Illuminating Lives in Rural Africa: Kawaguchi Nobuhiro / CEO, Kawaguchi Steel Industry

Kawaguchi Nobuhiro is trying to bring solar panels to parts of Africa that lack electricity, in order to supply schools and public facilities with power. He talks about changing lives in rural Africa.

Transcript

00:04

"Direct Talk"

00:08

Our guest today is Kawaguchi Nobuhiro

00:11

who heads a roofing company that sells solar power generation systems.

00:18

Kawaguchi is currently working to install solar panels

00:20

at schools and public facilities in Africa.

00:23

He's tapping renewable energy to supply power

00:26

to areas without access to electricity.

00:32

He's been working in partnership with the U.N. since 2021

00:35

on solar power projects in 16 African countries.

00:42

Kawaguchi tells us what drives his company

00:44

to help illuminate villages in Africa.

00:51

We run a business, so normally

00:53

we provide a product or service in exchange for money.

00:56

But the joy I get from this is something else.

01:00

I want to make this endeavor my life's work.

01:03

That's how glad I am that I started it.

01:05

Nothing else has made me feel this way.

01:10

Kawaguchi is currently in the process of installing solar panels

01:13

in the west African nation of Benin.

01:18

He travels between Japan and Benin several times a year.

01:25

Schools are the primary installation sites.

01:29

Most rural areas lack electricity.

01:32

In these areas, we installed lightweight solar panels

01:35

on top of elementary school buildings

01:38

in order to generate enough power to light the school.

01:43

We've also set up a kind of recharging station

01:46

that takes advantage of the solar panels.

01:49

During the day, we charge up portable lanterns

01:52

that are then lent out to children at the end of the school day

01:56

for a small fee.

01:58

So with these lanterns,

02:00

they bring electricity back home to their families.

02:03

It can be used to light their homes, to charge cell phones,

02:08

and importantly, to provide the light the children need

02:11

to review what they learned in class that day and study.

02:15

That's the main purpose of this project.

02:20

Kawaguchi's company is headquartered

02:22

in Saga Prefecture in southwestern Japan.

02:26

In addition to its work in Africa,

02:28

it makes metal fittings for mounting solar panels

02:31

to the roofs of existing buildings in Japan.

02:36

We mainly work with shopping centers, factories and warehouses.

02:40

Japan gets earthquakes and typhoons,

02:42

and roofs can't withstand a lot of weight.

02:46

So we have a patented lightweight frame

02:48

for attaching solar panels to roofs.

02:51

We make these frames at our factory.

02:55

We took our lightweight solar panels and the know-how we'd cultivated,

02:59

and went to Africa to bring light to villages without electricity.

03:04

Those are our main businesses.

03:08

Kawaguchi was born in 1965

03:10

to a family that ran a roof construction company.

03:14

He was the eldest of four siblings.

03:17

When I was in eighth grade, my father became very sick

03:21

and spent many years fighting his illness.

03:25

So because of that, I quit school around tenth grade

03:28

and promised to take over the family business.

03:31

I did an apprenticeship elsewhere,

03:33

and then took over the company when I was 23.

03:39

But at the time, most of our business came from working

03:42

as a subcontractor under a general contractor.

03:45

So while we did design some specific elements of the roofs,

03:49

mostly we were making what had already been decided on.

03:54

I'm someone who likes coming up with ideas,

03:56

being creative, and putting my ideas to the test.

03:59

So being in that position was very difficult for me.

04:04

So I resolved to break us away from subcontracting work.

04:07

That became my number one goal.

04:11

Eventually, Kawaguchi found inspiration

04:13

to take the company in a unique direction.

04:17

On TV, they'd show footage of melting glaciers

04:20

and other environmental issues.

04:23

And I started thinking about all the roof space

04:25

available on industrial buildings

04:27

and how solar power would likely go mainstream.

04:32

But the roofs aren't designed to withstand all that weight.

04:35

If we could develop a lightweight solar panel,

04:38

there was a blue ocean market opportunity for us.

04:42

Since we didn't have the technology to make such panels,

04:45

we teamed up with a panel maker

04:47

and combined our respective know-how to design it.

04:52

Kawaguchi and the solar panel manufacturer

04:55

began jointly developing a lightweight solar panel

04:57

that was safe to mount on roofs.

05:01

However, designing for lightness presented its own challenge.

05:09

They have to be both light and strong

05:11

so they don't go flying in a typhoon.

05:14

Basically, what happens to panels in a typhoon

05:17

is that the wind lifts them up,

05:19

and they're torn from the fittings and blown away.

05:23

You have to make it so they resist wind uplift and hold in place.

05:27

So we came up with a design for that,

05:29

and then we went back and forth with the panel maker

05:32

asking them to add another rail here

05:35

or a hole a few millimeters big there.

05:40

In 2010, they succeeded in creating

05:43

a flexible, super-thin, sheet-like solar panel.

05:48

Kawaguchi's company applied its roofing expertise

05:51

toward developing special fittings to safely mount the panels.

05:55

They began selling the product in Japan.

05:59

The price was about five times that of conventional panels,

06:03

so it was hard to get companies to adopt our product.

06:09

Ultimately, we couldn't compete in the Japanese market.

06:14

But then, someone from Myanmar saw me on TV

06:17

and started inquiring about the panels.

06:19

They told me there were many villages in Myanmar that lacked electricity,

06:24

and they thought our solar sheets could be a good solution.

06:27

They told us that they were really keen to use our panels.

06:34

So we were asked to make a bid for the contract, and we did, three times.

06:39

They give you a table that outlines their target contract price,

06:43

and it was clear it wasn't going to work for us.

06:47

I couldn't understand why the price was so low,

06:50

but then I remembered that China was their next-door neighbor.

06:56

It doesn't matter if we bring quality products from Japan.

06:59

We can't compete in terms of price.

07:03

When working with developing countries,

07:05

they look at things in terms of how low the initial cost is,

07:10

rather than the operating cost.

07:14

So we couldn't compete with the inexpensive Chinese-made products on the market.

07:19

That was a bust.

07:22

As Kawaguchi struggled to get his solar panel generation business off the ground,

07:27

he was approached by an old friend

07:29

who was working for a Japan-Guinea friendship group.

07:37

I couldn't give up, you know?

07:39

Then this old friend contacted me.

07:42

"So I showed an NGO working in Africa your solar sheets,

07:45

and they said they're interested.

07:47

Can I arrange a meeting?"

07:49

So I met with the NGO.

07:53

They said to me, "We think these panels could be really useful in Africa."

07:57

And so, two weeks later, I was in Africa.

08:02

In rural Africa,

08:04

houses have roofs made of straw or other materials

08:07

that cannot withstand the weight of ordinary solar panels.

08:11

The NGO was convinced that there would be solid demand

08:14

for Kawaguchi's super-thin solar sheets.

08:19

In Uganda, the first country I went to,

08:22

I was able to visit villages without electricity

08:25

and see how people were living.

08:29

Everyone had cell phones even in the rural villages.

08:33

And this was 10 years ago.

08:35

And I asked them how they charged their phones.

08:38

They were going into town, about two to three hours one way.

08:42

I asked them the cost per charge,

08:44

and they said they paid the equivalent of between 15 and 40 yen.

08:49

Multiply that by 30 days and that adds up.

08:54

At that point, I was convinced there'd be demand

08:57

for small portable solar cells.

09:00

In 2011, Kawaguchi began selling solar panels in Uganda

09:04

to empower the people to generate their own electricity.

09:09

If you show people our solar sheets, everyone will want them. No question.

09:14

But then I told them the price, and their spirits sank.

09:17

"What? They're that much?"

09:21

So I'd get out my calculator and show them the math.

09:24

They were paying 30 yen per charge for their cell phones.

09:28

Based on that, they'd be able to recoup the cost in six months.

09:33

But like I said, they only see the initial cost.

09:36

They're not looking at the long term.

09:39

So they didn't sell at all.

09:42

But Kawaguchi was not ready to give up.

09:45

As he continued to interact with the villagers,

09:48

he came to a realization.

09:51

I'd traveled there to sell solar cells,

09:54

but what I needed to sell them on was the convenience

09:57

this would bring to their lives,

10:00

the safety and security, the time for their children to study.

10:05

Solar panels are just a power source.

10:07

I had to convince them of the value that they stood to gain beyond electricity.

10:12

I came to that realization.

10:16

I couldn't deliver electricity to them on an individual basis,

10:20

but maybe I could bring electricity to public facilities,

10:23

schools, community halls, street lights and so on

10:27

as a kind of official development assistance project.

10:32

He realized he could install solar panels for public facilities

10:36

with financial assistance from the Japanese government.

10:39

He began setting up panels at no cost to the villages,

10:42

and the change was dramatic.

10:46

The first thing we did was wrap solar sheets around 62 street lights.

10:53

And then what happened was... street vendors.

10:56

These kiosks started appearing under these street lights.

11:01

People were selling things.

11:03

They could now do business past midnight.

11:07

People started coming from neighboring villages to buy things.

11:10

So that got the local economy going.

11:13

And thanks to the lights, people could walk the streets alone at night.

11:18

It made the streets safer.

11:20

I saw firsthand how these small solar cells

11:23

brought about such big changes.

11:26

It made me realize I shouldn't be selling solar cells themselves.

11:31

Instead, I needed to sell them on the idea of safety,

11:35

on the value of providing time for kids to study.

11:39

Unless I made that the main focus,

11:41

the solar cells weren't going to sell.

11:43

So I shifted my mindset and began developing.

11:48

The solar panels installed on school roofs

11:50

also charge portable lanterns

11:53

which are rented out for 10 yen each.

11:57

The service has brought about a change in children

12:00

who were previously too busy with household work to go to school.

12:06

We set it up so the kids have to go to school to rent the lanterns.

12:10

So they study in the lit classrooms, and then after school,

12:13

they take one of these lanterns home with them.

12:17

They can be used to light up their homes.

12:20

Maybe the mother uses it to do a side job

12:22

or to provide light as she cooks.

12:24

Or maybe the kid uses it to study.

12:29

So that encourages parents to send their kids to school

12:32

if they want them to borrow a lantern to bring home.

12:36

In other words, they're not just doing agricultural work.

12:40

That's the new cycle we wanted to create.

12:44

That had a big effect.

12:46

Already in the first week after we started renting out lanterns,

12:50

the kids were raising their hands in class and speaking up much more.

12:55

I think it was because they'd done their homework

13:00

thanks to the light.

13:02

So the power of light was immediately apparent.

13:06

It has an immediate impact on people's lives.

13:09

We now understood that.

13:12

In 2017, Kawaguchi established an incorporated association

13:16

called "GOOD ON ROOFS."

13:21

Since 2021,

13:23

they've partnered with the U.N. to develop a new donation program.

13:29

So our association pays companies in Japan rent

13:33

to be allowed to use their roof space.

13:38

We set up solar panels free of charge

13:41

and ask the company to buy the electricity generated.

13:44

In other words, they can shift to renewable energy

13:47

without any upfront costs.

13:50

In turn, we take what they pay us for the electricity

13:53

and pay them rent for use of their roofs.

13:56

And we ask them if they'd be interested in returning a portion of the rent we pay

14:01

in the form of a donation to help kids in Africa.

14:05

When we explain that it's for installing solar panels so children have light,

14:09

most companies agree to donate.

14:13

The times when I see the kids smiling

14:15

or studying hard underneath the lights

14:18

are what motivate me to keep this project going.

14:24

(Do you have any words to live by?)

14:31

"Don't go for the thing itself."

14:34

I went in intending to sell solar cells, but no,

14:37

you have to draw their attention to the abundance that lies beyond.

14:43

Let's work together to generate light.

14:46

When you do that, your objectives are aligned.

14:49

That's why our solar panels sell.