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Business start-up

The Clean Energy Company

Manfacturing clean and sustainable energy for Mozambique

We are addressing the challenges of climate change and energy poverty in Mozambique through the provision of sustainable, independent and cheap renewable energy sources. We offer wind powered renewable energy solution for isolated and power back-up systems. Our locally fabricated micro wind turbines are ideally suited to the low-density rural areas and harsh operating conditions within Mozambique.

Facts

Legal status business
Formally registered
Year of establishment

2009

Sales (US$)
Two years ago: 0
Last year: 0
This year (forecast): 76,172
Year 2 (forecast): 137,900
Year 3 (forecast): 210,900
Net profit after tax (US$)
Two years ago: 0
Last year: 0
This year (forecast): -89468
Year 2 (forecast): -9072
Year 3 (forecast): 13,683
Total number of Employees
Two years ago: 0
Last year: 0
This year (forecast): 4
Year 2 (forecast): 7
Year 3 (forecast): 8

Finance needed

Finance needed for fixed assets (buying of machines, buildings, ...) 79,520
Finance needed for working capital (salaries, stock, rental, leasing, transport, ...) 60,480
Total finance needed (US$) 140,000

How do you expect this to be financed? Please note: the total amount mentioned here should be equal to the total finance needed at the previous question.

Own Contribution in cash 22,500
Loans (debt) 0
Share capital that you seek from investors (equity) 87,500
Other sources 30,000
Total finance needed (US$) 140,000

The Business

What is your product/service?

The Clean Energy Company’s key asset is the micro-wind turbine known as an ‘axial flux’ Permanent Magnet Generator (PMG). This turbine has been conceived and developed for ‘local’ fabrication for use in off-grid non-industrialised country application.

The Clean Energy Company aims to develop a wind-powered micro-grid blue-print for local communities in Northern Mozambique which can be effective in meeting local social and economic needs.

What customer need/problem do your products/services satisfy?

Over 80% of Mozambique’s population does not have access to centralised electricity. The low-population densities in rural areas make the decentralised wind power ideally suited for affordable off-grid power.

How will you make the product/service?

We vocationally train people from local communities, tap into local skills-sets(capentry, welding and coil-winding) and use use local supply networks to fabricate our turbines locally. We do not relay on any complex or expensive machinery or tools...a formula that works well in East Africa.

Explain how you will sell your product/service (marketing strategy) and how you will reach your customers (distribution strategy)?

A demonstration wind turbine: To illustrate the long-terms and low-risk benefits of wind power a ‘demonstration wind turbine’ will touring off-grid sites. The turbine will display the many benefits and applications of productive wind power. Community groups, governmental institutions, individuals, tourists and NGOs will be able to visit the fabrication facilities and learn about the technology.

Wind Power Demonstration and wind power workshops: In collaboration with the University Eduardo Mondlane, the wind power workshops will demonstrate and allow students to see, learn about, and be actively involved in the fabrication and installation of a micro wind turbine.

We will conduct 1-2 day to 2-week tailored practical wind-power workshops targeted at specific audiences and participants to inspire, encourage and inform local community’s agencies in the field of wind power.

Published media: Key mass media sources will be invited to view and publish editorials about the project.

Our informative website www.tcei.info has been designed as a communication tool to introduce, inspire and link potential partners, funders, volunteers, governmental agencies, individuals and communities considering harnessing indigenous wind power.

To whom are you selling, what is your market?

Non-Governmental Organisations (NGOs): Due to the numerous development initiatives in Mozambique, local and international NGOs and governmental agencies are committed to the long-term improvement of the social and economic conditions within rural and low-income communities. Wind power can be used for water pupming for irrigation, lighting for schools and refridgeration for health centres.

Non-governmental Organisation: for publlic facilities (schools, learning centres, community/ social centres.Low-income private domestic housing: for labour-saving devices, refrigerators, lighting.

Rural micro-enterprise: for refrigeration of local produce, lighting, access to office equipment and computers, internet, and telephones)

Governmental Departments: (as above).

Tourist eco-lodges and hotels: The nature of off-grid lodges and hotels makes wind power ideally suited as a clean and sustainable energy source compatible with their ‘eco’ credentials. Wind power can be used to off-set high diesel costs especially at low consumption periods or night-time operation.

Private Residential Houses: The opening up of Mozambique’s economy has seen the development of beach-site, inland and island site for private residences. Wind power has the capacity to offer independent off-grid power and back-up supplies. In addition, wind power can be used to off-set the high cost of diesel gen-sets.

Describe your competitors?

The main sources of off-grid power is costly and polluting fossil fuel generators and theft-prone solarPV panels.

There are no suppliers or installers in Cabo Delgado province.

There are no suppliers of micro wind turbines in Mozambique.

What makes your business different/better than your competitors (competitive advantage)?

Compared with solarPV and diesel/petrol gensets, wind power is cheaper to produce per kWh.

The turbines we fabricated is a robust turbine known as a Permanent Magnet Generator (PMG), engineered to be fabricated (and reapired) locally in a modest a modest workshop without ‘outside’ technology or skills.

What makes your business, your product or service innovative?

A vocational training will enable participation and knowledge sharing through the use of local working partnerships; aiming to teach trainees and members of rural communities how to productively use wind power for income revenue.

The programme will:
- make use of indigenous manufacturing and technical capabilities,
- Build rural-community capacity, enabling them to identify their own needs and requirements.

How will you ensure the growth of your business?

Marketing efforts will continually promote wind power – this will be conducted with insights from a post-graduate study identifying the barriers (technical, social and economical) to the provision of wind power in Northern Mozambique.

We are developing close ties with local governmental departments and local NGOs allowing us to develop tailor-made wind powered systems ideally suited to local conditions and needs.

The Entrepreneur & Management

Describe the entrepreneur & management

Having first visited Mozambique in 2005, Jason Morenikeji is passionate about using Mozambique’s abundant wind resources and appropriate technology to address the challenges of energy poverty and climate change to offer pro-poor social and economic opportunities.

In gathering the skill-set, experience and vision to set up The Clean Energy Company Jason Morenikeji had hands-on trained by Hugh Piggott (the world’s leading pioneer in micro wind turbines) in the fabrication of micro wind turbines which have been specially developed for energy poor regions within developing countries such as Mozambique. This training was undertaken while studying renewable energy technology at MSc. level at the Centre of Alternative Technology in the UK (Europe’s leading institution for renewable energy and sustainable architecture).

He has a BA (hons) degree and post-graduate Masters Degree in Industrial Design, and is currently conducting a MSc. qualitative research programme investigating the barriers the provision of micro wind turbines in Northern Mozambique.

Professionally Jason is an experienced entrepreneur and consultant with over 15-years experience in the challenging field of innovation, industrial design and engineering. He has managed and delivered over 35 successful product launches across the world and has patented numerous innovations.

Jason is supported by a multidisciplined team and network of working partners which include:

Professor Boaventura Cumba:Science, Energy, Environment and Climate Research Group at the University Eduardo Mondlane in Maputo.

Arndt Stoewer: Runs his own a medium sized automotive workshop in Pemba (Oficina Alemã). Responsibility for the assembly static testing of the alternator assemblies.

Twair Char: With over 25 years of experience in carpentry, Twair is well established local wood craftsman employing 4 carpenters and 2 apprentices. He will be responsible for all wood work - local sourcing of wood, blade carving, fixtures and fittings.

Firmino Andrade: Director of Serralharia Angelina, a Pemba-based metalwork company which fabricates hand-operated water pumps. Responsible for the all metalwork activities: material sourcing and fabrication.

What specifically makes you and (if relevant) your management team most qualified to build this business?

We have extensive experience working Europe, Mozambique, Tanzania and Kenya and are aware of the technical, institutional and socio-cultural challenges that need to be addressed.

We have a robust, back-to-basics approach which combined with an awareness/sensitivity to socio-cultural dynamics, local needs, and inclusive management will enable The Clean Energy Company to grow commercially.

How much time do/will you expect to spend per week in the business?

I am currently working on the project full-time.

Approximately 60 hours per week.

Development

How does your business improve the local living standards (social and environmental)?

Empowerment through small-scale wind energy provision will give communities of Northern Mozambique the capability to improve social and economic empowerment.

Wind power can off-set the reliance of fossil-fuel and biomass burning, which in turn means a reduction of natural environmental resource depletion and environment damage and climate change through the reduction of green house gas emissions.