Simon Mwakasasa (R) shows to the Executive Secretary of the National Economic Empowerment (NEEC), Beng’i Issa, in Dar es Salaam recently solar energy tools he received as seed grant from the IMED Foundation. photo | COURTESY
Dar es Salaam. A total of 12 entrepreneurs from three administrative regions have received grants worth Sh1.8 million apiece to establish solar energy companies.
The 12 were mere technicians before they joined a two-year programme in 2019 in the name and style of ‘Tanzania Renewable Energy Business Incubator’ (Tarebi).
Organised by the Dar es Salaam-based IMED Foundation, the Tarebi Programme aims at developing a supportive environment for clean energy for micro, small and medium scale enterprises (MSMEs).
Established in 2010, IMED Foundation is a non-profit organisation whose mission is to empower Tanzanians by promoting entrepreneurship, leadership and management competencies.
Among the 12 entrepreneurs is
Simon Mwakasasa (25), who became a technician in Dodoma City after completing his Certificate Course on Domestic and Industrial Electrical Installation from the Dodoma-based Don Bosco Technical Institute in 2019.
Due to lack of capital, Mr Mwakasasa used to borrow materials and tools for his trade from solar power suppliers, using them to install solar systems in homes – and sharing the accrued incomes with owners of the materials and tools.
“As a technician, I would search for tenders from home owners, virtually ‘borrowing’ the equipment to install the solar systems at my clients’ premises. After the job was completed, the suppliers-cum-owners of the materials and equipment would decide how much of the money paid for the job I should get based on the profits garnered,” he told The Citizen.
Usually, he would earn between Sh50,000 and Sh200,000 per one project, depending on the type and capacity of the solar system installed.
Mr Mwakasasa is now the owner of Mwakasasa Electronic Solutions Company, which deals with installation of solar systems in different premises.
He is among the beneficiaries of the Tarebi’s two-year Incubation Programme under which he is linked to suppliers, markets and other opportunities.
The programme’s project manager, Ms Aika Donath, said a total of 230 young graduates from assorted vocational training centres (VTC), as well as Don Bosco graduates, students, operators from SMEs, Start-ups, NGOs and many others applied to join it.
However, only 44 of the applicants were selected to join the programme – with 95 percent of that number being Don Bosco graduates. Another one percent came from start-ups, while four percent came from other vocational training centres.
The selected incubation candidates are 35 males and nine females. They come from Dodoma, Iringa, Dar es Salaam, Songea and Morogoro regions, as well as from Zanzibar.
“The selected incubatees are DonBosco Electrical and Solar Installation graduates and other solar entrepreneurs,” Ms Donath stressed – adding that “the gender factor was taken into consideration in an effort to create a balance between males and females.”
As it is the case for Mr Mwakasasa, all the selected incubatees have at least completed Ordinary Level secondary school education – and are also holders of a Certificate in Solar Installation from a recognised VTC.
He said, under the Tarebi Incubation Programme, they are taught good entrepreneurial behaviour/practices, human resource management, financial records management, life’s skills, sales and marketing, customer care, business planning/business models and related technical skills. They were also coached on the preparation of a simplified bookkeeping system, the preparation and delivery of business plans and sales pitch, as well as guidance on working with solar equipment distributors to build the trust required to receive supplies on credit.
“Other training courses included guidance on how and when to formalize businesses, dealing with tax issues – and not forgetting the use of social media and online resources for learning and marketing,” Simon says.
“We were also required to register our own companies at the government Business Registrations and Licensing Agency (Brela),” he said.
With the seed capital grant, Mr Mwakasasa revealed, he was going to operate as a company that generates good earnings, and creates jobs for fellow Tanzanians.
“In my business model, I have already created one direct job – a salaried employee who will work as a technician – and four indirect jobs,” he says.
He expects to earn up to Sh800,000 per deal, which enough to cover operational costs and a modest profit.
His future plan is to open an office in Dodoma, from where to centrally expand his operations in both urban and rural areas.
“I want to start installing solar heating systems and solar water pumps in offices and houses,” he said.
Apart from him, other seed capital grantees (with their new companies in brackets) are Gabriel Changwa of Iringa (G. Electrical Works and Services), William Kaduma of Iringa (Sunrise Energy Solutions), Herman Mmanda and Joseph Mmanda of Dar es Salaam (Trinity Solar Energy), and Karim Yusuph of Dodoma (Solar for Everyone).
Others are Jaffari Jaffari of Dodoma (Netlist Energy Electronics), Japhet John-Bosco of Dodoma (JJ Electronics), and Patrick Makoye of Dodoma (Dom Energy and Designing).
The IMED Foundation chief executive officer, Mr Khalid Swabiri, said the Tarebi Incubation Programme will continue serving new technicians next year – doing so with an increased number of beneficiaries and a learning time frame.
“Youth-led start-ups face the serious problem of ready access to finance, which is compounded by low level of skills, lack of experience and limited networks. Our Programme is designed to resolve these and other challenges,” he says.
The Executive Secretary of the National Economic Empowerment Council (NEEC), Ms Beng’i Issa, says the Programme is aligned with the Inclusive National Entrepreneurship Strategy (INES) which was designed by the government to develop skills of Tanzanians in creating and growing businesses and other creative activities through incubations.
“Our country is blessed with a big number of the youth who are a workforce resource if they are well empowered. The primary capital for any business is a ‘person.’ But that ‘person’ cannot do anything productive if not equipped with the appropriate skills training and financial support,” she said when handing solar power tool kits to the eight entrepreneurs.
Ms Issa also said that the commercial banks in Tanzania still hesitate to offer loans to youths with low or zero skills, lack of experience – and limited networks.
According to her, it is most unfortunate that the country’s current education system does not provide much or practical financial knowledge to all pupils and students.
“Every child should acquire financial skills in order to know how much it earns and spends on a daily basis. This would help them to save some money with which to start and operate a business,” she said.
In that regard, she advises the new entrepreneurs to ‘Dream Big’ so that they can expand their businesses in the near future.
“I understand that you lack enough operating capital, skills and networks. But don’t stop ‘Dreaming Big’ – and, indeed, start with little that you already have,” she thundered in encouragement.
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