* Struktura, Inc. (SI) is a corporation owned by ALCO Group of Companies. * SI is practically a machine shop that manufactures car air-conditioners for Karkon & others, steel frames for PGSEP and die casting needs of electronic companies. * 1987 Sales amounted P1. 32M of which roughly 72% are derived from other companies of ALCO. * PGSEP is also testing the solar home system (SHS), a stand-alone photovoltaic energy generation unit suited for a single household. SHS unit come in two variants: the 28 watt-peak (wp) and the other is 50wp. The components of SHS, except for the solar panels, were locally available.
* PGSEP will be terminated by the year-end and is worried that their efforts in propagating the technology would be useless unless it identified a group to commercialize the project. * PGSEP invited Antionio Co, SI owner to inspect SHS and examine the possibility of commercializing SHS. PGSEP’s contract with the Philippine government disallowed PGSEP from commercializing the venture.
* PGSEP Director offered Mr. Co the services of PGSEP staff if the latter will agree to making Burias community as the pilot phase. In 1987 there were 3. 3 million un-electrified households of which around 387,000 “un-electrified” households were living in Region V. * Mr. Co told his consultant that SHS is categorized as SI project and requested him to come up with recommendation Statement of the problem The company is considering whether or not to diversify its operations by venturing to assemble and market SHS units to un-electrified households of the country starting in Burias, Masbate wherein 120 customers are already on the waiting list.
Objective * SI should analyze well the viability of the SHS project to Burias community and its potential acceptance to other un-electrified rural areas in the country considering that SHS is an emerging product. SI should come up with a thorough and objective project feasibility study.