Supporting SMEs in designing sustainable business models for energy access for the BoP: a strategic design tool

Abstract

About 1.4 billion people from the Bottom of the Pyramid (BoP) currently lack sustainable energy services. In these contexts, SMEs and practitioners need to combine feasible technical solutions and appropriate business models. Distributed Renewable Energy (DRE) systems emerge as possible solution to provide small-scale and locally based electricity. DRE can be implemented with sustainable business models (Product-Service Systems – PSS) that shift the business focus from selling products to providing a combination of products and services that are able to fulfil customers’ satisfaction. In this paper we explore the combination of DRE and PSS by presenting a strategic design tool that aims at supporting SMEs and practitioners in designing sustainable business models for energy in the BoP. The tool is presented to map companies operating in a selected context, to position a company’s offers and to explore new business opportunities. Following the testing activities in South Africa and Botswana, the tool finds applications to support idea-generation for designing business models for energy access for the BoP.