Energy Innovation Ecosystems in Rural Mexico

Acuña, Francisco, Guillermo Cedeño, Ramon Sanchez, Leith Sharp, John Spengler, and James Ritchie-Dunham. “Energy Innovation Ecosystems in Rural Mexico.” ReVista: Harvard Review of Latin America XVIII, no. 1 (2018): 108-09.

This recently published article describes a very vibrant initiative, bringing innovative energy ecosystems to rural Mexico.  To understand the wild success of the initiative, the Institute for Strategic Clarity was invited to use the Agreements Evidence Mapping tool to understand what happened.  In essence (see figure below), by connecting (1) the low perceived value and social impact rural universities with (2) the moderate perceived value and social impact of the rural communities, (3) the academic knowledge and global network of Harvard, with (4) financial capital, they were able to generate a high perceived value and social impact energy innovation ecosystem.

Initially the rural universities are resource poor, providing theoretical, technical education with low practical social impact because of underemployment of graduates, locally. Initially the indigenous communities are rich in social capital, and poor in the financial and intellectual capital to exploit their wealth in natural capital.  The Harvard Applied Leadership in Renewable Energies Program engaged rural universities and local indigenous communities throughout Mexico, where 286 university professors and researchers proposed innovation ecosystems for 93 renewable energy and energy efficiency projects that were developed and funded (e.g., wind in Oaxaca and biodiesel in Sinaloa).

A documentary and casebook detail the whole project, and the subsequent social and economic potential impact of these projects, including 953.3 MW of wind energy, 512 MW of installed capacity of photovoltaic energy, 1.36 MW of biomass electricity, 40 million liters of ethanol/year, 7.2 million liters of biodiesel/year and 9 million liters of bio-jet fuel/year. This program proved that shifting away from centralized-only thinking with low ROIC, for high-impact, economically-resilient, national renewable energy and energy efficiency projects in Mexico, think massively local innovation ecosystems with a much higher, more resilient, and more equitable ROIC.  This model of social innovation is particularly relevant in the multitude of countries facing rapid rural-to-urban migration in part because of investment inequities.  The project leaders are meeting now with Mexico’s ministers of economy and social development to replicate this.

Acknowledgements.  This project includes dozens of rural, indigenous communities in Mexico, over 100 rural Mexican universities with 286 of their faculty, the Mexican Secretariat of Energy, global investors led by InTrust Global Investments LLC, and the Center for Health and the Global Environment in the T.H. Chan School of Public Health at Harvard University.

 

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