Solar lanterns to light up millions of powerless homes—will GreenLight Planet be able to deliver?
In the realm of renewable energy, India is currently doing rather well in both hydro-electricity and wind power. Today, India has an installed capacity of 30,000 MW hydro-electric power, which is approximately 20% of the estimated total capacity. Similarly, India’s installed wind power capacity is 8,000 MW, which again is approximately 20% of the estimated total capacity.
However, in solar power the picture is very different. At this time India’s total installed solar power capacity is a meager 100 MW, which indicates that solar power has not even begun to scratch the surface. The game stopper here is the capital cost of the equipment, which includes the solar panel comprising photo-voltaic cells, storage batteries and high lumen yet low wattage LED's. There are other challenges as well. For example, the equipment must be rugged enough to withstand the vagaries of the weather and have a long service life.
Due to its high capital cost, today, it is widely acknowledged that solar power is financially unviable without adequate subsidy and tax breaks from the government.The question is: Does the Indian government offer sufficient subsidy and tax breaks on solar power. The answer is clearly, No. Otherwise, the installed solar power capacity in India would not have been a miniscule 100 MW.
But there is still hope. GreenLight Planet a venture promoted by three young entrepreneurs and funded by Dr. Prabha Kant Sinha, hopes to deliver commercially viable solar lanterns to remote powerless villages of India and Africa. Dr. Sinha, a distinguished alumnus of IIT Kharagpur and of MIT, a former associate professor at Kellogg, and the founder and co-chairman of sales and marketing consulting firm ZS Associates, does not require much of an introduction. He shared his thoughts with fellow alumni of IIT KGP at an interactive session at the Institute’s Salt Lake Centre in Kolkata on 15 July 2010. In that interaction, aside from solar lantern, he also talked on the establishment of P. K. Sinha Bio-fuel Research Centre at IIT KGP on which I wrote in my blog post on 16 July 2010. So, in continuation, in this post I will write only on solar lantern.The mission of GreenLight Planet is to combine, and I quote from their mission statement, “cutting-edge technology with innovative distribution networks to commercialize low-power LED lanterns”. Their “new lights are bright, long-lasting, and practical. But more importantly, they are affordable enough that villagers can purchase them immediately in cash, meaning the technology can profitably scale to help hundreds of millions”. The photo here (borrowed from the website of GreenLight Planet) shows a comparison between a kitchen dimly lit by kerosene lamp, and side by side, the same kitchen more brightly lit by solar lantern. GreenLight Planet calls these solar lanterns Sun King, which is a trademarked name.
But there are several challenges. Dr. Sinha used the occasion to bounce the related challenges off the fellow alumni who in turn responded with the sagacity that is the hallmark of IIT’ians. The challenges are threefold: One, to reduce the capital cost by using technological breakthroughs; Two: to reduce the distribution cost, and Three, to market the idea of solar lantern to the end users. The three young entrepreneurs and Dr. Sinha are wholly aware of these challenges and are continually working at meeting them frontally.
Dr. Sinha who is a globally acknowledged expert on sales and marketing, put the chances of success of this new venture at 50:50, which, to my mind, is rather modest considering that the company has already invested a fair amount of money. When I asked Dr. Sinha whether there was any new technological breakthrough in the offing, he avoided a direct response, and I didn’t pursue. I very much hope that soon there is some technological breakthrough that would reduce the capital cost. [Photo shows a part of the gathered alumni; in the front row: Dr. Sinha, Biswajit Choudhuri, President of IIT KGP Alumni Kolkata Chapter and, formerly, Chairman of United Bank of India, and Hirak Sen, that's me].
It occurred to me that organizing a vast distribution network in remote areas from scratch is a humongous task. Instead why not GreenLight consider partnering with an FMCG company like, for example, ITC, which already has an established distribution network, and additionally, ITC’s computers at the village Chaupals could come handy in reducing the inventory. Dr. Sinha appeared to be receptive to the idea.
I also took the opportunity to cite the case of another solar power venture. This one is doing exceedingly well. SunRun is a three year old company based out of San Francisco. It offers home upgrading to solar power in dense urban areas. Their business model works like this. The company installs solar power equipment on individual home rooftops, at the company’s own cost and expense, and in lieu of using part or whole of the rooftop it gives a certain kwh to the homeowner free of cost, and sells the surplus power to the city power grid.
As with most solar power ventures, on its own, this model is also financially non-viable. But SunRun astutely leverages the tax breaks that the government offers on solar power in the US and makes attractive profits. It has recently raised a substantial amount from the market to finance further growth. So clearly tax incentives in the US are delivering the desired results. But it is not so in India, at least not yet.
10 children studying around one solar lantern in a powerless village |
Within hours of your insightful comments about my talk, Mayank Sekhsaria, one of the three founders of Greenlight Planet (GLP), emailed me with a link to your post even before I had a chance to let him and the two others, Anish Thakkar and Patrick Walsh, know about it. The insights on the challenges, other successful business models, and ideas on how to overcome the challenges are superb. I am sure the GLP Team will take them to heart. I met with the Sales Manager of GLP in Kolkata before my flight on Saturday. He is ready and anxious to get going to adapt and scale the distribution system. GLP has taken up your challenge!
ReplyDeleteThank you Prabha Kant for your comment. I just wish to add that of the many pictures that you showed us during your talk the other day, the one that particularly struck me was the one that showed a group of as many as ten children encircling a single solar lantern, poring over their respective text books, in an otherwise pitch dark evening in a powerless remote village -- that picture deeply stirred me and will remain etched in my mind forever. I sincerely hope, and feel confident that Mayank, Anish and Patrick together at GLP will be able to overcome the challenges that exist on the ground, and help light up the evenings in millions of powerless homes in the not too distant future.
ReplyDeletesolar panel in uttar pradesh
ReplyDelete-:we are happy to read your post , its a very nice and more informative...
You have wrote wonderful blog, I like reading your all of the articles/ blogs. Stay up with the great work! You realize, lots of persons are looking around this info, you could aid them greatly work.
ReplyDeleteManufacturer and exporter of lantern in India
Manufacturer and exporter of hardware in India
Manufacturer and exporter of vases in India
You have wrote wonderful blog, I like reading your all of the articles/ blogs. Stay up with the great work! You realize, lots of persons are looking around this info, you could aid them greatly work.
ReplyDeleteManufacturer and exporter of lantern in India
Manufacturer and exporter of hardware in India
Manufacturer and exporter of vases in India
Thank you for sharing the knowledgeable blog with us I hope that you will post many more blog with us, As now a day’s Electrical Crisis is raised in India and costly too, here we come with solution of Solar Panel, Solar Inventor and many more in your State and city:-
ReplyDeleteSolar Dealer in Ghaziabad, Solar System Supplier in Ghaziabad, Best Solar Panels in Ghaziabad, Leading Solar Panel Supplier in Ghaziabad, Solar Panel Manufacturers in Ghaziabad, Solar Panel Dealers in Ghaziabad, Best Solar Panel Manufacturers in Ghaziabad, Best Solar Panel Dealers in Ghaziabad, Solar Rooftop in Lucknow, Solar Rooftop Supplier in Lucknow, Solar Rooftop Company in Lucknow, Solar Rooftop Dealers in Lucknow, Solar Rooftop Manufacturers in Lucknow, Solar Dealer in Agra, Solar System Supplier in Agra, Best Solar Panels in Agra, Leading Solar Panel Supplier in Agra, Best Solar Panel Manufacturers and Dealers in Agra, Best Solar Panel Manufacturers in Agra, Solar Panel Manufacturers in Agra, Best Solar Panel Dealers in Agra, Solar Panel Dealers in Agra, Solar Dealer in Allahabad, Solar System Supplier in Allahabad, Best Solar Panels in Allahabad, Leading Solar Panel Supplier in Allahabad, Solar Panel Manufacturers in Allahabad, Solar Panel Dealers in Allahabad, Best Solar Panel Manufacturers in Allahabad, Best Solar Panel Dealers in Allahabad, Solar Dealer in Varanasi, Solar System Supplier in Varanasi, Best Solar Panels in Varanasi, Leading Solar Panel Supplier in Varanasi, Solar Panel Manufacturers in Varanasi, Solar Panel Dealers in Varanasi, Best Solar Panel Manufacturers in Varanasi, Best Solar Panel Dealers in Varanasi, Best Solar Rooftop in Kanpur, Solar Rooftop Supplier in Kanpur, Solar Rooftop Company in Kanpur, Solar Rooftop Dealers in Kanpur, Solar Rooftop Manufacturers in Kanpur, Solar Dealer in Gorakhpur, Solar System Supplier in Gorakhpur, Best Solar Panels in Gorakhpur, Leading Solar Panel Supplier in Gorakhpur, Solar Panel Manufacturers in Gorakhpur
Click here for more information: - href=" https://www.ushasolarindia.com/solar-dealers-in-ghaziabad.php” href="https://www.ushasolarindia.com/solar-rooftop-in-lucknow.php”more info
Thank you for this detailed information! This is some of the highest quality content I’ve ever come across... Solar Power Banks
ReplyDeleteThis article sheds light on Green Light Planet's promising mission to provide affordable solar lanterns to remote communities in India and Africa. While India's solar power sector struggles with high costs and limited subsidies, Green Light Planet, led by Dr. Prabha Kant Sinha, aims to make a significant impact by offering cost-effective solar solutions. Despite the challenges of reducing costs and establishing distribution networks, the venture's innovative approach and positive media coverage are promising. If successful, Green Light Planet could transform countless lives by providing reliable, clean lighting to underserved areas.
ReplyDeleteVisit now -
20kW Solar System