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Robust design and built "Africa Tough" basic Solar PV lighting systems for off-grid applications using a simple design philosophy and replaceable components in a kit-from for assembly by SME operators and service agents
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Designed and Made in South Africa: By Africans for Africa !
Lighting up Africa!
Business overview:
Bringing light to Africa
Bringing light and electric power to the rural, underserviced areas of KZN and beyond, using locally manufactured and assembled solar PV systems based on completed R & D and pilot production units already in successful service.
SupaSonic Management Team Assembly Plant Management: Easy Solar R’Bay
Administration NewCo
Marketing & Distribution:
NewCo
Field Installations:
10*SME Teams
Training The Trainers
The ZCSD/ RCH Co
FET Colleges: Mainly KZN &
E Cape
Procurement RCH Com +
NewCo
R & D
Paul Lintott (RCH Comms)
Franchising & Replication:
ARDC & Live Energy
Consumer-
retail financing:
Ithala Bank
Markets:
Supply into 3 main markets:
1. Utility 12v Unit: [Local government sales channel].
2. SupaSonic 24v Modular- system: [Instalment sales –Ithala Bank etc].
3. eChaja 24v “Business-in-a-box”: [ Cash and Instalment sales].
The SupaSonic Products:
Uti-Lite Utility 2 x 12v Lights + Cellphone Charger [Municipal indigent market]
E-Chaja: 24 v Off-grid Cellphone Charging system, Point of sale, lights etc “Business–in-a-Box”!
SupaSonic Modular Systems: 24v solar PV panel control box Lights and cell-phone charger
Add-ons: extra battery packs, PV Panels TV, Tablet PC, cooler fridge, Microwave oven, DC electric iron, home entertainment systems etc
A. Train and Start-up Development Center:
B. Develop rural distribution& assembly facilities: via existing successful operation (TSAZ-Chem City).
C. Align with the FET Skills development modules;
D. Replicate; [10 KZN Districts plus other in E Cape etc.]!
E. Centralise procurement: (control and cost-reduction).
F. Utilise Banks ; [Ithala etc for consumer finance as arranged].
Business Model
Strategic relationships
KZN Province Department of Co-operative Governance and Traditional Affairs.
RCH Communications CC:
TCC cc Swaziland:
Mdima) Renewables: FET Colleges
Ithala Bank:
CoGTA/Mshwati Local Municipality:
Amandla Resources:
KZN DEDT & TIKZN: ZCSD NGO:
The ZCSD NGO
Competition? SupaSonic’s competitors:
1. Eskom – where there is grid-electricity.
2. Imported low-priced poor-quality goods.
3. Paraffin and lamp-oil lights and candles
4. Gensets:
5. Do-it-yourself
6. Copy-cat market intruders
Barriers to entry: The completed R &D and the IP : RESOLVED!
Secure the volume-based production orders
Cost & Action of acquiring set-up facility and assembly Equipment:
Cost of stock for assembly operations;
Get the up-skilling programme under way:
Financial overview (Pilot): First phase Assembly plant: Year one R 10,000,000
R 5,000,000 for establishment, facilities rental, training and initial production through to, distribution and installations by month 8.
R 2,500,000 for operating capital (essentially for components stock). R 2,500.000 Project administration, Quality assurance, mentoring.
First full year of operation: Gross Turnover: R 45,000,000 EBIDTA: R11,600,000
People employed: 60 direct!
Training & QC =4 Assemblers =30 5 Install crews =10 Admin / Marketing = 6 Trainee assemblers = 10
Use of Capital
1. Acquire production facilities (rental). 2. Training the assembly teams 3. Also train the installers’ teams 4. Procure components for assembly 5. Move into 1 shift/Day production and 6. Installations 7. Ramp up to 50 completed systems /day;
(by end of month three = 1000/month)! 8. Refine assembly to expand to additional output or… 9. Extend training and assembly to 2nd and 3rd assembly facilities 10. & other replication sites for KZN Districts. 11. Consider / Implement Phase 2
(for a centralised manufacturing unit at iSithebe or R’Bay SEZ).
Capital and Valuation The Payoffs:
R 11.6m full-year EBIDTA for each 1000/month production unit, once fully operational - (24v SupaSonic System – other models have different outcomes). Replication to 10 KZN / E Cape districts by year three;
(EBIDTA raised to R116 m p.a.).
Product: Adoption of a wider range of market-ready products and services and expand manufacture to a central manufacturing (units at iSithebe or R’Bay IDZ and/or E Cape SEZ).
Cost Reduction:
through volume production that will raise EBIDTA!