Project Closure Report



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Shramik Bharti


Project Brief

Shramik Bharti a Kanpur based NGO has proposed to set up Dinkar Solar Power Station consisting of a 10KW SPV and 24kW rice husk gasifier. With about 300 sun shine days in a year, the station will depend on producer gas from rice husk to generate power during remaining 65 days. The expected use of power generated will be for supply to households and select shops/enterprise in the adjoining village, farmers to run the irrigation pumps, and for the community radio station operated by Shramik Bharti.



Business Model

Supply Chain Mechanism – The per day requirement of rice husk for the proposed 100% producer gas based gasifier of 24kW capacity is 300 kg for six hours per day of operation. The total annual rice husk requirement is estimated at 21000 kg of 21 tons for 70 days. According to the detailed project report of Shramik Bharti, the mini rice mills functioning with a 3km radius of the project site produce 284 tons of husks annually. The rice husk is available in ample quantity at about Rs 3/kg.

Operation and Maintenance

Shramik Bharti will develop Dinkar Solar Power Station as a separate commercial enterprise. A team of local youth will be trained to manage the operations of the enterprise.



Revenue Model

The electricity generated is committed to be sold to village households, village entrepreneurs, farmers and community radio station with estimated revenue of Rs 15000 per month. The project is expected to become sustainable from the revenue of the project after second year. After first year of operation the project will explore the possibility of expanding the revenue base by increasing the use of gasifier by adding new users during the period when the power from gasifier is not required by the current buyers.


Expected Monthly Revenue from the project


S.No.

Buyer

Commitment

Expected Monthly income

1

Self help group – Computerised accounting office of Jagriti Mahila Samiti, the federation of SHGs in Maitha block of Ramabai Nagar District

Jagriti Mahila Samiti

Rs 1,000

2

SHG products showroom managed by Jagriti Mahila Samiti

Jagriti Mahila Samiti

Rs 1,000

3

Community Radio Station promoted by Shramik Bharti

Waqt ki Awaz

Rs 4,000

4

Rental service of solar lanterns to shops and enterprise by Solar Lantern Charging Station

Commitment of 50 enterprises to pay Rs 5 per day

Rs 7,500

5

Irrigation facility to farmers

Commitment of 15 farmers

Rs 1,500




Total




Rs 15,000



Sustainability

The grid power in the project area is highly uncertain, insufficient and unreliable. There are about 15 farmers around the project site who purchase water to irrigate their fields at Rs 80 per hour. The cost of power from diesel generator of 10kVA output comes at Rs 100 per hour. There are more than 80 households and enterprises in the adjoining village which is about 500-metres of the project site. Most of the enterprise cannot be operated after sunset. All the households use kerosene lantern and wick lamps and they are willing to pay Rs 100 to Rs 150 per month to receive the power from Dinkar Solar Power Station. The project has discussed the provision of supplying power with the village SHG and received commitments for revenue for this service. Thus adequate demand exists for reliable power supply in the project’s focus area.



Scalability Potential

The successful implementation of this project will have the following scalability possibilities in the coming years:



  • Renewable energy powered irrigation pumps will motivate other farmers to install SHGs to install solar irrigation pumps

  • Solar lantern provided to entrepreneurs on rental basis will create demand for home based solar power system

The successful operation 100% rice husk based gasifier will motivate rice millers around the project to use their surplus rice husk to meet their own power requirements and substitute diesel based gensets.
Project Progress
On December 18, 2012 a visit was made to the project location of “Dinkar Solar Power Station” which is proposed to be setup by Kanpur based NGO “Shramik Bharti” as per MNRE’s sanction 4/10/201/PMU/ACE dated 3rd April 2012, at Bairi Dariyav village in Ramabai Nagar (Kanpur Dehat). p1010864.jpg


Figure

Village Bairi Dariyav which will receive electricity from RE power station being set up by Shramik Bharti
Shramik Bharti owns a plot of land from where it is operating community radio station and solar lantern charging center. The vacant area in the plot is earmarked for setting up rice-husk based gasifier, associated gas cleaning system and internal combustion-engine driven electricity generator, and a 10-kW solar photovoltaic system. These two together constitute the power station. The visit to village provided an opportunity to interact with the sarpanch of the panchayat of the village as well as the self-help groups. These interaction highlighted villagers need for receiving electricity supply to meet the lighting needs so that they can give up the use of kerosene based lanterns. The villagers are willing to pay (anywhere between Rs 100-Rs 200) for a reliable supply which this project would provide. Since the electricity supply is of eight hours duration (grid electricity availability is from 10am to 2pm and 10pm to 2am) therefore every house and few shops in the village are in need to few hours of electricity supply, especially in the evening hours, to carry on with their activities. Currently, the villagers use kerosene to meet the lighting requirements and spend about Rs 120 to Rs 150 per month on it. However, as many have availed the solar lantern on a daily rental basis from Shramik Bharti, the demand for solar lantern which provide clean white light operating on a SPV system is very high since besides the quality of light, the users have realized the operating cost are negligible and they are ready to give up kerosene altogether. Thus demand for clean energy for lighting, at a minimum, is clearly established.

With regard to the progress of the project, Shramik Bharti submitted that they have cancelled the orders placed on Husk power and received the refund of advance paid by them. It has now placed order on Ganesh Engineering Works, Buxar for supply, installation and commissioning of a 24kW gasifer along with producer gas engine, 300 pre-paid meters, installation and commission; and on Gautam Polymers on supply of 10kW Solar PV plant.

In addition to the above, the activities have been carried out by Shramik Bharti in preparation of the project are stated. As Shramik Bharti has taken the right steps towards the preparation of the project it was recommended to MNRE that the first installment of 20% may be released which will allow it to proceed with other activities of the projects leading to its commissioning by 31st March 2013.



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