The Project ACCESS uses the Sustainable Solar Market Packages (SSMP) approach which is based on extensive experience and lessons learned in providing solar photovoltaic (PV) electricity to remote communities.   

Under the SSMP approach, a contract would be competitively awarded to an “SSMP Contractor” for the supply of PV electricity services to a contiguous group of barangays (e.g., 10 barangays per award).   The package would be sized to provide sufficient volume of sales for the SSMP contractor to sustain the services on an efficient, affordable basis.

1st Quarter Milestones (as of July 2007)

• Implementation of the Incubator Program. This program seeks to introduce more productive partnerships between the Participating PV Companies (PCs) and the Micro-Finance Institutions (MFIs).  The Incubator Program serves as a “warm up activity” for both the PC and the MFI partner in doing solar micro lending business. 

• Sales of PV systems by PCs.  The 1st quarter registered PV systems reported sales at 302 units and 809 installations nationwide (See table below).
  

* Refers to installations documented by PMO.
* * Refers to installations that have yet to be documented both by PMO and PCs.
***Includes 9 PV systems already paid and other outstanding claims for grant but still being processed.

• PV system installations.  SSMP1, the first batch of SSMP packages, which covers a total of 76 barangays has been awarded to SOLARCO. As of the first quarter, a total of 123 PV systems have been installed in key public facilities consisting of 45 community facilities and 78 streetlights identified under the DOE-Winrock and DOE-ILPI partnerships.
  
  It is estimated that the SSMP contractor would be installing a total of 325 systems in various key public facilities.  This translates to 43,235 Wp of solar power.  Total minimum potential households that could benefit from the SSMP 1 are 3,330 with an estimated capacity of 66,600 Wp.  

• Scale-up SSMP packages (SSMP2).  Given the initial success of the SSMP approach, the DOE is currently working on expanding the implementation of SSMP approach in unelectrified areas where solar electrification is the least-cost option. 
  
  

  Initially, the DOE identified KEPCO, Malampaya and Energy Regulations (ER) No. 1-94 Funds as possible funding sources for the SSMP2.  A series of workshops and consultations have been conducted by PMO with KEPCO to identify and finalize SSMP target barangays as well as deepen the understanding of KEPCO of the SSMP approach, which the RPP has developed and recently implemented.

  Next steps

• Intensification of the conduct of field and physical verification by the PMO of reported installed systems;

• Completion of community facilities in 53 barangays by SOLARCO;

• Conduct of technical inspections for installed facilities in the 23 completed SSMP transactions (21 DOE-Winrock and 2 DOE-ILPI);
  
  
• Monitoring of contractual obligations of all parties, particularly the compliance of SOLARCO with the minimum household connection requirements; and
  
  
• Provision of assistance to SOLARCO in terms of marketing and establishment of commercial arrangements and tie-ups with MFIs through the Incubator Program.
  
  
• Scale up activity for SSMP by undertaking the Rapid Rural Appraisal (RRA) for purposes of identifying and finalizing the list of barangays for the SSMP 2.  The PMO will prepare the Terms of Reference for the “Coordinating and Analysis of RRA” and the RRA Team. The scale-up activity for SSMP may entail the extension of services of ECON Analysis to help the PMO document the lessons learned from the on-going implementation of SSMP1.
  
  
• Further promotion for the participation of international PV suppliers.