Off-Grid PV Systems

Off-Grid PV Systems

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Off-Grid PV Systems
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 off-grid solar PV installations in Outer Islands or remote areas to generate electricity for the use of hotels, and key infrastructure operations, including desalination and water treatment plants, small businesses, and households. In Outer Islands and Silhouette work in partnership with Island Development Company (IDC) which is responsible for the management and development of 14 islands and applies a one-resort-one-island strategy, mostly delineating a single large customer in each island. In islands with Public Utilities Corporation (PUC) grid access, work as an Independent Power Producer (IPP) based on the distance from the power plants and land availability. Use solar PV-diesel hybrid systems to overcome interruption issues caused by occasional cloudy weather.

Expected Impact

Complete decarbonization of energy supply in remote islands, power critical infrastructure, and benefit resorts and small enterprises with reduced costs and modern infrastructure.

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.
30% of Outer Islands
Average Ticket Size (USD)Describes the USD amount for a typical investment required in the IOA.
USD 1 million - USD 10 million
Direct ImpactDescribes the primary SDG(s) the IOA addresses.
Affordable and Clean Energy (SDG 7) Climate Action (SDG 13)
Indirect ImpactDescribes the secondary SDG(s) the IOA addresses.
Gender Equality (SDG 5) Industry, Innovation and Infrastructure (SDG 9) Sustainable Cities and Communities (SDG 11)
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. 2) Ministry of Environment, Energy and Climate Change (MEECC). 2010. Proposal for Energy Policy of the Republic of Seychelles, 2010 – 2030. 3) Government of Seychelles. 2020. Seychelles’ National Climate Change Policy. Ministry of Environment, Energy and Climate Change, Seychelles. 4) Republic of Seychelles Climate Change and Energy Department of the Ministry of Agriculture, Climate Change and Environment. 2021. Seychelles’ Updated Nationally Determined Contribution. 5) National Bureau of Statistics Seychelles. 2019. Poverty Profiling Regional Survey Report 2017/2018 Survey. 6) Power Africa. 2017. Exploring the Relationship Between Energy Access and Gender-Based Violence. 7) Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH. 2020. Greenhouse Gas Inventory & Mitigation Strategies for the Refrigeration and Air Conditioning Sector in the Seychelles. 8) International Renewable Energy Agency (IRENA). 2021. Energy Profile Seychelles. 9) Ministry of Finance, Trade, Investment and Economic Planning. 2019. Seychelles Vision 2033. 10) Ministry of Finance, Trade, Investment and Economic Planning. 2019. Seychelles National Development Strategy 2019-2023. 11) National Bureau of Statistics. 2021. Statitical Bulletin Formal Employment and Earnings 2020/Q4. 12) Mo Ibrahim Foundation. 2020. Ibrahim Index of African Governance. 13) Public Utilities Corporation (PUC). 2021. Application procedure for Photovoltaic (PV) installation. 14) Seychelles News Agency. 2019. 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. 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) Takouleu, Jean Marie. 2018. SEYCHELLES: SPS commissions largest solar off-grid in archipelago. Afrik 21. 18) Takouleu, Jean Marie. 2021. SEYCHELLES: IDC commissions two solar power plants in Astove and Farquhar. Afrik 21. 19) International Institute for Sustainable Development (IISD) SDG Knowledge Hub. 2012. Ramsar Reports on Seychelles Atoll Supported by Solar Energy. 20) Islands Development Company Ltd. 2021. Annual Report for the Financial Year Ending 31st March 2021. 21) Takouleu, Jean Marie. 2021. SEYCHELLES: China finances renewable energies to the tune of $11 million. Afrik 21. 22) UNDP Project Team consultation undertaken with a public stakeholder regarding the feasibility of off-grid investments, in May 2022. 23) Karapetyan, Salifa. 2021. Seychelles' Desroches island running on 90 percent solar energy, drawing praise. Seychelles News Agency: Victoria, Seychelles. 24) Climate Watch Historical GHG Emissions. 2022. Washington, DC: World Resources Institute. Available online at: 25) National Bureau of Statistics. 2021. Seychelles in Figures 2021 Edition. Victoria, Seychelles. 26) Islands Development Company Ltd. 2018. The Third Outer Island Development Plan 2018-2023. 27) Republic of Seychelles. 2012. Energy Act. 28) UNDP Project Team stakeholder consultation undertaken with a local solar panel supplier in May, 2022. 29) The World Bank Group. 2017. Republic of Seychelles Systematic Country Diagnostic (SCD). 30) U.S. Department of State. 2022. 2022 Investment Climate Statements: Seychelles. 31) The United Nations Conference on Trade and Development (UNCTAD). 2020. Investment Policy Review of Seychelles. United Nations, Geneva. 32) Republic of Seychelles. 2010. Seychelles Investment Act. 33) Republic of Seychelles. 2015. Meteorology Act, 2015. 34) The Ministry of Finance, Trade, Investment and Economic Planning. 2020. Policy Paper on Economic Activities Reserved for Seychellois. 35) Ministry of Investment, Entrepreneurship, and Industry. 2022. Seychelles Investment (Economic Activities) Regulations, 2022. 36) Seychelles Nation. 2019. IDC profits at record high. 37) Enterprise Seychelles Agency. 2022. The Seychelles Energy Efficiency and Renewable Energy Programmme (SEEREP).