BuffaloGrid Power as service to the off-grid world ITU Workshop on “ICT Innovations in Emerging Economies” (Tunis, Tunisia, 28 January 2014) BuffaloGrid Power as service to the off-grid world Daniel Becerra, Managing Director, BuffaloGrid, daniel@buffalogrid.org Tunis, Tunisia, 28 January 2014

1.6billion people without access to power. The pain 1.6billion people without access to power. For 2014, it is estimated that 750million will have a mobile phone. Tunis, Tunisia, 28 January 2014

The pain How do they charge it? They pay the most expensive electricity in the planet Tunis, Tunisia, 28 January 2014

Off grid power – where does it come from? USD12-17 billion – Spent in Africa on Kerosene USD80-100 million – Spent in Solar panels Tunis, Tunisia, 28 January 2014

Solar irradiance Africa has the biggest solar irradiance in the world! So why only 1% of off-grid power is created by solar? Tunis, Tunisia, 28 January 2014

Lack of faith in solar We are facing a very price sensitive market. Dozens of companies are trying to sell their products and while power demand is growing their sales are dropping. People are just not buying them – In their minds solar panels are products that cost a lot and break after a few months. Tunis, Tunisia, 28 January 2014

Our solution We believe people need access to power – No ownership of inefficient power solutions. Tunis, Tunisia, 28 January 2014

Lowering cost barrier to zero We provide our units for free to trusted entrepreneurs and run the service of providing electricity Tunis, Tunisia, 28 January 2014

Cashless transactions The end user pays for electricity by sending a text message – No cash involved at any point Tunis, Tunisia, 28 January 2014

Data collection Paying by SMS allow us to obtain data from our clients. This data can easily convert into cheaper or free power to our end user and information for our partners. Example: question by text – answer entitles to a free power charge. Tunis, Tunisia, 28 January 2014

Mobile Network Operators (MNO) When off grid user have access to power, usage increases between 10-20% This means business opportunities of more than 2 Billion USD for MNOs in Africa a year Helping to provide power could be a very good business for MNOs With our data collection we know which MNO each of our client use – so we can offer measurable promotions. Tunis, Tunisia, 28 January 2014

Challenges Scale – 150-200 million off grid mobile phone users in Africa – How can we reach them all? UN Millennium goals – Universal access to electricity by 2030 – That is 16 years from now. 1.6 billion people without power – 160million people you need to reach every year! – keeping a linear equation. Tunis, Tunisia, 28 January 2014

Conclusions and Recommendations Decentralized power solutions is key. Business over charity – Follow MNOs example Provide infrastructure and run a service Improve service everyday – Today BuffaloGrid provides power tomorrow it will provide power and internet. We will become a Launchpad for many other services. Tunis, Tunisia, 28 January 2014