session 1 - hps-financing if
TRANSCRIPT
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7/29/2019 Session 1 - HPS-Financing If
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Husk Power Systems
Financing the revolution
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7/29/2019 Session 1 - HPS-Financing If
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Electrifying the World
Power to Empower
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Husk Power Systems Who are we ?
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Globally recognized leader in Rural Electrification using Renewable Energy
Founded in 2007, first 40kVA plant went live on Aug 15, 2007
Electrified more than 500 villages and hamlets in India, Nepal and Ugandaserving more than 300,000 people
Combined generation capacity using biomass > 3 MW
Attracted investment from more than 20 diverse sources IFC, OPIC, MNRE,Shell Foundation, Acumen Fund, DFJ, LGT VP, Bamboo Finance etc.
A motivated team of more than 500 people
A large ecosystem of more than 20 suppliers and partners Capacity to produce and develop Biomass based systems, Solar Systems,
Embedded electronic Systems, IT Systems, Thermodynamic Systems
CDM registration underway Forward sale of future carbon-credits to Shell Trading
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Husk Power Systems In News !!!
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2008 Social Enterprise of
the Year
Most compelling idea to
change the world.
2010: Power to People
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Husk Power Systems What does it take?
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A robust energy generation technology at appropriate price Didnt quite exist
A good business model Didnt quite exist
A good distribution system with pre-paid meters and somesmartness
Didnt quite existA big team of skilled workers Didnt quite exist
Planning and management tools for distributed utilities Didnt quite exist
A load of will-power and zeal Had aplenty
Money Happens
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Husk Power Systems What does it cost?
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R & D on generation technology $ 500 k and still rising
Figuring out / perfecting the business model $ 250 k
Pre-paid meters $250 k
Training program
$1M + and risingManagement Information System $200 k
Incense sticks and other char utilization R & D $ 250 k
80 + Electrification units $ 2.5 M
Vehicles, offices, guesthouses etc $100 k
500+ heads to feed
$100 k per month and rising
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Husk Power Systems Other costs
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Legal
Accounts Audit
Insurance
Environment, Health and Safety auditsEnvironment, Health and Safety interventions
Marketing and communication
Travel and meetingsBank Guarantees
Et cetera, et cetera
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Husk Power Systems How does it happen ?
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Spend a ton of money figuring out an
appropriate technology for rural bihar sitting in
Los Angeles
Dont get anywhere and have a change of heart
Get to the ground
Spend 401 (k) savings (provident fund) + parts
of grandfathers dwindling savings
Pilot a couple of systems
Present a business plan in business plan
competitions
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Husk Power Systems How does it happen ?
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Win some awards
Get a lot of publicityAttract some grant-makers, government andcommercial capital providers
Get a grant to prove replicability and get working
on developmentStart availing govt. subsidy
Raise a pre-series A round of convertible debt afterinstalling 19 plants, in the fourth year
Continue winning awards, raising small grantsStart looking for debt
Raise some debt
Raise more commercial money
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Husk Power Systems and then ?
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Work hard and pray a lot for the magic ofsustainable scale
Mostly by figuring out a way to get people some
money that they can give you
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Husk Power Systems In a nutshell
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Three Ms to play on
Mission
Awards & grants
R & D, Piloting, EHS
Mandate Subsidy
Equipment
Margin
Debt and Equity Projects
People
Everything else
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Bringing Rural Electrification Dreams to reality
Gyanesh Pandey
+91 8292610747
www.huskpowersystems.com
mailto:[email protected]:[email protected]:[email protected]