SUSTAINABLE ENERGY
 
                                Solar PV pumping for farmers
Market
| Final Products | Solar energy operated pump | 
| Required Inputs | Electric components and equipment | 
| Competing Products | Low competition  | 
| Potential for Export | High | 
Process
| Complexity – Type of Process | Medium – integration process | 
| Technology | Design, wiring and installation (electrical design, wiring and installation) | 
| Equipment and Material | Electrical tools, PV panels, electric pumps and electric inverters | 
| Human Resources | Manual labor, technicians and electrical engineers | 
Business Linkage
| Forward Linkage | Farm owners | 
| Local/Regional/Nationwide | Export & local markets | 
| Backward Linkage | Electric equipment suppliers | 
| Supporting Entities | System component suppliers, testing facilities, marketing and services companies | 
| Competitive Edge | Provides solar energy-operated pump (energy security) and reduces diesel costs, especially for off-grid farms | 
Economic Features
| Revenue Stream | Sales and maintenance of systems | 
| CAPEX | 500K EGP Note: This CAPEX represents the indicative investment size, however, this investment opportunity can grow in implementation to a larger-sized investment. | 
| Investment Size | Micro (less than 500K EGP) | 
Considerations
| Key Challenge | Convincing clients with a relatively new product, speed of procurement, high initial cost of system for end-users, lack of end-user financing, marketing and sales services, access to high-quality suppliers, absence of regulation and certification for solar engineers/technicians, absence of policies to encourage manufacturing, absence of any direct policies addressing water governance and solar irrigation, absence of regulation and certification of firms working in the Egyptian solar off-grid market, absence of formal land ownership documentation | 
| Advantages | Payback on solar PV pumping is constantly decreasing due to the increase of diesel prices, provides more reliability for systems | 
| Potential Pathways to Growth | Full/integrated solutions for irrigation management, agricultural production and/or harvesting processes (could also include Internet of Things (IoT) applications to automate irrigation), locally manufacturing specific components to customize system to local needs with competitive pricing | 
General Impact
| Environmental | Reduces CO2 emissions | 
| Social | Sustainable and more reliable energy for better farming | 
Impact on Sub-market(s), Cluster(s) and Value Chain(s)
| Relevant sub-market | Renewable energy solutions | 
| Lies within the following value chain/cluster(s) | Solar | 
| Serving the following value chain/cluster(s) | Medical/aromatic plants and herbs, fruits and vegetables | 
| Impact | Enhances the use of solar energy in farming | 
Studies
| Serial | File name | Download | 
| 1 | UNIDO IGGE_VC Cluster Competitiveness & BOM | 
