Difference between revisions of "SPIS Toolbox - Credit Policy: Analyze Potential"

From energypedia
***** (***** | *****)
***** (***** | *****)
m
Line 1: Line 1:
<div>
 
  
= Credit Policy: Analyze Potential =
+
{{SPIS Banner}}
Today, solar-powered irrigation is a technically mature and reliable option and an alternative to conventional irrigation approaches. When analyzing options for the development of credit policies for SPIS, the following aspects should be considered:
+
 
 +
=== '''<span style="color:#879637;">Credit Policy: Analyze Potential</span>''' ===
 +
 
 +
Today, solar-powered irrigation is a technically mature and reliable option and an alternative to conventional irrigation approaches. When analyzing options for the development of credit policies for SPIS, the following aspects should be considered: <br/>
 +
 
 
'''SPIS is likely to be a feasible option in a region if:'''
 
'''SPIS is likely to be a feasible option in a region if:'''
  
Line 13: Line 16:
 
*producers aim at specialized markets using environmental friendly technology (focusing on ecological production, which could give scope for premium pricing);
 
*producers aim at specialized markets using environmental friendly technology (focusing on ecological production, which could give scope for premium pricing);
 
*technology distributors and system integrators available in the region;
 
*technology distributors and system integrators available in the region;
*water is available and managed adequately so as to prevent ground water depletion in the long run.
+
*water is available and managed adequately so as to prevent groundwater depletion in the long run.
  
 
'''However, compared to conventional pumping and irrigation methods, PV-based pumping solutions have:'''
 
'''However, compared to conventional pumping and irrigation methods, PV-based pumping solutions have:'''
Line 21: Line 24:
 
*higher credit risk.
 
*higher credit risk.
  
== Outcome / Product ==
+
=== '''<span style="color:#879637;">Outcome/Product</span>''' ===
  
 
*Study on potential of financing SPIS and recommendations for financial service provider.
 
*Study on potential of financing SPIS and recommendations for financial service provider.
  
== Data Requirements ==
+
=== '''<span style="color:#879637;">Data Requirements</span>''' ===
  
 
*Profile end customers (cropping patterns, irrigation techniques, pumping systems, market);
 
*Profile end customers (cropping patterns, irrigation techniques, pumping systems, market);
Line 33: Line 36:
 
*Environmental impact assessment (long term perspective).
 
*Environmental impact assessment (long term perspective).
  
== People / Stakeholders ==
+
=== '''<span style="color:#879637;">People/Stakeholders</span>''' ===
  
*Management of financial serviceproviders;
+
*Management of financial service providers;
 
*Market analysts/consultants;
 
*Market analysts/consultants;
 
*Research and training institutions;
 
*Research and training institutions;
 
*Public entities promoting or/and subsidizing SPIS initiatives;
 
*Public entities promoting or/and subsidizing SPIS initiatives;
*Donors refinancing solar-poweredinitiatives;
+
*Donors refinancing solar-powered initiatives;
 
*Associations of producers / potential borrowers;
 
*Associations of producers / potential borrowers;
 
*Technology providers;
 
*Technology providers;
 
*Service providers.
 
*Service providers.
  
== Important Issues ==
+
=== '''<span style="color:#879637;">Important Issues</span>''' ===
  
 
*Solar-powered irrigation technology is mature, reliable and systems costs have decreased.
 
*Solar-powered irrigation technology is mature, reliable and systems costs have decreased.
 
*SPIS generally require higher investment cost than other irrigation system, but operation costs are lower.
 
*SPIS generally require higher investment cost than other irrigation system, but operation costs are lower.
  
[[Category:SPIS_Module]]
+
{{SPIS Reference}}
[[Category:Powering_Agriculture]]
 
[[Category:Tools]]
 

Revision as of 16:08, 26 May 2017

Banner header.svg

Introduction

The Toolbox on Solar Powered Irrigation Systems (SPIS) is designed to enable advisors, service providers and practitioners in the field of solar irrigation to provide broad hands-on guidance to end-users, policy-makers and financiers. Risks related to system efficiency, financial viability and the unsustainable use of water resources can thus be minimized. The Toolbox comprises informative modules supplemented with user-friendly software tools (calculations sheets, checklists, guidelines). read more

Modules and tools touch upon:

  • assessing the water requirements,
  • comparing the financial viability,
  • determining farm profitability and payback of investment in SPIS,
  • sustainably design and maintain a SPIS,
  • highlight critical workmanship quality aspects,
  • and many more.

Credit Policy: Analyze Potential

Today, solar-powered irrigation is a technically mature and reliable option and an alternative to conventional irrigation approaches. When analyzing options for the development of credit policies for SPIS, the following aspects should be considered:

SPIS is likely to be a feasible option in a region if:

  • energy provision for farming is a constraint (availability or cost of fuel, reliability of grid connection);
  • an intensification of agricultural production is envisaged;
  • producers are market-oriented and not working on subsistence level;
  • producers are at least medium sized or organized in small holder groups;
  • subsidized refinancing options for financial operators are available;
  • grant schemes or subsidies are available to borrowers (producer);
  • producers aim at specialized markets using environmental friendly technology (focusing on ecological production, which could give scope for premium pricing);
  • technology distributors and system integrators available in the region;
  • water is available and managed adequately so as to prevent groundwater depletion in the long run.

However, compared to conventional pumping and irrigation methods, PV-based pumping solutions have:

  • a comparatively high initial capital investment requirement;
  • longer repayment periods or/and significantly higher repayment rates;
  • higher credit risk.

Outcome/Product

  • Study on potential of financing SPIS and recommendations for financial service provider.

Data Requirements

  • Profile end customers (cropping patterns, irrigation techniques, pumping systems, market);
  • Current offer of loan products available for potential SPIS customer;
  • Water and energy provision regime in region;
  • Support/advice structures and subsidy schemes (refinancing) available for the region;
  • Environmental impact assessment (long term perspective).

People/Stakeholders

  • Management of financial service providers;
  • Market analysts/consultants;
  • Research and training institutions;
  • Public entities promoting or/and subsidizing SPIS initiatives;
  • Donors refinancing solar-powered initiatives;
  • Associations of producers / potential borrowers;
  • Technology providers;
  • Service providers.

Important Issues

  • Solar-powered irrigation technology is mature, reliable and systems costs have decreased.
  • SPIS generally require higher investment cost than other irrigation system, but operation costs are lower.