8. 8. SME Renewable Energy Co. Cambodia <ul><li>Company marketing biomass gasifiers to rural industries, a spin-off from the NGO SME Cambodia </li></ul><ul><li>Provides grid quality electricity to rural communities, energy savings to small industries </li></ul>Highlights E+Co Financing: US$ 96,250 Co-Financing: US$ 94,850 Jobs Created : 7 Environmental Impact : Emissions reduction by 200 tons CO 2 per year through the displacement of diesel.
  9. 9. New Types of Returns……Pays in <ul><li>Dollars, Euros, Baht </li></ul><ul><li>kWh of clean energy generate </li></ul><ul><li>Liters of clean water </li></ul><ul><li>Tons of carbon avoided </li></ul><ul><li>New jobs created </li></ul><ul><li>The strength is that the new investment vehicles measure and evaluate these benefits with the same rigor as they count financial returns. </li></ul><ul><li>The “triple bottom line” is now practical. </li></ul>
  10. 10. <ul><li>120 investments $16.7 million in 35 countries </li></ul><ul><li>Co-financing $111 million from third parties </li></ul><ul><li>17 Enterprises Written Off $1.1 million </li></ul><ul><li>19 Loans Repaid in Full $2.3 million; ROI 10.2%* </li></ul><ul><li>Projected Weighted Average IRR, after write-offs: 8.4%* </li></ul><ul><li>Modern Energy Services 2.8 million people </li></ul><ul><li>* ROI excludes enterprise development costs and a portion of operating costs, which are funded separately through contracts and grants </li></ul>E+Co Portfolio Performance January 1998 - January 2006
  11. 11. E+Co’s Triple Bottom in Asia       46     $ 350,000       Women Community Shareholders     Potential Amount of Growth Capital $ 5,862,990 83,757   $ 2,123,100 698   $ 59,893,193 Dollar Value of Oil Displaced Barrels of Oil Displaced   Improved Income Jobs Sustained   Leveraged from Third Parties 5,100,000 $ 57,081,080   29 184,533   $ 1,799,104 Kerosene Displaced/liters Value of CO2 Offsets for Life of Project   Clean Energy Enterprises Clean Energy Generated/MWH   Leveraged from Entrepreneurs 11,416,216 1,119,561   339,287 1,696,437   $ 2,752,332 CO2 Offset for Life of Project/tons CO2 Offset Annually/tons   Households served People with Access to Modern Energy Services   Approved Investments Environmental   Social & Economic   Financial
  12. 12. <ul><li>Regional Office Asia: </li></ul><ul><li>Jeffery Dickinson, Bangkok </li></ul><ul><li>E-mail: [email_address] </li></ul><ul><li>Phone +66 (2) 650 9147 </li></ul><ul><li>Office United States </li></ul><ul><li>Steve Cunningham, New Jersey </li></ul><ul><li>E-mail: [email_address] </li></ul><ul><li>Phone : +1 (973) 680 9100 </li></ul>Office Western China: Ms. Wu Jing, Yunnan E-mail: Phone +86 (871) 312 0934 Regional Office Europe: Paul van Aalst, The Netherlands E-mail: [email_address] Phone :+31 (20) 4715257