February 27, 1981, the Federal Republic of Germany and the Republic of the Philippines entered into a contract to develop applications of solar energy in the Philippines. The project was called the Philippine-German Solar Energy Project (PGSEP). The technology involved the capsulation of the sun’s rays through panels of photovoltaic (PV) cells. The encapsulated energy charged a wet cell battery, controlled by battery control unit (BCU). It produce direct current (DC) power to run a DC appliances. Additionally, DC current can be converted alternating current (AC) to run AC appliances. These applications tested by the PGSEP.
The PGSEP was confident that this application able to solve the Philippine’s rural electrification needs most especially in the areas sparsely populated where line extensions from existing conventional grids were not economically feasible. The components are found in the Philippines except for solar panels. They also identified possible companies that can supply the components, one of them was Strucktura, Inc. which produced the steel frames. However PGSEP had a problem, the project was to be terminated by the end of the year. They want to identify possible local group to undertake the project commercially but the Philippine Government disallowed them from commercializing.
II. TIME FRAME
1988
Based on the Energy Market Data
III. VIEWPOINT
Mr. Antonio Co – President of ALCO Group
IV. STATEMENT OF THE PROBLEM
1. The feasibility of commercialization of Solar Home System (SHS) project in rural areas in the Philippines.
2. Decision of Strucktura, Inc. about SHS project.
V. AREAS OF CONSIDERATION
STRENGTHS
WEAKNESSES
SI worked with PGSEP for four years
SI manufactured best quality steel frames and bases for the panels
Solar Home System has a low maintenance cost
Cost of extension lines from the power grids is cheaper within 17 km.
Limited generated power of Solar Home System for consumption