First Energy: Green cook to the world

With the vision to provide cleaner, safer and sustainable energy solutions to people caught in the "energy divide" and, therefore, lacking affordable and accessible sources of energy, Mahesh Yagnaraman and Mukund Deogaonkar founded First Energy in 2006 as a part of British Petroleum. In 2009, it was hived off as a separate entity. The Alchemists Ark (TAA), a privately-held business consulting and implementation company, in association with Yagnaraman and Deogaonkar then spearheaded the initiative based out of Pune.

According to Yagnaraman, CEO, First Energy, "It is an alternative energy business, catering to consumers in rural and suburban India through an affordable cooking offer branded ‘OORJA’. It consists of a biomass stove and fuel made from pelletised agri-residue. The stove uses biomass gasification technology, developed and patented with the Indian Institute of Science, Bangalore. The fuel is made from compacted agri-residue. Both come together to form an affordable cooking offer." First Energy promises affordable cooking -- a meal for a family of 5 at less than Rs 10 a meal. The key advantages of the stove–pellet combination are fuel efficiency, freedom from smoke and environment-friendliness by way of reducing deforestation. The offer is thus mutually inclusive in terms of growth and environment agenda; at scale, the way in which it can address energy security as well as have positive impact on the environmental footprint, is of strategic significance.

Says Yagnaraman: "First Energy aims to build a commercially sustainable business in developing countries. It has reached over 500,000 domestic households with the offer (the cooking solution). Also, over 3,000 commercial stoves have been sold and over 500 tonne of fuel are being consumed every month. The revenue for last year was Rs 10 crore. The business will target sales growth of its cooking solution initially through deepening its presence in the states of Maharashtra and Karnataka. Over time it will expand to other parts of India and beyond. The goal is to reach one million households in three years.”

In its journey to understanding and creating progressive solutions for emerging consumers, First Energy has expanded its limits with innovations in biomass-based viable alternative to fossil fuel in commercial segment, i.e. restaurants, caterers, eateries, sweet shops. A newly developed Oorja Jumbo Stove and the Oorja pellets combination is fast becoming a clinching value proposition against commercial LPG to the segment. First Energy is on the threshold of replacing fossil fuel with renewable energy without any subsidy or grant, or government support. It also aims to address a significant global problem to improving energy access to poorer and emerging consumers in developing countries.

Mahesh Yagnaraman
CEO, First Energy