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Energy Efficient Lighting and Micro Financing Regional Centre for Excellence in Energy Efficient Lighting (RCEEEL) Workshop Colombo, Sri Lanka 2729 April 2009

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Page 1: Energy Efficient Lighting and Micro Financingsari-energy.org/oldsite/PageFiles/What_We_Do/activities/... · 2013-10-26 · The Facts! • A third of the world’s population relies

Energy  Efficient  Lighting  and Micro  Financing 

Regional Centre for Excellence in Energy Efficient Lighting (RCEEEL) Workshop  Colombo, Sri Lanka 27‐29 April 2009

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L I G H T   U P   T H E   W O R L D 

the power to illuminate lives

“It is a fundamental obligation of we in the developed worldto assist those in the developing world to raise their standardand quality of living, by their own efforts and in a manner which they choose – it is also our privilege.” (LUTW 2001)

“Renewable Energy based Solid State Lighting is arguably the most important Agent of Change available to the Developing 

World in the past 100 years!”(LUTW 2008)

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PROBLEM  2 Billion  People Live Virtually in the Dark after Sunset

SOLUTION Renewable Energy based Solid State Lighting  conceived in Nepal (1997) 

LUTW Facilitator of Solid State Lighting (SSL) Market Developer, Creator of Economic & Intellectual Wealth  

REALITY SSL  Begets  Literacy, Economic & Social Development, Equality &CO2 Reduction

MODEL  Donors, Subsidies, Micro Credit & Local Entrepreneurs Developing World Can Afford to Light Itself Up! 

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Awards

Engineering Institute of Canada, K.Y. Lo Medal (1Mar2008)‏Honorary Doctorate, Aberdeen University, Scotland (4July 2006) ‏Centennial Medal Award, Alberta Government (23Dec2005)‏

TIME Canada Heroes (20June2005) ‏Meritorious Service Medal (MSM), Canadian Government (30May2005) ‏

YMCA Calgary Peace Medal Award (26Nov2004) ‏Alberta Science & Technology Award(15Oct2004)‏

Reader’s Digest Canadian Hero of the Year Award (14June2004) ‏Alberta Emerald Award (9June2004) ‏

Saatchi and Saatchi Award Laureate 2003Tech Museum Award Laureate 2002

Rolex Award Laureate 2002University of Calgary President’s Internationalization Achievement Award 2002

IEEE Third Millennium Medal for Outstanding Contributions 2000APEGGA Summit Award for Contributions to Society 2000

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Fuel Based Lighting

Kerosene wick lamps in Lapsi Danda, Nepal June 2001

Bulb & Can typeKerosene Wick Lamps

Knuckles Range, Sri Lanka June 2002

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The Facts!

• A third of the world’s population relies on kerosene, candles or firewood for lighting

• Fuel based lighting is inefficient, very unhealthy and unsafe, costly, and ecologically unsound

• The cost to governments in terms of  fuel dependency andsubsidies, is very high

• Centralized electrical grid systems pose high costs for governments and are ineffective for serving remote rural villages 

• Lack of suitable home lighting is solidly linked toilliteracy  &  poverty

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Family in Thulo Pokhara, Nepal – the first village in the world to be lit permanently by SSL

“A foreigner has come and made ThuloPokhara heaven!” Nepal  July 2000

Solid State Lighting for the Developing World: The First Generation

Kathmandu,  Nepal   May 2000

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“We used to be in  darkness,  now  we are in  light!”

Nepal   August 2000

Woman  and children reading by SSL  Jumla, Nepal August 2000

“This is the first time in the lives of my children that they have been able to read at night!”

Sri Lanka   2001

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Girl reading with 1 Watt WLED lamp       Nepal 2006

“Now we have LED lighting we eat when we want to, not when we have to!”

India   2005

LUTW provides the first solid state hospital operating theatre lighting in the developing world         

Bagdogra,  India   July 2001

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Pico Power Nepal:  A Success StoryKathmandu   July 2001

Tsunami ‘Refugee’ Village3,000  SSL  systems  installedVaddawan, Sri Lanka    July 2005

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Street  Lighting in (Bhutanese) Refugee CampDamak,  Nepal    Dec 2006

Two NGO’s Considering the use of LUTW’s SSL home & medical lighting.   Kandahar,  Afghanistan   17 January 2006

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“The Magnificent Seven”‐ Safe & Healthy Reading Tembisa (Shanty Town),  South Africa  18Nov2005

Sir Richard Branson (“Brilliant”) & LUTW at BSOEThere are 6 million un‐electrified homes in South Africa!Johannesburg,  South Africa   10Apr2007

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Rio Tamaya ‐ Improved land rights when permanent lighting introducedAmazon,  Peru    August 2006

Tibetan OrphanageXining, China    Oct 2008

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Hernando de Soto (2000):   (Author:  The Mystery of  Capital) 

“People must create their own wealth.” (LUTW’s fundamental goal) ‏

Stuart Hart (2005):   (Co‐Author:  “The Fortune at the Bottom of

the Pyramid “)  “Capitalism should address the needs of the 

Base  of the Pyramid, not just its elites, and the prime example

of a win‐win‐win solution is the LUTW solar powered SSL 

system.  This is a perfect example of leapfrogging to next‐

generation technology and these LEDs can indeed ease the four‐

way collision between Poverty, Population growth, Economic 

expansion and Environmental limits.”

Manmohan Singh (2005):  “India is subsidising kerosene for lighting at 51%” (LUTW meeting with the PM) ‏

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Bill Clinton (2006):   “What if Rwanda could  manufacture such 

lights locally?  Why not electrify villages so children can study at 

night? It might be possible to get a factory here that would serve 

all of central Africa!” (LUTW has been doing this since 2000)‏

Bill Clinton (2008):   "He (Dr. Rajendra Pachauri, the head of the U.N.'s climate science panel – which received the Nobel Prize in 

2007) has a little idea (solar lantern) with massive potential 

implications," re:  Pachauri's CGI commitment, "Lighting a 

Million Lives in  India.“

President Obama (from Pres. Lincoln) (2009):“To do for the people what they need done for them, but cannot 

do for themselves.” “A fair chance in the race of life!”

(LUTW’s fundamental goal) ‏

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“Light in a Box” (1 Watt WLEDs)2005

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LUTW’s Basic Home Lighting System2008

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Light in a Box Prototype with Cell Phone Charger  South Africa   Aug 2007

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Cost Comparison: Fuel Based  vs Solid State Lighting 

Range of annual family lighting costs for kerosene & candles world wide

=  $20  to  $200+ USD/year

Present (Average) Installed Cost of 

LUTW SSL System 

= $170 USD 

WLED lamp ‐ life expectancy >  15 years

Solar panel life expectancy    >  20 years

Battery life expectancy           >  4 years

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LUTW  3WLED Torch BulbUnbreakable  &  Extends Battery Life by 

10 timesKathmandu,  Nepal    July 1999

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Cumulative Savings re: SSL Replacing Fuel Based Lighting South African Shanty Towns Using Micro Credit   Aug 2007

Yea r 1 Yea r 2 Yea r 3 Yea r 4 Yea r 5 Yea r 6 Yea r 7 Yea r 8 Ye  ‐      

 200  

 400  

 600  

 800  

 1,000  

,

US

$

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SSL    vs Kerosene (lm‐hr/$)200:1 Ratio

83,333 lm‐hr/$   (Going Up) 396.82 lm‐hr/$ (Going Down)‏$0.012 / klm‐hr  (Going Down) $ 2.52/klm‐hr   (Going Up)

Annual Average Kerosene Lighting Expenditures  (US $) ‏Afghanistan $240

Costa Rica $200

Ecuador  $200

Ghana $120

Malawi $120

Nepal                            $70

Pakistan $140

South Africa $130

Tanzania $200

(Tanzanian Fishermen use 7 litres/night   =  $8/night)‏

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Young Mum outside her Shack in Philippi (Shanty Town)Cape Town,  South Africa    July 2007

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New home cost  =  3 or 4 years kerosene light paymentsPhilippi, Cape Town, South Africa    July 2007

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Uri Village, Southern Annapurna HimalayaNepal 16 April 2009

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Uri Village, Southern Annapurna HimalayaNepal 16 April 2009

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Canada

Mexico

Guatemala

HondurasNicaragua

Costa Rica

Ecuador

Peru

Bolivia

Brazil

Argentina

Haiti

Dominican Republic

Mali

Ghana

Cameroon

CongoAngola

Namibia

South AfricaZambia

Tanzania

NigerChad

Yemen

Afghanistan

Pakistan

India

Nepal

Sri Lanka

Kenya

Uganda

Rwanda

Bhutan

Mongolia

Burma

China

Cambodia

Philippines

Malaysia

Indonesia

Papua New Guinea

Chile

Tibet

Light Up The World Foundation www.lutw.org

Where is all this happening?

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UN Millennium Development Goals (MDGs)‏

By the year 2015, the United Nations Member states have pledged to:

1. Eradicate extreme poverty and hunger.2. Achieve universal primary education.3. Promote gender equality and empower women.4. Reduce child mortality.5. Improve maternal health.6. Combat HIV/AIDS, malaria and other diseases.7. Ensure environmental sustainability.8. Develop a global partnership for development.

LUTW’s Solid State Lighting applies to all 8 MDG’s!

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Microcredit Summit Campaign

At the first Microcredit Summit in 1997, there were 7.6 millionmicrocredit clients Worldwide. By 2007 over 154 million of theworld’s poorest people worldwide would be receivingmicroloans

Phase II of the Microcredit Summit Campaign was launched in2006, with two new global goals for the year 2015: 175 million of the world’s poorest families reached with microfinance 100 million of the world’s poorest families move from earning less than $1 a day to earning more than $1 a day.

Microcredit will thus be a major contributor to the achievement of the first Millennium Development Goal, which is halving the proportion of People living on less than $1 a day by 2015.

SSL should play a very significant role! 

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Fuel Based Lighting and Carbon Credits

Global usage of kerosene for lighting  =  100 B liters/year

Resulting CO2 produced from kerosene  =  250 M tonnes/year

Potential Carbon Credits from Kerosene CO2  =  $5 B/year(at $20/Tonne)

Cost of SSL for 200 M homes  =  $20 B  (One time)(at $100 per system)

Commodity Futures Trading Commission (CFTC) USA, predicts a carbon futures market by 2013   =   $2 Trillion/year(From $60 B in 2008)

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Service Models

Donor  [100%]   

Subsidies [Partial]  

Market including Microcredit

Partners

SKS Microfinance India

Grameen Bank

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Summary   

LUTWneeds advice and assistance to work with :

National & International Humanitarian Organizations  Federal & Local Governments

UNWHO  

Multi National & National Companies Scientific & Professional Societies  

Media, Movie, Sport and Political Personalities

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Next Steps

D & J I‐H with Visionary Lighting & Energy (VLE) are personally funding and developing for large scale manufacture in India ‐a suit of new low cost SSL systems which will include a Cell Phone Charger 

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Summary of Proven Benefits of Solid State Lighting

Education:Children and Adults can study in the evenings Poverty and lack of education go hand in hand

Economic:It is Affordable – especially with access to MicrocreditIncreases disposable income almost immediately – from kerosene savingsAllows for Micro Enterprise activities in the eveningsGovernments will save Billions in kerosene subsidiesClimate Change Friendly reduces CO2;     Income from Carbon CreditsImproved sense of Well‐being;      Increased ProductivitySignificant decrease in financial losses due to fires and ill health

Health and Safety:Better Health due to cleaner environment – live longer Safer environment due to dramatic decrease in house firesOlder people less likely to fall and hurt themselves in the dark

“Renewable Energy based Solid State Lighting is arguably the most important Agent of Change available to the Developing World in the past 100 years!”

(LUTW 2008)‏

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Conclusions and Thanks

LUTW’s initiatives in 54 countries since 1999 have clearly 

demonstrated that  the Developing World has welcomed 

SSL as an appropriate and important technology, and with

the assistance of Microcredit they can and wish to 

purchase it!     Over 18,000 homes lit!

The DW SSL market is huge, and that is only for basic 

home lighting!

Thank you for your interest ‐ questions are warmly 

welcomed.

Namaste!