Bharat Solar Pvt Ltd
Introduction
With a motto "TO IMPROVE THE QUALITY OF LIFE" by harnessing solar energy, Bharat Solar
(P) Limited , an ISO 9001:2000 Certified Company, was established in 2006. Thecompany has
its corporate Office in Delhi and manufacturing facilities at Noida, Uttar Pradesh and Andhra
Pradesh. A complete module line has also been set up NOIDA to cater to the growing demand.
Bharat Solar Pvt. Ltd is the manufacturer of Solar Photovoltaic Cells in India. It also designs,
engineers and manufactures a wide range of Solar Water Heaters, Solar Air Conditioning
Systems, etc. for various Residential, Commercial & Industrial projects. All components are
manufactured in-house and with stringent control over Quality, Delivery and after-sales service.
The central emphasis of visualizing Bharat Solar is to solve the energy problem by connecting it
to the bountiful and perpetual reservoir of Mother Nature. The vision of the company is to
provide a natural source of Energy at affordable prices.
The aim of Bharat Solar is to provide solar electricity, especially to the rural population while
ensuring quality. In the same direction, the Company has installed Solar Power Plants at Uttar
Pradesh and some remote areas of Chhatisgarh.
In a very short time, the company has established its marketing network in Delhi/NCR,
Rajasthan, Maharasthra, Gujarat, Chhatisgarh, Karnataka, Tamil Nadu, Andhra Pradesh, Kerala
etc. including clients from both Public and Private sectors.
As the demand has been increased in recent years, the company has managed to increase its
production capacity upto 150%.
Reasons to go international
After gaining grounds nationally, Bharat Solar decided to go international with the aim to:
To increase sale and profits.
To cater the demand the company is getting internationally
to strengthen the company by diversifying into international markets.
To experience new knowledge and enhanced domestic competitiveness.
To have new ideas, new approaches, new marketing techniques learned from exposure
of the global marketplacewhich can be successfully applied domestically
Country: South Africa
Bharat Solar decided to start its operation internationally with South Africa.
Why South Africa?
South Africa is one of the regions with the highest solar irradiation in the world.
• It is reasonable to generate energy with solar systems in South Africa.
• Countries like Germany with a very low irradiation already have installed over 400 MW of
photovoltaic systems.
Socio-Economic Environment
• South African citizens no longer assured of continuous electricity supply which causes major
problems in their daily lives.
• Unscheduled and scheduled supply interruptions are increasing.
• Significant improvement of the current situation within the next 10 years is not likely.
Benefits of Solar Energy
Solar Energy can be used for efficiently generating electricity and for efficient heating.
• Solar Energy is free - monthly costs savings on electricity bill.
• Ensures continued power supply on key appliances at home or in the office, thereby mitigating
damage during power surges and outages.
• Reduce the household reliance on Main Grid Energy supply.
• Contribute towards environmental issues.
Considering the above factors, there is a major scope of growth for Bharat Solar.
Mission: Bharat Solar intends to provide an alternative energy source for On- & Off-grid
consumers through the supply, installation & maintenance of solar driven energy systems.
Photovoltaic (PV) System- Ideally suited as a back-up solution in on-grid and as a source of
electric energy in off-grid areas!
PV Module- Converts the solar irradiation into DC power.
Battery-Stores the energy for periods of low irradiation and feeds the inverter for day-to-day use.
Inverter- Converts DC to AC load, AC is required to operate common applications like TV,
notebook, etc.
Charge Controller-Charges the battery at an optimum for efficiency and longer lifetime.
Operation in South Africa: Kenya
In south Africa. The Company will be operating from Kenya.
In Kenya, most rural households get their electricity from solar energy than from the official rural
electrification program (REP). The spread of the photovoltaic systems has been recent, rapid
and market driven. The service is as good as the grid for the low power loads that prevail in
many rural areas, and the price is competitive with other options for low loads. Customers can
buy it “off the shelf”.
Cultural Profile
o Population – 39,002,772*
o Official Languages – English, Kiswahili ( also known
as Swahili)
o Currency – Keyan Shilling
o Capital City – Nairobi
Overview
Kenya lies to the east of the African continent and has a coast on the Indian Ocean. The country
stradles two of the most famous lakes in Africa - Lake Turkana and Lake Victoria. At its heart is
Mount Kenya from which the country takes its name. The Kenyan population is heterogeneous,
comprising seven major ethnic groups as well as tens of smaller ones and non-Kenyan
communities. There is a religious mix with a Christian majority and Muslim and indigenous
religious minorities. Formerly a British colony, Kenya achieved independence in 1963.
Understanding the various cultural norms and ethnic and religious groups is essential when
doing business in Kenya.
Group-relations – Kenyans have strong affiliations to their ethnic group or tribe and sometimes
place them in front of the ‘nation’. The family is at the heart of Kenyan life and is given priority
over everything else.
Religion – The majority of the population is Christian (Protestant and Catholic) but there is also
a substantial Muslim (Sunni) minority. Both Christians and Muslims have managed to
incorporate traditional practices into their respective religions creating unique blends to suit their
particular needs.
Work Culture in Kenya
o Working practices in Kenya
• Business hours in Kenya are from 9:00am to 4:00pm, with a one hour break for lunch
between 1:00pm and 2:00pm. Some businesses also operate on Saturday mornings.
• Kenyans have a flexible attitude towards time, so don’t be surprised if business meetings
or social events begin late. Punctuality tends to be expected when dealing with foreigners
though, so make sure to arrive on time.
• Kenyans do not tend to schedule a precise end to meetings. What matters is not adhering
to a schedule but ensuring that everbody involved is satisfied with the outcome.
Therefore make sure to leave enough time in your agenda when attending a meeting.
o Structure and hierarchy in Kenyan companies
• Business hierarchies are generally clearly defined, especially in familiy owned
companies. Although employees are welcome to give suggestions and comments, the
final decision is taken by senior members or managers.
• Education and experience are important qualities and main sources of credibility. A
personable character can earn extra credit. Foreigners tend to be approached with high
regard simply on the basis of their international expertise.
• Hierarchy plays an important role in the business structure of Kenya. Be mindful of a
colleague’s title and their place in the organisation. Decision making in Kenyan
businesses tends to work on a top-down basis, with objectives set and decisions made by
those in the highest positions.
o Working relationships in Kenya
• Hospitality figures highly in Kenyan culture. Greetings have high importance in
interactions and often include asking about the health of your counterpart or their family.
• Respect and deference to one’s elders should be observed when in Kenya.
• First business meetings are often quite formal until the relationship is established.
• Relationships outside of the business environment can help build stronger ties too. The
unofficial and informal nature of networking out of the office can help cement a stronger
working relationship. This is often done by offering your colleague a drink or meal.
o Business practices in Kenya
• Being a polychronic society, Kenyan business practice focuses on getting things done by
order of priority rather than working to a set time schedule.
• In many businesses the working day will halt at specific times for Muslim members of
staff to pray.
• Business attire is formal in Kenya. Men wear suits and ties while women wear long
dresses or skirts which reach below the knee. Women do not usually wear trousers
although this trend is slowly changing. Women should make sure their shoulders are
covered and should not wear anything too revealing.
• Business cards are often used in Kenya and should be given and received with both
hands.
IV. Challenges Encountered in the South
African Renewable Energy Industry
IVa. Human Resource Challenges
Corruption / Business Ethics
• Corruption at institutions is still a wide-spread problem. Standing relationships between
officials, staff and clients have shown to prejudice work done at institutions.
• Tendering for public and private contracts usually entails giving “backhanders”. New
players in the market risk falling for such requests, especially if financial pressure
mounts and/or the perception is created that it is “standard practice”.
Qualifikation
• It is difficult to find suitably qualified personnel. Cross-functional requirements often
exist, i.e. an installation team for a certified SWH installation needs to consist of a
plumber and electrician, increasing the cost of an installation.
• Renewable energies mostly do not, and if so, insufficiently form part of plumbers &
electricians syllabus.
Quality Consciousness
• Clients are to a large extent cost driven in their purchase decision. A long-term
decision is rarely made, therefore the pressure is on the installer not to waste time
on reinforcements, life extending components, and servicing.
• Cheap products and fly-by-nights give the industry a bad name.
IVb.Technical Challenges
Standardisation
• Even though standards exist for SWH, these are implemented differently by every
testing facility.
• Standards from other countries are not accepted in South Africa.
• Unnecessarily draconian standards exist.
• Limited to no standards exist for other renewable energy technologies, i.e. PV / wind.
Testing Facilities
• Testing facilities are not sufficiently equipped to handle all the testing requirements.
• Facilities are not equipped with state-of-the-art equipment to handle the samples
and / or to maintain a standard for all products.
• Outsourced services open the door to bribery and favouritism.
Quality Assurance
• Adherence to requirements laid out by law are not controlled, and reports of
misconduct are insufficiently apprehended.
• Testing quality is often questionable and little to no transparency is given.
IVc. Political Challenges
Incentives
• Countries, where incentives for renewable energy technologies were incentivised did so
decisively, with generous and regressive incentives. Feed-in tariffs were not only
decided on, but also enforced by law.
• The SABS incentive is not sufficiently high. A system which qualifies for the rebate
system is by default R1500.00 more expensive (due to the timer, special anodes, etc.),
takes approx. 8 months to get SABS approval (at a cost of approx. R40k) and a further
12 months to get the Mark (at a cost of further approx. R80k). This by far exceeds the
R1k to R3k rebate, which in itself takes 3 moths to apply for from a client perspective.
Therefore South Africa is flooded with systems which are not SABS approved.
Tenders
• Requests for tenders are often submitted with insufficient information.
• The outcome of the tender is not published and it remains unclear who won it.
Red Tape
• The government and public institutions have managed to create a “2-classindustry”;
those who import (who therefore have to comply with SABS standards to
be able to clear their imports), and those who manufacture locally.
Doing Business in Kenya
Kenya is the one of Africa’s more affluent nations and is seen a business hub for East Africa.
The country’s economy has been hampered though by corruption and a reliance on certain
goods whose prices have failed to rise sufficiently. Kenya has also been affected by the global
economic downturn and in 2008 saw a 7% drop in its GDP growth from the previous year.
Despite this, tourism, manufacturing and investment have predominated in the Kenyan
economy over the last four decades giving Kenya a prized position within Africa. Understanding
how Kenya’s economy and politics impact its business culture will help you when doing
business in Kenya.
Leadership Styles
Participative (democratic)
This style involves the leader including one or more employees in the decision making process
(determining what to do and how to do it). However, the leader maintains the final decision
making authority. Using this style is not a sign of weakness, rather it is a sign of strength that
your employees will respect.
This is normally used when you have part of the information, and your employees have other
parts. Note that a leader is not expected to know everything — this is why you employ
knowledgeable and skillful employees. Using this style is of mutual benefit — it allows them to
become part of the team and allows you to make better decisions.
Both the parts know about solar plants and various products. Both can exchange information
and discuss about the shortcomings .
Team Motivated Projects
Everyone can be inspired to achievement in a team-motivated environment. With a common
goal, team members support each other until success is achieved. In this environment, others
do care and team members are needed for achieving the goal. For this reason, team motivation
is extremely powerful. The exchange of ideas, information and testing the results, adds to the
motivating force. As a result, each member seeks to be a leader of quality input.
Communication Style
• English is widely spoken in Kenyan business environments and you can expect your
counterparts to have good language skills so you can conduct your business in English. A
little knowledge of basic Kiswahili phrases always leaves a good impression and can help
to break the ice.
Direct and frank communication is not the norm in Kenya. Kenyans will always attempt
to qualify what they say so that the message is delivered in a sensitive way. This comes
down to wanting to protect people’s face and the relationship.
In their attempt not to cause problems, Kenyans often use metaphors, analogies and
stories to make a point. They are uncomfortable with blunt statements. If you are from a
culture that prizes directness, you may wish to moderate your delivery style. It is also up
to you to read between the lines and decipher what may really being said. With this in
mind, criticism should be delivered in private and given in a circumspect manner.
Kenyans may gesture for emphasis when speaking. Loud voices are generally only used
during disagreements in business situations, although in rural areas, louder speaking
tones are the norm. Showing anger is considered a sign of mental instability. Kenyans
pride themselves on their emotional control and expect the same in others.
Since maintaining honor and dignity are paramount, Kenyans may offer what they
believe is the expected response rather than say something that might embarrass the
other person. They often go out of their way to keep from doing something that could
bring shame to another person. They expect business colleagues and superiors to
inquire about their family before beginning a business discussion.
Thus, the company’s staff would not face much communication problem but they should have a
basic knowledge of Kiswahili language to communicate better.