Solar Electricity Services with Micro-grids and drinking water in Africa: Implementation of Solar PV Micro-grid in Hurri Hills -KENYA.

Installation of 1 Solar PV Micro-grid together with drinking water system, for rural electrification and sustainable economic development.

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I confirm that I am fully aware of the eligibility criteria, and based on its description, I am eligible to apply to the CSV Prize 2017.

  • Yes, I'm eligible

Preferred language

  • English

Organization name

SESMA Kenya/ TTA

Year founded

2007

Initiative stage

  • Scaling (the solution has passed the previous stages and is growing its impact on a regional or global scale)

Annual budget in 2017 (USD)

  • $1mil - $5mil

Number of beneficiaries impacted so far

  • 500 - 1,000

Organization type

  • For-profit

Secondary Focus Area

  • Water

Headquarters location: Country

  • Spain

Headquarters location: City

Barcelona

Location(s) of impact

Kenya, Hurri Hills village

Website

Website of TTA, the company that created SESMA http://www.tta.com.es/

Facebook URL

/

Twitter URL

https://twitter.com/tta_trama?lang=en

Problem: What problem is this initiative trying to address?

More than 65% of Kenyan population does not have access to electricity (MoEP, 2015). An insufficient electricity supply cannot keep up with the growing demand, a situation that has resulted in the use of diesel driven generators, impacting environment, and importation of electricity. A lack of electricity does not participate to the economical growth and preventing the community, like Hurri Hill, from basic human needs (sanitation, health services) and development activity (working/studying conditions, job creation)

Solution Summary: What is the proposed solution? What do you see as its most promising aspects for creating shared value?

SESMA’s solution is to implement modular and standardized High Quality 24h/7days and AC Solar Photovoltaic Micro-Grid solution to rural electrification operated as a service. SESMA is also providing reliable, and high efficient electrical appliances and tools, and their maintenance, managed by the Micro-Grid operator, formed by local people trained. It will empower local community, improve working conditions, agricultural results, and promote income generation. In the case of Hurri Hills village, 41 households, 15 businesses and 2 institutions will be connected. SESMA’s promising aim is to build the commercial rural electrification market within the Kenyan and the East African region by implementing such projects, with proven sustainable business. On top of that, SESMA will install a solar water filter, a water tank and pump, to give access to filtered and potable water. Working with the solar energy produced by the micro-grid, the water pump and filter will be self-sustainable.

Impact: What is the impact of the work to date? Specify both the social and the environmental impact of your work

To date, impacts from previous projects are:
Social: Improvement of standards of living, social equity (ensuring women involvement in the decision making thanks to associations in Morocco), economic growth (creation of a total of 169 jobs in Chad), access to education (currently 90% of the children can study at night instead of 30% in Palestine), reducing uncontrolled exodus to urban zones and access to health-care services (PV system integrated for a Hospital "Le Bon Samaritain" in Chad).
Environmental: Upgrade technology for supplying modern and sustainable energy services by reducing green gas emissions and avoid health and safety risk (Project of reducing the dangerous fuel transport in Galapagos Islands).
SESMA’s solar water filter, tank and pump will prevent the Kenyan village from water scarcity by establishing an access to fresh and potable water 24H/24. This self-sustainable plant is a long life investment that will create qualified jobs for the maintenance.

Financial sustainability plan: How is this initiative financially supported? How will you ensure its financial sustainability long-term?

The financial gap for the Solar PV micro-grids to be commercially sustainable still has to be covered by Grants for the initial investment. After getting evidences of the commercial sustainability of the project and business model, the strategy is to increase the private investment part and reduce the Grants part in the scaling-up phase. Then, thanks to energy allowances (EDA) from the installation of a smart meter in households, a subscription flat rate monthly fee per tier is charged and brings certainty to the forecasted revenues (not based on future hypothetic results). SESMA, as an entity created by TTA, received all its financial support from the company and its annual budget comes from the following sources: Grants (about 20%) and unearned incomes (Debt/Equity: 80%).

Unique value proposition: What makes your initiative innovative? How does your project differ from other organizations working in the same field?

Solar PV Micro-Grid solution has become the best alternative for remote villages to both grid extension or diesel based mini grids because their investment costs are lower than grid extension and their operating costs are lower than diesel generators. The main advantages are in term of great impacts on the local development compared to Solar Home Systems solution.
We implement local capacity building, to share the skills and technology of SESMA, so the system can be maintained locally.

Founding story: Share a story about the "Aha!" moment that sparked the beginning of this initiative.

SESMA is an entity created by TTA in 2017 in order to scale-up its projects in Kenya. The company has always been leader and pioneer in the rural solar sector. In 1986, before the existence of regulation for PV generators and installations in Spain, TTA took the first steps in offering Solar PV system solutions, with 24 hours of service, for rural areas, in many cases, put aside by the government. Once TTA generated a great impact at a local level, it replicated the experience internationally resulting in more than 150 successfully achieved projects over the last 10 years TTA observed the direct effects in the poverty eradication and prosperity promotion from its projects and this is why the company begins the initiative in Kenya as TTA has already carried out various consultancies in this region such as a project design study on the Renewable Energy Development for Off-Grid Power Supply

Where did you hear about the Nestlé Creating Shared Value Prize?

  • Upon recommendation from others

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