Startup Perú, of the Ministry of Production, announced that PowerMundo, an international social enterprise that promote the use of clean technologies, was selected as a Dynamic and High Impact Entrepreneur. Thanks to the recent contest and PowerMundo’s proposal entitled: “Improving Lives with Solar Energy, Innovative Financing, and New Digital Technology,” PowerMundo will receive approximately $45,000 (S/. 137,000) and additional support from experts at the Startup Perú Program to build its business.
Startup is an initiative that promotes young Peruvian companies that offer innovative products and services with high technological input, project growth in international markets, and generate high-quality jobs. The initiative aims to support companies that develop creative solutions to complex problems and who can not only survive, but also grow and thrive over time.
With years of experience distributing clean energy technology in Latin America, PowerMundo recognizes that a lack of awareness, high product distribution costs, and especially the lack of efficient consumer credit inhibit the rapid uptake of clean technology solutions at the BOP.
To solve these challenges, PowerMundo is scaling up implementation of innovative, digital pay-as-you-go (PAYG) financing technology that allows end-users to digitally pay for solar energy in weekly installments. PAYG is a pioneering, game-changing digital credit system that removes the initial financial barrier to solar energy access by allowing consumers to make a series of modest payments to purchase a week’s worth of solar energy rather than paying upfront for the entire solar lighting system.
PowerMundo is successfully implementing PAYG projects with support from the Renewable Energy and Energy Efficiency Partnership (REEEP) and the Inter-American Development Bank (IDB). With additional support from Startup Perú, PowerMundo will distribute larger solar PAYG systems with greater capabilities, in addition to complementary life-enhancing products.
Over 4 million Peruvians lack access to electricity and many Peruvian families at the base of the economic pyramid (BOP) spend more than 10% of their daily income on diesel fuel to fill a lantern to light their home. If more Peruvians could invest a small portion of their daily income towards a solar energy system for their home, they could save hundreds of dollars, protect their families from the risk of fires, live healthier lives, and conserve the environment.
Background & Partners
PowerMundo is a social enterprise that was born at Colorado State University in 2007. By continuing to innovate and develop leading edge marketing, financing and distribution models, PowerMundo improves access to solar and other clean technologies to help people in developing communities improve their livelihoods, well-being, and environment. PowerMundo and its partners are rapidly scaling up their positive impact and their effectiveness in increasing access to energy around the globe.
Startup Perú, established in 2012, is a program under the Peruvian Ministry of Production and provides financing for entrepreneurial endeavors.
This Startup Perú award complements PowerMundo’s continuing support from the IDB, Agora Partnerships, and GIZ/EnDev and previous support from REEEP and the U.S. State Department’s Energy and Climate Partnership of the Americas (ECPA) program.