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Boiling PoinT /iSSuE2008 2012 54 / 60

A prActitioners journAl on household energy, stoves And poverty reduction

Theme

Energy Market and Enterprise Development


Analysis of micro energy enterprises in East Africa p2 Practical Actions Participatory Mapping tools to improve bioenergy markets p6 Three step approach to a financially sustainable renewable solution p10 Preview of IIEDs report on delivery models for rural electrification p38 plus agricultural biomass in power generation, Alliances ISO standards for cookstoves and more
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A publication of the

Editorial
ISSUE 60

EDITORIAL

Energy Market and Enterprise Development

The provision of energy services is key to the reduction of poverty and the achievement of other development objectives. However, for the benefits to flow continuously, the supply of services needs to be sustainable. In all but the direst emergency situations, the best way to achieve such sustainability is through encouraging financially viable energy enterprises working in a stable energy market.

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n this issue, we focus on how to develop and support new energy enterprises and explore ways in which to better understand local energy market conditions. GVEP International [page 2] has assisted 835 businesses through training and mentoring and providing access to financing, and CEO Ben Good gives some specific advice in Helpline on page 17. Practical Action Consulting [page 6] introduce their Participatory Market Mapping tool and describes its use in Kenya and Sri Lanka. Another approach to market mapping is described on page 13. Ashden Award winners, Rural Energy Foundation of Senegal describe [page 10] how the creation of a financially sustainable supply chain has enabled 500,000 households in 9 countries to get access to modern energy services. In our regular Viewpoints section on page 19, we hear from a stove producer in Zambia, and also gain an insight into Kickstart Internationals rise in supporting smallholder farmers businesses across Africa.

HEDON is also delighted to be working with the Global Alliance for Clean Cookstoves. On page 28, the Alliances strategy document, Igniting Change, is introduced. This lays out their three-pronged approach to creating a global market for clean cookstoves. Also in our News section is information on GVEP Internationals activities as well as those of GIZ, who also support HEDON. Our Toolkit from Mercy Corps on page 34 takes you through the maze of the carbon markets with some example projects to follow. IIED previews a report of three case studies on the introduction of mini-grids on page 38. Finally there are two general articles: on page 42 on Biochar and on page 46 on Paraffin use in South Africa. We hope you find something of interest in this edition and look forward to receiving your feedback. The success of Boiling Point depends on us receiving relevant articles, so please look at the call for papers and get in touch with us at boilingpoint@hedon.info Best regards, The Editorial team

Boiling Point. issue 60 2012

THEME

THEME
PEER REVIEWED Technology Improved cook stoves Solar Solar phone charging Battery charging Briquette Table 1: DEEP Entrepreneurs as per technology areas of their businesses (Source: GVEP) Others Total Female number 205 11 27 2 90 17 354 % 56 12 21 5 63 45 42 Male number 161 78 99 35 53 21 473 % 44 86 77 95 37 55 57 Mixed groups number 3 2 2 0 1 0 8 % 1 2 2 0 1 0 1

Theme
Keywords: Enterprise development; East Africa; Market opportunities

Micro energy enterprise development in East Africa: Challenges for marketing technologies
Authors Kavita Rai
Programme Manager, GVEP International Head office, Fifth Floor, Totara Park House, 34-36 Grays Inn Road, London WC1X 8HR, UK kavita.rai@gvepinternational.org

Technical Liaison Officer, GVEP International PO Box 76580-00508, Nairobi, Kenya laura.clough@gvepinternational.org

Laura Clough

This article provides key findings associated with the development of micro businesses in East Africa through the Developing Energy Enterprises Project (DEEP). This five year capacity building initiative led by GVEP International aims to assist energy entrepreneurs in peri-urban and rural areas of Kenya, Tanzania and Uganda to improve their business skills and achieve growth. This is done through the provision of technical support for quality products and services, linkages to financing, and by addressing marketing challenges, as briefly summarised in this article.

Figure 1: An energy entrepreneur in Nakuru, Kenya supported by the DEEP Project (Source: Kavita Rai)

of business and technical capacity and inadequate access to finance. Focussed on overcoming these constraints, as well as targeting improving access to energy for rural and peri-urban populations, GVEP International has been implementing the programme with partners in the region. DEEP supports the energy entrepreneurs by assisting them with the identification of viable energy market opportunities, technology options, and service structures to generate revenue and sustain business. The programme also assists entrepreneurs through training and mentoring to develop business plans and access the necessary financing, thereby enabling businesses to survive and grow sustainably. By December 2011, there were 682 entrepreneurs, out of which 137 had diversified into more than one energy business. Table 1 provides the breakdown of the total 835 businesses according to technology areas, with the majority in Improved Cookstoves (ICSs) (44%), solar technologies (26%) and briquette technology (17%). Out of these, 57% of businesses were run by males, in comparison to the 42% being female and 1% being mixed groups.

are informed that viable businesses can be assisted in linkages to financial institutions to access finance. Once the entrepreneurs are recruited into the programme, they are taken through a technical and business development training programme by business development staff. A basic business plan is finalised to be used by GVEP International to create linkages for potential financing. After the training programmes, group networking and information sharing sessions are also held. These assist the entrepreneurs to share ideas, learn about new technologies and link in to new suppliers and to each other. In addition, both technical and business mentors provide support to each entrepreneur on a one to one basis.

Factors that affect the technology areas chosen by the micro entrepreneurs and BoP markets
Within the DEEP Programme, a few technologies stand out, often because of external interventions such as donor influence, or because the market demands it. The data on Table 1 shows that female entrepreneurs are more common in the areas of ICS and briquettes. Within the ICS sector, men tend to predominate in cladding and stove assembly, whereas women are active in liner production of the locally produced cookstoves. In briquette production, women are more engaged due to the low capital requirements in the initial stages. However, briquette businesses using machinery and/ or making briquette equipment are usually owned by men who are likely to have had some technical training. This data confirms that female entrepreneurs tend to be engaged in businesses that do not need a high level of capital, are low technology and deal in products that can sell to immediate markets. Female entrepreneurs are also generally less mobile than male entrepreneurs. As a result, men have a higher level of access to information and an ability to source products for sale. While accessing credit, women are challenged more as they often lack awareness of existing credit schemes

The process
Despite these challenges, a study in Kenya found out that MSMEs make up over 90% of the countrys private sector (Ernst & Young 2009). These enterprises boost employment, use local resources and create linkages between small and large enterprises. The implementation of the DEEP programme has undergone many changes since its inception. A typical initial project design around community mobilisation, and capacity building proved insufficient for the micro entrepreneurs to grow their businesses. Although many rural markets rely on charcoal or wood for cooking, and kerosene or paraffin for lighting, it was decided in the second year of implementation that the programme will move away from dirty fuels and instead push for cleaner alternatives and a better understanding of the Base of Pyramid (BoP) markets. By 2011, the focus had changed to provide more support to the entrepreneurs who have the real capacity to grow their businesses, and a methodology around key supply chain linkages was developed for new entrants. Direct funding of businesses is not an option within DEEP, but entrepreneurs
Boiling Point. issue 60 2012

Introduction

Enterprise Development
The definition of Micro, Small and Medium Enterprises (MSMEs) varies throughout the countries of East Africa but is usually defined in terms of number of employees, capital investment and turnover. The majority of MSMEs mostly operate in the services and trade industry or artisan activities such as carpentry, masonry, barber/beauty salons, food vending and small scale trading. In East Africa, micro enterprises in particular are often expected to collapse after two years of operation. Under rural conditions, delivering a successful energy business can be challenging as linkages to appropriate suppliers and financial institutions are weak, and markets are limited. These constraints added by the lack of consumer awareness and low purchasing power, contribute to the high failure rate of many enterprises. In addition, the enabling environment for these enterprises to grow is extremely weak.

Energy access:

s Africas population continues to rise, the demand for domestic and institutional energy increases. Access to grid electricity across East Africa is low: just about 14% in Kenya, 11% in Tanzania and about 5% in Uganda. Households typically rely on kerosene lamps or candles for lighting, dry cell batteries for any electrical items and biomass fuel for cooking and heating. To meet the challenge of attaining the Millennium Development Goals, energy access is an issue that needs to be high on the agenda. While government policy and subsidies have their role to play, the domain of micro and small enterprises is also crucial to meeting the energy needs of rural communities more effectively.

About the Developing Energy Enterprises Project East Africa


The Developing Energy Enterprises Project (DEEP) East Africa funded by the European Union and the Dutch Ministry of Foreign Affairs is a five year initiative established in 2008 to provide the crucial support necessary to enable the development of a sustainable and widespread industry of micro and small energy enterprises in Kenya, Uganda and Tanzania. The project was designed recognising the constraints and challenges faced by the energy entrepreneurs, especially the lack

and more importantly, lack collateral required for loans. Thus, women tend to borrow less than their male counterparts and their loan applications are more often rejected (Kariuki, Balla 2011). Key factors that determined the technology areas chosen by the entrepreneurs: Focus on solar and ICS by donor led programmes: The market reach in the rural areas are limited to solar and ICS technologies, as most donor related activities or programmes have been pursued in these two areas in the last few decades, in all three countries. For example GIZ and Practical Action have focused on cookstoves made and assembled by men and women groups, and artisans. The International Finance Corporation led Lighting Up Africa programme has a big focus on LED lighting for BoP markets whereby the product has been developed as a single affordable kit rather than a more complicated expensive system of panels, batteries, cables, bulbs and controllers. Short life span energy technologies: If an entrepreneur sells solar lanterns or lighting systems, it will take a few years for customers to make a repeat purchase as the products are durable. Entrepreneurs will need to diversify or spread out their net wider, requiring more skills and resources. Instead entrepreneurs often chose technologies with a shorter lifespan, allowing customers to come back frequently; for example the artisanal cookstoves, phone charging (every few days) or briquettes (potentially daily). Availability of local resources versus supplier led technology: The uptake of briquette business especially for women has been positive and quick because charcoal waste is readily accessible at a low cost. Similarly, artisanal cookstoves can be made with local resources. Hence it is easier for these entrepreneurs to have a more sustainable business rather than depending on suppliers who are far away. Changing mind-set: The entrepreneurs trained previously through grant support from development organisations found it difficult to move on to a more commercial
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THEME
Figure 2: Creating Signboards (Source: GVEP) Energy Technology Phone & Battery Charging Findings Price of service fairly fixed Location is key Competition exists from similar businesses and those charging from grid electricity Reliant on word-of-mouth and people in the community knowing they exist. Recommendations

THEME

Entrepreneurs need to be located within 5km of main customer base. Need to publicise the availability of the service beyond their shop through use of signboards, leaflets, and announcements. Target any nearby communities where this service is not available.

Solar Lanterns

Pricing is critical Possible revenue could be generated through leasing Customers dispersed over large geographical area

Could employ local sales representatives on a commission basis Need to show customer long term cost savings on purchase Advertise business through local networks, organisations and media. Could attract more female customers through technology awareness and access to finance. Need to show customer long term cost savings on purchase In areas where consumers use wood and charcoal, promotional messages should focus on monetary and fuels savings. In areas where biomass is freely available, messages should focus on time savings and health benefits. For those selling direct to consumer, product must be conveniently located i.e. on routes out of town. For those selling to wholesale buyers, they should actively seek new markets and supply product samples. Needs to be as convenient to purchase as charcoal Target potential customer bases such as schools, hotels & restaurants Use of machinery can reduce the cost of briquettes & make them more competitive Free samples should be given out to potential new customers.

model of business. The DEEP East Africa programme is changing this by emphasising that energy business is like any other business through the training programmes and associated support. Group networking sessions are arranged where energy entrepreneurs who have perfected the art of running businesses are invited to share and exchange information and experience. Technical skills and knowledge: Entrepreneurs are likely to take up energy technologies where they have existing skills and knowledge. For example, entrepreneurs from areas in Kenya where pottery making has been passed down through generations, have also adopted ICS liner production using their existing skills. However, without specific training it is difficult for entrepreneurs to enter this market. The DEEP programme tries to overcome this by providing technical training for entrepreneurs as well as encouraging them to expand into new energy technologies.

Marketing challenges and strategies


One of the key factors leading to a successful enterprise is the marketing of the energy products. As markets are defined by factors as mentioned above, it has also been found that there is limited knowledge of the availability of the new energy products (for example, solar lanterns) in the distant rural areas. One of the reasons for low penetration is also because suppliers do not have sufficient marketing and outreach budgets to branch out in rural areas, thereby limiting them to towns and cities. However, with less than 15% electricity access in the rural
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areas of the three countries, energy products like the solar LED lanterns are attractive and hence, there are avenues for opening up the market through a better distribution channel. Currently, the customer has to know about the supplier and reach out, rather than the other way round. In the rural areas, the micro entrepreneurs are also defined by the limited geographical zone of operation. Despite the need to step up the energy ladder to LPG or biogas for cooking or larger solar panels for lighting, BoP customers often have low purchasing power making it difficult for those micro entrepreneurs dealing with larger energy products to grow their businesses rapidly. The entrepreneurs also lack appropriate marketing skills to promote products and services. One of the emerging challenges has been the failure of entrepreneurs to recognise different market segments so as to customise their products in light of different needs, confirmed by a recent DEEP study (Clough, 2011). Many entrepreneurs rely on a small number of households as their main customers and face a lot of competition within a local area. They may feel limited in the markets they can access by their business location, available stock and finances. There is also a lack of energy product awareness, both by entrepreneurs, in terms of suppliers, and consumers, in terms of the benefits and uses of energy products. However, in light of these challenges, entrepreneurs are engaging in a range of promotional techniques for their businesses, with word-of-mouth being a widely used tool. Advertising opportunities may arise from contacts within local organisations and government departments, and material provided by product suppliers

or programmes such as DEEP. Energy MSMEs sit in a larger value chain and other service providers such as product developers, the media and individuals can contribute to favourable market conditions whether it be through improving product quality, increasing awareness or providing transportation and advertising services. The marketing issues that entrepreneurs face are different for the different energy technologies and the findings in Table 2 are drawn around specific energy technologies. The DEEP East Africa team is currently focusing on activities to improve entrepreneurs capabilities in marketing. Facilitators are encouraged to focus on marketing principles regarding product, price, promotion and distribution. Market development support sessions are also organised with a specific focus on responding to individual challenges. Such group networking sessions also encourage entrepreneurs to make new links with suppliers and potential customers.

Solar PV

Quality & price critical High cost of system barrier to expanding stock Customers perceived to be mainly male Many business models exist. Some entrepreneurs sell direct to consumer whilst others sell to wholesale buyers. Competition is high with producers operating close to other businesses Distribution of stoves is a major challenge

Improved Cook Stoves

Briquettes

Quality and price is critical In competition with traditional fuel sources such as charcoal Lack of awareness of benefits of product Reluctance to switch from traditional cooking methods

Table 2: Findings and recommendations (Source: GVEP)

References
Ernst & Young., 2009. Consolidated regional report Provision of consultancy services for the study on the promotion of small and medium enterprises (SME) in the East Africa region. Kariuki. P, Balla. P., 2011 Experience of working with women entrepreneurs in East Africa, GVEP International Paper Clough L., 2011 Marketing Challenges and Strategies for Micro & Small Energy Enterprises in East Africa. GVEP International

Profile of the authors


Kavita has over 17 years of experience working in the field of energy and has a PhD in Development Studies. She has been involved for many years in promoting grassroots projects to ensure long-lasting access to clean energy. She also holds a close interest in linking poverty to energy policy development. Prior to joining GVEP International, she performed various international consultancies in renewable energy and social development. Kavita is responsible for running GVEP Internationals regional programmes and works closely with project implementers, private sector companies and partners. Laura graduated with a Masters degree in Mathematical Engineering from the University of Birmingham. She provides technical support to GVEP Internationals Developing Energy Enterprises Project (DEEP). She has been involved in various studies in the East Africa region, including a Market Study for Energy Enterprises.

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Figure 3: Product packaging (Source: GVEP) Boiling Point. issue 60 2012

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THEME
PEER REVIEWED Figure 2: Example of a market map (Source: Albu & Griffith, 2005)
Trade standards

THEME
Enabling Environment
Business regulation

Finance policy

Land registries

Tax & tariff regime

Bioenergy market system development: Comparing participatory approaches in Kenya and Sri Lanka
Keywords: Market mapping; Bioenergy; Participatory approaches; Market analysis

Export markets

Contract enforcement

Low official corruption

Q.A Institutions

Knowledge of consumer trends

Domestic mass markets Institutional customers

Whole sale

Authors Ewan Bloomfield

Energy Consultant, Practical Action Consulting The Schumacher Centre for Technology and Development, Bourton on Dunsmore, Rugby, Warwickshire, CV23 9QZ, UK ewan.bloomfield@practicalaction.org

Figure 1: Bags of charcoal lined up for sale near Kisumu, Kenya, where Participatory Market Mapping was used to strengthen the market value chain (Source: Practical Action)

The Policy Innovation Systems for Clean Energy Security (PISCES) project aims to develop new information in the sustainable use of bioenergy to improve energy access and livelihoods in South Asia and East Africa. This article discusses enhancing the way biofuels are marketed and sold, through a system known as Participatory Market System Development (PMSD). This has the potential to increase the efficiency and sustainability of these market systems, with a key tool that engages stakeholders, known as Participatory Market Mapping (PMM). The PISCES project is the first to apply such approaches to bioenergy. Workshops were conducted in Kenya and Sri Lanka in 2009 to identify market chain actors, external factors affecting these chains and sub-sector service providers. The lessons learnt show similarities in the challenges faced by both countries, and provide a model for using market mapping approaches for future applications in developing bioenergy market systems.

of market system value chains with three main components: the key actors, the services and the external influencing factors (shown in Figure 2). Such a process can encourage understanding of how markets work, both for the actors themselves and the facilitators, in a process where the various components of the chain are openly discussed. The central component charts the market chain and its principal actors; the top component charts the business environment; and the bottom charts the business services that support the chains overall functioning. The input of all these active stakeholders contributes to a market map that helps people to make informed decisions and creates a wider range of knowledge than one created by a single analyst. The process of producing the map, including the structured dialogue between actors from different areas of the market chain, is a learning and development process in its own right. The map is kept by the actors who can use and improve it with time. [More can be found about the PMM and PMSD approaches on Practical Actions website, under PMSD Roadmap.] (see @HEDON).

Business & extension services


Local markets

Final product traders

Large-scale processors Intermediate traders

Niche markets


Upgrading standards

Small-scale processors

Primary producers

Facilitation of linkages

Market information

Financial services

Product diversification

Producer coordination

Input supplies

Sri Lanka
In Sri Lanka, biomass makes up 47.4% of the primary energy supply and is important to a range of energy users, from households and industrial companies to large and small power generation (Nissanka and Konaris, 2010). Although 70% of national bioenergy in consumed in the informal sector for domestic cooking and industrial purposes, it has still not been exploited on a large scale by industries operating within the formal economy. Firewood is Sri Lankas main cooking fuel, despite electricitys availability to 85% of households, and cooking accounts for 81% of total biomass consumption (Nissanka and Konaris, 2010).

(producers, transporters, retailers, local level administrators and policymakers) to learn and share knowledge on sustainable production and marketing. This enabled them to start the process by identifying gaps in the value chains and devising strategies to address them immediately following the workshop.

Kenya: Promoting and Marketing Sustainable Charcoal Production


The two day long workshop organised by PAC East Africa, allowed comparisons of two existing local charcoal market systems from Kitui and Bondo Districts in the Eastern and Nyanza Provinces of Kenya respectively. Preliminary maps based on research in Bondo and Kitui were developed by PAC East Africa and the PMM workshop allowed actors to identify gaps in their market system, and to use the maps to model how their markets can be improved to affect change. The market map of Bondo is shown in Figure 3. The Kenyan market maps reveal the similarity of challenges faced by charcoal producers and marketers in both Kitui and Bondo. This includes the limited knowledge and use of efficient production techniques; and specifically, in Bondo, the high cost of transporting wood from farms to kilns and of raising seedlings, and the stigma of charcoal farming due to its previous illegal status; and in Kitui, the low and seasonally fluctuating charcoal prices, inadequate information on taxation, erratic implementation of taxation policies and depletion of raw material sources. Through this PMM process, following a review of the models of charcoal production, the market actors and other important stakeholders from the target
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Market Mapping in Kenya and Sri Lanka


To enhance knowledge of the charcoal industry in Kenya and the biomass industry in Sri Lanka, PISCES organised training sessions for staff and sector actors in Nairobi, Kenya in 2009, and Kandy and Colombo, Sri Lanka in July 2008 and January 2009, respectively. Following positive reaction to the methodology and approach, PISCES held full PMM workshops in Kenya in November 2009 and Sri Lanka in January 2009, working with relevant Government departments to identify key bioenergy stakeholders. These workshops successfully brought together the main market actors, helping them recognise the services, inputs and linkages that enable progress, as well as identifying key policies and regulations that can potentially constrain the growth of bioenergy market systems, through presentations, group discussions, feedback, conclusions and recommendations. The overall objective was to enable the charcoal and biomass participants

Kenya
Biomass is the most commonly consumed form of energy in Kenya at about 68% of the national consumption. The charcoal industry employs over 700,000 people and represents the countrys second largest rural industry (ESDA, 2005), with charcoal providing energy for 82% of urban and 34% of rural households (Wa Gathui, 2010). Presidential decrees of the 1990s banned its manufacture due to alarming rates of deforestation, but as no alternative household fuels were identified, production was driven underground. However, the Kenyan Government recently started to recognise its importance as a form of household energy in the national economy and developed policies to promote its sustainable production and marketing. Nevertheless, gaps in the charcoal value chain have yet to be addressed to enable truly sustainable commercialisation within the industry.
Boiling Point. issue 60 2012

Participatory Market Mapping

P
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ractical Action Consulting (PAC) carried out research as part of the PISCES project to address some of the problems associated with bioenergy value chains in Kenya and Sri Lanka through a process known as Participatory Market Mapping (PMM). PMM is a method of analysis, developed by Practical Action, which allows the market actors themselves to produce valuable new

information which policymakers can use in their national planning processes, as well as developers and interest groups in the bioenergy sector. This is done through a participatory approach, where all relevant actors carry out a mapping exercise. By recognising factors that influence market systems, including existing linkages and blockages, they can increase their understanding of how the market needs to change. Once the relevant actors have been identified and engaged, a Participatory

Market System Development (PMSD) approach can be initiated. This involves the different actors of a market chain, from the gathering of the initial resources (such as fuelwood), through to its delivery to an end user, joining together to make innovations as a group using a well-led and structured process that gradually stimulates interest and collaboration (Bernet et al, 2005). Through the PMSD process, the stakeholders can jointly produce market maps, which are graphical representations

Figure 3: A Market Map for Charcoal Production in Bondo (Source: Practical Action)

THEME
Enabling Environment
Anti-charcoal attitude in NEMA Lack of awareness about policies, legislation Unofficial taxes by regulatory officers Lack of charcoal standards

THEME
Figure 3: A Market Map for Charcoal Production in Bondo (Source: Practical Action) Figure 4: Participatory market mapping workshop (Source: Practical Action)

Corruption at transport, wholesale, retail points

Inhibitive by-laws Bondo County Council

Poor road infrastructure

Weak market actor organisations (Cooperatives) societies etc

------------------------------------------------------------------------------------------------------Market Actors
Schools in Nyanza province Hospitals and hotels in Nyanza Retailers Charcoal producers

CFA

Urban and Rural households

Distributors

------------------------------------------------------------------------------------------------------Supporting Services
Traders (Transport) Community (Labour) Lake Victoria (Water) CBOs (Acacia seedlings) Farmers (Land) CARPA, Community (Kiln) Community SACCO (Sacco) Security watchman (Tree Nursery) (Security) KEFRI, KFS, MoA, VI Agroforestry (Technical support) Donor, CARPA, Individuals (Finance) CARPA (Marketing)

areas started to recognise how charcoal is a key industry in Kenya. Although the Government has recently led the development of legislation and policies to facilitate sustainable production and marketing, the industry remains affected by many challenges. Market actors currently have limited awareness of these policies and legislation, and there is still an on-going perception of charcoals illegality. Additionally, the presence of numerous charcoal taxes and abundance of actors with unclear roles reduce the businesss profitability. Workshop discussions revealed two key issues: a lack of information on how to determine if a business was profitable, and the problems in accessing sufficient credit by those working in this important sub-sector. The workshop successfully brought together key stakeholders, including chiefs from central Uyoma, Bondo and central Kitui; members of local CBOs; senior forest officers; charcoal producers, transporters, brokers and retailers; a Commanding Police Officer; a Director from the Department of Renewable Energy; and a representative from the African Centre for Technology Studies. They reviewed the case studies and developed ideas for addressing the specific gaps in Kenyas charcoal market. It was suggested that PISCES should extract key issues from the national energy and forestry legislations, and develop a set of simplified materials for policy consciousness (e.g. a charcoal policy summary booklet) and awareness of local authority fees (to help community associations disseminate information). Furthermore it was identified that PISCES and community associations could initiate the development of charcoal standards with the Kenya Bureau of Standards and the Ministry of Energy. To improve the supporting services in the charcoal market system in Kenya, the Kenya
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Forestry Research Institute (KEFRI) is the ideal institution to lead the performance evaluation of available charcoal kiln technologies, such as prototype brick drum kilns, to foster efficient small-scale production. Establishing demonstration farms in Bondo and Kitui, to exhibit the management of natural tree species for charcoal production, would be best headed by the Kenya Forest Service (KFS). KEFRI could lead research to generate information on appropriate tree species for different ecological zones for the sustainable growth of wood for charcoal. The suggestions for helping market actors include the formation and/or strengthening of the Community Charcoal Associations to coordinate sustainable production and marketing. The workshop also encouraged immediate actions, including establishing demonstration farms in Kitui by KFS and the Ministry of Energy. Charcoal producers in Bondo started to adopt improved kilns to solve the expensive task of transporting wood to central kilns. The PISCES project has developed a Handbook for policy makers and a Pocketbook for market actors, to help demystify the charcoal legislation in the country. It is also addressing a number of other knowledge and practice gaps, and exploring the possibility of initiating similar workshops with its partners in other East African countries.

Sri Lanka - Unblocking the Biomass Market System


Sri Lankas PISCES country program focuses on the effective and sustainable utilisation of biomass for energy applications in different sectors, including households, institutional and industrial applications, small village electrification and power generation, all with an emphasis on ensuring energy access for the poor. A PISCES Biomass Policy Working Group (PWG) has been set up,

allowing a group of professionals to engage with Sri Lankas biomass policymakers. It is chaired by the Sri Lanka Sustainable Energy Authority (SLSEA), which identified that transformation of the market system is key to promoting the efficient use of biomass. The PWG conducted a capacity building exercise in 2008 to understand the PMSD process, before carrying out a PMM workshop in January 2009 (see figure 4). The workshop was held to stimulate an in-depth analysis of two bioenergy market systems, selected by PAC and SLSEA, to identify key issues and areas where policy interventions are required: biomass supply to the industrial sector, and commercial fuelwood supply to households and the service sector. As in Kenya, the workshops objective was to identify market actors, their interlinkages, external factors that affect the market chain and service providers. It was also hoped to better understand the issues presently facing the sector and their effect on the market system actors, and to develop policy interventions to promote more efficient and environmentally sustainable market systems. The workshop was successful in identifying chain actors, enabling environmental players and service providers to identify their inter-relationships, and, in particular, the issues facing them. However, a full understanding of the flow of biomass along the market chain was not successful, due to the informal nature of these markets and poorly defined materials flow paths (the quantities and types of wood and agricultural residues transported from their source location to where they are used). The proposed recommendations to enhance the biomass market system in Sri Lanka include: establishing an institution with the authority to implement a bioenergy sector policy framework, formulating biomass product specifications (e.g. moisture content and size) with the Sri Lanka Standards Institution, developing a practical pricing mechanism for biomass, and a revolving fund for cushioning price fluctuations. The stakeholders also suggested a review of regulations regarding forestry products and timber transportation and the possibility of using carbon credits and other environmental schemes, such

References
Albu & Griffith., 2005. Mapping the Market, Practical Action, http:// practicalaction.org/markets-andlivelihoods/mapping_the_market Bernet T. et al., 2005. Participatory market-chain approach, BeraterInnen News 1/2005, Lindau, Switzerland.

as promoting eco fuels. Additionally, incentive schemes may be able to encourage private sector participation in the industry. R&D policies and support structures were identified as requiring further work to ensure more attention and funds are allocated to the biomass sector, such as for optimising distribution models, transport solutions, cooking equipment for domestic biomass use and an investigation into a failing 1MW thermal biomass power plant in Walapane, near Colombo. Energy plantations could also be developed with a more holistic view, incorporating all the social, environmental and financial benefits within an economic study. Market actors would benefit from the identification and mapping of available resources and current and future demand to develop a clearer picture of the resource distribution. The PISCES Biomass PWG will follow up with respective institutions to implement recommended actions. In addition, market actors and other stakeholders could form a pressure group to ensure action and continued momentum. They will also assist the policymakers and other institutions by providing industry-related information, enabling them to take informed decisions regarding introducing new policies and/or amending existing ones.

Conclusions
The workshops in Kenya and Sri Lanka demonstrate how PMM can be used to identify gaps in market systems and provide a platform for further PMSD. Bringing together a group of relevant but often disconnected stakeholders allows experiences to be shared, important issues to be recognised and then translate this learning into recommendations for action to help build the sub-sectors.
Boiling Point. issue 60 2012

Such workshops can encourage powerful market actors to be aware of and engage with issues that negatively affect their market chains. This can produce a greater impact when their collective influence is focused on improving policies that can affect even the smallest of market actors. Similarities were noted in both market systems and analysing the maps showed that it was possible for actors from both countries to identify blockages that were negatively impacting their market systems. For example, lack of standards for the weight of a bag of charcoal in Kenya and for biomass moisture levels in Sri Lanka have adversely affected the consistency of bioenergy quality. There are also clear learning lessons for future participatory exercises. The experiences from both countries suggest that a blend of case studies, detailed emerging issues from market maps and specific recommendations should be integrated into the basic market mapping exercise. This was well-demonstrated by the case studies in Kenya and the clear breakdown of issues affecting biomass market systems in Sri Lanka. Recommendations such as KEFRI offering to address knowledge gaps around drum kilns in Kenya should be the kind of outputs that PMM workshops target. PISCES is planning on using the approach developed in Kenya and Sri Lanka to define a bioenergy methodology which can be replicated in both India and Tanzania. As PISCES continues to facilitate new information on what is needed to enhance bioenergy market systems, participatory approaches can be highly relevant for promoting the commercialisation of these industries into well-established and regulated sectors that will ensure energy access for all and improve livelihoods in developing nations.

Nissanka & Konaris., 2010. Bioenergy in Sri Lanka: Resources, Applications and Initiatives, Working Paper for PISCES. Wa Gathui., 2010. Promoting Sustainable Charcoal Production and Marketing in Kenya: A Comparative Analysis through Participatory Market Mapping, Published Workshop Report for PAC Eastern Africa office.

Acknowledgements
This report has been produced under the Policy Innovation Systems for Clean Energy Security (PISCES) project, a five-year research project funded by the Department for International Development of the United Kingdom (UK). Project implementation started in July 2007 and will end in June 2012. PISCES is implemented by a Research Project Consortium (RPC) which includes the African Centre for Technology Studies (lead) Kenya; Practical Action Consulting (PAC) UK, Eastern Africa, and Sri Lanka; University of Dar es Salaam (UDSM), Tanzania; M.S. Swaminathan Research Foundation (MSSRF), India; and University of Edinburgh (UoE), UK.

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THEME
PEER REVIEWED Figure 2: Village demonstrations to create awareness. (Source: Rural Energy Foundation)

THEME

Market development: An efficient way to boost household energy solutions


Keywords: Renewable energy; Market development; Capacity building; Financial solutions; Energy delivery; Rural electrification

Author Luc Severi

Operations Manager Senegal, SolarNow BV, BP 64503 Dakar Fann, Senegal luc@solarnow.eu

Willem Nolens

Managing Director, SolarNow BV, P.O.Box 1307, 6501 BH Nijmegen, The Netherlands willem@solarnow.eu

Barriers
Availability
When the Rural Energy Foundation (REF) started its activities in Ethiopia in 2007, we mapped the supply side of solar energy products. Our conclusion was that there was ONE retailer selling solar home systems outside Addis Ababa. This retailer had to attend to 75 million rural Ethiopians, can you imagine? Why was it then that other retailers did not sell solar? Answers ranged from; Solar, whats that? to I do not know how to size and install and I need to invest too much in stock. The needs were clear: firstly the retailers needed to be convinced about the opportunity; secondly they needed to be trained not only on technical, but also on commercial and managerial aspects; and finally they needed finance to buy stock. Still, even when offering this, many retailers remained sceptical, asking will there be demand? That brings us to the next barrier.

Affordability
Households in rural areas want the services that electricity can provide. They want to watch TV, charge their phones, and have the freedom to connect other electric appliances. With an average monthly income of around US$ 100 in rural Africa, most of the electricity solutions seem beyond reach for the majority of society. The barriers can be partially solved by lower-priced products, which have become available in recent years. If households have at least US$ 10 of disposable income per month, a solar lantern is within their reach. The same goes for a fuel-efficient cookstove or a siphon water filter. On the other hand, credit schemes may need to be in place to allow people to spread the initial investment over a period of time. At this time, there are hardly any scalable credit schemes in place to support renewable energy. Financial institutions are not used to asset-based lending, nor do they have the willingness to expand their lending portfolio in the rural areas.

Figure 1: Technical training on how to install a solar system. (Source: Rural Energy Foundation)

The essential features of the REF approach are: To facilitate the building of solar business around existing local retailers Coaching in both small business management and the technology of solar energy systems Securing a reliable supply chain Providing these retailers with working capital and marketing tools. Once a critical mass of skilled retailers exists, REF initiates marketing campaigns to boost demand and designs and implements end-user credit schemes REF strives to maintain the lowest possible overhead. The operational costs are made possible by the Dutch Ministry of Foreign Affairs, the DOEN Foundation and private individuals.

At a time where grid extension and decentralized mini-grid projects are still the most common approach to rural electrification, the 2010 Ashden Award winner Rural Energy Foundation (REF) goes about things in a different way. Using a market development approach, REF builds and supports a supply chain from import all the way to the end-user, including end-user finance schemes. The focus is on effectively reducing the three main barriers to growth: availability, awareness and affordability. In doing so, REF has facilitated access to renewable energy to an estimated 500,000 off-grid people in nine African countries, at a support cost of less than US$ 5 per connected person. But most importantly, it has created a financially sustainable supply chain that lasts long after completion of the intervention. What are the keys to this success? - and will market development also work for other energy solutions?

Step 1: Creating availability


When starting in a new country, the first activity is to identify existing retailers and service providers for renewable energy solutions. While we have found some very good retailers, most of them active in renewable energy sell the products but do not offer customers the necessary sizing advice, installation or after sales services and warranty. In those areas where no activity in renewable energy is found, shops in hardware or electrical appliances are approached. I used to repair and sell TVs and DVDs, but now Ive had the training, about half my business is in solar installations. Stephen Meana from Mbale, Uganda. Once a retailer has been identified, and he has proven to be committed towards growing the renewable energy business and providing quality advice and products, he/she is invited to enrol in a coaching programme. The retailers needs are assessed and a support plan is made, consisting of training sessions in technology, marketing and sales, and business administration (see figure 1). These training activities are initially given on a monthly basis to the entrepreneurs, sales staff and technicians. Also, he receives marketing support consisting of signboards, posters, demonstration units and more. The materials not only support the visibility of the products in the shop, but also facilitate effective village demonstrations. Finally, some retailers are granted loans to start and expand their renewable energy business.
11

Awareness

The market fails

W
10

hen passing through an average African village at night, you would be lucky to spot an electrically-lit house. The unfortunate truth is that the spread of modern energy services is still in its infancy in rural Africa. Governments appear powerless, facing growing pressure and high costs for grid extension, while the private sector has often failed to meet the needs of poor people. Non-governmental organisations continue to see energy as a utility, a service people

are entitled to receive, but connecting people to energy without asking for an initial investment is potentially expensive; explaining why most electrification projects only reach a small number of people. There is now growing evidence of a niche for small-scale de-centralised approaches for the supply of modern energy services that meet the needs of poor people on a financially sustainable basis. Renewable energy solutions are often the lowest cost option when the load density is small - such as in remote locations where the power needs are limited.

Many attractive decentralised energy solutions have been developed over the past years. Renewable energy systems for households, such as solar home systems, pico hydro systems and solar lanterns have become cheaper as a consequence of economies of scale and technical advances. Also, as the energy consumption of items such as improved biomass cookstoves, siphon water filters or LED technology has improved, it is clear that rural households can significantly reduce their energy expenses by using these technologies.

Imagine you have never seen electricity wires or electrical devices, apart from a battery-charged radio. Someone shows you a solar panel. Not being familiar with the solar PV technology is one thing, but not being familiar with the concept of electricity is another matter. It takes time and a lot of campaigns to raise awareness of the technology and its benefits. Even those that claim to know the technology are not always positive, as they only know the technology and price of early types of solar systems.
Boiling Point. issue 60 2012

How market development can help: The Rural Energy Foundation approach
REF is a Dutch registered NGO which facilitates access to renewable energy by establishing and supporting entrepreneurs and technicians in solar energy products in sub-Sahara Africa. The focus is on solar home systems, but the distribution network also provides access to solar lanterns, fuel-efficient cookstoves and low-cost water filters. REF has teams on the ground in eight countries in sub-Saharan Africa, employing 39 renewable energy experts who are committed towards a market-oriented, straightforward and low-cost approach.

THEME
Figure 3: Tanzanian shop owner starting a solar business. (Source: Rural Energy Foundation) PEER REVIEWED

THEME

Use of agricultural biomass in competing value chains: Malwa power plant, Sri Muktsar Sahib district, Punjab
Step 2: Creating awareness
After having established an effective supply chain, it is important to boost demand, otherwise the supply chain will collapse. REF invented the brand name SolarNow for its supported retailer network. This brand name not only helped to increase the visibility of the retailers (who painted the name prominently on their walls), but also allowed branded retailers to benefit from large-scale awareness campaigns in the name of SolarNow through radio, billboards and television. The awareness campaigns by themselves do not create much demand; instead they increase the effectiveness of village demonstrations (shown in figure 2), resulting in increased purchases..
Market mapping; Agricultural biomass; Punjab; Electricity generation; Brick making

Authors Arivudai Nambi


Project Director, M.S. Swaminathan Research Foundation 3rd Cross Street, Institutional Area, Taramani, Chennai 600 113, India anambi@mssrf.res.in

Case study 1: Generating Income from solar in Uganda


In 2009, REF Uganda pre-financed a number of solar systems for income generating activities, like phone charging and electronic barbershops. The purpose of these pilot installations was to raise awareness and promote business opportunities. The pilot installations not only boosted demand for quality PV systems, but they encouraged tens of entrepreneurs to start businesses by making productive use of solar energy.

Santosh Kumar Patnaik


Scientist, M.S. Swaminathan Research Foundation 3rd Cross Street, Institutional Area, Taramani, Chennai 600 113, India santosh@mssrf.res.in

Case study 2: Promotional tour in Senegal


In December 2009, Jasmien Bronckaers of REF successfully performed a major marketing stunt with a retailer based in Saint-Louis, Senegal. With a Citron 2CV, they drove through 10 villages to create awareness for solar energy and to promote the products of the retailer. If the retailer was initially hesitant about the benefits, they were quickly convinced. In villages where he had previously failed to make a sale, he received more than 10 orders for systems in the month following the demonstration tour. end of 2015, effectively providing access to energy to 1 million people. As the market developed, REF found that the retailers who have been supported for several years began facing different challenges. These retailers reach a scale where the primary concern is the products affordability. They want to transform from solar retailers into household energy service centres, selling other energy products, such as improved cookstoves, pico-hydro systems and household biogas solutions. To address these needs, REF established a for-profit service provider that, for example, offers hire-purchase facilities to end-users, or management of carbon credit schemes for cookstoves. The intention is that these service providers will, over time, take over REFs role as market developers; not for humanitarian reasons, but because of sound entrepreneurial incentives. Once a wellfunctioning and competitive market starts to emerge, REF believes that renewable energy household solutions will become the standard energy supply in rural Africa. This will make a perfect showcase, where rural Africa will have overtaken the western fuel-addicted world.

Step 3: Creating affordability


REFs initial focus was on solar home systems. It was not until 2009 that REF started to diversify to also include low-cost solar PV lanterns. While the demand for these products increases, it is evident that they cover only part of households energy needs, while most households cannot afford complete energy home systems. After a number of unsuccessful attempts to involve financial institutions in the chain, REF found it necessary to establish a forprofit hire-purchase company to provide finance to lower-income households. It is REFs intension to scale up the loan scheme to reach 100,000 households by 2014.

Figure 1: Feeding biomass to kiln of a brick manufacturing unit in Muktsar (Source: Santosh Patnaik)

Profile of the authors


Willem has over twelve years of experience in establishing and leading social enterprises in the field of microfinance and solar energy in Africa. He has been leading the SolarNow activities since 2008. Luc is currently working and residing in Dakar, Senegal, working on the implementation and management of the back-office structures that facilitates and streamlines the incountry operations.

Only the market can do it


REFs mission to reduce poverty by developing sustainable markets for renewable energy solutions is far from complete. However, the market development activities so far have proven to be successful. From 2007 to 2010, as REF, 100,000 solar home systems were sold. By December 2010 a pan-African distribution network of 277 skilled and SolarNow branded retailers (see figure 3) had emerged, selling around 40,000 solar home systems per year thereafter. The most recent aim of SolarNow is to sell 125,000 solar home systems before the
12

Brick making is a traditional industry, generally confined to rural and peri-urban areas (Singh A.L 2004). Apart from coal and briquettes, brick kilns use fuelwood, rice husk and dry dung for firing. Agricultural biomass has many supporters now and competition for biomass use has been gradually emerging in the area. This paper constructs the prevailing and emergent market systems for agricultural biomass through a market mapping technique. It provides a comparative account of biomass value chain along with supporting services and enabling business environments for two emerging uses of biomass, electricity production and brick making. Additionally, the article explores the market drivers and restraints that determine the biomass flow to the respective value chains.
growth in other agricultural crops has been equally impressive. Punjab occupies 1.6% of Indias land area but contributes to the countrys 42% of rice, 55% of wheat and 24% of cotton production, generating an estimated 22.65 million tonnes of agricultural residues and industrial processing biomass annually. Currently, this biomass is either underutilised or burnt (Financial Express 2006), but it has the potential to generate more than 1500 MW of power (Government of Punjab 2006). In 2007-8, Punjabs installed power capacity of 4628 MW was generating 25,369 million kWh of electricity. Total generation is predicted to be about 7451 MW at the end of the 11th plan (200712), against the expected peak demand of 11,000 MW during 2011-12. To address such shortage, Punjab resorts to purchasing power. In 2002-3, Punjab purchased 8213.84 million kWh of electricity from outside sources (PSEB 2003). A gross power purchase of 17,322 million kWh was projected by the Punjab
13

Introduction

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gricultural biomass has the potential to meet Indias growing energy needs. In 2007-8, 329.7 million tonnes of agricultural biomass were produced nationwide (Ministry of Agriculture 2008). The green revolution has placed Punjab at the forefront of agriculture where wheat production has increased from 1.7 to 5.1 million tonnes during 1965-72 (Zarkovic 1987), while

Boiling Point. issue 60 2012

THEME
Figure 2: Location of the case study area (Source: Sri Muktar Sahib District Administration n.d.) Figure 3: Market map of biomass based energy production (Source: Santosh Patnaik)
Existing Environment Policy support (NRSE Policy, Govt. of Punjab) CDM benefits Competition for feedstock

THEME
Water logged and saline land for mono cropping

Farmer (Agricultural biomass) Farmer (Dedicated monocrop) Self employed (Feedstock from miscellaneous sources) Procurement Centre Direct Selling Malwa Power Plant t Ltd. Agents

Electricity

Market Chain Actors and Linkages

Ash Pu Electricity Punjab State Electricity Board Generation

State Electricity Board for 2010-11 (PSERC 2011). The establishment of independent power plants and cogeneration units are some of the recent initiatives underway in the state to utilise agricultural biomass. Malwa Power Plant Ltd. (MPPL), Punjabs first electricity generation unit from biomass, is such an initiative by Dee Engineers Pvt. Ltd. in the Sri Muktsar Sahib district of Punjab (see figure 2). The feedstock used is predominantly of agricultural origin. Although the boiler is designed for burning paddy husk, a range of biomass is being fired in different fuel mixes. In order to meet the biomass demand, feedstock sources have been diversified and the biomass used in the power plant can be categorised as follows: 1. Of Agricultural origin: cotton stick, mustard Stick, wheat straw, paddy straw, Sorgum husk, Moong husk and dry cow dung. 2. From dedicated plantation: leaves, lops and tops of Eucalyptus tereticornis, Napier grass and Saccharum spontaneum. 3. Miscellaneous: wild grasses, weeds, Prosopis juliflora and Sesbaina grown along drains and farm bunds, firewood chips, tree barks, veneer waste and saw dust. Cotton sticks satisfy more than 60% of the power plants fuel needs. The total requirement of biomass is estimated to be 65,043 megatonnes and 72,270 megatonnes at 90% and 100% capacity utilisation per annum respectively (UNFCC 2005). The feedstock use profile of the power plant is presented in Table 1. The fuel mix used relies on the kind of feedstock available, and therefore on the regions cropping patters.

Biomass Procurement Mechanism of the power facility


A massive procurement and storage infrastructure has been created in order to ensure uninterrupted supply of biomass fuel, including the deployment of weighbridges, mobile chipping machines and transportation. Field staff are employed to oversee the procurement process from potential farmers, with surveys conducted to estimate the quantity of agricultural biomass available in villages. Based on this valuation, the decision to establish a procurement centre is being taken by the management. The chipping of the sun dried and stored material is started within 25-30 days after procurement through mobile chipper machines, which can chip about 10-15 megatonnes of dry material daily. Cotton stick is acquired during November and December directly through the collection centres or indirectly by entrepreneurs. Besides agricultural biomass, monocropping stands of Eucalyptus, Saccharum spontaneum and Napier are undertaken to tide over unforeseen spells of biomass short supply. An estimated 4.047 x 106 m2 of Eucalyptus tereticornis plantations have been implemented in the Muktsar and Malout block. Biomass in electricity production is relatively new in Punjab, although it has traditionally been used as a household fuel. Before the commissioning of the
Type of Biomass 2006-7 Cotton Stick Mustard Husk Paddy Waste Straw Firewood Total 44950 15575 6575 0 11530 78630

power plant, there were mainly two uses for it. Firstly, the generated biomass was the principal source of energy at household level; rural households were using an informal market mechanism to access traditional biomass. Secondly, biomass was used as manure; dry cow dung was considered an inferior fuel and mostly used as manure. After the power plants commissioning, there was a dramatic change in peoples perception, which had previously been undermining the use of agricultural biomass, particularly cotton stick as a household fuel. From stakeholder interviews and field observations, biomass usage pattern has undergone a significant change, affecting the rural energy supply dynamics.

Market map of biomass based energy production


The market chain
Cotton stick is the most highly procured agricultural biomass from the farmers of villages near the power plant. Informal price determination is currently practiced and usually lasts for one season before changing; there is no existing unified market to determine price. The average cost is Indian Rupees (INR) 700 (US$ 16) per megatonne of cotton stick, whereas Mustard stick is priced at INR 1100 (US$ 25) per megatonne. When purchased from small entrepreneurs, the price increases up to INR 1000 (US$ 22) and INR 1700 (US$ 38) per megatonne for cotton stick and mustard stick respectively. To overcome unforeseen periods of short supply, the power plants authorities have undertaken monocropping plantations of

fast growing trees such as Eucalyptus and grass species like Saccharum spontaneum and Napier in the less remunerative land. Plantation of these fast growing trees and grasses takes place under a buy-back contract. Based on information obtained from farmers, this has benefited them, as their lands were previously underutilised due to problems with soil salinity, water logging and other physiological and managerial issues. The electricity generated in the power plant is sold to the Punjab State Electricity Board (PSEB) through a Power Purchase Agreement (PPA) contract. PSEB is the nodal agency which purchases the electricity at a price of INR 3.49 (US$ 0.08) per kWh (base year 2006-7), with five annual escalations of 5% up to 2011-12. The power plant authorities are renegotiating with Punjab State Power Corporation Limited to extend the PPA contract. The electricity is transmitted and distributed to the villages and urban centres on the grid.

Supporting Services

Agents that arrange unskilled labour

Indian Renewable Energy Development Agency

Punjab Energy Development Agency

Punjab Pollution Control Board

Technical inputs (Consultants)

kg/m3 at 12% CO2. PPCB have issued consent to establish the power plant under the provisions of the Water (Prevention and Control of Pollution) Act, 1974 and Air (Prevention and Control of Pollution) Act, 1981. This form of energy generation is supported by the Clean Development Mechanism (CDM) of United Nations Framework Convention on Climate Change. The power plant is qualified in CDM under the Type I (Renewable Energy Projects) and Category-D (Renewable electricity generation for a grid). Total emission reduction credits contracted since inception of the project from 2005 to 2009 is 202,205 tonnes of CO2. A Market map of biomass based energy production is shown in Figure 3.

sometimes from neighbouring districts in the Rajasthan state.

Supporting services
Sustenance of the brick industry relies heavily on the availability of soil, fuel and labour. Soil is procured from farmers, while entrepreneurs and agents provide fuel and labour. Kilns in a rural setting are better placed due to the soil quality and labour compared to their urban counterparts. Coal is purchased from the local suppliers with loans provided by the banks.

Existing environment
The area is characterised by desert soil which is suitable for brick making. Farmers prefer to give away their land for soil quarrying because of the short lease period (34 years) and quick money in return. Often less fertile top soil, due to repeated use of fertilisers and pesticides, of the agricultural land is removed and used for brick making. Rapid urbanisation and extension of townships in the area provides a very lucrative market for brick businesses, with availability of biomass and cheap labour favouring the industry. Brick kilns are installed after getting a license from the Department of Food & Supplies under the Punjab Control of Bricks Supplies (Price and Distribution) Control Order, 1998. A market map of biomass use in brick making is presented in Figure 4.

Supporting services:
Consultants are hired for advice on technical and non-technical issues regarding the power plants daily operations. A large labour force is required to carry out fuel handling, transportation and other functions.

Market map of biomass use in brick making


Brick making is a localised industry which utilises agricultural and forestry biomass in the form of briquettes. Bricks are one of the most important building materials used in India, the second largest global producer after China. Production is increasing at a rate of 5-10% per annum (Baum, Ellen 2009), with more than 100,000 operating units producing about 140 billion bricks annually. In 2002-3, a total of 2577 brick kilns were functioning in Punjab (Punjabstat 2010).

Existing environment:
The Government of Punjab, through the Punjab Energy Development Agency, under the Department of Science, Technology and Environment of Punjab, had given permission for setting up the project through an Implementation Agreement. The New and Renewable Sources of Energy (NRSE) Policy (Government of Punjab 2006) aims to develop and promote alternative fuels based on technologies and energy conservation measures providing fiscal incentives to the project. Punjab Pollution Control Board (PPCB) has prescribed standards of environmental compliance and monitors adherences to them on a periodical basis. A stack air emissions sample taken by the PPCB at a power facility premises reported 1.1 1023
Boiling Point. issue 60 2012

The market chain


Procurement of biomass varies seasonally in the brick making industry. Absence of a storage facility at the kilns premises delimits biomass use. Agents and small entrepreneurs play pivotal roles in procuring the required quantity from farmers and it is used immediately to avoid wastage. As price is not a barrier in the high profit-making brick industry, biomass (mostly mustard sticks) is procured from distant areas, and

Qty used (Mt p.a.) 2007-8 33030 22870 9800 3370 13134 82204 2008-9 12430 4510 5670 40772 15248 78630 Table 1: Feedstock use profile of the power plant (Source: Santosh Patnaik)

Cropping pattern
The net sown area in the district is 2.43 x 109 m2, which is 93% of the districts total geographic area. The number of farming families in this district was 31,135 and the average size of operational land holding is 70,400 m2, compared to 40,300 m2 in Punjab (Sri Muktsar Sahib District Administration 2010).
14

Comparison of market maps


Mechanisms like direct obtaining, monocropping plantation and biomass storage strategy deployed by the power plant are working favourably in the procurement process. The dependency on agents and local entrepreneurs is established in the brick making industry,
15

THEME
Existing Environment Government licensee Availability of feedstock and cheap labour Land use issues Rapid urbanisation Population growth Quick money Availability of good fertile Alluvium soil

Figure 4: Market map of biomass use in brick making (Source: Santosh Patnaik)

Market Chain Actors and Linkages

Briquetting Units

Agents

Helpline

HELPLINE

Expert response by Ben Good, GVEP International

Farmer

Brick Kiln

Bricks

Supporting Services

Agents that arrange unskilled labour

Bank

Coal suppliers

Soil gatherers

whereas the power plant relies more on the on-farm procurement. As brick making is a seasonal affair, it is only operational for 5-6 months a year; biomass generated offseason ends up at the power plant. The brick making industry is well organised as a unit and has considerable influence over the decision making process of government and law enforcing agencies. This enables them to determine better brick prices at regular intervals and evade the emissions regulation legally binding for energy production. The unit price of electricity is determined by the state electricity board, while the power plant operators have no influence pertaining to the tariff policy. Considering the present cost of biomass fuel, which varies from INR 2500-5500 (US$ 44.44-122.22) per megatonne (based on the proportion of fuel mix used) when delivered at the power plant premises, electricity generation becomes a strained affair. The minimum requirement of fuel is around 1.36 kg per kWh of power produced, and with the above rate; the average fuel cost is more than INR 3 (US$ 0.067) with an electricity selling price of INR 4.03 (US$ 0.089) per kWh. To offset the cost disparity, Eucalyptus wood has found prominence in the fuel mix used. There has been an observed 50% increase in area under Eucalyptus plantation in 2008-9 compared to 2004-5. Energy plantation has been undertaken on a long lease basis of 7-10 years tenure. The Eucalyptus clone plants are propagated densely at 4000 plants per 4047m2 and harvested on a tenure of two years. The average yield obtained is about 20-25 megatonnes per 4047m2 annually which pays about INR 50,000 (US$ 1111). This has helped in lowering the biomass price to INR 800 (US$ 17) per megatonne and has contributed to fulfilling at least 25% of the total requirement. Less remunerative agricultural land affected by water logging and soil salinity is selected to undertake plantation. 2.06% of the
16

districts area was under water during 2009, while the water table is increasing at a rate of 0.2 m per year (Sood et al 2009), significantly affecting the land use dynamics of the region. High input costs in purchasing and transporting coal is promoting the use of biomass in brick kilns. Complete replacement by biomass, however is unlikely as it compromises the quality of bricks produced due to its lower calorific value and the inherent design of brick kilns favouring coal usage. For 40% and 100% biomass dependency, 70 and 300 megatonnes respectively are required to manufacture 1 million bricks, requiring 0.3 kg for baking one brick, which offsets the use of coal by 40%. Because of the higher net profit in brick making, brick kiln units can offer better prices than the power plant. However formal institution mechanisms and procurement contracts are missing in both the value chains; so the plant ends up extending the area of biomass collection, increasing transportation cost and emissions. Institutional mechanisms need to be put in place to avoid such situations, as power plant facilities have resorted to monocropping plantation in the less remunerative land. The brick making industry is among the least mechanised and extremely polluting informal industries in India. The majority of brick makers depend on an extremely inefficient and primitive technology named Clamp Kiln, while others have adopted relatively better types (see Types of Kiln @ HEDON), resulting in a larger quantum of fuel consumption. Low efficiencies in brick firing practices lead to high levels of Products of Incomplete Combustion (PIC) emission. CO2 emissions from the burning of 13.6 million tonnes of coal per year by the brick industry are estimated at 6.7 million tonnes (Sameer 2000). Though shifting to cleaner technology has been made legally mandatory, it has not been effectively implemented. Soil quarrying for brick

making, sourced from agricultural land, leads to land degradation, in turn preventing agricultural activity in these areas. This land use change, from agriculture to non-agriculture, is an important issue in areas where brick making had flourished (Singh et al. 2004).

Three years ago Jude Kabanda began his business and Community Based Organisation, Friends of the Environment (FEO). Operating from Makindye, a suburb of Kampala in Uganda, his company produces briquettes for local people and businesses. Briquettes are a source of fuel, sometimes made of charcoal dust but can be environmentally sustainable in other forms, constructed by solidifying biomass waste products such as sawdust, maize cobs and paper. It used to be that all of his briquettes were handmade, the sales of which made him less than UGX 100 (US$ 0.04) a week. He quickly acquired a small machine, but found that his products were still poor quality and prone to smoking. They didnt perform as well as the charcoal people were using before, says Jude, so they just stopped buying. What steps can be taken to help Jude and energy entrepreneurs like him transform their businesses into viable enterprises?

Author Ben Good

CEO, GVEP International Head Office, Fifth Floor, Totara Park House, 34-36 Grays Inn Road, London WC1X 8HR, UK Ben.Good@gvepinternational.org

Conclusion
Power generation and brick making have found common ground in biomass for their respective uses. Power generation has set an example for using agricultural biomass which was previously utilised in less remunerative and environmentally detrimental ways. However, captive feedstock production is the future for the power plant as bulk acquisition of biomass is becoming increasingly cost intensive. Reforms in power regulation may be brought in the form of open access to encourage biomass based power generation. The prevailing water logging and soil salinity situation is favouring the strategy of mass production of fast growing Eucalyptus and Napier grass as fuel in the land available for monocropping. Brick business however, being technologically ill equipped to handle biomass in the current form, is going to remain and would continue to pose sustainability challenges to land and biomass resource use. Localised use of biomass for brick making should be encouraged by bringing in necessary technological changes to kilns, and pertinent environmental regulations should also be enforced.

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t the heart of any business, youve got to have a product with the right price and quality to be desirable. By looking at the market share in your area of operation for fuel cooking, you need to find a proposition that backs up well against charcoal - that gives you a clear price point to work to. Whatever the local price of charcoal, you will struggle to sell at a price significantly more than that. However, later I will discuss price discrimination to identify various classes of people who actually are interested in paying a higher price. Our observation with start-up briquette makers is that they need a lot of support in formulating a product mixture, so that it holds together, handles nicely, and doesnt arrive as a big bag of crumbs - you want a briquette to stay as a briquette. Therefore, your first requirement should be to gain technical knowledge on product formulation, which is offered through GVEP International Developing Energy Enterprises Project (DEEP). Typically, such changes in practice are about adjusting techniques and formulations, and dont tend to be process improvements that have much of a price tag. Get your recipe right so that you have a product with the right performance characteristics.

On the production side of any biomass based business, you need to know where its feedstock is coming from. Whatever you end up selling is essentially a mixture of things you bring in: a secure supply of feed stock and a good understanding of whether it will continue to exist throughout the year; as well as pressure from other people trying to access your biomass supply chain. Feedstock strategy is about continuous supply of volume, of the correct material, at a suitable quality, As you move into a business thats worth scaling, you need to focus on your productive capacity. Briquette making is something that can be done completely manually, and you need to consider various degrees of investment in machinery to reduce production time and improve quality. In this case study, you have developed this far. You seem to feel confident that there is a good case for expanding your output, in which case, there will need to be investment in mechanisation, with financing behind that. Its important to write a financial plan that justifies investment; whether youre using personal resources or money from banks, backers will want to know that you can pay off the debt in the period of the loan. The financial plan needs to enable

prediction of volumes and future markets to develop the required cash funds. Some of what GVEP does in supporting entrepreneurs is help develop those financial planning activities. If it is bank debt that is being used to create a case; it is entered in the format and language that is useful to the banks. We provide entrepreneurs with a workbook that asks them to document their expectations for the issues that will underpin a set of financial projections. This structured workbook that enables them to create that investment case is akin to a business plan. This covers mostly the production aspects, but alongside that, you need to manage demand and supply. In trying to increase your local market share of briquettes, there is the potential to avoid the blanket commodity market, which aims to create an offer that is about cost and utility, beating charcoal on both of those measures and increasing market share. Instead, you can create a branded product targeting wealthier clients, offering a product with good sustainability characteristics, which is more expensive than charcoal but feels good when you buy it. This needs consideration of packaging, branding, labelling, and access to those buyers.
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Boiling Point. ISSUE 60 2012

HELPLINE

Acquisition of customers is one of the most expensive things to do in business. Once youve got a customer, its usually easier and cheaper to sell a second time.

Viewpoints
Interview with Lazarous Chewe, Stove producer in Zambia
machinery and suddenly youve got three orders; what happens when that person suffers a serious injury and has to three months off? Such scenarios need to be anticipated. The last thing I want to talk about generally is the value of briquettes in the cookstoves debate. You dont save too many lives, as respiratory problems are still there - by substituting burning too much charcoal with burning too many briquettes in an enclosed space. There is no way to compare the importance of both new cooking techniques and new briquettes. Even if you have large-scale penetration of improved cookstoves, youre still going to have a demand for charcoal. But the good news is that in a lot of these cases, improving production quality can be free with new techniques and recipes. I believe the benefits of the various clean energy products being sold by entrepreneurs supported by GVEP are more than just a reduction in carbon - How do you measure the benefits of a school saving money on fuelwood? Its not really the money; its the books you buy with it and the improvements in the quality of education in that school. We talk a lot about how energy is so pervasive in quality of life, but the parts we actually measure arent representative. We, as the energy sector, dont sell ourselves as well as we could. My previous job was in agriculture, where we had the same sort of observations. In the countries where we operate, there are fantastic resources and great market opportunities; what is needed is the application of cash and human capital i.e. knowledge.

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Considering distribution, it would be nice to build up a sufficient franchise within your local market where people start to arrive to buy your briquettes. But equally, you will want to find some outlets that are well located for that more premium niche, if it exists. You might also like to investigate alternative distribution links, such as stove makers interested in doing a tied sale, for example - buy a stove; throw in five kilos of briquettes, and start a relationship with the new customer. Acquisition of customers is one of the most expensive things to do in business. Once youve got a customer, its usually easier and cheaper to sell a second time. If you have a significant biomass production business within one catchment area, you tend to get into dis-economy effects associated with distributing a product outside of it. At some stage in the development of your business, you may be thinking how do I move out of my district?, although I think you may be some way away from this. But in all biomass based businesses that are dealing with high volume, transport costs of low value products escalate. For example, if youve got a truck full of laptops, the cost of that journey is a small proportion of the products value unlike for a truckload of charcoal dust. This is where logistics becomes important and you must consider what localised production makes sense how do I configure my network so that the items travelling long distances are the high value bits, not the bulk low value that might be 25% waste? This is one reason to think about replicating your production capacity in different towns and locations. You can do that through a variety of models, such as setting up your own by returning to the bank to borrow money to buy more machines, which has the advantage of being entirely your own operation with control over quality and pricing. Alternatively, you can consider a less capital intensive, more franchise type, activity where you are providing some of the underpinning competencies for a replica business to be established in that new location. You will not own it and might not need to provide the
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initial capital, but they are operating under your brand to the business and technical practices that you stipulate, if so desired. While there are people who do have capital, a very large proportion of the people we work with dont have access to it and it is clear their businesses are being held back. Lending/investing is a game of confidence - its about the future - so you can do all the work you want in terms of documentation about the business and how much youve sold, but at the end of the day its about two parties taking a view about the future, and in particular the lender/investor taking the view about the entrepreneurs capabilities to deliver that future. This can be frustrating in the energy space, where you can see business models and propositions that are highly remunerative in their ability to generate the payback to cover investment costs. Upfront capital is an important issue in the markets we serve, with collateral for lenders in particular being something that a lot of people dont have or dont want to offer. DEEP has been doing some work with guaranteeing the loans that entrepreneurs, who we believe in, take from the banks. We have an arrangement with a number of local financial institutions that says if you lend to entrepreneurs that were happy with ones weve been working with for a while then we will support by under-riding the default risk; not 100% as we want the bank to be interested in the answer too, but maybe 70%. We will also require the bank to provide a slightly more competitive interest rate. That has been a way in which weve been able to help entrepreneurs grow. Regarding expansion capital, one of the things that entrepreneurs have to be weary of is that as they grow, they must think quite carefully about cash flow and liquidity since a lot of start-up businesses tend to over expand and go bust. For this particular case study, it is a real issue, but as general caution to younger businesses think carefully about managing growth, either from liquidity, or from the point of view of your capability to maintain quality as operations expand and your scope increases. For example if youve got one person who can actually operate the

In this Viewpoints feature we had a chat with Lazarous Chewe, a stove producer and entrepreneur in Zambia who, following his involvement in an INGO-led project for producing and marketing improved cookstoves, set up Dread & Works Enterprise. His business provides cookstoves to the local Zambian market and has so far managed to innovatively adapt to the pressures of his sector.

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Tell us about yourself and how you got into the business of stoves? My name is Lazarous Chewe and I come from Zambia. My background in the biomass energy technology sector began when I was employed by the Care International Stoves Project in 1998. I had no previous experience with biomass improved stoves; I was hired to be part of the marketing team which was going to produce and promote improved stoves in Zambia. At that time we did not have improved stoves locally that our project could use to promote the technology. The project decided to look to a country with similar conditions to ours, that had the technology as well as experience in their production, and Kenya was identified along with the Kenyan Ceramic Jiko stove. The project then arranged a training trip to Kenya where 15 Zambian tinsmiths where selected to be trained in the production of improved stoves and I was one of the persons that travelled to this training. My role was to learn how the Kenyans have marketed the Jiko. When we returned to Zambia, the project produced ten thousand stoves and carried massive promotional activities. Unfortunately the project failed to find funding for the next level of marketing and it was closed mid-flight in 2001. After the project closed, looking at the amount of exposure and research information I gained from this experience, I decided to establish an enterprise in 2004 which was going to continue producing and
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promoting improved stoves, called Dread & Works Enterprise. I developed my skills through various international training workshops and conferences on biomass energy that I have attended both locally and internationally and Im now using this information in my work as a stove producer. What kind of stoves does Dread & Works Enterprise produce? Initially we produced four types of stoves. We have the Anagi stoves, which we make once we get a contract for instance in a refugee camp. So we have worked in partnership with organisations working in humanitarian relief to make these stoves. Then we make the Ceramic stove. This is the stove I have a passion for! This is a stove I feel works for a long time! But in order for me to produce it I need a lot of investment. As a result, I have had to reduce the number of ceramic stoves I make - I just make it if people give me a contract in advance. But the stoves that I produce mostly are the Rocket stoves, particularly the institutional rocket stoves, because these are easy to make (shown in figure 1). All I need is an angle grinder, my welder, some local bricks, and my machinery, which are not too heavy. Do you always make a stove at the clients premises? Yes. I realized that in Zambia it would be extremely difficult for us to mobilise money to purchase production equipment, especially since the technology

that were dealing with is not yet widely promoted. I came up with a concept of producing stoves at the premises of our clients. I decided to invest in basic hand machinery and tools that are critical to stove production such as angle grinders, a welding machine and purchased insulating bricks from local brick making companies. This system has proved to be cost effective to us because when we get a contract we only ask our clients to buy their own materials based on the stove specification and we produce the stove for them at their premises. To our enterprise, this is an advantage at the moment since we have avoided huge overhead costs and are able to make improved stoves despite not having enough resources. So basically, through my work, a lot of people and institutions have got to know me and what I do and I have used my experience and connections to obtain orders from them. So I tell them that I will gladly make a stove for them, and they can place an order, but what they need to do is pay for the equipment and the materials, and I will come and fabricate it at their place (see figure 2). This is because we do not have a workshop where we can sit and produce stoves and people can come and buy from. So that is our strategy at the moment. And it works well because I am lucky to be well connected, having been in the business for 10 years, and so a lot of people know me in the government or in the non-profit sector. So if anybody needs a stove, they just call me.
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Figure 1: Rocket stove to make tea for factory workers (Source: Lazarous Chewe)

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Then we make the Ceramic stove. This is the stove I have a passion for! This is a stove I feel works for a long time!

Figure 2: Fabricated rocket stove for a client in Lusaka premises (Source: Lazarous Chewe)

Do enough people know about the stoves and do you get enough orders? I think that for the ceramic stoves my market is basically local NGOs. I am getting a lot of customers from this. But the rocket stoves, big institutional stoves made for cooking in places like prisons and schools, I think are more attractive from a business perspective because the amount that is involved is quite substantial. And so when I get orders for around 10 stoves, which is around how many I can make in a month, in money terms that translates to US$ 4000-5000. There is also a growing demand for the domestic rocket stoves, which we are getting from contracts through NGOs. How do you promote your stoves to customers? Promotion basically is targeted at institutions, with messages of fuel efficiency, clean cooking environment and reduced indoor air pollution. In Zambia, every day we have big international trade fairs agricultural shows where we exhibit and promote our stoves along with a brochure we have developed to explain to users how they work and their environmental and social benefits. Our promotion is also largely through the Internet which we get a lot of work through, and from some exhibitions that we attend where we interact with people and can get orders. Aside from institutions, do you also get individuals as customers? Yes actually, we get individuals coming from all walks of life. Our project is heavily linked with the government ministries because we attend most of their workshops, and so we do get jobs from the individuals we meet at these workshops and programmes. Does Dread & Works Enterprise have a website? Im happy you ask me this question and I hope your readers will get one or two ideas from my response. No, we do not have a website. The only thing that is working for us is the page we have on the HEDON Household Energy Network website.
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So did you find HEDON useful? Very, very useful - I must tell you. We do not need to have an energy website in Southern Africa because we already have a website, HEDON, that is helping us. So what people need is to use this facility that is coming to them at zero cost and take advantage of it. As for me, I have to confirm again, that the HEDON website has been very helpful to our ways. We get a lot of work through your website! The Internet is responsible for many contracts that we have done so far. For example, we have been able to get connected to international training opportunities and organisations that want our technologies in Zambia. I remember in 2008 we got a message through HEDON from a British organisation, African Survival Development, who were looking for a stove company in Zambia to help them make 70 domestic rocket stove for their farm workers in the Southern province. So this shows that the Internet is playing a very important role in terms of communication. We are able to reach people that we would not have been able to without it. Thank you! What challenges are you are facing in your work in Zambia? There are a lot of challenges. One is that the biomass sector is not receiving enough attention from the government as much as sectors such as petroleum and hydro power do. Yet over 75% of households in Zambia depend on biomass energy for cooking. Most of our projects are supported by NGOs. And we have a problem where, when money ends or the donors pull out, the entire thing just crumbles. So what happens is that all the people they tried to work with, are changing jobs and going on to other things. So in the end we havent achieved anything. Secondly, in a country like Zambia, issues of climate change and deforestation are not yet in the limelight to enable people to understand the importance of stoves in conserving wood. People dont know these issues!

Thirdly, we do not have the production capacity to promote stoves in the whole country. Zambia is a big country, but we are operating on a very, very small level. Also, banks will not give us loans because our sector is treated as a high risk area of investment with no tangible collateral. They do not understand it and will not invest in it. This is a challenge for an enterprise like ours. Then, we also lack capacity for production. In the neighbourhood in which we are operating, we cannot employ skilled power. We do not have money to pay engineers, accountants, lawyers etc. So we are just doing this with our passion. Are you able to benefit from carbon funding? No. In order to accept money from carbon trading, we must have very good production figures. Now, to have good production figures we need machinery to produce these stoves, which we cannot afford. Secondly, for us to accept carbon funding, we need a very elaborate working environment. We need each and every department to be in place so that when people are evaluating our project they are able to see how we work. But our capacity to work on that level is quite low. It is something we are training for, so that in the future we can also try to get carbon funding. But right now, we do not have enough money and the manpower to help us take it to the next level. What kind of institutional support would help your business? In Zambia, for me to compete in the stove business I have to register my business and pay taxes. However, the people involved in the production of traditional stoves do not usually pay tax. As a result, my business is at a disadvantage since my improved stove product ends up being expensive compared to the ordinary stove produced here. Institutions and the government need to enforce that anyone who is involved in the stove business should be registered with the tax office and the Registrar of Companies. But this is difficult in Zambia. As for our own company, we have registered and are paying tax, but this makes competition difficult.

Why are they not paying tax if they are making traditional stoves? To give you an idea of what business is like in many African countries, in Zambia stoves are made by people in communities, where someone can just make a stove and sell it. Now for us who are trying to move a step forward- for me to accept money from carbon trading and for me to get a loan from the bank- my company has to be registered. Whereas these local businesses, their aim is not to grow. Their aim is to survive, so they make and sell a few stoves. But we have an ambition to grow and therefore see this as a barrier. What do you think the market needs to develop? You mentioned the need to mass produce at a cost that users can afford. Mass production is our dream. We would love to make these stoves, because we understand this technology and the cooking culture of our people. Now for us, business in Zambia is very expensive because the materials to make stoves are not available. Things like metal sheets come from countries like South Africa and Zimbabwe. So it means that when we are buying these materials, they are treated as finished products, not raw materials. So in terms of taxes, it is quite expensive to get metal sheets in Zambia. We are also looking at a secondary option which is to partner with institutions that are producing stoves. You may have seen the stoves that have been made by StoveTec and Envirofit; the market in Zambia will be attracted to that kind of packaging. Our stoves cannot compete
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with these we are using crude methods to fabricate them. Are your stoves competing with the StoveTec and Envirofit stoves? Yes. I know that Envirofit is already in South Africa, so it is a question of time when they will be in Zambia. My observation is that if these stoves come to Zambia, automatically the stoves that we are trying to make cannot stand in terms of quality and pricing. So, before this happens, I would rather we go into partnership with them, and help them sell these stoves in Zambia. How can HEDON and Boiling Point be more useful to you and others in your business? Firstly, the HEDON website and Boiling Point have produced great benefits in terms of contacts and technical information that we get. Personally I never went to Engineering school, but the information that I have gathered in the seven years I have associated with these two sources of information has greatly broadened my understanding of biomass technology to a higher lever as a producer. I think it would be nice if more voices like mine are given a chance to share their experiences in Boiling Point; that way we can learn from each others best practices. What is important to us is the connections and the visibility that the website provides. If HEDON can improve how our pages are presented on their website, such that it can become more personalised, that would be good. But I

think HEDON should continue! Please do not go offline, we need you! And continue to give us more contacts through your journal and website. Promotion of improved stoves is still at infancy stage in Zambia. For organisations out there that wish to start a biomass stove programme in Zambia, my humble advice is to put more effort in mass production and serious promotional activities for commercialisation.

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Interview with Nick Moon, Co-founder and Managing Director of KickStart


In this Viewpoints feature we met up with Nick Moon, Co-Founder and Managing Director of the NGO KickStart International (formerly Kenya-based ApproTec), to find out how their Agricultural Water Management products are supporting the businesses of thousands of smallholder farmers in Kenya, Tanzania, Mali, Burkina Faso and across Africa.

Figure 1: Woman with hose (Source: Esther Havens 2011)

Figure 2: Man with Super MoneyMaker Pump (Source: Esther Havens 2011)

Figure 3: Woman with MoneyMaker Hip Pump (Source: Esther Havens 2011)

What was the motivation behind the founding of KickStart? KickStart began as a Kenyan NGO in 1991, around the time that the new world order of market economies was being introduced in Africa. At that time Martin Fischer, my cofounder of KickStart and I were working for a large British charity through the late 80s. However we began to understand that the work we were doing with this charity, although it was well intentioned, was not proving to be terribly effective. Why was their work not proving effective? What these NGOs often do not realise is that people in most communities are very dynamic, adaptable and perceptive. And they respond quite sensibly to the opportunities that the NGOs are bringing their way - opportunistically and even entrepreneurially. But what is really taking place is that the NGO is bringing large amounts of capital, whether it is financial, human or technical, into a very limited geography. And so a local economy develops around the fact that there is this availability of capital and resources that were not there before. And so you have inadvertently created a kind of artificial or temporary economy. For example, the NGO is training a womens group to produce roofing tiles using sand from a local river bed and sisal fibres from their farms. They can put these on local primary schools which means the school will not need to buy from elsewhere, and this will create jobs
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and all kinds of great things! But it is all orchestrated by the NGO because they are providing training and equipment to the specific womens group, and they are also making sure that the same womens group get offers from the local primary school for business, which also happens to be the school the NGO is supporting; so in fact the NGO is selling the tiles to themselves! And when they try to extract themselves from that equation after a few years, they are still puzzled as to why, quite soon after their departure, that economy collapses in on itself. It is not surprising. How did you deal with this realisation? Well, I cannot say it was a sudden Damascus moment. This dawned on us little by little because we were working with an organisation that was doing this kind of work very seriously with expectations that they were doing better things for people. So in one village we set up a workshop to distribute improved ploughs, ox carts, donkey carts and other traction instruments that if farmers got hold of, would certainly make their work easier and increase their productivity. We knew this was important, but we capitalised on the project! We could do all this because we were an NGO, not realising that we were putting ordinary people out of business. Round the corner, in a side alley, there had always been the local carpenter - a guy with a small lean-to work shed and a few crude tools who was already making this equipment in the best way he knew how,

and managing his own difficult cash flow situation. We set up this workshop making these instruments, effectively putting him out of business, and of course when we did retire, or tried to retire, our workshop collapsed and stopped producing these implements, by which time the local businesses were also out of business, and so in fact we caused damage. So we felt that there must be a more effective, efficient, sustainable way of doing this. And the best way of doing this, we found, is by taking a tough love approach, and making sure we are not giving anything away for free. So that is the premise of our approach at KickStart: to not look at poor people as victims of circumstances outside their control. Their difficulty is not that they are incapable, but what exactly to do. What markets can they serve? How can they use their time and energy in productive ways? And that is where we see the answer. Tell us about KickStart.. KickStart started in Kenya as a Kenyan NGO. We then expanded into Tanzania in 2000, into Mali in 2005 and then started a program in the western part of Burkina Faso end of 2008. We re-structured and reconstituted ourselves about 4 years ago and changed our name from ApproTEC to KickStart. KickStart International is now a US registered not-for-profit organisation with headquarters in San Francisco. Our operational headquarters, the Africa office, is in Nairobi, which I am responsible for running, and we also

have country offices in Kenya, Tanzania, Mali and a small programme in Burkina Faso, run from Mali. All in all we employ 235 people, the vast majority of whom in our country offices are nationals of that country. We have actually been involved over the years with a number of different technologies, and almost all of them have been human powered. Why are your products human powered? If you were to drop in on Africa at any point or place right now, you would find a lot of people not doing very much - people sitting about under mango trees apparently idle. Youd be mistaken if you thought that they are just idle, lazy people. The reason theyre like that is because they have nothing to do - not because they want to do nothing. We are in a society and economy here, where labour and time is abundant and very cheap. But where capital is very difficult to obtain and the cost of money is high. Human power is another form of renewable energy. It is actually the most renewable of all. It costs nothing, it is intelligent, it can turn itself on or off without something else having to make that decision, and it is also extremely adaptable. And if we can convert that energy very efficiently, which is one of the very important design criteria which we pursue here, then it certainly can develop wealth and value in unprecedented ways. Why MoneyMaker irrigation pumps? Well, we asked ourselves, What is the opportunity out there that we can exploit? If you look at the big picture, we are 6.5 billion people on this planet right now. Already more than half of us simply do not get enough to eat, we go to bed hungry every night, and that is only going to get worse when we are 9.5 million in
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2050, unless we can produce and of course distribute more food to more places. Africa has to be the place where we increase productivity by appreciable amounts, because agricultural production in Africa has not grown! It has been a flat line for 40 years since independence. Whereas in China, India, Europe the US or Japan, yields during this period have gone up by even up to 600%. In these countries we have more productive seeds, fertilisers and farming technologies. But more importantly in the US, Europe and Japan there is plenty of water, because the rain falls for a lot of the time. In China, more than 50% of agriculture is irrigated! In India the Green Revolution has seen up to 500% increase in yields largely due to the fact that 45% of Indian agriculture is irrigated. Irrigation allows you to grow more often, so you can grow all year round instead of 4 or 8 months out of 12. It allows you to grow more on a given area of land. It allows you to grow very much higher value crops than previously when you were dependent on rainfall, and where you might have had to grow drought resistant crops. Finally, it may also allow you to grow on land previously not suited to growing, despite being fertile, due to lack of water. Only 5% of African agriculture is irrigated. This means that 95% is rain fed, and that everyone grows stuff at the same time and so the prices fall through the floor. So they get a very poor return on hard work and investment in growing that crop. A few months later, in the dry season when there is no harvest and no one is growing anything, the prices of food go through the ceiling. So your rural family is hit with a double whammy. What they grow fetches very little, yet when they buy they have to pay a lot. So that is what keeps them in the poverty trap or below

the poverty line. You have a feast-andfamine production cycle, which is totally and out of sync with demand. Are there no traditional methods of irrigation developed over the years? Yes there are. But you see until recently, until this forced shift to cash and market economies, these things were not so important. Only 3% of Africas water resource is actually managed. And then there is climate change of course. And I can tell you for sure that it is real. The rainfall in Africa used to be predictable, but now it is not. Sometimes it just does not come at all, or there is a faulty start and then it disappears, all sorts of horrors! Does KickStart only produce irrigation products? We prefer to call them Agricultural Water Management (AWM) technologies, because they embrace irrigation, but also things like water catchment. We initially started off in the area of low cost building production technologies. But our mission was not so much to develop gizmos, machines and equipment, our mission was to get as many people out of poverty in as short a time as we can, and sustainably. What could impact millions of people in severe poverty? The idea of irrigation started to make more sense. We are not abandoning our old technologies we still produce for example low cost building materials technologies (still selling hundreds of these), manual oil presses for squeezing cooking oil out of sunflowers or sesame seeds, manually operated hay bailing machines especially for use by dairy farmers, animal traction technologies etc. What we realised however was that our irrigation pumps had much higher potential impact on poverty in large numbers, and so we focus almost exclusively now on promoting them.
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Nick Moon, Co-founder and Managing Director of KickStart, talks about smallholder farmers in Sub-Saharan Africa
I grew up in India and South East Asia as my father was in the shipping industry and became exposed to quite a few things that as small boy I thought were not fair. During my teens I was educated mostly in England, but I left school deliberately at the age of 18 to become an artisan of some kind. I was 26, when I decided to apply to the Volunteer Service Overseas (VSO) in 1982. I thought I would only spend a short time in Eastern Africa, but ended up living here for the past 28 years. I lived in a specific village for almost 3 years, and my sense is that the greatest beneficiary of my VSO experience was me. I did train a lot of 15 or 16 years olds in woodwork, building and the rudiments of running a small business. But what was actually taking place was that I was starting to get an education on how the world works for people who were my neighbours. These were small holder farmers with three or four acres of land who were almost entirely dependent on the land for their livelihoods. They were not employed by anyone else, except the occasional odd jobs. And the economic unit were the extended family. Parents, children, grandparents, uncles; they cooperate with each other to ensure that through their actions, first food and secondly money, is generated. So I was greatly impressed by their ability to do exactly that in the early

80s. In Africa, rural Africa in particular, there arent any jobs. People are largely thrown back onto their own devices. They share remarkable adaptability and innovation for making do with no safety net and no effective social welfare system in place. Not just to survive, but in some cases to prosper comparatively. Around 75% of sub-Saharan Africas people are smallholder farmers. So the majority of the population is dependent on the 1-7 acres that the extended family owns, or has been allocated depending on the tenure systems. Not exclusively, as in almost every case there will be members of the family who have migrated to a different part of the country, or a different country, who are employed and sending remittances back to their homes. Unlike Western Africa, in East Africa where I have lived for 28 years now, people tend to be homesteaders. They

do not live in a village; rather they have a home on their few acres of land, although there may be a trading or market centre a few miles away. The tendency is for farmers to gravitate to those areas that are highly agricultural, with increased chances of being fed by rain or rivers, which leads to denser population. So in Kenya for example, a country about the size of France, 75% of the people live on 15% of the land, as a big part of it is desert or semi-desert. The rural population is concentrated in high density areas which also host markets and infrastructure. So nobody is more than 3 or 4 miles from the nearest market or trading centre where they could sell their produce. There is an opportunity for people to serve and exploit such markets, as long as they can produce what these markets want, at the time it is wanted. And that is the big issue across Africa!

Now let me tell you a story about my neighbours in rural Kenya


This is very important because there has been a fundamental shift in the last 20 years on how people approach life here in Africa.
In the 80s

In the mid 80s, my neighbours who were smallholder farming families, would get up before sunrise, and begin on a number of little chores needed in the homestead before getting on with daily business. The kids would then scamper off to school, wearing uniforms but no shoes, and having with them a little school bag. When they get to the school there is a teacher, a classroom with equipment, resources which are rudimentary, but they are there. There is

a trained teacher who is not being paid enough, but he or she has some chalk, a blackboard and a few books. And so the kids get a primary education, and furthermore, they get lunch. Every noon time, they will be handed a bowl of maize and beans, and twice a week maybe a packet of milk. And all of this is free, provided by the local government which ensures that the kids are educated and their basic nutrition is being taken care of. While the kids are at school, the mom might go down to the nearest trading centre to buy cooking oil, tea leaves, sugar or kerosene, any of the essential commodities that the family doesnt grow themselves on the farm. At the trading centre she will find that the price of these commodities is controlled by a central government and so she pays a set price well below what would have been the market price for

How do you market your products? Well first of all, we acknowledge that this very poor person is also a potential investor of time and energy. And we approach them in the market with a capital good as you would any prospective investor and say, Look, I have an offer for you. If you invest your money and sweat in this technology, then the chances are very, very high that you will succeed and prosper and make a lot of money. This is the value proposition. We have to persuade them that it really is true and genuine, and simultaneously we have to make sure that the solution or the product is available and accessible very conveniently and at a price that they can afford. We also use branding. It is very important for us that we differentiate our products so that people; not only recognise the brand but value it; can be confident that it is not here today gone tomorrow; and that there is depth, dependability and reliability around it. We use the tried and tested marketing and distribution mechanisms that any successful corporation is using like Toyota cars, Dell computers, Nokia mobile phones. It is a question of two things: firstly ensuring the supply, which is down to private sector distribution and retail channels and networks. Secondly, it is about building the awareness and demand for the product, which is done through media based advertising and a lot of physical in-your-face promotion and demonstration. The reason we have to do that is of course, that despite the fact that we approach them as entrepreneurs and investors, rural African farmers are the most difficult to reach.
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They are difficult to reach physically with a product, because they live in scattered and remote areas, and secondly they are difficult to convince. Farmers everywhere tend to be very risk averse, conservative and sceptical. How do you promote your products? There are basically two components to marketing, what the marketing people will call above-the-line promotion, and below-the-line promotion. Above the line is where you hire some type of media to broadcast your message. We use a lot of local language FM radio. A country like Kenya has 42 different ethnic groups and they all have their own language. People respond much more positively to messages that they receive in their own tongue. So in the last four or five years the proliferation of local language FM radio stations has served us very well. So the whole point of the media, and we sometimes use newspapers but mostly radio, is to raise awareness and stimulate interest. But that is as far as it goes; we still have not sold the pump. The idea is to get peoples attention, arouse their curiosity, and inform them about where to go if they want to know more. Below-the-line promotion is the actual physical promotion and demonstration of the pump. The investment is so high that it is a bit like buying a new car. So we get people to go to the dealership and see a pump in action, talk to a sales representative, pick up a brochure, ask questions, go away and chat to their wife or brother and come back after a week and have another look. It takes quite a while for

them to go through the purchase decision process. But physical demonstration is the thing which ultimately closes the sale. Where do you demonstrate? For merchandising and branding, we do demonstrations outside our dealers on the sidewalk. Also every town, trading centre or village in Africa, has a market day. So we will be there on a market day, have our sales people with pumps in the middle of the market, talking through megaphones and loudspeakers or playing music. We also go to agricultural shows which are fairly standard practice across Africa each season. We might also work with another local company selling seeds or fertilisers and invite people to an open day on a particular farmers farm. Or we will visit womens groups because the women, who do a lot of the farming of course, tend not to listen to the radio as much as their husbands. They also tend not to leave their homesteads as often as the men do. Where are your products developed? Our products are designed and developed here in Africa. This is where we make the first prototypes and test them in the field until we have the final design ready. We have mechanical engineers, our own design and development facility in the slums of Nairobi and we also design the product tooling for consistent quality. We believe for obvious reasons that centralised mass production is the right way to go. We do not think it is sensible to support very small scale, local artisanal production of capital equipment.

Where are your products manufactured? Our pumps currently are all made in China. They were previously made in Kenya and Tanzania, but as demand spread across different countries, starting up production plants in different parts of Africa would pose all kinds of difficulties - raw material availability, quality control, warehousing and distribution logistics issues. So we were obliged by a force of economic pressure to go to either China or India. We went for China to ensure higher quality and cheaper price. Furthermore, we can ship from China to Africa cheaper than from Africa to Africa. The important thing for us is that we get the highest quality product into the hands of the African farmer at the lowest market price that is possible. Are foreign AWM products competing with your own in African markets? Not yet, but that day may come. And when it does, I do not think it will necessarily be a bad thing. Why? Firstly, it has not happened yet. We have had a lot of people try to copy our pumps, for example in Ethiopia, Rwanda and India. Two things happened. Firstly, the pumps are of inferior quality and performance, have a short life span and break down easily, and that is bad news for everyone. Secondly, what these places soon understand is that those pumps do not sell themselves just like that, because they are not sufficiently well known in the marketplace to be sold without a lot of marketing and promotion, and this is very expensive. For us it is a very hard sell and thus is not profitable.
Boiling Point. issue 60 2012

However, when we have built awareness to critical mass levels, when millions of people in Africa know what our pumps are and what they can do, then that will open the doors for all kinds of competitors to come in and start copying. And we welcome that day, because what we are trying to do here is not make pumps and make a profit for Kickstart, we are not-for-profit! From the time you receive the completed products, how do they end up in the hands of customers? Imagine we fill up a container full of our products in China and ship that container into Nairobi, Dar Es Salaam, or Bamako where they will be offloaded into our warehouses and bundled together with their accessories which are sourced locally. These finished products are now ready for distribution, normally by road, either to a wholesale distributer who then organises for their onward distribution to the retailer, or we take them directly to these retailers. For example in Kenya we have 125 authorised stockists and agents of MoneyMaker products. These are farm input supply stores what we call here in Africa Agrovet stores, which sell agricultural and veterinary products. These are the right outlets to make our product available. We also have a significant business-tobusiness export programme. Many of our products, primarily pumps, are marketed and ultimately sold to development NGOs and UN agencies working in different parts of Africa. We also market and sell to independent wholesaler distributors of agricultural equipment. So we have

Figure 4: Super MoneyMaker Pumps (Source: KickStart International)

distributors of our products in Zambia, Zimbabwe, Malawi, the Congo, Rwanda, Barundi, Uganda and Ethiopia. We also sell our products to organisations working in conflict or post conflict settings like the WFP, WHO, World Vision and Care. Around half of our sales currently are made through this business-to-business export channel. Do you have to convince Agrovet stores about your products? Right at the beginning, when we first introduced our pumps, there was considerable resistance because no one knew what these things were and why they should tie up their working capital and give shelf space to something they did not really know would sell. So we would say Look, just stock the pump. You dont have to pay us for it until youve sold it, and meanwhile were going to create the market and send customers to you. But that was then. Now, they approach us seeking to secure a dealership and become authorised as MoneyMaker
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VIEWPOINTS
some of those goods. This is because we lived at that time under what we call command economies or centrally planned economies. And so aid money for development was used to provide these important services. In the unfortunate case when someone in the family got sick they would find their way, sometimes quite a long way, to the local clinic where someone qualified for simple diagnostics, would examine and decide, 99 out of 100 cases, that they have one of three conditions. They have either got malaria, or some kind of upper respiratory tract infection, a bad cough or even tuberculosis, or some kind of diarrheal / oral faecal infection. They would then be handed a piece of paper or a chip and told to go to a clinic or dispensary to get their drugs. The drugs would be free. So the picture I am trying to paint is one where the kids are going to at least primary school for nothing and being fed there, commodities are being price controlled so that you do not pay market price for kerosene. And with curative health care being free, money, or cash, in the lives of those people at that time was secondary. Cash was part of their life but not central to their survival. So at that time their main concern was food security. Let us grow enough food this rainy season to fill up the granaries, and make sure we can make it until the next rainy season and hopefully we will also have some surplus to sell for a few pennies to buy that cooking oil we need. This is how 75% of sub-Saharan Africa used to live, and so a subsistence lifestyle was viable - in fact it could even be quite nice, people did not seem unhappy with the situation in the early 80s. But it all changed very drastically around the end of that decade because of geopolitics - things which where way outside these peoples exposure or experience.
In the 90s

VIEWPOINTS
At the end of the 80s was the collapse of Communism, the end of the Cold War and the tearing down of the Berlin Wall, which meant that Western nations now had an opportunity to place different requirements on their development aid. At the same time as Communism was reeling from the shock, Globalisation was in full swing. So the International Monetary Fund (IMF), the World Bank and international donors decided that now is the time to encourage African States to move towards free market Capitalism, because few of them were doing so. Kenya for example, although it was aligned with Capitalist states, was still operating as a centralised or command economy for most of its people. And the new dispensation said that if governments want to continue to qualify for international development and budget support, they have to change the way they are governing their countries! You have to remove all subsidies, lower tariff barriers, throw open your markets and swallow a one size fits all structural adjustment description. And so most African governments, some more willingly than others, acceded to this pressure as they did not really have a lot of choice. They thus started the long process of converting from whatever type of economy they had at the time, to something much closer to the free market democracy model that most people agreed was the best way to go. This process is still ongoing. Now, what this meant for my neighbours in rural Kenya was not well understood by the big economic development planners at the time. They later came to understand, what they later called, the social cost of adjustment - because this is the effect that it had. If you can imagine the little family again, all getting up early, the kids still scampering off to school - only going to school is not free anymore. The teacher is still paid by the government, but the parents under a scheme generally known as cost-sharing are expected to contribute to building the school, buying the desks, the books, the chalk and pay for all sorts of activity fees. So whatever they called it, they were careful, but the truth was that parents now had to pay to send children to school, which they didnt have to do before. Secondly, there is no free lunch anymore. Again parents were expected to provide that lunch. So very quickly, out of the window went this whole provision of free education and basic nutrition for kids. Secondly, when mama went to the trading centre to buy some cooking fat or tea leaves, she would find that those commodities would cost 10 times today what they did yesterday, because the price controls and subsidies had been removed. And so the price she has to pay now, more accurately reflects the cost of getting this commodity into the market. Thirdly, the healthcare was gone as well. You could still go and get diagnosed for free by a clinical officer, but instead of being given a ticket to take to the dispensary, you would be given a prescription to take to the pharmacy, where you would have to buy the drugs. And so the combined effect of all these new adjustments was dramatic. It meant that rural families all across Africa suddenly woke up one day to discover that they were living in a cash economy, where they needed ten times the money they needed before, just to continue living in the same conditions. Furthermore, because of population growth which is quite healthy here at 3%, they were expected to generate that money from a shrinking asset. This because as families subdivided the land from one generation to the next, the land per family became smaller. It is in this environment, and with these hardships in mind, that KickStart was founded.

pump dealers. This is because people realised that selling a pump creates a brand new customer or converts a customer from someone who used to spend 10 dollars a year in their shop to someone who spends 200 dollars, as they generate income. So little by little, certainly in Kenya and in the high potential areas where our pumps are getting much more widely known and accepted, we demand that dealers fulfil a certain amount of selection criteria. Have you come across pumps from other NGOs in the marketplace, such as treadle pumps? Yes, there are a lot of treadle pumps out there. But that is very different to what we have developed here for Africa. In India the water tables are very high and the land is flat, so you just need a low lift suction pump which lifts the water and sloshes it into the next paddy. What we have designed is a pressure pump. It sucks water up into the pump from a river or stream or shallow hand-dug well, and then having got the water to the surface, it pressurises it and pushes it up the side of a hill, up the side of a building or into an elevated water tank. It is a pressure pump, because most Africans live on slopes. Also the machine has to be very energy efficient, because a human being can only put out 70 Watts and we have to convert that into significant volumes of water, adequate to commercially irrigate your land. The pump also has to be utterly dependable it should never break down, nor require constant adjustment or maintenance. Also, it should be portable. Some of the older treadle pumps are great
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big clunky things which weigh 40 kg and are difficult to carry. People however do not necessarily live where they farm. So they often like to carry the pump back home and lock it up at night, which they cannot do if it is a big heavy thing. Our heaviest pump weighs 22 kg, while our lightest, the hip pump, weighs 4.5 kg which is very portable! And at the end of this year we are introducing a brand new one, which has all the characteristics of the big one, but it will only weigh 16 kg. Also important are durability and reliability. Every single one of our pumps has an individual serial number stamped on it after it comes through quality control at the factory, so each is individually identifiable. We also offer a 12 month guarantee on every pump such that if anything at all goes wrong we will replace or repair it free of charge. It is also a clever way as it turns out, of measuring our impact. We do a lot of impact monitoring as it is a supremely important piece of our operations. So we offered a guarantee, which most people want, and to activate their guarantee, customers are asked to fill out a form at the point of purchase so we have their contact details saved in our database. We then use this data to randomly select small representative samples of users and visit them to see how theyre getting on. We follow them for about 4 years; immediately after purchase, then between 15-18 months later, and then around 18 months after that. And that is how we are able to assess the results of our work. The result is quite significant and the potential is huge. We have now succeeded in getting about 100,000 very successful family

businesses (farming businesses) up and running who are collectively employing 150,000 people, and generating 100 million dollars a year in new wealth. What is the payback period of your pumps? One of our design criteria is that we should not proceed with a technology unless the payback period can take place within 3 or 4 months of purchase. This is because farmers are accustomed to putting money into the ground, and waiting 3 or 4 months before they see any returns. On average, households are making a net income increase of US$ 1000 a year for as long as the pump works, as a net result of their US$ 1000 purchase. This is a ludicrous return on investment. We generally assume a lifespan of a pump of three years, but in fact 70% of the pumps we sold seven years ago are still working. Do you offer support services after purchase? Well, we have a network of authorised dealerships and so if a customer needs any help, they can take their pump back to the dealership where they bought it. We have designed the machine so that you dont need any tools at all to take it apart or put it back together again. But the spare parts or repairs, should they be necessary, are guaranteed through these private sector value chains, the dealerships. What is the role of other NGOs or CBOs in your work? In a good part of our business operations, we are marketing and selling

water management solutions to them. I do think that sometimes their methodologies are not terribly effective or efficient, but there are lots of NGOs and CBOs which are working assiduously with different communities in different geographies to help improve matters. So we seek out these organisations to ask if our products might be useful to them. We do not operate on the ground in Malawi for example, but we have 27,000 pumps working there, almost entirely due to two or three NGOs that are working on the ground with smallholder farmers associations. Are they using the same operational model as KickStart for these pumps? That is a fascinating question. Some do, and some do not. Some give away the pumps, especially in the case of postconflict relief and rehabilitation. The WFP might provide refugees with a bag of things containing some seeds, tools, fertilisers and a pump. But with other NGOs we have noted, and I hope this has something to do with our influence, that more and more are adopting market based approaches through partial subsidy or soft loans. So they provide households with vouchers which are redeemable in a certain shop worth half the value of the pump, requiring the household to pay the rest. But what we have discovered through our impact monitoring is that over 90% of people who pay the full price upfront for a pump are actively using them. So, in our marketing strategies we tend to favour developing relationships with NGOs and development agencies which use a market approach. And
Boiling Point. issue 60 2012

the ones which dont, we offer them not just the pumps but training and advice as to how they might really maximise the impact of their application of this technology. How could the government make your work easier? They could help us a lot more than has been the case until now. I should point out that we do not have any difficulties with any of the governments in countries we operate in. However I do think that they could and should do a lot more, because we are effectively implementing their policies. We are creating jobs, stimulating enterprise and economic development, increasing agricultural productivity and food security. Unfortunately governments sometimes perceive non profits like us as rivals for resources. Secondly, policies are often very sound policies. Their delivery however, depends on an efficient and effective civil service. And the sad truth is that not many of the civil services are either efficient or effective, and are very often blighted internally by a culture of corruption. So ideally, the Kenyan government could use tax payers money to support actual research and development of solutions which are applicable to their people. Secondly, they could be investing in the development of the market by which those solutions reach people. In developed economies, it is standard practice for public money to be used at universities or research institutes for development of technologies or to catalyse their adoption in the market place.

Is there agricultural research going on in Africa? Yes, there is a lot of research going on, although I am not sure how much is practicable or useful. A lot is going on at national research institutes, particularly for agriculture, in the realm of biotechnologies: research on seed types which are drought resistant, or produce more per acre, GMO crops etc. In Kenya there is the Kenya Agricultural Research Institute, and there are a couple of large NGOs which are supported by international organisations like IFAD and FAO in this space. What is the most valuable lesson you have learnt about alleviating poverty in all these years? There is no difference between poor people and rich people, except that poor people do not have any money, and rich people do. Those people are exactly the same as any other, in terms of their basic human needs and aspirations, and there is no need to approach them or consider them as fundamentally different or apart from the middle classes. By recognising and using this realisation, we can get solutions to them a lot more simply, easily and quickly than I think is generally imagined.

www.HEDON.info/EKXB
* Read full article and comment * Authors latest contact details
Meet us @HEDON 27

GACC NEWS

GACC NEWS
Editor Sean Bartlett
UN Foundation, 1800 Massachusetts Avenue, NW, 4th Floor, Washington, DC 20036, USA info@cleancookstoves.org

News

Figure 1: Cover image of Igniting Change report (Source: Rodney Rascona)

Alliances Sector strategy to ignite change


Since its September 2010 launch, the Global Alliance for Clean Cookstoves (Alliance) has attracted more than 250 partners and is already addressing some of the clean cookstove and fuel sectors most urgent needs. With its mission to save lives, improve livelihoods, empower women and combat climate change by creating a thriving global market for clean cooking solutions, the Alliance is well placed to help the sector reach the target of 100 million households adopting clean cookstoves and fuels by 2020.
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The Alliance has published Igniting Change: A Strategy for Universal Adoption of Clean Cookstoves and Fuels. The result of an unprecedented consultation with more than 350 global cookstove experts, this roadmap for the sector identifies the creation of a global market as the most viable way to achieve universal adoption of clean cooking technologies, and lays out a three-pronged approach for creating that market: Enhance Demand by understanding and motivating potential users, developing better and more technology, enabling consumer finance, and creating innovative distribution models to reach remote consumers Strengthen Supply by attracting more finance and investment, accessing carbon finance, enhancing market intelligence, and creating inclusive value-chains Foster an Enabling Environment by engaging national and local stakeholders, building the evidence base for the benefits of clean cookstoves and fuels, promoting international standards and rigorous testing protocols, and ensuring monitoring and evaluation. The Alliance has completed work on a draft Strategic Business Plan 2012-20, that identifies where the sector and the Alliance are now, what the Alliance aims to achieve, and how it will do so. Meant to be a tool for progress measurement, the plan also sets out the case for investing in and partnering with the Alliance. The Alliances activities will be guided by the parameters of the Igniting Change strategy across three phases, each with a specific goal: Phase 1 (2012-14): Launch global and in-country efforts to rapidly grow the sector Phase 2 (2015-17): Drive investments, innovation and operations to scale Phase 3 (2018-20): Establish thriving and sustainable global market for clean cookstoves The Alliance will focus on interventions that will be transformational in nature, including: Catalyse the Sector and Broker Partnerships; Mobilise Resources; Enable Markets; Champion the Issue; Promote International Standards; and Coordinate Sector Knowledge and Research. Since March 2012, the Alliance has held three stakeholder engagement sessions in Nairobi, Kenya; Dhaka, Bangladesh; and Hanoi, Vietnam. The aim of these was to share the Alliances strategic business plan for feedback and input, learn what activities partners and other cookstove sector actors are involved in in these countries and regions, and describe the Alliances upcoming plans for scaling up towards its 100 by 20 goal.

First ISO workshop for cookstoves standards


The Alliance and the Partnership for Clean Indoor Air (PCIA) have been working with the American National Standard Institute to submit a proposal to the International Organization for Standardization (ISO) for an interim, voluntary, consensus document for cookstove standards. The document is based on the 2011 Lima Consensus Tiers of Performance, an agreement to establish an interim rating system for the evaluation of cookstove models that reflects the varying tiers of performance in the areas of fuel efficiency, indoor air quality, emissions of particulate matter and carbon monoxide, and safety. The ISO Technical Management Board unanimously approved the proposal and we held a workshop in February in The Hague, Netherlands, as part of our commitment to developing globally recognised standards for clean and efficient cookstoves. An ISO International Workshop Agreement (IWA) was finalised and affirmed by 91 participants from 23 countries. It focuses on rating cookstoves in several performance tiers in relation to four key elements - fuel use/efficiency, total emissions, indoor emissions, and safety. Resolutions were also adopted regarding areas of future work. The workshop proceedings and a draft of the IWA can be found on the PCIA website (see @HEDON).

Figure 2: Alliance presents its 10-year business plan to partners in the US (Source: Alliance)

Dynamic cross-section of Alliance engages in panel discussion on cookstoves


At the conclusion of the US-based partners meeting on 17 January, the UN Foundation and the US Government hosted a dynamic panel discussion on the issue of toxic cookstove smoke, the formation of the Alliance to address it, the multi-pronged benefits of clean cookstove and fuel interventions, and how the sector is coming together as never before to create a thriving global market for affordable, accessible and clean cooking solutions as laid out in the strategy Igniting Change: A Strategy for Universal Adoption of Clean Cookstoves and Fuels. Participating in the event were:

Welcome and opening remarks by:


Kathy Calvin, Chief Executive Officer, United Nations Foundation Gina McCarthy, Assistant Administrator, Office of Air and Radiation, U.S. Environmental Protection Agency Dr. Nguyen Vu Tung, Deputy Chief of Mission, Embassy of the Socialist Republic of Vietnam to the U.S.

A panel discussion by:


Radha Muthiah, Executive Director, Global Alliance for Clean Cookstoves Chef Jos Andrs, Owner/Founder, ThinkFoodGroup and World Central Kitchen Jacob Moss, Director, U.S. Cookstoves Initiative, U.S. Department of State Laura Asiala, Director of Corporate Citizenship, Dow Corning Corporation Neil Ghosh, Director, SNV-USA Katherine Sierra, Senior Fellow, Global Economy and Development Program, Brookings Institution Tyler Suiters, Chief Correspondent, Bloomberg TVs energyNOW! - moderator
Boiling Point. ISSUE 60 2012 issue 60 2012

Engaging, listening and learning in India Radha Muthiah (left), the Alliances Executive Director, visiting salt pans with the Self-Employed Womens Association of India (SEWA) in Surendranagar District, Gujarat State on 6 February. (Source: Manpreet Romana). Both men and women are very keen on clean cookstoves in this desert climate area, where wood for fuel is nearly non-existent. Radha also learned that the community is interested in bundle opportunities - investing in clean cookstoves, solar panels and solar lights together all at once.

www.HEDON.info/HKXB
* Link to GACCs publication Igniting Change * More about the ISO Workshop
Meet us @HEDON 29

GVEP INTERNATIONAL NEWS

GVEP INTERNATIONAL NEWS


Editor Alessandra Moscadelli
GVEP International, Head office, Fifth Floor Totara Park House, 34-36 Grays Inn Road, London WC1X 8HR, UK alessandra.moscadelli@gvepinternational.org

News

Loan Guarantee Fund


Through its work with micro enterprises, GVEP has identified various financial issues as the main barriers to the success of energy entrepreneurs. There is a need to increase the availability of affordable loans to promote growth, by allowing businesses to invest in capital equipment and working capital, and by stimulating product demand through consumer financing initiatives. However, many energy businesses are not experts at engaging with banks to make the credit case for a loan, and in some cases are deterred by exaggerated perceptions of banks likely behaviour in the event of default. It is important to link promising micro and small energy enterprises to financing sources, and provide capacity building to both parties. In response to these, GVEP launched a Loan Guarantee Fund in Kenya, Tanzania and Uganda, providing bespoke training to financial institutions in a range of energy financing issues, and linking them with some promising energy entrepreneurs. The Loan Guarantee Fund was established with initial capital made available by corporate and philanthropic donors. Typically, the guarantee provided is for approximately 70% of the lenders default risk, on a shared loss basis, with cash collateral from the GVEP Fund lodged in a restricted account with the lender. With the improved security, lending rates to the entrepreneur are reduced. Up to date, a total of 16 agreements were made between various lending institutions (commercial banks, savings and credit co-operatives, microfinance institutions, a network of 800 womens savings groups), and 86 entrepreneurs have taken loans to grow their businesses. There have so far been no claims on the Fund since the first loan guarantee placement was made in August 2009. The Loan Guarantee Fund gained an additional boost when GVEP was approached to be part of Kiva Zip, a pilot programme initiated by Kiva, one of the leading person-toperson micro lending facilitators. Its mission is to connect people through lending to alleviate poverty, and test new ways of realizing this mission with the goal of expanding our reach to unserved populations by using new technologies that also drive down costs to the borrower. GVEP and Kiva Zip entered into an agreement in December 2011 and sixteen micro-energy entrepreneurs have since successfully found financing via Kiva Zip Loans. Apart from the jobs created directly through the development of SMEs, several rural households with access to renewables will be able to improve their incomes and quality of life. This is particularly the case for small stores who, by adopting clean energy technologies such as solar lanterns, can stay open for more hours at night. Children are also able to study longer, and families benefit through the conveniences of modern living and productive uses of clean energy-powered devices such as radio, TV and mobile phone.
Boiling Point. ISSUE 60 2012

Study: Briquette businesses in Uganda


GVEP has completed a study which investigates the potential for briquette businesses in Uganda to address the sustainability concerns of the countrys biomass fuel market. It investigates the conditions in which micro and small-scale briquette producers are operating in Uganda and examines their potential for growth. It revealed that recent increases in charcoal prices have created an economic case for briquette businesses to serve domestic and institutional markets. Restaurants and institutions such as schools, prisons and hospitals offer the greatest potential to stimulate demand for briquettes. Domestic markets remain difficult to penetrate due to the cost of distribution and lack of awareness and acceptance among household consumers. According to the study, micro-entrepreneurs can be grown from small (< 20 tonnes per year) to medium scale producers (20 200 tonnes per year) using locally available machinery. By attracting suitable investment, opportunities also exist for new entrants to open medium to large-scale production (200 + tonnes per year) facilities, using imported equipment. As Hamish Ferguson, author of the report explains, Biomass has historically been a cheap and accessible source of fuel for Ugandas population, but this is unlikely to continue. The Figure 2: A sack of briquettes (Source: GVEP) current level of demand, coupled with unsustainable harvesting and poor management of forests, means that Uganda is approaching something of a biomass crisis. This provides a context in which the economics of briquette production are becoming feasible, and the report aims to investigate this potential further. GVEP has been supporting briquette producers in the East Africa region since 2008 and we have found that there is much scope for growth from an industry that is still in its infancy.

Figure 1: An improved cookstoves micro-producer supported by the Developing Energy Enterprises Project (Source: GVEP)

DEEP delivers energy to 1.8 million East Africans


GVEP is leading the way in delivering sustainable energy, by providing it to 1.8 million East Africans through the Developing Energy Enterprises Project (DEEP), nine months earlier than originally planned. DEEP was started in 2008 and is funded by EU and the Dutch government. It had a target of bringing sustainable energy services and products to 1.8 million Africans by 2013 by supporting businesses and innovation and providing entrepreneurs with access to capital. The programme supports local entrepreneurs working in renewable energy technologies, including improved cookstoves, biomass briquettes, cleaner alternatives to charcoal, solar PV products and services, and biogas. GVEP provides the business and technology training and access to appropriate financing, and these have contributed to the growth of 900 new enterprise projects and creation of 2,000 jobs in East Africa. The environmental benefits of these technologies arise from reduced purchase of dirty fuels such as charcoal, wood and kerosene. This substitution also underpins DEEP entrepreneurs value proposition to their customers: saving time and money, and reducing indoor air pollution. The demand for such clean, low carbon and affordable energy sources saw 275,000 stoves being sold in the region last year alone. Ben Good, CEO of GVEP said: As the global economic crisis continues and world leaders sit down at the G20 and Rio+20, GVEP is demonstrating that action and investment in energy brings jobs, growth and innovation to developing countries. GVEP is sending a clear signal to policymakers and governments that real progress on these serious issues is possible and that local energy business can have a leading role to play in this.
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IDEAS energy innovation contests


Simple innovations can have a dramatic effect on the way businesses and markets operate in developing countries. Despite the potential for improving energy efficiency and for adaptation to climate change, many countries in the Caribbean face technical and financial barriers to supporting the implementation of such projects. A new round of the IDEAS Energy Innovation Contest was launched in the Caribbean region in February 2012. The Caribbean islands have great potential for the development of economically and environmentally sustainable projects in key sectors, such as renewable energy, energy efficiency and biofuels. Local innovation and the adaptation of existing technologies to local circumstances are essential to increasing the competitiveness of renewable energy services and tackling environmental concerns. The IDEAS contest seeks project ideas focused on the adoption, innovation, development and transfer of technology regarding renewable energy sources and energy efficiency, having a tangible impact on the local or regional area, while supporting the development of sustainable economies and reducing poverty. The programme, which will run until the end of 2014, is jointly sponsored by the UK Aid from the Department for International Development (DFID), and the Inter-American Development Bank (IDB). DFID has chosen GVEP as its implementing partner. The call for proposals was open to Caribbean-based innovative projects and enterprises, and the winners will be announced in July 2012.

www.HEDON.info/JKXB
* More about the DEEP programme * Download the study on briquette businesses
Meet us @HEDON 31

GIZ NEWS

GIZ NEWS
Editors Lisa Feldmann and Monika Rammelt
GIZ HERA, Deutsche Gesellschaft fuer Internationale Zusammenarbeit (GIZ) GmbH, Postfach 5180, 65726 Eschborn, Germany monika.rammelt@giz.de

News
GIZ hosts GACC European implementer and donor meeting
On January 23 and 24, 2012, four Global Alliance for Clean Cookstoves (GACC) Secretariat members, including the Executive Director, Radha Muthiah, met in Eschborn, Germany with twelve of its Europeanbased implementer organisations. The purpose of this meeting was threefold: to gather comments and input on the initial draft of the Alliances Business Plan, to further an understanding of the needs and institutional capabilities of the European organisations, and to strengthen existing partner relationships and foster new ones within the Alliances clean cookstoves and fuels network. The meeting was hosted by GIZ at its headquarters in Eschborn, Germany. It helped to clarify the common understanding of the Alliance and its implementing partners on a joint strategy and way forward.

New publications
Cooking is Life
HERA has recently published a new edition of Cooking is Life. This publication offers short information about cooking energy and the work of GIZ and its partners in supporting cookstove markets. It is the first publication of HERA that offers access to more in-depth information directly via QRcodes. Please let us know if you are interested in receiving some hardcopies of Cooking is Life. The publication is available on the GIZ HERA website (see @HEDON).

GIZ HERA Cooking Energy Compendium: A practical guidebook for project implementers
This compendium presents a comprehensive guide book for both practitioners and project planners in the clean cooking sector. The poverty-oriented basic energy services programme of GIZ (HERA) has compiled its knowledge about cooking energy in order to support the need for large-scale dissemination of energy efficient technologies for cooking and baking. Although there is a great deal of literature and information in books, by organisations and on web pages, this publication addresses the need for a compendium drawing together broader issues on cooking energy. This is accessible on Energypedia (see @HEDON).

New manuals on how to construct and use the Eco-Estufa Justa


Figure 2: Women transporting firewood in Nepal (Source: GIZ)

Promoting cookstoves in Nepal


Since late 2011, the GIZ Energy Efficiency Programme has been supporting the Alternative Energy Promotion Centre (AEPC) in the promotion of improved cookstoves in Nepal. Besides the main objectives of improved indoor air, reduction of fuel consumption and increased savings in time, especially for women and children in rural areas, GIZ supports AEPC in capacity building to ensure the dissemination of technically improved cookstove models. During the first programme phase, the area of operations focus has been on the western lowland of Nepal called Terai. Main activities planned are the improvement in technology and range of improved cookstoves provided by the State Authority; professionalisation of stove builders and manufacturers; setting-up of a production chain for new portable improved cookstoves; and awareness raising and social marketing campaigns on improved cookstoves, including kitchen management and stove maintenance practices.

Energising Development (EnDev) Honduras recently published two practical guide books on how to build, use and maintain the Eco-Stove Justa. The first manual, Manual Prctico: Construyendo la EcoEstufa Justa 16 x 24, provides a brief history about it. Shaped in the form of a traditional stove, the design has been improved several times to increase efficiency and to lower costs. The manual lists basic tools and materials needed to build the stove and then gives a detailed explanation on how to construct it. The second manual, Manual de Uso y Mantenimiento de la Eco-Estufa Justa, details proper practices for using and maintaining the Eco-Stove. Cleaning practices for the combustion chamber, chimney and stovetop griddle for proper usage are explained, as well as how to ignite and extinguish the Eco-Stove. Currently, EnDev Honduras is supporting the construction of more than 4,500 Eco-Stoves Justa in various communities throughout the country. The links to the manuals are available @HEDON.

Energising Development project factsheets


These factsheets provide you with main facts, background information, impacts and lessons learnt from EnDev as a global programme, and EnDev Bolivia, Ghana, Indonesia, Burkina Faso and Kenya, each on two pages. EnDev and HERA have developed the factsheets and they can be obtained from the GIZ HERA website, available @HEDON.

Figure 1: Marketing of Roumd stoves in Burkina Faso (Source: GIZ)

EU approves West Africa regional cookstove project


With funding from the European Union, GIZ launched a new regional clean cooking project in Western Africa at the beginning of 2012. Project de Cuisson Economique en Afrique de lOuest (ProCEAO) is scaling up the EnDev stove projects in Benin, Burkina Faso and Senegal as well as the GIZ stove interventions in Mauretania. ProCEAO will also support the national energy research centres. The project aims at reaching 475,000 people with clean cooking energy by December 2014. ProCEAO is partnering with the Economic Community of West African States (ECOWAS); the Regional Centre for Renewable Energy and Energy Efficiency (ECREEE) will be the regional partner on implementation level.
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Congratulations: EnDev Bolivia wins Energy Globe Award for efficient toasting ovens
EnDev Bolivia won the national Energy Globe Award for their efforts to distribute efficient toasters for peanut farmers. The new ovens are produced by local companies and utilise locally made liquid gas as fuel. With the success of these ovens among peanut farmers, other farmers started buying these and adapted them to dry maize, beans and chilli, and more than 3,500 families have profited so far. EnDev Bolivia co-funds the upfront costs of the new oven by up to 60 per cent. They also train the users in operation and maintenance, including cleaning and fuel use. For more information, including a video presentation on the toasters, visit @HEDON.

European Cookstove Coordination Meeting


In October 2011, GIZ HERA and Practical Action invited European implementers and organisations to the first European Cookstove Coordination Meeting. Participants comprised GERES, SNV, Energia, BSH, Ashden, HEDON, GVEP International, Shell Foundation, Practical Action, and GIZ. The meeting aimed at mapping various interventions, synergies, divergences, and possible joint actions in the clean cooking sector. Furthermore, the GACC Secretariat gave an update on its current status and future planning. Three working groups elaborated on: recommendations and contributions to GACC; recommendations to EU; and core principles of the European cookstove implementing organisations.
Boiling Point. ISSUE 60 2012 issue 60 2012

www.HEDON.info/KKXB
* More information on the improved toasting ovens * Links to Cooking is Life publication, Eco-Stove Justa manuals, Cooking Energy compendium and Energising Development project factsheets
Meet us @HEDON 33

TOOLKIT

TOOLKIT
Author Mercy Corps
PO Box 2669, Dept W Portland, OR 97208-2669 USA www.mercycorps.org

Toolkit

Mercy Corps: 10 steps for carbon credit supported projects


Carbon Retailer
It is possible to navigate a project through the carbon market without the help of a carbon retailer but this is both complex and risky and is probably not advisable for Mercy Corps at this stage. Carbon Retailers are companies that engage in either the compliance market or the voluntary market (or both). The compliance market is the regulated arena where companies, governments or other entities buy carbon credits to help them comply with caps on their total emissions. The voluntary market includes individuals and companies that voluntarily mitigate their greenhouse gas emissions through the purchase of credits. One tonne of carbon equals one carbon credit. These credits are sourced from programmes and initiatives that reduce or capture carbon. Credits are either ex-ante (a forward sale) or ex-post (once credits have been verified). The decision on which retailer to engage with should include: Whether they operate primarily in the voluntary or compliance market. The proposed scale of the project. The ethos of the company (whether they are sympathetic to the work of NGOs and will give some assurances that carbon credits will not be sold to companies that would fall outside our due diligence protocols). The price offered per tonne of CO2. The terms offered (i.e. whether they will provide some up-front financing or wish to wait until credits are issued and whether or not they will pay for Designated Operational Entity (DOE) project validation and verification (see Monitoring below). The retailer will guide the project through the process and is usually responsible for writing and submitting the Project Design Document (PDD) to a Standards body. regulatory risks). They will also examine key issues of permanence and leakage. Permanence: The need for permanence is to ensure that the emission reductions achieved during the project are real, verifiable, cannot be reversed and will continue throughout the life of the project. For example, a forestry project may need to have a credit buffer to insure against the loss of carbon credits if it is destroyed by fire or there is a change of land use requiring deforestation. Leakage: Before any project goes ahead it must also demonstrate that it has considered, and dealt with, the issue of leakage. Leakage is a measurable increase in greenhouse gases that occurs outside the boundary of the project that is directly attributable to project activities. For example, a project designed to reduce deforestation in one area may prove to be ultimately unsuccessful in lowering emissions if harvesting activities are just displaced to another site. registration and credit issuance. The Gold Standard was set up by WWF and other NGOs and Mercy Corps is listed as an NGO supporter. The standards provide benchmarks of quality for purchasers of carbon credits. Although others exist, the most likely standards for Mercy Corps projects are: Gold Standard (GS): which represents best practice since it requires the project to prove that it is contributing to sustainable development and will not have any adverse socio-economic or environmental impacts. This requires more rigorous monitoring which in turn means extra expense and a need for greater staff capacity. Carbon credits attract a premium price because of this assurance. GS does not, currently, handle forestry and land use projects. Voluntary Carbon Standard (VCS): an emerging market leader in the voluntary carbon market. It handles all types of projects (renewable energy, energy efficiency and forestry and land use) and has slightly less demanding monitoring requirements with this difference normally being reflected in the price per tonne being offered. Plan Vivo: a system for developing community-based payments for ecosystem services projects and programmes with an emphasis on building capacity, long-term carbon benefits from community forestry and land use projects, diversifying livelihoods and protecting biodiversity.

Mercy Corps supports initiatives that fulfil our development mandate; where these also reduce greenhouse gas emissions we can look for financial support through the development of carbon credits. The following steps are a general overview of the process to get carbon-related funding and what is expected of: Mercy Corps the project developer and implementer; the carbon retailer business that can sell credits on the carbon market; and the carbon verification body organisation responsible for determining the eligibility of your carbon credits. The actual process may not follow the steps in the exact order they are listed and will also be influenced by the technology adopted and the chosen standard and methodology. However, this document serves to provide a simple outline of the terminology and to aid decision making on whether or not carbon revenue is an appropriate source of funding for your project. A checklist is provided for this purpose.

Initial Considerations

ot all projects are suitable for carbon financing. To be eligible projects must either significantly reduce emissions or capture carbon by storing it away. Projects that reduce emissions are categorised as either renewable energy (replacing use of fossil fuels by a renewable source such as solar) or energy efficiency (reducing the amount of energy required). Reforestation, afforestation and Reducing Deforestation and Forest Degradation (REDD) capture or sequester carbon are also eligible. The extent of this reduction/capture is vitally important since there are costs involved in adhering to carbon market mechanisms. Determining the scale of the project, and/or its potential for replication, is therefore important. As a general rule projects should have the potential to reduce emissions by more than 10,000 tonnes of CO2 per annum in order to be cost effective. Smaller projects could still however, receive direct support for a company wishing to make a voluntary offset and which does not require official monitoring. Carbon financing can help projects to escape from the traditional donor project

cycles of three to five years since income is related to both scale and the timeframe of the project with longer timeframes being the most cost effective. This can provide a tool to aid replication and achieve sustainability but commitments to this longer timeframe, or an exit strategy to pass on the projects to partners, are essential. The technology being adopted is a vital consideration, particularly whether it would have been introduced without carbon financing, while the location of the project will dictate whether it is feasible to think of meeting the stringent monitoring standards. Projects in remote areas involve higher monitoring costs and are less likely to be viable. Staff skills also need to be considered to ensure that there is the internal capacity to adhere to the monitoring requirements. Finally, carbon financed projects require stability since projects need to demonstrate the permanency of emission reductions. Projects in unstable environments, such as emergency situations, are therefore less likely to be suitable. If the project description suggests that it may be eligible for carbon financing then the following guide can be used.

Additionality
One of the first criteria to consider for a potential carbon financed project is whether or not it can demonstrate Additionality; whether it can truly make additional savings in greenhouse gas emissions beyond what is termed Business as Usual (BAU). Definitions of additionality vary but normally come under the following categories: Financial analysis: where the project demonstrates that without the additional financing from carbon credits, the project would not have the resources to be implemented in the same shape or form. Barrier analysis: where it can be shown that legal, social, technological, or cultural barriers exist that prevent particular climate mitigation activities being undertaken, with projects only considered additional if they can be shown to overcome such barriers. Common practice analysis: where the technology or project is not currently common practice in the region or country and therefore carbon financing is helping to overcome barriers to new practices.

Compliance or Voluntary Market


NGO projects are more suitable for the voluntary market for a number of reasons but particularly because of scale, choice of technology, and timelines. Carbon credits sold under the voluntary market are called Voluntary or Verified Emission Reductions (VERs) while those in the compliance market are called Certified Emission Reductions (CERs). Some of Mercy Corps larger projects may be eligible for CERs down the road.

Choosing a Methodology
All projects must follow an approved methodology for defining the baseline, evaluating the project emissions and emissions reductions, and defining the monitoring procedure. It is possible to design a methodology and submit this for approval to one of the Standards but it is both time consuming and costly. It is therefore likely that most Mercy Corps projects will adopt a methodology that has been through this process. The methodology used will depend upon the technology adopted and the Standard being followed.
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Choosing a Standard
Previously the voluntary market was poorly regulated which gave rise to considerable adverse publicity. Over the last few years a number of robust standards have emerged, that give assurance to purchasers that credits are valid, are not double counted and contribute to sustainable development. Most operate on a not-for-profit basis and cover their costs from charges applied to

Eligibility
Before engaging with a project developer retailers will check whether the project complies with additionality requirements and will assess project risks (risk of nondelivery, external risks, reputational risk and
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TOOLKIT
Project criteria Is the project located in a stable environment? Reason Carbon finance projects need stability to ensure the permanence of emissions It is unlikely that smaller scale projects will cover the monitoring costs although this is technology dependent. Widespread geographical coverage or remote areas make monitoring more expensive. It is more likely that the carbon revenue will be generated after the end of the first year once emission reductions have been proven. It is possible to design and submit a new methodology but not realistic for Mercy Corps at this stage. The carbon market requires stringent monitoring to take place.

TOOLKIT
Additional Resources
Further information - including templates for baselines, energy poverty surveys, and sources of additional material/helpful websites - is available from Dory McIntosh or Jim Jarvie (visit @HEDON).

Is the expected emission reduction/capture likely to be more than 10,000 tonnes of CO2 per annum - either immediately or through project scale up? Does the scale and location of the project indicate that monitoring would be cost effective? Monitoring costs may be in the region of US$ 20-30,000 per annum. Can the project cover this? Does the technology comply with a recognised methodology?

Does the project have skilled staff, or can acquire staff, who can handle monitoring requirements (surveys, data recording, reporting). Is the project length suitable?

Most carbon projects are 2-10 years in length with longer projects being preferred. Projects involving multiple products might require separate methodologies which raises costs. The project is only eligible for carbon financing if it can meet the additionality ruling.

Would the project involve just one product/technology?

Does the project meet additionality requirements, i.e. would it not have occurred without the incentive of carbon credits?

Table 1: Checklist - Affirmative check for criteria indicates project potential for carbon financing

The Baseline
Emission reductions need to be real, measurable and verifiable. This necessitates measuring the emission reductions associated with the project intervention against BAU (i.e. what would have happened in the absence of the project). The actual process will vary according to the methodology and which Standard the project is adhering to. This will normally require technical assistance for the calculations of emission reductions and, in the case of forestry projects, may need detailed surveys to be carried out. The baseline analysis will normally use one sample population but multiple baselines may be required if there are substantial differences in the target population.

Monitoring
The need to demonstrate that carbon emission reductions are real, that credits are not double counted and that they contribute to sustainable development requires rigorous project monitoring. Monitoring is carried out on a regular random sampling basis during the lifetime of the project with the size of samples determined by a statistical programme which takes into account the numbers involved and the level of confidence required. Costs do not go up exponentially as the project expands because sampling is on a statistical basis. The quality of the monitoring will determine the quality of the carbon credits that are verified while the documentation required will depend upon the chosen standard and methodology. For example, Gold Standard requires the project developer to compile all data on the baseline, the sustainability matrix and the stakeholder consultations into the Gold Standard Passport, which is then used by the retailer to develop the PDD. The monitoring process is rigorous and demands high quality record keeping and staff ability to conduct surveys. As a rough guide, project monitoring costs are likely to be in the region of US$ 20-30,000 per annum.

Projects are also checked by third party Designated Operational Entities DOEs. The DOE for a respective country is responsible for initial validation that the project is eligible and meets all the criteria for the Standard that is being followed. The cost of this validation may be met by either the retailer or the project developer and will vary according to the nature and scale of the project. The DOE will also review the draft PDD submitted by the retailer. When the project is underway the DOE will pay a return verification visit to confirm the veracity of emissions and, based on the DOEs report, the relevant credits will be issued by the Standard body.

Figure 1: A stove manufacturer taking stoves to a larger boat for transport to market (Source: Jim Jarvie) Figure 2: A happy customer with a new stove (Source: Jim Jarvie)

Project Examples
The following projects have been proposed or are being implemented in the Mercy Corps world: Fuel-efficient stoves: (DRC, Myanmar and potentially Timor Leste). Around the world, millions still use traditional three stone fires for cooking. These are highly inefficient, contribute to wide-scale deforestation and also lead to high levels of respiratory diseases particularly among women. The use of a fuel efficient stove can dramatically reduce the need for fuelwood which, in turn means that women spend less

Sustainability and Stakeholder Surveys


The project should demonstrate that it is contributing to sustainable development and would not have any adverse social, environmental or economic impact. The exact requirements for this will depend on whether it is complying with GS, VCS or Plan Vivo requirements. Stakeholder consultations should also be held to ensure that local opinions guide and shape the design of the project.
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time foraging for fuel and suffer from fewer illnesses. The carbon credits are associated with the reduction in unsustainable wood used. Community Forestry (Colombia) This project is working with slum communities to plant trees in urban environments and surrounding hillsides which will provide useful sources of fuelwood and fruit while conserving and restoring waterways and wetlands and helping to capture carbon. Biogas from Waste (Indonesia) - In the population-dense slums of Jakarta, poverty, overcrowding and lack of adequate sanitation and waste disposal leads to unhealthy, unhygienic, and environmentally damaging conditions.
Boiling Point. issue 60 2012

Lack of accessible, affordable fuel and electricity inhibits income generation and raises expenditures. The installation of biogas facilities addresses the issue of poor sanitation while providing a useful source of clean and free cooking fuel to slum dwellers and also reducing carbon emissions. Carbon credits are associated with the substitution of a fossil fuel (usually kerosene) by a renewable source. Briquettes (Democratic Republic of Congo) - Combustible biomass briquettes are produced from a wide range of waste plant and agricultural material. Benefits to local populations include reduced respiratory diseases (from lowered smoke levels),

employment opportunities and the protection of one of the worlds most threatened eco-systems. Emission reductions are associated with the replacement of charcoal by a renewable fuel source.

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Delivery Models for Decentralised Rural Electrification: Case studies in Nepal, Peru and Kenya Executive Summary
Keywords: Rural electrification; Delivery models; Renewable energy; Nepal; Peru; Kenya

This is an extract from the third report in IIEDs new Access to Energy publication series. The series was launched in 2011 as a way of supporting research and making available lessons learned about access to energy. The series will include in-depth studies of specific access to energy projects, programmes and business models; analytical literature studies about particular aspects of energy delivery; and in-depth country studies looking more broadly at the energy sector and aspects of policy that support or hamper access to modern energy services, especially for poor and remote communities. The aim is to explore how current initiatives are working, how they depend on their social, cultural and political context, and how successful models can be scaled up, replicated or adapted to suit other contexts.

Authors Annabel Yadoo


Sustainable Development Consultant, International Institute for Environment and Development (IIED) 80-86 Grays Inn Road, London, WC1X 8NH, UK annabelyadoo@gmail.com

Figure 1: Key issues in Ugandas energy sector (Tumwesigye et al. 2011); An Access to Energy series publication Figure 2: Remote access: Expanding energy provision in rural Argentina through public-private partnerships and renewable energy. A case study of the PERMER programme (Best 2011); An Access to Energy series publication

A
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ccess to affordable, reliable and clean energy is fundamental for poverty reduction and sustainable development; without it, the Millennium Development Goals cannot be achieved. Electrification, along with access to modern cooking fuels and mechanical power, is a catalyst for improvements in the fields of poverty reduction, food security, health, education and gender equality. Nevertheless,

1.3 billion people still lack access to electricity, of which over 95 percent live in sub-Saharan Africa or developing Asia and 84 percent are in rural areas. There are many different ways to electrify rural areas, not only with regard to the different technologies used, but also the types of delivery models applied. Common rural electrification technologies include grid extension, community mini-grids, stand-

alone household systems, multifunctional platforms and central charging stations with battery banks. This report will focus on the delivery models used for community mini-grids, as there is evidence to show that mini-grids can be one of the cheaper forms of electrification (on a per unit basis, calculated over the systems lifetime) and also potentially offer a 24 hour AC service that can power a wide range of appliances.

The purpose of this report is to analyse the impact of delivery models on the creation of sustainable welfare benefits. Three case studies are selected, comprising of one renewable energy mini-grid project or programme from each of Nepal, Peru and Kenya. Although rural electrification poses a great challenge to all three countries (only 32 percent of rural Nepalese, 23 percent of rural Peruvians and 10 percent of rural Kenyans have access to electricity in their homes), their different physical, institutional, economic and socio-cultural contexts have led to different approaches to rural electrification. These approaches, alongside some of the countries major electrification challenges, are described in Chapter 2. The case studies are compared and analysed in terms of their ability to generate sustainable welfare benefits for their intended beneficiaries (Chapter 3). A series of 43 Sustainability Indicators (based on five dimensions of Sustainability Economic, Technical, Social, Environmental and Institutional) are designed and used to assess the projects impact and its likely sustainability. The key findings from the case study analysis are as follows: A holistic approach to sustainability that is, consideration of its technical, economic, social, environmental and institutional dimensions should be adopted in the project planning and implementation stages in order to create sustainable welfare benefits. Neglect of one or more dimension will detract not only from sustainability, but also development impact and resilience. The broader a projects remit (for example, not only focusing on electricity access but also introducing toilet assisted biogas, raising awareness on environmental issues and improving the local gender balance), the greater its potential to improve a communitys overall development. Project management can be made more efficient, transparent and effective when it is clearly separated from ownership and a formal system of checks and balances is established. Effective management can also improve resilience to internal and external shocks and stresses.
Boiling Point. issue 60 2012

Wherever possible, practitioners should aim to future-proof systems by including demand growth margins in the original project design. Project resilience can be enhanced if detailed risk analyses are conducted and contingency plans agreed by all the key stakeholders a priori. The second stage of the analysis focuses on examining which elements of a projects delivery model are particularly important for the creation of sustainable welfare benefits. Delivery models are generally comprised of several variables. For the purpose of this research, these have been subdivided into the interventions technology choice, implementation process and surrounding support infrastructure (its enabling environment) and include the following elements: the assessment of community needs, desires and availability of local resources; management models; productive end uses; the implementing agencys approach; ownership and governance; local skills and training; local job creation; financing; dissemination strategies; and the projects interaction with hardware suppliers and the various financing, regulatory, legal and political institutions and policies which form its enabling environment. The findings, presented in Chapter 4, are based on analysis of the data generated by the three main and several less in-depth satellite case studies, 67 expert interviews and a literature review. Three cross-cutting themes are identified as having a particularly strong influence over the creation of sustainable welfare benefits: Responsibility, Impetus and Scope. Different elements of a projects delivery model feed into each of the themes and their boundaries are not entirely discrete. Their key features are summarised thus: Responsibility: The extent to which a sense of duty for the off-grid electricity system amongst users, managers and local support staff (such as implementing agencies, governments, manufacturers or financiers) has been created. Responsibility is arguably the most important factor that will influence the likely sustainability of a project or programme. Ownership is only important to the extent that it encourages key stakeholders to take responsibility for the effective

management of the electricity system. As the perception of ownership can increase responsibility, it can be more relevant than legal ownership. Financial contributions, sweat equity, project showcasing and local participation in planning and decision-making can create a sense of ownership and responsibility for users. Responsibility in management can be instilled through rigorous training, selection tests, ongoing monitoring and community mobilisation. A community mobiliser can provide guidance and external objectivity. More formalised management, a wider group of owner-stakeholders and a clear auditing process can improve transparency and accountability to the users and financiers. Impetus: The need for incentives that will encourage users, managers and investors to provide ongoing support for the electricity system, as well as to scale-up and replicate the projects activities. It may not be necessary for users to have initiated the electrification process, or shown particularly pro-active leadership in the first instance, provided that their interest and desire for the project can be aroused through facilitation (for example, by a community mobiliser). User interest is only likely to be sustained if the system meets their needs and desires, and generates additional welfare benefits, income and, wherever possible, employment for the local community. Therefore, the development of productive uses could play a significant role, as could community mobilisation processes that encompass training and support across different development areas. Where there is local impetus for a project or programme, users may independently attempt to scale-up activities or replicate them elsewhere (or encourage other communities to do so following demonstration). A systems managers and operators should be paid an appropriate wage for their services in order to maintain their drive and motivation. Impetus from local authorities such as district governments can be better sustained across successive changes
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Figure 3: Sample hybrid business model for mini-grid development

Figure 4: Decision support tree for practitioners

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Figure 4: Decision support tree for practitioners

Enabling Environment Facilitating government; Supportive policies and legal structures; Access to financing; Facilitating NGO or alternative organisation that will stimulate private sector and community involvement.

Does the country have effective policies, institutions, technical support, financing infrastructure, regulation and laws that will support the development of rural mini-grids?

Yes Is there a systematic approach to assessing rural electrification needs and available local resources that is already in place in the country?

No Work alongside national and regional governments and other key stakeholders to improve the enabling environment as required

External Company Invests in the generation and distribution hardware and provides a service contract for the lifetime of the hardware. Jointly holds the managing body to account.

Local Cooperative/ Micro-Enterprise Bulk Purchase of Electricity A local socially-motivated but profit-orientated management board buys the electricity in bulk and retails it amongst the residential and business consumers in its catchment area. Provision of Electricity

Yes Use this approach to select an appropriate community for the rural mini-grid intervention

No Carry out a systematic nationwide assessment of local needs and resources alongside relevant national bodies

in administration if the project has adopted a non-partisan approach. External investors and entrepreneurs will usually require a degree of financial impetus before they are willing to invest in a rural electricity system. Therefore, sustainable business models should be sought to incentivise private sector involvement. Scope: The extent to which holistic development benefits are achieved and a projects institutional environment is strengthened so as to create a sustainable sector and increase a projects chances to be sustained, scaled-up and replicated. A broad range of welfare impacts, income-generating uses of electricity and local employment opportunities should be created. Awareness-raising, training, seed capital and investment in surrounding infrastructure may be needed to develop productive uses and increase their ability to alleviate poverty. It is recommended that mobilisation processes be used to create welfare impacts that are not exclusively linked to energy, thereby widening a projects scope and making it more holistic. The enabling environment can be improved by increasing access to financing and technical support networks, improving monitoring practices, raising awareness of off-grid technologies amongst local governments and development planners, and working alongside national governments to improve policies and institutions. The report considers a number of strategies to encourage the scaling-up and replication of successful interventions, most notably strengthening the enabling environment and incentivising private sector approaches to rural electrification (Chapter 5). It proposes a sample hybrid business model for mini-grid development (Figure 3) which capitalises on the comparative advantages offered by the different stakeholders: a private companys greater access to the necessary financing and technical skills for the hardwares installation and continued maintenance, and a communitys greater willingness to engage in, and often greater efficiency (lowered instances of theft and
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References
Yadoo, A., 2012. Delivery models for decentralised rural electrification: case studies in Nepal, Peru and Kenya. International Institute for Environment and Development, London Robert, T., Twebaze, P., Makuregye, N., Muyambe, E., 2011. Key issues in Ugandas energy sector. International Institute for Environment and Development, London Best, S., 2011. Remote access: Expanding energy provision in rural Argentina through public-private partnerships and renewable energy. A case study of the PERMER programme. International Institute for Environment and Development, London

Auditing Committee

Assign a community mobiliser to live and work with the community, focusing on a range of development issues; Investigate what industries and businesses are active in the area, how they currently obtain their electricity supply and whether they would be interested in a hybrid business model for off-grid power generation

Does the community have a long history of cooperation and/or are private companies viewed with mistrust? Yes No Consider adopting a micro-enterprise management system

User Group Regulator National body in charge of regulating the activities of the external company. Organised group that protects user interests. Jointly holds the managing body to account.

Consider adopting a cooperative based management system

Ensure effective monitoring and regulatory systems are in place

Provide additional assistance to promote productive uses of electricity where necessary

Scale-up and Replicate

Profile of the author


Dr Annabel Yadoo has worked as an energy researcher and consultant for the international NGOs Practical Action and Renewable World. She has a PhD in Delivery Models for Decentralised Rural Electrification from the University of Cambridge and has conducted fieldwork in Peru, Nepal, Kenya, Nicaragua and Mozambique. Annabel has published five journal and conference papers, presented at three international conferences and spent two months working as a researcher and assistant policy adviser in DFIDs low carbon development team (part of the Climate and Environment Group).

improved tariff collection) to manage, the distribution side of the system. The model proposes that a private company could finance and service rural electrification infrastructure (or subcontract a qualified firm to do so), and a local management committee such as a cooperative or local micro-enterprise could buy the energy in bulk and manage the distribution to local residents. The private company could be a designated energy services provider or a nearby telecommunications operator or factory that requires off-grid electrification for their own use. The use of an anchor load (such as a factory or another commercial end user) should improve financial sustainability. However, adequate institutional and financial support is likely to be required before a private company will be interested in the business venture. The government should ensure that effective regulation is in place to monitor its activities. Likewise, an auditing body composed of the user group and the external company investing in the generation equipment should be established to improve the effectiveness of the local management committee. The rights and obligations of each party (the

external company, local management team and users) should be transparent, formalised and enforceable by law. The majority of the reports conclusions are not country specific, despite the deliberate selection of case studies from three continents to reflect different physical, institutional, economic and socio-cultural domains. Nevertheless, the enabling environments in the three countries vary considerably, impacting upon the types of projects encountered, their sustainability and potential to be scaled-up and replicated. At the community level, the largest difference between countries relates to the choice of management model employed: microenterprises find it more difficult to gain traction in Nepal than in Kenya or Peru, as they are regarded with some distrust. Conversely, due to a strong tradition of cooperation and more closely-knitted communities, cooperatives are generally considered more effective in Nepal than in Peru or Kenya where such traditions are not as predominant. A decision support tree is presented (Figure 4) to incorporate the results of the research for the benefit of rural electrification practitioners worldwide.

In summary, the report presents the following core recommendations for the benefit of practitioners and institutions involved in the provision and implementation of rural electrification projects in developing countries: During a projects planning and implementation stages, overriding focus should be placed on generating a sense of local responsibility for the electricity system and its upkeep across all key stakeholders, growing local desire for the electricity services provided and stimulating providers to expand their business, and extending the scope of the project across different development arenas to create maximum welfare impact. A number of concrete steps can be taken to achieve this, many of which fall under the categories of ownership, management, productive uses, training and job creation, financing and implementing approach. Rather than focusing exclusively on a projects micro level, attempt to influence and build the institutional framework and environment in which the project takes place (raising awareness of renewable energy off-grid technologies,
Boiling Point. issue 60 2012

training technicians, improving access to finance, establishing regulation and national support policies). In so doing, the ability for a projects benefits to be scaled-up and replicated should increase. Try to engage the private sector through more innovative partnerships and hybrid business models, provided a supportive institutional and financial environment is already in place. If successful, private sector involvement should help accelerate scaling-up and replication. Be aware that there is no one-size-fitsall solution. Take care to tailor the rural electrification system to cater for the specific needs, desires and cultural specificities of different communities. This will be particularly relevant with regard to the choice of management model.

Acknowledgements
This publication is based on the authors doctoral work that was conducted at the University of Cambridge (Centre for Sustainable Development, Department of Engineering) between 2008 and 2011. The PhD was funded by an interdisciplinary studentship from the UK Energy Research Centre; additional funding was provided by the Royal Academy of Engineering and Engineers Without Borders UK. 41

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GENERAL

GENERAL
PEER REVIEWED Figure 2: Biochar production in India from Casurina equisetifolia in the Anila stove. (Source: Sarah Carter)

General
Keywords: Biochar; Gasification; Cookstoves; Soil improvement

Biochar: Biomass energy, agriculture and carbon sequestration


Cookstoves and biochar
Gasification stoves, in addition to benefits generally produced by improved stoves (increased efficiency and decreased smoke production), may also produce biochar which can potentially increase food production where biochar is used as a soil amendment. They can contribute to achieving seven out of the eight Millennium Development Goals which aim to reduce global poverty (Warwick & Doig 2004). Projects in South East Asia undertaken by the UK Biochar Research Centre have attempted to assess these impacts. A key finding was that the multiple benefits which micro-gasification cookstoves provide, may make some designs unsuitable for many scenarios (Carter & Shackley 2011). Potential weaknesses have included their limited turn-up and turn-down capabilities and inappropriate height, where cooks typically sit or squat to cook. Difficulties in operating the stove in order to produce biochar were also experienced, such as for the user in identifying at what point to extinguish the flame and the biochar (if it is not quenched when produced from the Anila stove, it will turn to ash once it has been removed from the stove). These factors are potential barriers to adoption (Roth 2011, Carter & Shackley 2011). In cookstoves, pyrolysis, gasification and combustion will occur at different times during the burn, but when it is in gasifying mode, the gas (comprising of carbon monoxide and other molecules) is burnt to produce heat (FOE 2009, Horne 2006, Sohi & Shackley 2010). Pyrolysis temperatures of 450-550C (slow pyrolysis) will maximise biochar production (Lehmann 2007), which is higher than a Top-Lit Up Draft (TLUD) stove will typically operate at. However conditions vary and the Belonio gasifier (forced draft), for example, can operate with a flame temperatures of 610C (Belonio 2005). Most stoves are designed specifically to produce a clean flame suitable for cooking rather than to maximise biochar production. Nevertheless, some commonly available designs can produce between 25-30% biochar, and sometimes
Boiling Point. issue 60 2012

Authors Sarah Carter

Research Assistant, UK Biochar Research Centre, University of Edinburgh, Edinburgh, EH9 3JN, UK sarah.carter@ed.ac.uk

Simon Shackley
Lecturer in Carbon Policy, UK Biochar Research Centre, University of Edinburgh, Edinburgh, EH9 3JN, UK simon.shackley@ed.ac.uk

Figure 1: Distribution of Sampanda and Anila gasification cookstoves for household testing in Maharasthra India. (Source: Sarah Carter)

Biochar is the result of heating biomass in a low to zero oxygen environment and it is suitable for soil improvement and carbon storage. A range of technologies and scales, from industrial continuous units to micro-gasification cookstoves, can produce it. Improved gasification cookstoves, in addition to their efficiency and reduced smoke production, can also be operated to provide biochar. Waste biomass, agri-residues and wood can be used as feedstock. The production conditions will influence the biochar properties. The alkaline nature, high Cation Exchange Capacity (CEC), water retention and availability of certain nutrients contribute to the benefits it can bring to soil.

Introduction to biochar

higher, from the feedstock on an oven dry weight basis (SET 2010, Iliffe 2009, Own observations). These rates are comparable to yield under controlled slow pyrolysis conditions, where a 40% conversion rate to biochar is about the expected maximum (Brownsort 2009). Biochar in cookstoves is likely to be produced in a TLUD stove where the operating temperature is about 400C (Anderson 2010). These typically have a lower pH and lower CEC than when produced at higher temperatures (Shackley & Sohi 2010). Little is known, however, about the production conditions, including temperature and pressure, in cookstoves. This leads to difficulties in assuring the consistency of the biochars properties. However, Iliffe (2009) found that selected properties were consistent, including pH and CEC, when produced from the same cookstove and feedstock. Feedstock is known to be one of the major determinants of biochar properties (Brownsort 2009, Baldock & Smernik 2002). Depending on the feedstock used, biochar produced in the stoves can be used as a fuel (particularly wood charcoal). This can be burned fully in the stove in which it is produced or, be quenched with water and stored for later use in a charcoal stove.

42

Biochar is the porous carbonaceous solid produced by thermochemical conversion of organic materials in an oxygen depleted atmosphere which has physiochemical properties suitable for the safe and long-term storage of carbon in the environment and, potentially, soil improvement. (Shackley & Sohi 2010). First coined by Peter Read, biochar can be considered a charcoal-like material prepared for soil improvement, which also provides a long term carbon

sink (Read 2009). Because of its carbon storage properties, carbon finance can possibly be obtained where it is produced and then incorporated into soils. Biochar can be made from biomass including wood (Abdullah 2010), greenwaste (Chan 2007), agri-residues (e.g. shells, husks) (Novak 2010), other biomass processing by-products including papermill sludge (Van Zwieten 2010) and even wastewater and sewage sludge (Hossain 2010). Since the discovery of the Terra Preta soils of the Amazon showing the historic incorporation of charcoal and other

materials, there has been increasing interest in biochar (Shackley et al 2010). These soils, in relation to adjacent ones, showed benefits such as increased water retention (Glazer et al 2002), nutrient availability and soil Cation Exchange Capacity (CEC) even after abandonment up to 2000 years ago (Sombroek et al. 2003, Glaser et al. 2002). However, the exact char production conditions and soil improvement methods for these soils are unknown, so the modern biochar soil amendment results may not reflect these historic soils.

Gasification cookstove designs


Natural-draft gasification stoves are designed for a specific feedstock (see Table 1). Some gasification stoves have several versions designed for different purposes for example the Champion TLUD stove includes a refugee version a simpler, less costly, design which can be made from reclaimed materials, and an artisan version, which requires manufacturing (Anderson 2010).

A new stove is not always required to produce biochar. Experimentation by Appropriate Rural Technology Institute, India (ARTI), found that simple adaptation of a conventional or improved shielded mud/concrete stove could convert it into a gasification stove. ARTIs Bharat Laxmi wood burning stove was added with a grate, insulating blocks and chimney (SET 2010). A tin with holes punched in the bottom, which is placed in the combustion chamber of the stove, acts as a fuel chamber which also restricts the air, leading to gasification. Primary air can enter through the holes, and secondary air through the stove chamber. The pans height above the stove may need to be adjusted to allow all the gas to burn fully, and further research would be required to assess this adaptations efficiency. Batch operated stoves can be divided into two types, autothermal and allothermal (Roth 2011). Autothermal refers to those which produce biochar (or charcoal) in the main chamber through flaming pyrolysis. The biomass is pyrolysed and gasified, the gas burns to produce heat for cooking and biochar forms as a solid residue. In allothermal stoves, biomass is placed in an outer fuel chamber and is heated by the thermal reactions in the main fuel chamber. The biomass undergoes thermal decomposition, releasing pyrolytic vapours which flow into the main fuel chamber and are combusted, producing a biochar residue. The feedstock in the outer chamber can therefore be quite different from that in the main chamber. In autothermal stoves, pyrolysis and gasification result in biochar production; and, if incineration is allowed to follow, the biochar will turn into ash. If the stove is extinguished before the biochar is ashed, it can be kept for soil amendment or fuel purposes.
43

GENERAL
Figure 3: Cabbage pot trials in Cambodia (Source: Sarah Carter) Stove Name Agni Anila Avan Biochar stove Champion TLUD Daxu Developer P. Anderson / ARTI R.V. Ravikumar S. Bhaskar Reddy R. Flannagan P. Anderson Beijing Shenzhou Daxu Bio-energy Technology Company Ltd WorldStoves R Stanley & K Venter WorldStoves S. Bhaskar Reddy Qpre P. Wendelbo Philips P. Karve (ARTI) C. Pemberton-Pigott / New Dawn ARTI Country developed India India India China USA China Biomass Wood / biomass Wood / crop waste Fuel Wood / biomass Biomass

GENERAL
Table 1: Prominent natural draft gasification stoves, available or in development (see @HEDON for the entire referenced table)

EverythingNice

USA South Africa USA India India Uganda India India South Africa India

Biomass Fuel briquettes Biomass Biomass Any biomass Variety of dry biomass Wood Wood / biomass Biomass Sawdust and other powdery biomass

The majority of gasification stoves are autothermal, of the TLUD design (or technically an inverted downdraft design) (Anderson 2010). One of the leading designs is the Andersons Champion TLUD, which won an award in 2005 at the stove camp (Aprovecho) for the lowest emissions. Primary air enters to initiate thermal reactions, while secondary air enters for gas combustion for flame and heat production. TLUD designs can burn with a clean flame due to the gasification process. These can be natural draft or forced draft (with an integral fan). The same concept has also been used to produce devices with other functions, including the natural draft gasifier water heater for rural households (Babar & Karve 2009). The best known two chamber allothermal stove is Anila (Figure 2) designed by Professor Ravikumar. This stove also burns gases using the principles of the TLUD stove.

Holey Briquette Gasifier Lucia Magh series naturaldraft Navagani Peko Pe Philips Natural-Draft

available residues without an alternative use has to be investigated on a case-bycase basis (Carter & Shackley 2011).

Biochar benefits to soils and crops


Biochar incorporated into the soil can influence it physically, chemically and biologically and potentially benefit plant growth (IBI 2010, Lehmann 2007) (see Figure 3). It can improve water retention; Chan et al (2007) observed improvements to hardsetting soil including tensile strength reduction, increases in field capacity and a higher pH when over 50 t ha-1 biochar was added. Biochar can also reduce the soil albedo (reflectance) (Grieshop et al 2009), thus warming it. Biochar is typically alkaline, a useful property for addition to acidic soils. Certain nutrients are directly available through the solubilisation of ash contained within the biochar and microbial use of the labile carbon will lead to more plant available nutrients (Shackley & Sohi 2010). Biochar retains cations better than other forms of soil organic matter and this ability increases as it ages in the soil (Lehmann 2007), owing to its high CEC (Sohi et al 2010). As it ages and particle size decreases, CEC may also increase (Shackley & Sohi 2010, Lehmann 2007). Chan et al (2007) showed that biochar addition with fertiliser increased radish production, although biochar amendment alone did not. Asai et al (2009) found that the impact of biochars addition in field trials depended on the presence of available nutrients from fertiliser (synthetic or organic). They suggested that the lack of available nitrogen in the soil led to decreased yields of rice after biochar

Fuel/feedstock
Many types of biomass material can be used to produce biochar in gasification cookstoves, and some designers also list a variety of suitable feedstock. Dry biomass is universally required, with moisture below 20% (Roth 2011), and wood is a commonly recommended feedstock to ensure the stoves most efficient use. Micro-gasification stoves tend to utilise fuel with a small particle-size; in cases where wood is collected or purchased in large pieces, some stoves (including Andersons TLUD, EverythingNice and the Anila stove) will require wood to be chopped for optimal operation and to fit inside the fuel chamber. This is often viewed negatively by users (Carter & Shackley 2011). The Anila is more flexible than the others in some respects, since the pyrolysis chamber can utilise materials that do not burn well in the combustion chamber (own observations), although wood chips were found to be incompletely charred during tests by Iliffe (2009). It allows the use of small sized residues which otherwise would be discarded (Roth 2011). The extent of the presence of
44

addition, probably because of adsorption of available soil nitrogen onto the biochars surface. The addition of biochar with sufficient fertiliser, on the other hand, saw positive results for crop yield. Experiments carried out in South East Asia found varied responses, including that in some cases, biochar alone led to significant plant growth (Karve et al. 2010). The effect of biochar on soil and crop growth will also depend on the interactions with the soil type and microbes (Rondon et al 2007, Warnock et al 2010). The receiving soil will also influence the longevity of the biochar, since even a recalcitrant fraction of biochar will eventually degrade in the soil and oxidise (Novak et al 2010). There are two main carbon fractions in biochar: the recalcitrant fraction which is frequently stable over hundreds of years and the labile fraction, which is mineralised in the short term (days to a few years) and returns to the atmosphere. Biochar can degrade abiotically and biotically, but the turnover in the soil is much slower than for plant litter (Glaser 2002). The exact length of time biochar will stay in the soil is debated, but 10001500 years has been predicted for the recalcitrant fraction (Lehmann & Joseph 2009). Biochar persists in the soil, since its aromatic structure renders it resistant to the usual process of microbial degradation of biomass in the soil (Baldock & Smernik 2002). Biochar which has been incorporated into agricultural soils can also potentially be lost (or rather displaced) as it can move with eroded soil away from the site and enter river systems (Forbes et al 2006), though it will continue to store carbon. The long-term stability of biochar in the soil is important since stable carbon can potentially attract carbon finance.

Sampanda Vesto Vivek

Conclusion
Gasification cookstoves have the potential to provide multiple benefits, particularly energy efficiency, and smoke reduction, in comparison to traditional stoves. With the additional benefits that biochar can provide as a soil amendment, there is potential to increase these further. However the extent to which these benefits can be realised is dependent, among other things, on the technology, and its ability to provide for the needs of the user.

References
ABarnes D.F, Openshaw, K, Smith, K.R. and van der Plas, R., 1994. What Makes People Cook with Improved Biomass Stoves?, 1994 World Bank Technical Paper 242. Energy Series. May 1994. Carter, S. & Shackley, S., 2011. Participative Distributed Innovation Process and Biochar: Smoke reduction, sustainable agriculture and soil management. Final Technical Report - in press. University of Edinburgh. Asian Institute of Technology. Lehmann & Joseph, 2009. Biochar for Environmental Management Science & Technology. Earthscan, London. Sohi, S., Krull, E., Lopez-Capel, E., Bol, R., 2010. A Review of Biochar and Its Use and Function in Soil. Advances in Agronomy. 105, 47-82. Shackley, S.J., Carter, S., Sims, K., Sohi, S., 2010. Expert Perceptions of the Role of Biochar as a Carbon Abatement Option with Ancillary Agronomic and Soil-related Benefits. Energy and Environment. (Manuscript accepted). Warnock, D.D., Lehmann, J., Kuyper, T.W., Rillig, M.C., 2007. Mycorrhizal responses to biochar in soil concepts and mechanisms. Plant Soil. 300, 9-20.

Profile of the authors


Sarah graduated with a BSc Environment, Economics & Ecology and MSc Resource Management in the UK. She has previously worked as a project co-ordinator, and socioeconomist for Plan Vivo carbon forestry standards, spending time in East Africa. She also worked on various projects as a researcher at the University of Edinburgh. Most recently, this took her to India and Cambodia to manage biochar field projects. Dr Simon Shackley works on assessing options for removal and storage of carbon and CO2 (includes techno-economic, socio-political and policy evaluations and implications). He is involved in biochar field trials and exploring development of thermal conversion technologies and biochar products.

Acknowledgements
Dr Priyadarshini Karve, Dr Anand Karve and the staff at Appropriate Rural Technology Institute, India. Financial support from the Asian Institute of Technology and IDRCCDRI is gratefully acknowledged.

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Boiling Point. issue 60 2012

45

GENERAL
PEER REVIEWED Variables Income Percentage or mean Standard Deviation (SD) R 763.26 Minimum: R 150 Maximum: R 3800 2.85 (1.6) 18% 39% 20% 90% corrugated iron 10% other material 0% Table 2: Demographic variables Table 3: Energy sources used by paraffin users Energy source Paraffin Coal Gas Candles Wood Batteries Cooking 99% 20% 4% 2% Heating 6% 40% 7% Lighting 22% 88% 4%
90% 68% 45% 23% 0%
84%

GENERAL

Household members Children (<3 years) Children (3-10 years) Adolescents Characteristics of home Material used

27%

The dynamics of paraffin use in a low-income South African community


Keywords: Paraffin; Low-income; South Africa; Ingestion; Safety; Indoor air pollution

Cooking (summer) Cooking (winter)

Figure 1: Open doors/windows during paraffin use

Paraffin is a widely used energy source in low-income households in South Africa; however, the unsafe use of this fuel is associated with high incidence of fires, injuries and poisoning from ingestion. The objectives of the study were to identify the energy mix of paraffin users, determine practices linked to paraffin use, and determine the incidence of energyrelated harm among the sample. This was achieved by surveying 250 households in Soul City, an informal settlement in Johannesburg, South Africa. The findings of the survey identified several harmful behaviours relating to paraffin use. This includes poor ventilation when using paraffin for heating, lack of appropriate paraffin containers, and high incidence of unsafe paraffin stoves. The findings highlight the need for a multi-sectoral approach to eradicate paraffin-related harm. This is dependent on collaboration between civil society, government departments, end users, academia and businesses.

Author Robynn Paulsen


Research Officer, Paraffin Safety Association of Southern Africa, 125 Belvedere Road, Claremont, Cape Town, South Africa robynn@paraffinsafety.org

Electrified (officially or unofficially)

Aims and objectives


The objectives of the study were to 1) identify the energy mix of paraffin users, 2) determine practices linked to paraffin use, and 3) identify the incidence of energy-related harm among the sample.

Data analysis
Data was analysed using descriptive statistics.

Results
Demographic variables
Table 2 indicates the demographic profile of the sample. The monthly household income of the sample was around South African Rand [R] 770 (US$ 92). The average size of households was 2.85 members, 18% of households included children under 3 years, 39% included children between 3-10 years, and 20% included adolescents. The majority of households live in homes constructed from corrugated iron and none of the households surveyed had access to electricity.

Methodology
Table 1: Risky behaviours and correct actions associated with paraffin use (see below).

Sample
In total, 250 households participated in the study. Data collection took place in April 2011 in Soul City, a low-income informal settlement in Johannesburg, South Africa. The community was identified as an area requiring educational interventions on safe energy use, and was chosen as a priority community by the Paraffin Safety Association of Southern Africa. The purpose of the interventions is to educate end-users on paraffin safety and reduce associated harm. The data was collected prior to any education-based activities being undertaken in the community. Households were randomly selected for participation. The criteria for inclusion in the study included the use of paraffin in the home and participants needed to be older than 18 years old.

Introduction

araffin, also known as kerosene, is a commonly used energy source in resource-poor communities in South Africa (Rukato 2002; Aitken 2007; Truran 2008). While accurate figures on domestic paraffin consumption are limited, it is estimated that over 4 million households use paraffin to meet their energy needs (Truran 2004). Further evidence estimates that 60% of non-electrified households rely on paraffin (Rukato 2002). Recent studies projected a decline in domestic paraffin use,
Risk

most likely due to increased electrification and increased socio-economic standing (Panday and Mafu 2007). Paraffin has a reputation as a dangerous energy source; - its unsafe use is associated with increased risk for fires, poisoning from ingestion, burns, asphyxiation, and respiratory illnesses injuries, death, destruction, property loss, economic consequences and a burden on government resources and services (Truran 2004; Panday and Mafu 2007; Schwebel, Swart et al. 2009).

Risks
Unsafe use is primarily related to the unregulated supply chain of paraffin, substandard paraffin appliances and the widespread use of unpackaged paraffin. There are several safety practices endusers could implement to reduce the potential for paraffin-related harm. Table 1 indentifies risky practices linked to its use and outlines correct actions to be undertaken in their place.

84% of households report ensuring sufficient ventilation. The proportion of households ensuring sufficient ventilation declines when cooking with paraffin in winter, as only 27% of households ensure sufficient ventilation. The majority of households report purchasing and storing paraffin in inappropriate containers (93%) such as cool drink bottles, milk bottles and water bottles; and at least 72% of households are not using child-resistant safety caps. Two-thirds of households surveyed use plastic funnels for pouring paraffin, 29% use nothing to pour, 3% use a designated paraffin cup, and 2% use newspaper funnels.

Storage
Figure 2 illustrates that 77% of households store paraffin on the floor, while 19% store paraffin on a high shelf or counter. The motivation for these storage locations include keeping paraffin away from children (40%), lack of storage place (38%), or no reason (20%).

Multiple energy use of paraffin users in Soul City


Table 3 indicates the primary energy sources used for cooking, heating and lighting by paraffin users in Soul City. Paraffin was used primarily for cooking (99%), and was less widely used for lighting (22%) and heating (6%). Paraffin and coal were the most widely used energy sources for cooking, while candles were used for lighting. Coal played a prominent role in heating households in Soul City.

Paraffin appliances
There are a huge proportion of wickbased paraffin stoves (99%) in Soul City, of which the majority are Panda stoves (95 %). Figure 3 illustrates the age of paraffin stoves in use. More than half of stoves are over a year old, and 25% of stoves have been in use for less than 6 months. Few households maintain (13%) or repair (6%) their paraffin stoves when it no longer operates optimally.

Correct action Have a designated, properly marked container for decanting and storing paraffin Use safety caps to reduce the risk of accidental ingestion Only adults should use paraffin in the home Store paraffin in locations unreachable to young children Ensure sufficient ventilation during paraffin use Ensure adult supervision around young children to prevent injuries Maintain and repair paraffin appliances when needed Buy legal and safe paraffin appliances Use paraffin appliances on stable surfaces Regular maintenance of appliances Use of safe, SABS-approved appliances Place paraffin appliances away from curtains or other flammable objects Purchase paraffin from reputable retailers Use a designated container for paraffin

The use of inappropriate containers to decant and store paraffin Absence of child-resistant safety caps Allowing children to handle paraffin Storing paraffin in easily accessible locations for children Keeping windows and doors closed when using paraffin Absence of adult supervision Unsafe and incorrect use of paraffin appliances

Instrument
A baseline survey was conducted in the community using an in-depth questionnaire investigating several themes, including demographic variables; the purchase, use and storage of paraffin; paraffin appliances; knowledge around the management of paraffinrelated incidents; and the occurrence of fires, burns, and paraffin ingestions. The questionnaire took approximately 40 minutes to complete and was administered by trained fieldworkers.

Domestic paraffin safety practices


Purchasing and handling paraffin
In the vast majority of households, adults are primarily responsible for the purchasing (91%) and handling (96%) of paraffin.

Incidence
The experience of energy-related incidents in Soul City is high; 18% of households surveyed reported experiencing fires (n=23; 9.2%), burns (n=11; 4.4%), difficulty breathing (n=8; 3.2%), and paraffin ingestion incidents (n=7; 2.8%) in the past.
47

The prolonged use of malfunctioning paraffin appliances Improper placement of paraffin appliances Use of contaminated paraffin

Ethics
Participants were informed prior to data collection that participation in the study was voluntary and that the information provided would remain confidential.
Boiling Point. issue 60 2012

Using paraffin
All households using paraffin for cooking reported using it indoors. Figure 1 illustrates that when cooking in summer,

46

GENERAL
60%

60%

High Shelf, 19%

45%

30%

Table, 4%

15%

11%

14%

6%

9%

Call for papers


Boiling Point forthcoming topics: Climate Change: Adaptation, Resilience and Energy Security Access to Finance: Subsidies, Investment and Carbon Funding Energy Service Delivery Models Energy in High Cold Regions
Boiling Point is peer reviewed and published quarterly. We are inviting readers to submit articles, papers and news on a rolling basis at any time. So if you feel that you have something to contribute to the wider household energy community on any theme, including the above four, then please read the information below and send us your experiences HEDON would love to hear from you!
Boiling Point looks for articles which are written in English, Spanish, French or Chinese, preferably using clear and plain language, and which can be used by other people in their own work. Do not be deterred, however, if you are not used to writing it is the information that is important we will review articles, edit them and return them for your approval prior to being published. articles should be focused on the real life application of proven technologies.

CALL FOR PAPERS

Floor, 77%

0%

0-3 months

10-12 months

Discussion
Soul City is a community characterized by high levels of poverty, informal housing, and unavailability of electricity. The results illustrate a matrix of energy sources used in Soul City, consisting primarily of paraffin for cooking, candles for lighting and coal for heating. The use of multiple energy sources for various household tasks is widespread, possibly more often within non-electrified households. Informal settlements are characterised by overcrowding, poverty, fear of crime, and cramped living space. This reality may contribute toward households incapacity to practise safe paraffin habits. Restricted ventilation during paraffin use in winter is hazardous and may lead to Indoor Air Pollution (IAP) and asphyxiation. Long-term exposure to IAP could result in breathing difficulties, and respiratory illnesses, and is recognized as a global priority health risk. The impact of IAP can be mitigated by allowing sufficient ventilation when using paraffin in the home, and limiting exposure to the source of the pollution by placing children or other at risk groups away from the appliance. Secondly, the absence of appropriate storage locations, containers and child-resistant safety caps contributes to paraffin ingestion among young children. Paraffin ingestion is recognized as the leading cause of unintentional paediatric poisoning in South Africa, and is a significant contributor to accidental deaths among children (Panday and Mafu 2007). The frequency of unsuitable storage locations for paraffin may stem from structural housing challenges inherent in informal dwellings, and from a lack of awareness of the dangers. The substandard design and quality of commonly used paraffin appliances in South Africa, including the Panda brand, increase the risk of fires, burns, indoor air pollution, and destruction and loss of property. The National Regulator for Compulsory Specifications (NRCS) identified the original Panda paraffin stoves as a non-compliant appliance that does not comply with minimum safety requirements, although the new PANDA
48

Figure 2: Location of paraffin storage in the home Figure 3: Age of paraffin stoves

stove holds a temporary license under this standard (WHO 2011). The potential harmful costs of malfunctioning stoves can have a life-altering impact on families, and place an enormous financial and resource burden on the state. There are several national-level solutions for ensuring safety among paraffin users, this includes: The confiscation and destruction of illegal paraffin appliances available to consumers at the point of sale; Co-operation among all tiers of government to ensure the safe use of paraffin, particularly within the Department of Health, Department of Energy, Department of Housing and Department of Education; The development and enforcement of a household energy safety policy; and Integration of household energy safety into curricula for school and caregivers

Profile of the author


Robynn Paulsen is a research officer at the Paraffin Safety Association of Southern Africa in Cape Town, South Africa. She has an MA in Research Psychology and has an interest in health promotion and injury prevention research.

References
AAitken, R., 2007. Household energy use: a comparison of household energy consumption and expenditure across three provinces, Journal of Energy in Southern Africa 18(1): 20-28. Panday, S. and S. Mafu., 2007. Limited choices - An exploratory study on paraffin use in KwaZuluNatal Cape Town, PASASA: 85. Rukato, H., 2002. Gender and Energy in the South: A Perspective from Southern Africa. Gender Perspectives for Earth Summit 2002: Energy, Transport, Information for Decision-Making. Berlin, Germany. Schwebel, D. C., D. Swart, et al., 2009. Paraffin-related injury in lowincome South African communities: knowledge, practice and perceived risk. Bulletin of the World Health Organization 87 (9): 700-706. Truran, G., 2004. The poor mans fuel: the continued use of paraffin for domestic energy requirements in low-income households. 8th World Congress on Environmental Health. Durban, South Africa: 11. Truran, G., 2008. Household energy poverty and paraffin consumption in South Africa. Boiling Point (56): 3. WHO., 2011. Burn prevention: success stories and lessons learned. ISBN 978 92 4 150118 7, http://whqlibdoc.who.int/ publications/2011/9789241501187_ eng.pdf

HelpLine
Would you like advice from experts on an aspect of your work in household energy? Contact us with your questions and we will strive to direct you to those who can help. Questions we feel are relevant to a wider audience are selected for publication in the HelpLine section of Boiling Point. In the past, these have included dilemmas on marketing and monitoring and evaluation.

resolution of 300 dpi and a high quality file type i.e. not .bmp); sent to us in its original format (not pasted into an MS Word file); credited to the correct person, with a caption if appropriate; owned by the person/organisation entering the competition; and preferably with a central focal point, bold composition and rich colours. The editors decision is final and the selected photo will win absolutely nothing, apart from the admiration of thousands of subscribers and of course our thanks. For more information please visit www.hedon.info/XRBB

Guidelines and submission dates


We are now accepting articles and front cover photo competition submissions for the Climate Change: Adaptation, Resilience and Energy Security issue until Friday 17 August, 2012. Articles can be submitted digitally in a commonly used word processing format using the Article Template. Articles should be around 2,000 words in length. Illustrations, such as drawings, photographs, graphs and bar charts are essential and should follow the Figure Formatting guidelines. All references should be provided in the format given in the References guidelines. Articles should also include a 100-200 word summary, a 50 word profile for each author and up to ten keywords that you feel best describe your article. More detailed guidelines and the Article Template can be found at www.hedon.info/DVBB. Files can be emailed to the editor via the below listed details. Final selection is based on article quality, originality and relevance. Thank you for your cooperation, and please do not hesitate to contact us for any clarification. Regards, The Boiling Point Team
HEDON Household Energy Network Email: boilingpoint@hedon.info 49

Conclusion
Paraffin safety remains a major public health challenge in South Africa. The eradication of paraffin-related harm is dependent on collaboration between civil society, government departments, end users, academia and businesses. Government departments play a crucial role in ensuring the safe system of paraffin use, with particular focus on the manufacturing of paraffin appliances, packaging of paraffin, and the use of the fuel among consumers. Furthermore, communitybased educational interventions aimed at increasing knowledge of paraffin-related harm and modifying harmful behaviours need to be developed and implemented to address the problem.

Theme articles
Each edition of the journal typically contains 4 to 5 full length theme articles which can include research papers, programme reports etc. that are relevant to the theme topic. We encourage you to submit articles on your work on any of the above-mentioned themes at any time of the year. Each edition also contains a related Toolkit. If you are interested in contributing to these, then please contact us on the email address below.

Preview
Are you or your organisation publishing a report or a book that you think may be of interest to household energy practitioners out there? Would you like to offer a preview of your publication in Boiling Point? Recognising the enormous amount of useful material being published globally, some of it not freely available, we decided to offer our authors a new opportunity to give audiences a flavour of their upcoming publications. Although these will be extracts of authors works, we encourage them to be self-contained pieces that are useful to readers.

Interviews
If you feel you or someone from your organisation should be interviewed on your work in facilitating energy access to households in developing countries, please contact us. All interviews will be published on the HEDON website and the best will be selected for publication in Boiling Point.

Front cover photo competition


HEDON is offering you another fantastic opportunity to get your best image onto the front cover of Boiling Point. We are looking for a full colour photograph for the front cover that illustrates the future themes of Boiling Point. The photo must be: of good quality format and suitable for high resolution colour printing (minimum

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General articles
We welcome submission of general articles at any time, which can cover any topic. Examples include project/programme updates, technical papers, book/report reviews, and conference and workshop reports. Please note: Technology based
Boiling Point. ISSUE 60 2012 issue 60 2012

Meet us @HEDON

A prActitioners journAl on household energy, stoves And poverty reduction

The HEDON Household Energy Network is dedicated to improving social, economic and environmental conditions in less developed countries, through promotion of local, national, regional and international initiatives in the household energy sector.
The HEDON Household Energy Network has recently established itself in the UK as a charitable limited company registered with the UK Charity Commission. It is managed by five Trustee Directors Andrew Barnett (The Policy Practice); Dr. Grant Ballard-Tremeer (Eco Ltd); Dr. Stephen Bates (Independent); Dick Jones (Independent); and Dr. Kavita Rai (GVEP) - and is coordinated by a team of dedicated volunteers. The network itself is comprised of thousands of active members with diverse backgrounds: practitioners, policymakers, academics, business owners and Non Governmental Organisations, across the world. We exchange experiences, learn from one another and create new knowledge.

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60 issues over the past 30 years Available online in English, French, Spanish and Chinese Free online access and download

Our Vision
A world where everyone has access to clean and sustainable energy; in fairness, respecting the environment and combating climate change.

Our Mission
To inform and empower practitioners in order to unlock barriers to household energy access by: addressing knowledge gaps, facilitating partnerships and fostering information sharing.

An interactive web platform offering:


The latest news, events, jobs, courses and offers in the household energy sector emailed to HEDON members via our monthly newsletter www.hedon.info/news Wikipedia style resources on household energy and poverty Discussion forums www.hedon.info/SIGs Regional Interest Groups (RIGs) www.hedon.info/RIGs Databases on cookstoves and biodigesters www.hedon.info/Databases E-conferences and E-workshops www.hedon.info/ Econferences

Our Patrons
HEDON Household Energy Network has the goodwill and support of two patrons: Archbishop Desmond Tutu of South Africa, Professor Kirk R. Smith, Professor of Global Environmental Health, at the University of California, Berkeley, USA. As a patron, I believe that HEDON, in its work to address energy and climate improves lives for people living in poverty. I am a supporter of their work and would recommend others to support their endeavours further Archbishop Desmond Tutu HEDON is the oldest international network of organisations promoting clean and efficient household energy sources for improving heath and welfare. I have been involved since its inception in the 1980s and it has provided both intellectual support and inspiration in my work to understand the health and climate implications of household combustion Professor Kirk Smith

To join us go to www.HEDON.info/register
HEDON Household Energy Network is registered with the UK Charity Commission, charity number 1141286

A publication of the

www.hedon.info

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