Floating Photovoltaics

Floating Photovoltaics

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Floating Photovoltaics
SectorMost major industry classification systems use sources of revenue as their basis for classifying companies into specific sectors, subsectors and industries. In order to group like companies based on their sustainability-related risks and opportunities, SASB created the Sustainable Industry Classification System® (SICS®) and the classification of sectors, subsectors and industries in the SDG Investor Platform is based on SICS.
Renewable Resources and Alternative Energy
Alternative Energy
Business Model Description

Develop, construct, and operate grid-connected utility-scale floating photovoltaics (FPV) systems in a lagoon or offshore areas as an Independent Power Producer (IPP) with Public Utilities Corporation (PUC) as the off-taker and liaising with the Marine Spatial Planning. Acting as an IPP, firms might be active in the whole value chain, which includes pre-feasibility, site selection and development, financing, and operation. Pricing should be below the marginal cost of electricity production in Seychelles, which is approximately the cost of fuel oil.

Expected Impact

Increase renewable energy share in the national grid to improve secure access to energy, reduce electricity costs and price volatility from imported fuel, and save land space and forested areas.

Indicative ReturnDescribes the rate of growth an investment is expected to generate within the IOA. The indicative return is identified for the IOA by establishing its Internal Rate of Return (IRR), Return of Investment (ROI) or Gross Profit Margin (GPM).
10% - 15% (in IRR)
Investment TimeframeDescribes the time period in which the IOA will pay-back the invested resources. The estimate is based on asset expected lifetime as the IOA will start generating accumulated positive cash-flows.
Medium Term (5–10 years)
Market SizeDescribes the value of potential addressable market of the IOA. The market size is identified for the IOA by establishing the value in USD, identifying the Compound Annual Growth Rate (CAGR) or providing a numeric unit critical to the IOA.
Total electricity consumption exceeding 400 million kWh
Average Ticket Size (USD)Describes the USD amount for a typical investment required in the IOA.
> USD 10 million
Direct ImpactDescribes the primary SDG(s) the IOA addresses.
Affordable and Clean Energy (SDG 7) Industry, Innovation and Infrastructure (SDG 9) Climate Action (SDG 13)
Indirect ImpactDescribes the secondary SDG(s) the IOA addresses.
Decent Work and Economic Growth (SDG 8) Sustainable Cities and Communities (SDG 11) Life on Land (SDG 15)
Sector Sources
  • 1) Republic of Seychelles Ministry of Finance, Trade, Investment & Economic Planning, Economic Planning Department. 2020. Goal 7: Ensure access to affordable, reliable, sustainable and modern energy for all. In Voluntary National Review 2020. https://sustainabledevelopment.un.org/content/documents/26382VNR_2020_Seychelles_Report.pdf 2) Ministry of Environment, Energy and Climate Change (MEECC). 2010. Proposal for Energy Policy of the Republic of Seychelles, 2010 – 2030. https://investinseychelles.com/downloads/renewable-energy-documents/seychelles-energy-policy/viewdocument/22 3) Government of Seychelles. 2020. Seychelles’ National Climate Change Policy. Ministry of Environment, Energy and Climate Change, Seychelles. http://www.meecc.gov.sc/wp-content/uploads/2019/10/seychelles-national-climate-change-policy-may-2020.pdf 4) Republic of Seychelles Climate Change and Energy Department of the Ministry of Agriculture, Climate Change and Environment. 2021. Seychelles’ Updated Nationally Determined Contribution. https://www4.unfccc.int/sites/ndcstaging/PublishedDocuments/Seychelles%20First/Seychelles%20-%20NDC_Jul30th%202021%20_Final.pdf 5) National Bureau of Statistics Seychelles. 2019. Poverty Profiling Regional Survey Report 2017/2018 Survey. https://www.nbs.gov.sc/downloads/poverty-profiling-report-2017-2018/viewdocument 6) Power Africa. 2017. Exploring the Relationship Between Energy Access and Gender-Based Violence. https://powerafrica.medium.com/exploring-the-relationship-between-energy-access-and-gender-based-violence-ee8d9e320437 7) Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH. 2020. Greenhouse Gas Inventory & Mitigation Strategies for the Refrigeration and Air Conditioning Sector in the Seychelles. https://www.green-cooling-initiative.org/fileadmin/user_upload/RAC-Inventory-SEY-20201217-web-alternative.pdf 8) International Renewable Energy Agency (IRENA). 2021. Energy Profile Seychelles. https://www.irena.org/IRENADocuments/Statistical_Profiles/Africa/Seychelles_Africa_RE_SP.pdf 9) Ministry of Finance, Trade, Investment and Economic Planning. 2019. Seychelles Vision 2033. http://www.finance.gov.sc/uploads/files/Vision_2033.pdf 10) Ministry of Finance, Trade, Investment and Economic Planning. 2019. Seychelles National Development Strategy 2019-2023. http://www.finance.gov.sc/uploads/files/Seychelles_National_Development_Strategy_2019_2023_new.pdf 11) National Bureau of Statistics. 2021. Statitical Bulletin Formal Employment and Earnings 2020/Q4. https://www.nbs.gov.sc/downloads/employment-earnings-2020-q4/viewdocument 12) Mo Ibrahim Foundation. 2020. Ibrahim Index of African Governance. https://mo.ibrahim.foundation/sites/default/files/2020-11/2020-index-report.pdf 13) Public Utilities Corporation (PUC). 2021. Application procedure for Photovoltaic (PV) installation. https://www.puc.sc/wp-content/uploads/2021/06/Application-procedure-for-Photovoltaic-PV-installation.pdf 14) Seychelles News Agency. 2019. Pro-environment legislation in Seychelles will demand energy efficient appliances and buildings. http://www.seychellesnewsagency.com/articles/10688/Pro-environment+legislation+in+Seychelles+will+demand+energy+efficient+appliances+and+buildings 15) Europa-Universität Flensburg Center for Sustainable Energy Systems (CSES). 2017. A 100% renewable Seychelles A plan to change the Seychelles’ power supply to 100% renewables, its costs and possible benefits. https://www.uni-flensburg.de/fileadmin/content/abteilungen/industrial/dokumente/downloads/veroeffentlichungen/diskussionsbeitraege/znes-discussionpapers-008-100ee-mahe.pdf 16) Stakeholder consultation conducted jointly with public authorities, a key national supplier of solar equipment in Seychelles and a foreign solar project development firm, in May 2022.
IOA Sources
  • 17) Island Innovation. 2019. Making Floating Solar A Reality: The Seychelles Case Study. Virtual Island Summit. www.islandinnovation.co/summit 18) The United Nations Conference on Trade and Development. 2021. World Investment Report 2021. https://unctad.org/system/files/official-document/wir2021_en.pdf 19) National Bureau of Statistics. 2021. Seychelles in Figures 2021 Edition. Victoria, Seychelles. https://www.nbs.gov.sc/downloads/seychelles-in-figures-2021-edition/download 20) National Bureau of Statistics. 2015. Seychelles in Figures 2015 Edition. Victoria, Seychelles. https://www.nbs.gov.sc/downloads/seychelles-in-figures-2015-edition/download 21) National Renewable Energy Laboratory (NREL). 2021. Floating Photovoltaic System Cost Benchmark: Q1 2021 Installations on Artificial Water Bodies. https://www.nrel.gov/docs/fy22osti/80695.pdf 22) World Bank Group. 2017. Republic of Seychelles Systematic Country Diagnostic (SCD). https://documents1.worldbank.org/curated/en/191181499447495374/pdf/Seychelles-SCD-FINAL-23Jun17-06282017.pdf 23) World Bank Group. 2022. Data: Manufacturing, value added (% of GDP) - Seychelles. https://data.worldbank.org/indicator/NV.IND.MANF.ZS?locations=SC 24) Climate Watch Historical GHG Emissions. 2022. Washington, DC: World Resources Institute. Available online at: https://www.climatewatchdata.org/ghg-emissions 25) United Nations Environment Programme Finance Initiative. 2021. Turning the Tide: How to finance a sustainable ocean recovery—A practical guide for financial institutions. Geneva. 26) Republic of Seychelles. 2012. Energy Act. https://www.climate-laws.org/rails/active_storage/blobs/eyJfcmFpbHMiOnsibWVzc2FnZSI6IkJBaHBBbjhIIiwiZXhwIjpudWxsLCJwdXIiOiJibG9iX2lkIn19--595c7a329005829ff2ce816d82b039d111ecb9a5/f 27) World Bank Group, ESMAP and SERIS. 2019. Where Sun Meets Water: Floating Solar Market Report. Washington, DC: World Bank. 28) U.S. Department of State. 2022. 2022 Investment Climate Statements: Seychelles. https://www.state.gov/reports/2022-investment-climate-statements/seychelles/ 29) Republic of Seychelles. 2022. Nature Reserves and Conservancy Act, 2021. https://www.gazette.sc/sites/default/files/2022-03/Act%203%20-%202022%20-%20Nature%20Reserves%20and%20Conservancy%20Act%202022.pdf 30) Republic of Seychelles. 2016. Seychelles Environment Protection Act, 2016. http://extwprlegs1.fao.org/docs/pdf/sey177682.pdf 31) Republic of Seychelles. 2015. Meteorology Act, 2015. http://extwprlegs1.fao.org/docs/pdf/sey150949.pdf 32) World Bank Group. 2022. Progress Towards Inclusive Growth: A Poverty and Equity Assessment report for Seychelles. https://www.nbs.gov.sc/downloads/poverty-and-equity-assessment-of-seychelles/download 33) The Ministry of Finance, Trade, Investment and Economic Planning. 2020. Policy Paper on Economic Activities Reserved for Seychellois. https://www.investinseychelles.com/component/edocman/reserved-economic-activities-policy-reap-_april-2020/download?Itemid=0 34) Ministry of Investment, Entrepreneurship, and Industry. 2022. Seychelles Investment (Economic Activities) Regulations, 2022. https://www.gazette.sc/sites/default/files/2022-07/SI%2076%202022%20-%20Seychelles%20Investment%20%28Economic%20Activities%29%20Regulations%202022.pdf 35) Islands Development Company Ltd. 2021. Annual Report for the Financial Year Ending 31st March 2021. http://www.idcseychelles.com/uploads/8/3/2/7/83270102/annual_report_2020-2021.pdf