TBLI 2007 ASIA, Bangkok,24-25 May 2007

Private-Public Partnerships for operating Village Grids

Hybrid Village Grids profitable for provider-affordable for

consumer

Andy Schroeter

What is Sunlabob ?

Private Energy Provider for remote areas in Laos.

• Selling light per hour with portable battery lamps• Renting out SHS for fixed monthly tariffs • Selling KWh in villages with Village Hybrid Grids

Village Hybrid Grids

• We must go beyond improving living conditions with electricity towards increasing

income with electricity

•Therefore we need AC village grids

•Hybrid Grids can profitably combine various energy sources

PPP For Remote Village Grids

Private Energy Provider (PEP)

Sell AC

KWh

Village Electrificationwith Hybrid

System

Fixed assets

Private Public

Partnership

Movable assets

Pico/Micro

Hydro

Solar

Generator

Bio-fuel

Genset

Operate Hybrid Generation

EC

Remote Village With Grid

Trust-Fund

Eco-Fund

Hybrid village grid as viable business1. The typical situation

Hybrid village grid as viable business2. Public-Private cooperation for hydro

Hybrid village grid as viable business3. Boost grid with solar and bio-fuel genset

hybrid

Hybrid village grid as viable business4. Boost system for productive uses

Head office in Vientiane 30 staff

franchised small entrepreneurs as district grid operators

trained village technicians as village grid operators

Private partner perspective

More than 120 families

2,4 KWh/d average consumption

No solar increased the profit

Connected Families Profit Ratio

(6,000)

(4,000)

(2,000)

-

2,000

4,000

6,000

8,000

10,000

12,000G

ross

Pro

fit

0

50

100

150

200

250

300

350

400

450

Connected Families

KWh/day Profit Ratio

1.5 1.71.92.12.32.5 2.72.93.13.3 3.53.73.9

Gro

ss P

rofit

0100020003000400050006000700080009000100001100012000

KWh/day demand per family

averageconsumption

8,624

11,361

1

2

Series1

Replacing Diesel with Jatropha oil

(An increase in 31%)

Cash flow analyses

Private investment amortization after 6

years

Private investment amortization after 9 years

Donor Agencies:

PublicInvestment

Central government

Provincialgovernment

„Traditional“ way to provide public funds

Districtgovernment

Village community

Trust Fund

Energy ServiceCompanyLetter of accomplishment

Letter of accomplishment

Letter of credit

Channel Funds to enhance good local governanceDonor

Agencies

Fund transfer

Village energycommittee

PPP Investment program for Rural Electrification in

South East Asia

Thank you for your attention

Sunlabob, Rural Energy Systems Co., Ltd

P.O.Box 9077, Vientiane /Lao PDR Tel:+856 21 313874 Fax +856 21 314045

Contact@sunlabob.com www.sunlabob.com