On Thursday, May 28 Pakathon held its first webinar of 2015, on energy in Pakistan. This is the slide deck used in that webinar. The webinar began with an introduction to the context of energy in Pakistan, followed by a short talk by Jeremy on EcoEnergyFinance. The second half of the webinar was dedicated to Q&A. Join the conversation on Muut here: https://muut.com/pakathon#!/energy Webinar recorded here: https://www.youtube.com/watch?v=lIdjFVjQgWE Audio recording: https://soundcloud.com/pakathon-toronto/webinar-energy-ecoenergyfinance/ Sign up for updates on PakathonTO: http://www.pakathon.com/cities/toronto Follow us on Facebook: http://facebook.com/PakathonTO Follow us on Twitter: http://twitter.com/PakathonTO Speakers: - Jeremy Higgs: Director of Operations & Co-Founder, EcoEnergyFinance on running a clean energy social enterprise in Pakistan - Ammar Habib Khan: Energy Economist at Global Mining China & Head of Risk Management NIT on the macroeconomics of energy in Pakistan - Nameerah Hameed: Policy Specialist at Energy Department, Government of Punjab & Assistant Manager, Quaid-e-Azam Solar Power on energy policy in Punjab About EcoEnergyFinance EcoEnergyFinance makes clean energy products and services affordable and accessible to rural Pakistan. About Pakathon: Pakathon is a global movement with a mission to connect entrepreneurs, researchers and technologists around the world and support the creation of sustainable projects and companies that make a positive impact in Pakistan and beyond. Pakathon's flagship event is a weekend hackathon held simultaneously across over a dozen cities in Pakistan and North America.

9. Ammar Habib Khan
Energy Economist, Sino-Sindh Resources
Nameerah Hameed
Policy Specialist at Energy Department, Government of Punjab
Assistant Manager, Quaid-e-Azam Solar Power
Jeremy Higgs
Co-Founder and Director of Operations, EcoEnergyFinance

10. Demand Dynamics & Economic Costs: The Numbers
Energy deficits in Pakistan restrict economic growth & have huge costs.
Sources: Sino-Sindh Resources, World Bank, Pasha (2012) Impact & Cost of Power Loadshedding to Domestic Consumers
Total demand for energy
Electricity consumption
growth (‘70-’07)
Global population w/
access to electricity
Energy deficit
Electricity consumption
growth (‘07-’13)
Pakistani population w/
access to electricity
Potential loss to GDP per
annum (‘07-’13)
GDP growth effects of
energy constraints (‘07-’13)
~23,200 MW ~6,500 MW
7.68% 0.1%
78% 68%
$1.4 bn -1.84%
Courtesy Sino-
Sindh Resources

11. Energy Demand in Pakistan
-
50
100
150
200
250
300
350
Forecast (GWh)
Electricity Demand Projections (GWh)
Source: World Bank, NTDC Load Forecast
Estimated growth in
electricity demand
Expected growth in
electricity demand in the
next two decades
4-6%
3.4x
Capacity additions lag behind
growth in demand.
Courtesy Sino-
Sindh Resources

12. Source: IFC

13. Source: IFC

14. Source: IFC

15. Energy Mix
We’re consistently using the wrong kind of fuel to meet our energy needs.
Reliance on imported oil leads to high costs, low energy security, high household bills.
Coal
41%
RFO
6%
Natural Gas
20%
Nuclear
15%
Hydel
16%
Renewables
2%
Global Energy Mix
Coal 0.10%
Hydel 30.10%
Nuclear 5.80%
Natural Gas 29%
RFO 35.00%
Pakistan Energy Mix
Source: Pakistan Energy Yearbook 2013, BP Statistical Review of World Energy 2013
Courtesy Sino-
Sindh Resources

16. Energy Mix
This hasn’t always been the case.
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Pakistan -- Energy Mix Transition (1971-2012)
Courtesy Sino-
Sindh Resources

17. Pakathon Webinar - 28/05/2015

18. The Problem
Over 70 million people in Pakistan
lack access to the electricity grid
(That’s equivalent to the entire
population of Turkey, without
power.)
60
%
40
%
On-Grid Off-Grid

19. The Problem
Financial services don’t reach rural Pakistan
13% of the country has a bank account
Microfinance presence in urban and peri-urban locations only
Microfinance lending criteria excludes large parts of the population

20. Result: Energy solutions are
unaffordable for rural off-grid
customers

21. Result: Off-grid rural customers spend $2.2
billion every year on poor-quality lighting
solutions

22. What We Do:
Make Clean Energy Solutions
Affordable and Accessible for
Rural Pakistan

23. Market
Sell
Service
Finance

24. Products
Households Small Businesses

25. What We’ve Been Able To Achieve
Demonstrate demand for better-quality lighting solutions: over 10,000 solar products sold to rural
customers in the past 2 years
Demonstrate ability to pay: 79% of products sold on credit
Technology viability: conducted pilots of mobile-enabled (smartphone or GSM) solar devices

26. Challenges
Ensuring the quality & consistency of information coming from geographically-dispersed staff
Started with smartphone-equipped staff using OpenDataKit survey software
Significant challenges around consistency of spellings & keeping inventory/cash/sales/collections in
sync
Moving towards single platform (e.g. Salesforce) that can collect data from staff and have all functions
in sync

27. Challenges
Inadequate access to funding for growth
Plenty of money available for small pilots ($0-50k)
Challenges accessing early-stage investment
Local banks reluctant to provide working capital (not enough assets/cash)

28. Onwards and upwards!
Rolling out PAYG solar to 1000 customers
Developing ability to perform credit scoring of customers

30. Keep the conversation flowing:
https://muut.com/pakathon#!/energy
pakathon.com/cities/toronto
Facebook.com/PakathonTO
Twitter.com/PakathonTO