Summary

This project is part of a UK-Indian collaboration entitled 'Bridging the Urban and Rural Divide' (BURD). Rural communities in both countries share similar challenges. Limited rural transport makes access to services difficult, time-consuming and expensive, which disadvantage the poor, elderly and sick. Universal access to clean and efficient energy sources has long been viewed as critical to global needs and expanding access to good quality, stable, energy options in rural areas is therefore essential. Not only does this help to address the problem of dependence on fossil fuels; it also enables rural areas in the UK and India to benefit from the multiplier effect of energy services on health, education, transport, telecommunications, water, sanitation as well as from investments in and the productivity of income-generating activities.

The overall aim of the project is to create Rural Hybrid Energy Enterprise Systems (RHEES), which can be adapted for local needs and help deliver a step change in making rural living sustainable. In rural areas biomass is one of the most versatile energy-generating options.  The technical teams are developing innovative, low-carbon, sustainable biomass-fuelled hybrid energy systems that utilise wastes and residues.  The role of the MMU team is to identify appropriate business models for sustaining energy generation at the community level.

Project Partners:

Professor Michele Clarke, Nottingham University (Principal Investigator) with research teams from Loughborough University, University of Birmingham, University of Leicester and Bishop Grosseteste University, Lincoln

Key Findings

A review of published evidence about community renewable energy in the UK highlights the following.

• Community and co-operatively-owned energy generation is a small but growing part of an independent sector
• There are many example of vigorous and successful opposition to renewable energy development - renewables owned or part-owned by communities tend to be more locally acceptable
• Developing and utilizing renewable technologies almost always involves partnerships and collaborations
• Local champions (who sometime  identify themselves as “social entrepreneurs”)  can generate, coordinate and communicate action
• New organisational forms such as a resident-owned Energy Service Company (ESCO) have had  mixed success but there is evidence of at least some potential for collective co-provision of energy services

Interim observations from case studies

Cross sectoral models need to accommodate the various (and potentially conflicting) values and working practices of for-profit business, voluntary groups, charities and the public sector at local and national level.

Analysis that recognises such dynamics through a business model lens may help inform decisions and contribute to supporting collaboration.

 

Outputs

McNeill, T., Baines, S and Martin, L.M  (2014) “Hybrid energy and enterprise: Business models for sustaining rural community micro-generation”, British Academy of Management conference, Belfast waterfront, Northern Ireland, 9th - 11th September.

Baines, S., McNeill, T., and Martin, L.M., (2014)  “Collaborative business models for community level renewable energy” (2014) Multi-Organisational Partnerships, Alliances and Networks (MOPAN), Oxford Brookes University, 15th – 17th July.

Baines, S., McNeill, T., and Martin, L.M., (2013) “Enterprise and Energy: Towards Business models for community micro generation”, paper presented at the 36th Institute of Small Business and Enterprise (ISBE)  conference, Cardiff City Hall, 13th – 15th November (nominated for best paper in the Social and Sustainable Enterprise' track).

Baines, S., McNeill, T. and Martin, L.M  (2013) “Renewable energy generation at community level: Identifying sustainable business models”, Rural Enterprise Conference, University of the West of Scotland, Dumfries, 20 – 21 June.