SOLmobility

In Bangladesh, the electric three wheeler (E3W) market confronts a significant hurdle stemming from the prevalent use of substandard lead-acid (LA) batteries in the country's 4 million electric three-wheelers (E3Ws). Originally designed for stationary applications in solar home systems, these batteries are now repurposed for E3Ws, resulting in a markedly short lifespan of merely 9-12 months. Compounding this issue are the unregulated and informal market practices, burdening drivers with exorbitant interest rates ranging from 280-360%, thereby creating severe financial strain. Moreover, the absence of a battery management system (BMS) leads to overcharging, posing health risks due to toxic fume emissions during both charging and recycling processes. The crude recycling methods employed further exacerbate environmental and health hazards, impacting not only workers but also surrounding communities especially children increasing their Blood Lead Levels (BLLs) to exceed allowable levels and impacting their neuro development.  The current four million vehicles generate over 180,000 tonnes of used lead from batteries which are recycled across 800 crude recycling plants around the country.

To address these pressing challenges, there is an urgent imperative to widely adopt high-quality smart lithium-ion (LI) batteries within the EV market. Replacing these batteries currently on the market is not just beneficial for the environment but also necessary. This would be the first step towards scaling up the transition towards better battery technology. LI batteries are more energy efficient consuming 40% less electricity than the typical LA battery. They also take 50% less time to charge which enables demand shifting to charge them at times when there is less pressure on the grid. The batteries are much lighter allowing the vehicles to carry more weight as is the case for those transporting goods. On top of that, they last up to 6 times longer and can be made smart through the integration of IoT. This allows the batteries to be leased through smart financing while providing asset securitization, an important puzzle piece to make them affordable. These advanced batteries not only deliver superior energy efficiency but also foster a safer and more sustainable transportation landscape across Bangladesh.

SOLshare intends on taking this a step further to help address the energy challenge in the country and leverage this approach for the testing of virtual power plants through the integration of smart distributed solar powered storage assets (i.e. the vehicle batteries + rooftop solar on the charging garages). This is fully implementable under the current regulatory framework. The scale-up potential of our work can be multiplied via additional policy support in key areas, e.g. incentivization of grid ancillary services. Moreover, the VPP approach underlines the ambition to leverage existing resources in support of a more aggressive renewable energy expansion. This will result in multiple co-benefits while fighting climate change: indirect financial support for low-income levels through pro-poor policy while adding renewable energy generation and storage to the grid which otherwise would be largely underutilized and supports grid stabilization. This is also a reference for other developing countries seeking smart ways for integrated electrification efforts.

SOLshare's innovative micromobility solution, SOLmobility, tackles the challenge of poor-quality lead-acid (LA) batteries in Bangladesh's electric vehicle (EV) market by introducing smart lithium-ion (LI) batteries. Collaborating with E3W charging stations and Microfinance Institutions (MFIs), SOLshare implements a strategy wherein smart technology-integrated batteries are deployed in solar-equipped garages. These batteries are then offered to drivers on a Pay-As-You-Go (PAYG) basis through mobile money transactions.

SOLmobility operates on two key fronts: first, by incorporating solar energy into the charging infrastructure, it effectively reduces energy costs for garages. Second, it provides EV drivers with access to cutting-edge technology and flexible financing options, thereby enhancing their overall experience and facilitating the transition to cleaner transportation solutions. Moreover, when interconnected with the grid, rooftop solar installations empower garages to sell surplus energy back to the grid, thereby augmenting their sustainability and economic viability.

The battery technology is a PAYG integrated Internet of Things (IoT) device using software as a service (SaaS) technology for smart battery management, making these batteries Bluetooth-enabled units, able to communicate with Android smartphones. This allows garage owners to lease batteries to drivers for use with an automatic shut-off function in the garage ownerʼs smartphone app timed to switch off the battery after a pre-paid duration fixed according to the amount of top-up chosen by the driver.

We use a financially inclusive business model, that offers these remotely controlled smart batteries as asset-backed securities for financial institutions to invest in. SOLshare has memorandums of understanding (MOUs) with local battery manufacturers that procure and assemble LI batteries in-country to be integrated with our smart tech. These are then sold to partner MFIs who deploy the smart tech integrated batteries to partner charging garages to be leased to EV drivers through affordable financing schemes.

First, the business model provides EV drivers with access to better technology and financing mechanisms, so they may earn up to 34% more in daily income through less electricity consumption and subsequently, lower costs while increased efficiency allows for more trips. Each time SOLmobility swaps out an LA  battery for our smart LI battery, we save 2.41 tCO2 emissions per day on each battery through a 40% decrease in energy consumption. Secondly, it integrates renewables (solar) into charging infrastructure reducing energy costs for garage owners. Rooftop solar provides EV charging stations with the option to feed their excess energy into the grid (when net metered) and to generate electricity at a lower cost than the grid tariff, lowering CAPEX by up to 40% for garage owners. 

In essence, SOLmobility not only addresses the pressing issue of substandard batteries in the EV market but also fosters a more sustainable and economically viable ecosystem. By leveraging smart technology, innovative financing models, and renewable energy sources, SOLshare is paving the way for a brighter and cleaner future in Bangladesh's micromobility sector.

Though the main beneficiaries of the project are the drivers, an increased income directly benefits their families who are women and children. Therefore the deployed batteries would positively impact way beyond direct beneficiaries. Electric three wheeler vehicles running on smart batteries are a clean form of sustainable transport that is cheap and also provides safer passage for women than public buses where harassment is a big problem. Previously women were less inclined to be a part of this sector because lead acid batteries required overnight charging, are extremely heavy weighing more than 3-4 times a LI battery while also damaging the vehicle over time and as well causing skin and clothing burns to the users. LI batteries being lighter and able to charge faster and during the day will encourage more women into the sector.

SOLmobility offers a financially inclusive solution that is swapping LA batteries for LI under a business model that benefits all actors across the value chain. The heavy upfront cost of owning a battery, previously passed from battery manufacturers to distributors to garage owners to drivers, is mitigated by involving MFIs in the model that provides asset-backed financing on the batteries. Hence, EV drivers, our key beneficiaries are able to avoid the huge costs of owning and maintaining batteries by switching to our solution. Garage owners no longer have to worry about drivers defaulting on their high interest loans and battery manufacturers no longer need distributors as they directly sell smart batteries to MFIs, a new player who is tapping into a new market with the comfort of data insights. 

Bangladesh currently has over 4M E3Ws, facilitating transportation for over 150M people. Every time we swap out an LA battery for our smart LI battery, we reduce 2.41tCO2 per battery per day emissions through a 40% decrease in energy consumption. Ultimately the solution doesn't just benefit the drivers, the garage owners and those along the value chain, but the country as a whole through the development of clean and sustainable transportation.

Over time the solution aims to change the way these batteries are viewed in the country as this will turn a burden to the grid into an asset that not only enables more power but also increases grid stability and resilience. Through access to better technology and financing mechanisms the drivers will be able to come out of their poverty traps while simultaneously enhancing their family livelihoods through increased income. 

Over the past eight years, the team at SOLshare has showcased remarkable expertise and ingenuity in the renewable energy sector. Their pioneering efforts led to the creation of the world's first solar peer-to-peer (P2P) microgrid, fundamentally transforming energy distribution dynamics and setting a new standard for sustainable and inclusive energy access. Through this groundbreaking achievement, the team demonstrated a deep understanding of both the technical intricacies and the socio-economic implications of renewable energy deployment.

With a strong focus on collaboration and innovation, the team at SOLshare has successfully implemented 120 P2P grids across Bangladesh, a testament to their ability to navigate complex logistical and regulatory landscapes. Additionally, their partnerships with 50 EV garages and deployment of over 160 smart batteries in electric three wheelers, including the establishment of Bangladesh's inaugural EV charging station equipped with net metered solar PV, underscore their adeptness at forging strategic alliances to drive impactful change.

A recent milestone exemplifies the team's expertise and forward-thinking approach. By interconnecting one of their microgrids with an E3W charging pitstop and the national grid through a point of common coupling (PCC), the team at SOLshare has demonstrated their proficiency in integrating diverse energy systems to create resilient and interconnected energy ecosystems. This achievement not only showcases their technical prowess but also highlights their ability to pioneer innovative solutions that transcend traditional boundaries.

Furthermore, the team's early years of developing microgrids in rural Bangladesh provided invaluable insights into the delicate balance between motivating initial user participation and ensuring the long-term sustainability of projects. This experience has honed their strategic acumen, enabling them to devise solutions that are not only impactful in the short term but also economically viable and scalable in the long term.

Integral to the team's success is its collaborative ethos, which emphasizes partnerships and co-creation. By working closely with stakeholders across sectors, including EV charging stations, microfinance institutions, and governmental agencies, the team at SOLshare has built a robust ecosystem that amplifies their impact and accelerates progress towards shared goals. This collaborative approach fosters innovation and agility, enabling the team to adapt to evolving challenges and seize emerging opportunities.

Since pioneering the world’s first solar peer-to-peer (P2P) microgrid in 2015, SOLshare has remained at the forefront of renewable energy innovation. With 120 solar P2P microgrids, partnerships with 50 electric three-wheeler charging garages, 165 smart technology-integrated batteries, and 2.3 MWp of solar rooftop installations across Bangladesh, our impact continues to grow. One of our recent initiatives involves creating a mini virtual power plant that connects a P2P microgrid with a solar-powered EV charging pitstop, enabling the community, particularly farmers, to feed excess solar energy back to the national grid while enhancing their economic empowerment.

Through our scalable solution, SOLmobility, we have deployed 161 lithium-ion batteries integrated with our smart technology in collaboration with 50 EV charging garages throughout Bangladesh, positively impacting over 60,000 beneficiaries. By partnering with financial institutions and battery manufacturers, we have established a mutually beneficial model where all stakeholders benefit, and drivers are empowered through increased income, access to advanced technology, and improved financing mechanisms. To date, our solutions have contributed to an annual reduction of over 2,300 metric tons of CO2 emissions. With the traction we have received with SOLmobility since its introduction and response from our beneficiaries, we are ready to push for growth and transform the way the E3W industry operates.

SOLshare's overarching vision is centered on the development of solar Virtual Power Plants (VPPs), utilizing smart lithium-ion (LI) batteries to provide ancillary services to the national grid. These cutting-edge battery technologies facilitate remote control and monitoring of distributed storage assets, enabling seamless integration into the grid's operations. The VPP concept entails utilizing these smart batteries to support the grid during peak load periods and recharge during off-peak hours, thereby optimizing energy usage. The ultimate goal is to assess the feasibility of excess electricity feed-in from distributed storage assets, augmenting income through energy trading with the grid. This blueprint extends to encompass the approximately 4 million electric vehicles (EVs) currently operational across the country, with plans to remotely control a fleet of around 30,000 smart LI batteries within the next two years to offer VPP services to governmental tender bidders.

By securing funding from SOLVE, SOLshare aims to advance micro-mobility solutions by introducing grid ancillary services via vehicle-to-grid (V2G) charging. This innovative strategy taps into the surplus battery charge often present in vehicles upon returning to charging stations. By redirecting this excess energy back into the grid, there's potential to offset up to 25% of the nation's peak demand, thereby reducing reliance on environmentally harmful heavy fuel oils (HFOs).

To bring this ambition to fruition, SOLshare will collaborate with key partners, including battery manufacturers and financing institutions. This collaborative approach strengthens the ecosystem necessary to support widespread adoption of smart batteries across Bangladesh. Moreover, it aligns with broader objectives of facilitating the energy transition by encouraging greater uptake of renewable energy sources.

SOLmobility’s core objective is to decrease electricity costs for charging stations by harnessing solar power generated on-site during daylight hours. Any surplus solar electricity generated will be fed back into the grid, effectively reducing overall electricity bills through net metering arrangements. By incorporating solar panels, charging station operators can offer lower tariffs to vehicle owners, with the savings gradually covering the cost of the solar system. Ultimately, these cost reductions can be passed on to the charging station owners, potentially leading to a substantial decrease in overall electricity expenses.

Our solution, SOLmobility, stands out for its innovative approach to addressing transportation infrastructure challenges. At its core, SOLmobility harnesses the power of IoT technology for seamless mobile communication, setting it apart from traditional approaches. This technological integration enables the real-time gathering of crucial battery performance data and facilitates cashless transactions through mobile wallets, streamlining the user experience.

What truly sets SOLmobility apart is its utilization of smart lithium-ion (LI) batteries, which offer a myriad of benefits. These batteries not only provide valuable insights into usage patterns but also ensure asset security through remote controllability. By allowing for optimized charging schedules based on peak and off-peak hours, SOLmobility maximizes efficiency and minimizes operational costs.

Moreover, SOLmobility introduces a novel approach to financial management within the EV ecosystem. Battery activation is tied to monthly repayments, digitally monitored to promote asset security and accountability. This affordability for EV drivers translates into enhanced control and revenue opportunities for garage owners, battery manufacturers, and microfinance institutions (MFIs).

For battery manufacturers, SOLmobility offers proactive troubleshooting capabilities through its analytics platform, providing invaluable insights derived from drivers' usage patterns. Garage owners, on the other hand, maintain full control over battery assets, ensuring compliance with lease terms and optimizing operational efficiency.

Meanwhile, MFIs benefit from increased visibility into financing transactions, enabling more informed decision-making and risk management practices. In essence, SOLmobility fosters a symbiotic relationship among all stakeholders involved, offering a mutually beneficial solution that drives innovation and fosters collaboration within the EV ecosystem.

Our solution, SOLmobility, aims to address the challenges of energy sustainability and grid stability by harnessing the power of lithium-ion (LI) batteries in charging garages, combined with rooftop solar installations and smart battery technology. By leveraging these components, we create a network of remotely controlled and monitored batteries that serve as distributed storage assets. These assets not only alleviate strain on the power grid but also offer ancillary services through vehicle-to-grid and grid-to-vehicle charging, essentially forming a virtual power plant (VPP).

The ultimate goal of SOLmobility is to optimize the use of LI batteries by doubling them as distributed storage units, capable of feeding excess solar energy back into the grid during peak hours. To achieve this, we deploy Android smartphones to EV drivers, enabling peer-to-peer communication among batteries. This facilitates efficient coordination, ensuring that a significant percentage of drivers are available to charge their batteries or contribute excess energy to the grid when needed.

The potential impact of SOLmobility is substantial. With an estimated 4 million EVs in Bangladesh, there is a VPP potential of 4GW, representing over 25% of the country's peak load. By effectively utilizing existing EV infrastructure and renewable energy sources, SOLmobility has the capacity to significantly reduce reliance on traditional power sources, mitigate grid instability, and accelerate the transition to a more sustainable energy future.

• 600MWp localised renewable energy generation - estimated at 20kWp across each charging station; scaled across all 30K charging stations throughout Bangladesh, this comes to 600MWp for charging stations alone

• 40% less energy consumed per E3W through battery efficiency gains, translates into 4 million mtCO2 emissions saved annually by replacing 4M LA batteries with smart lithium-ion batteries; for the grid this means it needs to cater 40% less load for these EVs, and it can cater to them at a time when it has surplus energy instead of times of shortage

• A 25%+ increase in income for E3W drivers - drivers save on battery maintenance, vehicle damage & lower electricity costs when swapping out LA for LI batteries

• 40%+ energy savings for garage owners - solar rooftop combined with energy efficient batteries means garage owners benefit from reduced electricity consumption; 80% of the OPEX of a charging garage constitutes its utility bills, so a 40% efficiency gain implies a reduction of 32% of the total operating cost of a garage

• 4 million E3W drivers gain access to better technology i.e. smart batteries & an increase income

SOLshare has successfully introduced a market-ready solution to encourage the use of smart batteries in light electric vehicles (EVs). This innovative IoT-based technology, originally developed in Germany and internationally patented (PCT #1020221027856), allows for the daily rental of lithium-ion batteries with locking and unlocking features, alongside comprehensive data monitoring capabilities. This existing technology forms the basis for their latest innovation, the Rickshaw Virtual Power Plant (VPP), which brings together a fleet of EVs equipped with these IoT-based smart batteries.

These vehicles not only charge in a grid-friendly manner but can also collectively supply power back to the grid, effectively forming a virtual power plant (VPP) in Bangladesh. The Rickshaw VPP has a pooling capacity of 1 kW per vehicle, totalling over 4 GW when considering more than 4 million vehicles—representing over 25% of the country's peak load.

While VPPs have been deployed globally and piloted with EVs, this innovation offers a cost-effective and dependable solution for power distribution. The technology has been developed for rapid scaling, aiming to achieve 100 MW by 2030 and surpass 1 GW by 2035. This ambitious plan promises to significantly contribute to Bangladesh's energy transition and accelerate the adoption of renewable energy sources throughout the country.

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9 years - Officially incorporated - SOLshare

3.5 years - SOLmobility

SOLshare is an equal opportunity employer. We do not discriminate in employment, recruitment, Board membership, advertisements for employment, compensation, termination, upgrading, promotions, and other conditions of employment against any employee or job applicant on the basis of race, color, religion (creed), gender, gender expression, age, national origin (ancestry), disability, marital status, sexual orientation, or military status, or for any other discriminatory reason.

The solution uses a financially inclusive business model aimed at providing access to remotely controlled smart batteries through asset-backed securities for microfinance institutions/finance institutions (MFIs/FIs) to invest in. SOLshare has established memorandums of understanding (MOUs) with local battery manufacturers to procure and assemble lithium-ion (LI) batteries in-country, which are then integrated with our smart technology. These smart tech integrated batteries are subsequently sold to partner MFIs, who deploy them to partner charging garages. These batteries are then leased to Electric Three-Wheeler (E3W) drivers through affordable financing schemes.

In this model, SOLshare acts as an intermediary, facilitating the connection between battery manufacturers, MFIs/FIs, and charging garages. The batteries, equipped with smart technology, enable remote control and monitoring, enhancing operational efficiency and reliability. By partnering with local manufacturers, SOLshare ensures the availability of batteries tailored to local needs and specifications, thereby fostering local economic development.

The partnership with MFIs/FIs enables access to financing for E3W drivers, who may otherwise face barriers to acquiring smart batteries. This financing scheme not only promotes the adoption of clean energy solutions but also empowers drivers by providing them with access to essential technology. Additionally, the leasing model offers flexibility and affordability, making it accessible to a broader range of drivers.

SOLshare has thus far accomplished various donor-funded projects and has also raised investments till Series A. SOLshare plans on deploying its solution across more regions throughout the country through similar projects and reach the capacity till it can sustain its capacity through its revenues

The financial support mechanism designed to facilitate investments in the proposed technologies/practices involves innovative leasing models tailored for different stakeholders. SOLshare’s leasing model offers batteries financed by microfinance institutions (MFIs) or financial institutions (FIs). These entities stand to gain returns of up to 20% over three years. This arrangement mitigates risks for borrowers, as they can make relaxed and affordable weekly payments rather than outright purchasing the batteries. The use of weekly payments eases the burden on borrowers, making it more accessible than direct ownership. Additionally, lenders benefit from this model as they can remotely control the batteries using smart IoT technology, thereby minimizing the risks associated with default loans.

In the SaaS model, there's an opportunity for even higher returns, potentially up to 230% as the batteries are used for up to four years. Under this model, borrowers are not burdened with ownership responsibilities but can still benefit from the batteries' services. They pay a leasing fee of up to 1.85 EUR daily, allowing them to utilize the batteries without being liable for them.
These leasing models provide financial flexibility and risk mitigation for both borrowers and lenders. By leveraging technology and innovative financing structures, SOLshare creates avenues for investment in sustainable energy solutions while ensuring affordability and accessibility for all stakeholders involved.