Shell Renewables India (P) Ltd (SRI), a wholly-owned Shell group company, is pinning its hopes on a pre-launch survey report to penetrate Pollachi with its `Solar Max' lighting system. The survey conducted in the four southern states claimed that Pollachi was a high potential area for the new product.``We have positioned Solar Max as an alternative in markets we are mainly looking at and as a supplement to other energy sources in the rest of the country,'' SRI managing director Arvind Vijh told The Financial Express. He was here along with Shell International Renewables Ltd. business developer (rural electrification) Damian Miller in connection with the demonstration and launch of the product.

According to Vijh, the company zeroed in on two basic issues before itidentified potential markets: areas which lacked power availability and affordability of potential customers.

The price of the six Solar Max variants range from Rs 6,000-21,000 depending on the lighting requirement (from a single point lighting to six points). ``The cost is not too high if one looks at it as an investment over the next 15 years. The maintenance cost is minimum,'' claimed Miller.

The recurring cost, he added, is only to the extent of usage of distilled water in the battery which has a five-year life.

However, SRI is in talks with various lending institutions and banks to provide easy finance schemes and make the product more affordable. The tie-up would be through before the delivery of Solar Max, slated for September, takes off.

The financing line-up is likely to include IREDA's 10-year soft loan package (to be tied up with co-operative banks, NBFC's or regional rural banks), Syndicate Bank's solar electric lighting scheme and the eight-year soft loan from international fundingagency, International Finance Corporation. The agency has a PV Market Transformation Initiative package offered through the refinance route.

Shell is also mulling an ad blitzkrieg to attract rural customers to its new product. Since the product's success would depend on volumes, SRI would require a fine-tuned brand building exercise. The company would place a dedicated sales and service network at Pollachi soon.

SRI started active operations in India three months back and has FIPB clearance to manufacture and market photo-voltaic (PV) modules and solar energy systems for rural electrification. `Solar Max' is the first SRI product to be launched in the country.

SRI is banking on institutional sales to market the product. ``To begin with we will sell through members of various co-operative societies operating in the regions. These members are the opinion leaders who could be helpful in building the brand, thus bringing in credibility to the technology,'' said Miller.

After Pollachi, the company plans tohold two roadshows in Karnataka and one in Andhra Pradesh this calendar.