Building a sustainable energy future for india
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Building a Sustainable Energy Future for India. Successful Business Models in Energy Sector: IDEI’s Innovative Approach IDEI 8 - 9 February 2010. About IDEI. Vision IDEI is a social enterprise committed to providing long term solutions to poverty, hunger and malnutrition. Context.

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Building a Sustainable Energy Future for India

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Building a sustainable energy future for india

Building a Sustainable Energy Future for India

Successful Business Models in Energy Sector:

IDEI’s Innovative Approach

IDEI

8 - 9 February 2010


About idei

About IDEI

Vision

IDEI is a social enterprise committed to providing

long term solutions to poverty, hunger and

malnutrition.


Context

Context

  • India: 433 million rural poor living under US$2 a day, agriculture dependent, limited access to irrigation water

  • Diesel pumps used widely. Expensive and encourages environmental damages

  • Little investment in technology which can help smallholder farmers

  • Unable to irrigate  migrate in search of work  leave land fallow

  • Solution by IDEI: treadle pump


Identifying potential

Identifying Potential


Building a sustainable energy future for india

  • Social and Economic Benefits

  • Cropping cycle increased from one to two or three per year.

  • Crop variety increased bringing more income Additionally, families with improved diet

  • Increased income also spent on school-going children

  • Convenient. In the words of a user:

  • ‘Difference between public transport and owning a bicycle’


Building a sustainable energy future for india

Emission Reduction

The treadle pump has saved over 550 million litres of diesel and led to carbon reduction of 1.5 milliontonnes of CO2eq


Building a sustainable energy future for india

Employment Generated

Million work days

Monetised Value in USD Million

On farm

433

541

Installation

0.61

1.06

Total supply chain =2.5

Manufacturing

0.43

1.09

Retailing

0.13

0.23


Idei s facilitation

Central Co-ordination Office

Strategy, Resource Raising, Monitoring

QA support, Production and Promotional & Sales Plan

Regional Office

Regional Sales & Promotional Plan

Area Manager

Area Office

Manufacturer

Operational Area Sales & Promotional Plan

Business Associates

Distributor

Market Creation

(Supply chain creation & co-ordination)

Dealer

Promotional Campaigns

End User: Farmer

Training & Installation

Physical Flow of goods

Feedback & Knowledge flow

IDEI’s Facilitation

Village Based Mechanics


Building a sustainable energy future for india

Promotions

KrishakBandhu (KB), means farmers friend, is IDEI’s brand

Supply Chain Partners: At a glance

Manufacturers: 30

Dealers and Distributors: 1,800

Village Based Mechanics: 2,200

KB Branded Stalls

KB Branded Video Van

Wall Painting

Rickshaw Campaign


Building a sustainable energy future for india

Quality Assurance

Punch Plate

Punch Plate

  • Manufacturer

  • State

  • Model of the pump


Building a sustainable energy future for india

Quality Assurance


Investments

Investments

Private Investments:

  • Manufacturers

    Production FacilitiesInventory

    Working Capital

  • Dealers

    InventoryCredit

    Spare parts

    Public Investments:

    Dovetailing on government projects such as million wells and tube wells scheme


Finance for the farmers

Finance for the farmers

Challenge to facilitate financial linkages:

  • Agriculture considered a risky investment – not insured

  • Sub Rs 2,000 loans

  • Repayment schedules not in sync with cash flows from crops


Scaling up a constant challenge

Scaling up: A Constant Challenge

  • Financial support : Research & Development and Market Creation

  • Public Funding: Skewed towards large irrigation projects and communal in nature

  • Credit: Lacking accessibility to supply chain members and end users


Future plans

Future Plans

  • Harnessing natural resources with solar and wind power treadle pump

  • Expanding from 2% to 10% villages pan-India

  • Nano Credit: end user financing


Building a sustainable energy future for india

“I believe in the essential unity of man and for that matter of all that lives”: Mahatma Gandhi

Thank you for listening


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