Kadi Energy Company Ltd

Kadi Energy Company Ltd

Accra, GhanaColorado Springs, United States
Year Founded:
2013
Organization type: 
hybrid
Project Stage:
Start-Up
Budget: 
$100,000 - $250,000
Project Summary
Elevator Pitch

Concise Summary: Help us pitch this solution! Provide an explanation within 3-4 short sentences.

Kadi understands energy access is a portal to prosperity. Distribution through strategic alliances, sales affiliates, and local employees enables effective provision of energy and job creation for Ghanaians.

WHAT IF - Inspiration: Write one sentence that describes a way that your project dares to ask, "WHAT IF?"

What if young Ghanaians can put a stamp on their own micro enterprise and are given the opportunity to enhance their entrepreneurial skills?
About Project

Problem: What problem is this project trying to address?

Mobile technology has changed the way people receive health care, educate their children, and do business in Sub-Saharan Africa. Mobile technology promises a better quality of life for millions, yet a glaring challenge remains: power. In Ghana, many people cannot afford the operational costs of mobile devices, even cell phones. This is especially true in rural Ghana, where many individuals do not have consistent access to electricity.

Solution: What is the proposed solution? Please be specific!

Kadi Energy was established in 2013 to increase energy sustainability and reduce unemployment in developing countries. It employs a micro-business strategy to provide consumers with top of the line energy products. Kadi Energy is currently launching a proof of concept to evaluate its first product line: a portable energy storage unit with solar charging capabilities. Kadi Energy will be introducing its product to market in Ghana, where the company has deep governmental and local ties. Kadi Energy’s product is the most affordable and efficient energy storage device available in Ghana. However, it is Kadi’s business model that truly sets the company apart.
Impact: How does it Work

Example: Walk us through a specific example(s) of how this solution makes a difference; include its primary activities.

Let us consider the case of rural Africa. If I take my iPhone 5 to a rural village in Ghana without grid access to electricity I can’t plug it into the wall because there are mostly no wall outlet. For nearly 5-in-6 people living in rural sub-Saharan Africa this is the norm. Instead, you would have to walk to a local shop and find a kiosk to charge your phone, where you might pay around 50 cents every time I need a top up – or $180 a year. That’s 383 times more expensive than in the US and most developed countries. Coupled with job creation for young entrepreneurs, Kadi Energy promises a better live and higher productivity for rural people who income usually revolve around agriculture.

Impact: What is the impact of the work to date? Also describe the projected future impact for the coming years.

In Ghana, many people cannot afford the operational costs of mobile devices, even cell phones. This is especially true in rural Ghana, where many individuals do not have consistent access to electricity, and as a result it can cost 50 pesewas for each visit to a charging station. This can add up to over 150 GHS per year spent charging a single mobile phone. In a country with an average annual household income of about 1,200 GHS, 150 GHS represents over 12 percent of yearly expenses. As dependence on cell phones and mobile technology grows, Kadi Energy has already saved lots of money for residents who volunteered to use one of our in country products. Also with the given unemployment rate especially among the young people in Ghana, Kadi Energy provides an ideal solution by helping well driven young people within our target market start their own micro enterprises.

Spread Strategies: Moving forward, what are the main strategies for scaling impact?

Kadi Energy will provide strong incentives to motivate sales affiliates to be competitive, produce more revenue, learn valuable business skills, and feel like part of an elite community of Kadi affiliates. Kadi will provide each affiliate with training videos and manuals. To stir up competitiveness, we will also have monetary rewards for the top salesperson, determined through a publically posted list of affiliates, their sales area, and their sales statistics. Finally we will provide periodic group training sessions to acquaint our employees with one another and improve their skills.
Sustainability

Financial Sustainability Plan: What is this solution’s plan to ensure financial sustainability?

Kadi Energy Company requires a 100K dollar capital investment to launch full scale operations, complete the company’s proof of concept, and leverage additional funds. Future funds will be obtained through a venture round financing period. Kadi will attempt to obtain the majority of this capital either from an environmental project investment agency or in the form of a partnership with a large, multinational corporation.

Marketplace: Who else is addressing the problem outlined here? How does the proposed project differ from these approaches?

. Karibu Solar Power: One of our main competitors in the industry, Karibu Solar Power operates on a social business model similar to Kadi’s. Karibu is currently operating in Tanzania. However, their model does not create energy independence since people in rural areas still have to travel distance to recharge their batteries. Also young people employed within their scheme do not have the opportunity to adequately differentiate their micro enterprises and are not given enough incentive to expand and grow their businesses.
About You
About You
First Name

Paul-Miki

Last Name

Akpablie

About Your Project
Organization Name
How long has your organization been operating?

Project
Organization Country

United States, CO, Colorado Springs

Country where this project is creating social impact

Ghana, GA, Accra

What awards or honors has the project received?
Funding: How is your project financial supported?

Friends and family, Individuals, NGOs.

Supplemental
Awards: What awards or honors has your solution received, if any?

Harvard Business School New Venture Competition Finalist
Colorado College Big Idea Competition Finalist
Global Engagement Summit Award for Crowdfunding

Tell us about your partnerships

Partnership is key to business and as such we are partnering with existing distribution companies and NGOs to create more value within our target market demographics and minimise cost. We are an energy startup and to minimise risks, we draw on strategic partners who have already tested their models and have strong brand recognition within the African market.
Distribution
In the area of distribution and building a business model, we have created a partnership scheme with Burro Ghana(http://www.burrobrand.biz/) where we leverage their distribution network and employees in reaching to our target rural communities. Burro is an established brand within the Ghana market and as such aligning with them offers Kadi Energy the opportunity to gain an early traction in the market whiles allowing Burro to diversify their revenue stream further by selling our innovative products.
Other Joint Ventures & Partnerships
In addition to our partnership with Burro Ghana, Kadi Energy has contracts pending with Grameen Foundation and Northlite Solar. Both of these companies have committed to placing orders for our product for certain communities in which they operate. On a smaller scale, Kadi has also reached out to several local organisations, including the CCT foundation, an NGO based in the Brong Ahafo region that is made up of young men and women who help each other financially. That is, they help each other acquire jobs, which leads to the reduction in unemployment rates in Ghana. Kadi also has partnership interest from Massive Prove International Company, who recruits unemployed youth in Accra and its surrounding suburbs. Similarly, they are willing to partner with Kadi for the sales of its product to help them achieve their goal of reducing unemployment in the country. Finally, Kadi has interest in partnership from Nana Adu Sales and Distribution Agency, a distribution company that has young men and women working as sales personnel on commission. They are also willing to partner with Kadi to sell its products.

Challenges: What challenges might hinder the success of your project and how do you plan to overcome them?

Our biggest challenge is risk associated with distributing our product. Most of these risks include, people not completing their payment or running away with our product. We have already set up mechanism in place to minimise these risks by transferring them to already existing companies like Burro Ghana who have mechanism set in place to tackle them. We will look into more future partnerships as we pilot our project.

How does your idea help young people create bright futures and improve opportunities for meaningful and long-term careers?

Kadi Energy will challenge young Ghanaians to build their own micro-companies marketing and selling Kadi products. Kadi will sell larger quantities of our products, in certain cases at wholesale price, to entrepreneurs who wish to create their own Kadi-facilitated business. These persons, termed sales affiliates, will have the opportunity to put their own stamp on every part of their business, except the price at which they can sell Kadi products. Sales affiliates will have no quota or cap on how much they may sell. This flexibility will allow for a variety of individuals with different demographic profiles to open or add to their own shops, and tap into previously untouched markets.

At the same time, Kadi Energy will provide strong incentives to motivate sales affiliates to be competitive, produce more revenue, learn valuable business skills, and feel like part of an elite community of Kadi affiliates. For instance, Kadi will provide each affiliate with training videos and manuals. To stir up competitiveness, we will also have monetary rewards for the top salesperson, determined through a publicly posted list of affiliates, their sales area, and their sales statistics. Finally we will provide periodic group training sessions to acquaint our employees with one another and improve their skills.

Target Age Group(s): What age group(s) do(es) your solution target through it's programming?

13-17, 18-35, 36-64.

Intervention Focus: Identify which of the following best explain key parts of your solution

Job Creation, Entrepreneurship, Mentorship, Products or Services, Rural Economies.

Do you have separate programs or initiatives that target the following types of populations?

Impact - Reach: How many people did your project directly engage in programmatic activities in the last year?

0 to 500

Number of People Directly Employed by Your Organization

Fewer than 10

Number of Volunteers

Fewer than 10

Does your project utilize any of the innovative design principles below? Select a theme below that most applies to your work. If none of them do, no problem, you can skip this question.

Put Young People in Charge: provide the experiences and skills needed to be resilient, creative, and take action

Is your project targeted at solving any of the following key barriers? Select a theme below that most applies to your work. If none of them do, no problem, you can skip this question.

Lack of youth empowerment