info@gve-group.com www.gve-group.com

Smart Villages Presentation, Accra – Ghana. May 2016.

An Initiative of GVE Projects Limited RC1071222

Green Village Electricity Project™: An Affordable Off-Grid PV Solar Electricity Solution for Rural off-Grid

Communities in Nigeria

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The Business Summary

• Community Engagement Process

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Executed Pilot Projects

Pilot (III)

Capacity: 9kWp

Cost: USD 60,000.00

Location: Egbeke – Etche, Rivers State, Nigeria

Year of Completion: March, 2015

Impact(s):720people, 36 jobs, 136MT of CO2,

45% ($12) reduction in HH energy expenditure

Pilot (IV)

Capacity: 34kWp

Cost: USD 220,000.00

Location: Bisanti – Katcha, Niger State, Nigeria

Year of Completion: September, 2015

Impact(s):1,600people, 90 jobs, 517MT of CO2,

45% ($12) reduction in HH energy expenditure

Pilot (I)

Capacity: 6kWp

Cost: USD 75,000.00

Location: Egbeke – Etche, Rivers State, Nigeria

Year of Completion: September 2013

Impact(s): 480people, 20 jobs, 91.3MT of CO2,

45% ($12) reduction in HH energy expenditure

Pilot (II)

Capacity: 9kWp

Cost: USD60,000.00

Location: Egbeke – Etche, Rivers State, Nigeria

Year of Completion: March, 2015

Impact(s):720people, 36 jobs, 136MT of CO2,

45% ($12) reduction in HH energy expenditure

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Executed Pilot Projects Cont’d

Pilot (V)

Capacity: 34kWp

Cost: USD 220,000.00

Location: Kolwa– Kaltungo LGA, Gombe State,

Nigeria.

Year of Completion: February , 2016

Impact(s):1,600people, 90 jobs, 517MT of CO2,

45% ($12) reduction in HH energy expenditure

Pilot (VI)

Capacity: 200 SHS Units of 250Wp Each

Cost: USD180,000.00

Location: Onono– Anambra West LGA,

Anambra State, Nigeria

Year of Completion: March, 2016

Impact(s):1,600people, 90 jobs, 517MT of CO2,

45% ($12) reduction in HH energy expenditure

Pre-Implementation Scenario

Night view of the

community’s major pathway

before the project

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Pilot Projects in Photos

• 1010 Households (12,240 people)

• 145 Street lighting points along the main street of the four beneficiary

Communities.

• Enhanced security at night

• Extended business operating hours

• Children gather around the street lighting points to study/ play at night.

• 420 Jobs Created during and after implementation

• $54,000 Created in Wealth in the four pilot communities during implementation.

• Knowledge transfer to locals

• 40% reduction in Energy related expenditure

• Cumulative annual reduction of CO2 emission by 880.32 MTs

Pilot Project Impacts

Night view of the community’s major pathway now.

Pilot Project Impacts Cont’d

• US$1.4million raised and committed to six pilot projects till date

• Rated by USAID and GIZ as the ideal model for advancing energy access in Nigeria

• Listed among Sankalp Forum’s top-60 promising Sub Saharan Africa SMEs 2015

• Model is Scalable to Meet Specific Community Needs

• Model has Directly Measurable Environ-Socio-Economic Impact

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Awards: •Finalist; Premier Project of the Year 2016, 9th Africa Energy Awards, J’burg South Africa March. 2016 •Finalist; West African Forum for Clean Energy Financing Business Plan Competition, Sept. 2015 •Finalist; City Mart/ City of Lagos Off-Grid Power Solution Challenge, June 2014. •Winner; GE Africa/ USADF, Power Africa Off-Grid Energy Access Challenge, Nov. 2013. •Winner; UNDP/ Bank of Industry –Nigeria, Access to Renewable Project Nigeria, Dec. 2012.

•Winner; IEEE Presidents’ Change the World Project Challenge 2009. •The Project has been awarded 5 years pioneer status incentive

Project Heritage

Base Infrastructure

Revenue Streams

Service Offering per Site

GVE

Mini-grid

(240 Clients)

One-time Connection Fee:

$20.00

Modular Site of

34kWp Each

P.A.Y.G Utility Fee:

0.45/kWh (off-peak)

$0.75/kWh (peak)

AIPU:

$698.52

Ave. Monthly ARPU:

$11.25

Revenue Model

Legend: AIPU: Average Investment Per User ARPU: Average Revenue Per User

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Lessons Learnt

• Demand for our services still very huge and increasing

• Locals demand more energy for productive use and refrigeration (Tier 2 Energy

Service level 200 – 800 Wh/d).

• More Co-ordinated Procurement and Equipment Logistics process

• Need to have handy replacement for critical equipment

• More customers are inclined to the mini-grid than Battery Kits

• Need for a more robust field support mechanism

• Need for adequate funding for implementation and working capital

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Risk Assessment Risks Mitigating Factors

1. Grid Encroachment Selling generated electricity to the regional grid.

Transforming the system into a hybrid grid-tied system

Off-Grid RE solutions as GVE’s are being promoted for rural

electrification by the FGN & States with investment protection

policies.

2. Regulatory Risks • Implementation of the nation’s RE master plan. • Policies on RE & Energy Efficiency recently signed into law • No license and tariff Regulation for small/ Medium scale systems • Recent Government’s collaboration with major stakeholders in RE.

3. Lack of patronage • GVE’s Pricing is the best and most attractive compared to other

energy sources including PHCN energy supply

• GVE’s Proposed constant power supply will be a huge incentive for

continued patronage.

4. Technical Risk Robust Training Program for support Personnel & Operators

Other Major Business Incentives: • Proven Market Model with duly filed Intellectual Property Protection • Willingness of government to protect Off-Grid RE investments with up to 10 years

business guarantee cover, and absorption of the energy produced at the current price into the national grid in cases of encroachment

Thank you!!!

info@gve-group.com www.gve-group.com

Twitter: @GreenVillageEle

Please do not hesitate to contact us for further inquiries and/or requests.

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