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Tag Archives: Public–private partnership

Green Business Ideas : Cheap Solar Power is possible

Most Small Companies who are installing roof top Solar Panels are doing so to get the Tax rebate in India. They are also doing it to “earn” Carbon Credits. For the lay business person “earning” carbon credits means “profit”. While it can not be true because the system of Carbon Credit fund is just to improve your IRR, and can’t be found under BUA ; I do not like to discourage this trend. Why? Simple – to earn Carbon Credits one has to do a CDM project. And I love that. Then if it can be proven to be a valid project worthy of Carbon Credit funds, great! By that time they understand that, they do a good job and can see the benefits all around to bother much for the “profit” through CER’s. If they get it its nice but the life-cycle benefits of a Green Building is consolation enough.

But Carbon Credit can become profitable, at least with due diligence and revised thought by the CDM authority. And be given as an incentive to those who would be able to do rural electrification or as in the case of India, provide electricity in tier III towns for a decent time with the help of the wires and cables the Government of the day may have installed during the election years, but forget to insure supply of power on a regular basis once chosen to govern. Not because they chose not too, but during the heat of elections most forget that there is a term – technical and/ or economic feasibility. But when did full truth ever help win an election in the World?

Let us discuss an idea, about how we can make Solar Power at a cheaper cost.

The life of a Solar panel is 25 years, but it is assumed that the efficiency drops to 80% in the 10th year. And by the first five years the RoI is achieved. Now as newer and more efficient panels are being produced, there could be a cause for worry that it would be more and more difficult to sell them, as the traditional first enterprises to take up the challenge and having installed Solar Parks would still be holding on to the “old” SPV for its 25 year life span.

So how does one make the Solar PV industries grow? How would the cost be covered and more efficient panels generating more power and consuming less space and lighter in weight too come into the market?

One idea could be by selling old solar panels ! It is a great eco-idea and to encourage this, we need participation from all stake holders.

Second sale is popular in automobile, mobile phone and many products, the market system is mature. All it needs is to tweak it to conform to the SPV industry.

Imagine villages in India, Africa, Brazil and other developing nations who have a huge socio-economic gap among its Peoples and yet are emerging economies of the future; could create a Program of Activities where in a Public -Private partnership can be mooted and a viable business plan developed.

From Village roofing; thus eliminating traditional thatch roof which is becoming more dearer as communities shift away from agrarian life-style and there is land use change; to community shelters for the destitute sleeping in the cold & rain; to roofing alternatives for very small-scale or cottage industries; to providing power to their electric stoves, thus eliminating the GHG from Gobar Gas plants ( read my article – Renewable Energy – Empowering Women & Saving Forests ) the ideas can be many and each more practical and wonderful than the earlier.

Now add to this the Green Climate Fund and let the project proponents recoup some of their investment ( which is lower to start with in second sale product ) through Carbon Credit.

Hope someone would develop on this idea and present it at the Rio+20.