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 |