Call for Expression of Interest to Potential Partners for the BPC Lesedi Rural ESCO in Botswana
| Contributed by James Robinson | |
| 06 August 2008 | |
The RE-Botswana programme is establishing a rural energy services company, called BPC Lesedi, for the commercial provision of basic energy services. A socially and environmentally committed international commercial partner is invited to join this venture. IntroductionThe Renewable Energy-based Rural Electrification (RE-Botswana) project is a collaborative project between the Government of Botswana, the United Nations Development Programme (UNDP) and the Global Environment Facility (GEF) and is being implemented by the Botswana Power Corporation (BPC). The Programme aims to encourage and facilitate the utilization of renewable and clean energy in Botswana, particularly in rural areas. A key output of this strategy is the establishment of a rural energy services company, called BPC Lesedi, for the commercial provision of basic energy services using solar energy and efficient cooking appliances. BPC wishes to invite a social and environmentally committed international commercial partner to join this innovative venture.
Background to InvitationThe Botswana Energy Master Plan, prepared in June 1996, commits Botswana to improving access to modern energy to facilitate economic development. Subsequently, a GEF study completed in October 2003 identified solar PV as an appropriate and sustainable technology for Botswana which has the potential to improve the quality of life whilst reducing CO2 emissions. It is forecasted that in 2009, 42% of all rural villages and 99% of all localities (or settlements) in Botswana will still be without access to grid electricity services. Consequently alternative services are required. In addition, experience has indicated that despite the high initial demand when the grid comes to a typical village, less than 20% of households can afford to connect. The reality of these challenges highlights the potential for affordable and flexible solar energy service in both grid and off-grid areas. The BPC Lesedi rural energy services company was established in May 2008 by BPC under the RE-Botswana project to offer stand-alone solar photovoltaic systems and efficient cooking options as a complement to grid services. An estimated potential of 50,000 rural end-users can benefit from this programme. Company establishment costs are being covered by RE-Botswana. In addition, an initial investment in infrastructure for approximately 10,000 end-users is being provided by the Government. BPC Lesedi is intended to operate as a business format franchise for its core services. This will facilitate efficient replication and regulation, enhance involvement of the private sector, and ensure that rural-based services are available, it is envisaged that Franchisees will offer approved products and services as well as develop designated franchised areas through village-based sub-franchise micro-enterprises for selected services. Franchisees will be local independently owned businesses and will be required to be profit making. BPC Lesedi will set competitive commercial goals for franchisees. Any operating excesses will be used to fund growth and will not be used to pay dividend to shareholders. Registration for carbon credits is being pursued.InvitationThe Corporation would like to invite interested organisations to partner with BPC in the operation of this franchise business (BPC Lesedi). A pilot branch outlet is scheduled to commence in September 2008. The early involvement by the partner in this setup phase is encouraged. The offering and rollout to prospective franchisees is planned for early 2009. Interested and eligible partners are invited to submit a prospectus demonstrating the following qualities:
Invitation to Potential Partners for the BPC Lesedi Rural Energy Services Company in Botswana Interested parties should forward their expression of interest, together with the prospectus referred to above, at their earliest convenience, to the following address: Attention: Mr. Alban Motsepe Director Rural Business Unit Botswana Power Corporation PO Box 48 Gaborone Fax: +267 3953300 Email: motsepea@... Submissions will be withheld until a suitable partner is identified.  Download the Call here (80 KB) Read more about the RE Botswana Programme here (798 KB) | |