Mobile Phones as a Solution to the Water & Sanitation Crisis

1. Mobile Phones as a Solution to the Water & Sanitation Crisis Boston University Team: Jane Bulnes-Fowles, Matthew Fox, Ravi Kolipaka, Catherine Liang, Toni Ann Louie

2. Water & Sanitation for 100 million people • 760 million people in India have mobile phones • 300 million of those people don’t have access to water and sanitation Photo credit: London Evening Standard

3. Introducing H2mObile • Branded phone cards and top-up minutes • Individuals buy H2mObiletime at a premium • Aggregated premiums finance a community-demanded project H2mObile Rs. 20 • Over the next five years, H2mObilecan raise over $250 Million to finance water and sanitation projects if only 1% of the mobile population buys the premium cards.

4. Financing a Community Project • Community Managed Toilet (CMT) • built by Gramalaya • Benefited 1500 people • Total cost of $10,300 • H2mObile 15% premium: $1 per month • If each mobile phone user who directly benefited bought H2mObile time, and convinced 2 others to buy, project is fully funded in 6 months • 10 seats for men, 10 seats for women • Child/disabled-accessible • Safe disposal of hygiene products • Hand-washing facilities • Originally financed by WaterAidUK Based on first-person interviews in Andhra Pradesh April 2011. Rs. 300 avg monthly expenditure.

5. H2mObile Process to fund Community Project Community H2phOne $ Community Shop Owner $ $$$ Project Information Photo credit: Water.org

6. Building Partnerships for Pilot Project • To launch H2mObile partnerships must be built • Gramalaya: • Current local partner of Water.org • Over 20 years experience in Tiruchirapalli (Trichy) • Created over 50 community toilets in Trichy slums in 2009 • Aircel: • Largest service provider in Tamil Nadu, where Trichy is located • Committed to supporting the community • Prefers to partner with NGOs for “a minimum of 3 to 5 years” Gramalaya results: from 2009 Annual Report Aircel information: from aircel.co.in

7. Implementation Timeline Remainder of India 670M Mobile users Karnataka And Andhra Pradesh 100M Mobile users Tamil Nadu 60M Mobile user Pilot in Trichy Bangladesh, Ghana, Kenya Set-up partnership and identify projects July 2012 Partner with Aircel Gramalaya July 2013 July 2014 Jan 2013 Jan 2014Partner with Airtel Mythri and SIDUR Jan 2015Partner with Grameenphone, MTN, and Vodafone DSK, Safe Water Network, and SANA

8. H2mObile Global Brand • Partner with a US mobile provider for brand building • Create continued awareness of the water & sanitation crisis • If 0.5% of Sprint’s subscriber base donates $0.50 a month, H2mObile.com can raise $1.5m dollars annually H2mObile

9. Reaching 100 million people

10. Challenges • Getting government approval & support for projects • Local partners have experience with government • Convincing mobile service providers to partner • Opportunity to expand user base • Opportunity to earn interest • Marketing H2mObile • Shop owners incentivized to sell H2mObile • Philanthropic money from US branding can be used for marketing $60 million in interest in India over 5 years, based on 6% yield for 91-day Treasury Bills

11. H2mObile Impact • Brings water & sanitation to 25 million people • Will have an economic benefit of $1 – 8 billion • Could save the lives of 40,000 children annually • Brings the world closer to WHO’s vision of achieving universal access to clean water and sanitation “Water and sanitation are the most basic building blocks of human life and dignity. Without them, people will forever struggle to move forward with their lives.” - Gary White Impacts based on WHO statistics Gary White quoted in Time Magazine, 4/21/2011

12. Thank youQ & A H2mObile

13. Aircel CSR Corporate Responsibility Policy At Aircel, we continually pursue healthy corporate citizenship. Our aim is not to merely discharge social responsibility, but conduct business in a manner which reinstates respect for people, communities and the environment.We emphasize on an inclusive work culture to appreciate differences and believe engagement with our employees is quintessential for an effective CSR plan. We share adequate information on the organization’s vision and CSR initiatives, because it promises healthy operations and subsequently adds to the overall quality of life. This motivates the employees and their family members to contribute to society.Aircel maintains integrity and respect in its interactions with its stakeholders, customers, retailers, investors, NGO partners and the government. We are careful in not partnering with any PR / communication that induces distrust in the sincerity of our efforts. Our stringent belief in delighting customers with good products and services helps build a strong relationship.Aircel is always proactive in supporting NGOs and NPOs. We extend all possible assistance to their projects for a minimum of 3 to 5 years and thereafter support new projects. Besides, we aim at continual involvement with our business partners and the government for economic and social development of the underprivileged.Aircel engages external audit agencies to guarantee authenticity, and maintains and monitors an external profile of the CSR activities which are shared with the stakeholders in the annual reports and websites.We incorporate the CSR policies in our core business to ensure ethical business practices in all the functions to harness a healthy society. CSR contacts: Ms. Malik, and Ms. Malhotra, contacted April 2011

14. Mobile Phones vs. Water & Sanitation Access • India’s population: 1.21 billion • Over 700 million people have mobile phones • Only 375 million people have access to proper sanitation • Even if every person with a mobile phone had access to sanitation, 325 million phone subscribers remain who do not have access to improved sanitation Population: 2011 Indian Census, http://censusindia.gov.in Phones: Telecom Regulatory Authority of India, http://trai.gov.in, from press release on February 20, 2011 Sanitation: UN, http://mdgs.un.org/

15. Mobile Phone Spending • “In urban areas poor people spend more on the cell phone when compared to the rural population. This could be to the extent of Rs. 300-400/month.”1 • “[Suresh] Pache bought his first phone for 1,400 rupees ($31) four months ago … [service] cost[s] him a total of 300 rupees ($6.70) a month.”2 • Saligelapeta Sivakumar, interview conducted April 9, 2011 • EarthScan TV article on November 1, 2010, http://www.earthscantv.us/articles/india-land-of-many-cell-phones-fewer-toilets.html

16. People Willing to Pay Premiums • 54% of people in the US would pay more for a product that supports their cause1 • 20% of people in Europe would pay more for a product that supports their cause2 • In Bangladesh “[People] will adopt [a product] which has involvement with cause related marketing”3 • In Bangladesh “in order to support a cause related marketing program [customers are willing to] incur additional costs”3 • In Bangladesh “people prefer to support local causes than international one”3 • http://www.psaresearch.com/bib4305.html • http://selfishgiving.com/cause-marketing-news/cone-study-local-nonprofits-now-time-for-cause-marketing • Cause Related Marketing and Its Impact on the Purchasing Behavior of the Customers of Bangladesh: An Empirical Study, http://orp.aiub.edu/FileZone/OtherFiles/orpadmin-8589994132766750808/AIUB-BUS-ECON-2008-05.pdf

17. Individual Project Costs