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Entry Barriers for DG Projects
Development
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Project Development Skills
related to a DG facility is similar in complexity to that of a
large Power Plant. Hence, Large Utilities (with high man hour
costs) find DG Projects development to be cost prohibitive. |
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Process Capabilities related
to energy resource availability study along with social/ environment
impact analysis and engineering/construction of DG facility with
optimum efficiency/availability are not widely available. High
caliber personnel need a professional & growth oriented work
environment, which most DG promoters fail to provide. |
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Sustainable Biomass Supply Chain
requires ability to interphase with and mobilize involvement of rural
communities. Most DG Project developers fail to address this issue
with systemic approach. |
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Project Financing of DG
facilities requires an understanding of CDM, relationship with DFI's (Development
Funding Institutions) and, most critically, ability to raise low
cost/ long tenor debt funds. Most DG Project developers lack above
knowledge as well as balance sheet strengths. |
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