Interview for Forbes magazine
Todor Georgiev, executive director of Smart Energy, talks about the opportunities and challenges of photovoltaic companies
Tell us about Smart Energy.
Smart Energy has extensive experience in the development of projects related to electricity production from renewable energy sources and electricity trade in Bulgaria and abroad. For more than 12 years, we have been engaged in the design, construction and maintenance of photovoltaic parks. From 2009 until now, we have completed more than 40 MWp of photovoltaic projects in Bulgaria, 24 MWp of which are owned by our companies. We have a strong presence in several foreign markets. In Greece we have built projects for 6 megawatts, in Romania – 8 megawatts, in Ukraine – 20, in the Netherlands – 38, and in Turkey – 169, in Sweden – 4. We are currently building 10 MWp in Germany, the first of a series of 8, 4 MWp in the Netherlands, 1 MWp in Ukraine and several new projects in Turkey.
Four years ago, together with a Chinese partner, we opened a photovoltaic panel factory in Istanbul, which is the largest in Europe. The Phono Solar modules produced there meet the highest global standards: Tier 1, Topperformer, Blomberg New Energy Finance. High efficiency is achieved through the Multi Busbar, PERC, Half-Cut Cell and Bi-Facial technologies used.
Why did you choose green energy?
It is the future, we must try to do things cleanly and responsibly. The Stone Age didn't end because we ran out of stones, we evolved and started using more modern tools. It's the same with coal and oil. They will not end, it's just that more modern technologies will naturally replace them and the need for them will be minimal. Greener, more efficient, more nature-friendly technologies will come. Population growth is avalanche-like, and if the avalanche-like pollution of the environment continues, a sad scenario is ahead for the entire planet. So many years ago we decided, as far as possible, to be on that side of the business that tries to preserve not only the purity of nature, but the development of society and technology in a greener direction. Everyone wants a better future for their children, we don't live for today, but in perspective for the future.
Where are your products used?
We can meet all the needs of our customers - from the construction of small power plants with a capacity of 30 KWp to huge industrial projects such as the largest photovoltaic roof in Europe and the second largest in the world. It is located in Turkey, and its capacity is 10 MWp. Last year we built the largest rooftop photovoltaic plant in Bulgaria with an installed capacity of 1.2 MWp. It is located in the town of Knezha and is owned by one of the largest agricultural producers. The last project we completed is a 54 MWp with trackers and double-sided panels , all of our own production. We have been able to close the loop, allowing us to complete each project turnkey. Smart Energy continues to develop projects around the world with the know-how gained from our experience in technical, commercial and administrative processes of solar plants. We offer the knowledge we have acquired to our partners, investors in the sector.
What is the message behind the Smart Energy brand, what do you say through it to customers and partners?
The message is encoded in our company name - we do things smart. Since our inception, we have strived to do them in our own way, different from anything on the market. We introduce various innovations and improvements so that the products we offer, in this case photovoltaic plants, work in a better way and are of very high quality. We have an unconventional way of looking at things, which goes hand in hand with giving it our all. Our employees work with enthusiasm and desire, and success is not long in coming.
What are the biggest challenges facing PV companies?
The challenges facing the sector are several. The first is that there is inconsistent and chaotic government policy in the sector. There are not enough incentives, as in other countries, to build photovoltaic plants. In most cases, they are campaign. On a global scale, there are various options for incentives - through preferences, through auctions and through the so-called green certificates that are traded on global exchanges. Unfortunately, at the moment, none of these three methods of stimulation work in our country. And in fact, if the bank does not know the company, it would be difficult to trust it to finance such projects. Second, but not least, is that there was a disconnect between design, construction and maintenance. There are very few companies that deal with all this anymore. There is no culture of someone building something and then maintaining it. A problem is created which is then irreversible. The systems need certain maintenance, and it is most logical that this should be carried out by the company that carried out the design and construction.
Why is it important that the electricity market is liberalized?
The greatest advantage of the free market is to the end user. If the rules are transparent and clean and followed, then manufacturers will also be reassured that they will be able to make longer-term predictions and rely on them in their development. Thus, the user will receive a lower price for a better service. The more participants there are in the free market, the more competitive the price of electricity will be.
In addition to building photovoltaic plants, Smart Energy also trades in electricity.
What are your advantages?
One of the main advantages of Smart Energy Trade (our electricity trading company) is that much of the electricity we offer is green. We also offer clear and transparent terms and conditions for customers. Unfortunately, there are quite a few unfair practices in the market that harm the entire industry. Merchants offer a very low price, and after a few months they unilaterally change the conditions and the customer has no right to refuse. The contract we offer is fair. The two sides are on an equal footing, the change of conditions is clearly regulated. Termination is with one month's notice and without any additional conditions. This carries a risk for us with incorrect customers, but we can bear it. We prefer at any moment to be able to say "We are fair to our client". We care about the correct and accurate attitude towards our partners, regardless of whether it is for the sale of electricity or for the construction of photovoltaic plants.
Behind every successful business is something bigger than profits and money. What is it for you and your business?
For Smart Energy, this is social responsibility. Profit is important because without it we cannot exist. But it also helps us to carry out many initiatives related to ecology. We participate in various educational campaigns. We help talented children who are in a difficult situation. We support initiatives in small settlements such as maintenance of temples, hospitals and monuments, children's sports teams, providing food to people in need... We believe that if every single company participates in such initiatives, Bulgaria will be a better place to live. By helping each other, we can build a sustainable society. The construction of more green RES capacities will make the Bulgarian energy sector cleaner, more emission-free and more decarbonized.
How do you see the future of Smart Energy?
We had set goals to build photovoltaic plants with capacities of 20, 50 and 150 megawatts. But it turned out that our goal was easily achievable. So our future plans are no longer related to numbers, but to expanding our presence on the map of Bulgaria, Europe, Asia and Africa. Recently, the technologies related to the production of green hydrogen have been developing quite strongly. This is one of the serious areas related to the future of photovoltaics, and we will focus our efforts on it. We are also actively working on projects to build electric charging stations. It seems that the future is going in the direction of electrification.
