commercial productive use of faecal sludge in bengaluru

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Commercial Re-use in Bengaluru Elisabeth Kvarnström, Joep Verhagen, Vishwanath, Karan Singh, and Subha Ramachandran

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Waste is a resource in the wrong place. People who have no sewer connection do go to the toilet though urban authorities seem to think differently given the neglect of the multitude of sanitation self-service models that have emerged in many cities. During a webinar, which was organised on 2 May 2012, Joep Verhagen of the IRC International Water and Sanitation Centre presented the results of a case study, which investigates a model that is based on the productive use of faecal sludge by farmers in and around Bengaluru (Bangalore), the capital of the Indian state of Karnataka. This particular service has emerged without any technical or financial support.

TRANSCRIPT

Page 1: Commercial productive use of faecal sludge in Bengaluru

Commercial Re-use in BengaluruElisabeth Kvarnström, Joep Verhagen, Vishwanath, Karan

Singh, and Subha Ramachandran

Page 2: Commercial productive use of faecal sludge in Bengaluru

Presentation Title2

Sanitation Service in Bengaluru

- 36.7% of properties connected to sewerage network

- 55% of the waste water gets treated

- STPs work at one of third of their capacity

Page 3: Commercial productive use of faecal sludge in Bengaluru

Presentation Title3

What about the remaining 60% of the population?

Page 4: Commercial productive use of faecal sludge in Bengaluru

Presentation Title4

“Waste is a resource in the wrong place”

Mahatma Gandhi

Page 5: Commercial productive use of faecal sludge in Bengaluru

Farmers know this for a very long time

Policy makers, administrators, sanitation specialists don’t

Page 6: Commercial productive use of faecal sludge in Bengaluru

Customer Relations

Distribution/Marketing Channels

Customers

Costs Revenue Model

Key Partners

Key Actvities

Key Resources

Customer Value Proposion

Figure Business model building blocks (Osterwalder, A. and Pigneur, Y. (2010)

A new topic, a bit sensitive, small explorative case study that brought more questions than answers

Page 7: Commercial productive use of faecal sludge in Bengaluru

Two Markets

Presentation Title7

Primary Market Secondary Market

Page 8: Commercial productive use of faecal sludge in Bengaluru

Originally 9 building block

Customer value

proposition

Key resources

Key activities

Costs Revenue model

Customer relations

Customers

Distribution/Marketing

channel

Key partners

Page 9: Commercial productive use of faecal sludge in Bengaluru

Business Model Structure

Customer value

proposition

Key resources

Key activities

Costs Revenue model

Customer relations

Customers

Distribution/Marketing

channel

Households

Farmers

Enabling on-site sanitation for customers

Providing nutrients to agriculture at low cost

E&E

Trucks, drivers, networks and networks?

Provide services at when needed and doing a neat job

More long-term business relation, trust

Person-to-person

Cell phones

• Profitable but varying profitability

• Cost for legal dumping => revenue for emptying on farmland

Page 10: Commercial productive use of faecal sludge in Bengaluru

Some key findings

• Over 100,000 houses are estimated to be currently served.

Households pay between INR 800 and 1,400 for emptying

• The honey suckers run a mostly small and profitable but somewhat

illegal business.

• Farmers save costs (€ 130 and 3,000 annually), their crops are fine

and consumers don’t know.

• One farmer started selling dried sludge to other famers.

• The practice is not safe but risks depend on the kind of crop, the

time the sludge is left in the crop, and the way it is applied.

Presentation Title10

Page 11: Commercial productive use of faecal sludge in Bengaluru

Custom

er

deman

d

Business Model

Legal environment

Institutionalenvironment

Technology and environment

Page 12: Commercial productive use of faecal sludge in Bengaluru

The regulatory framework

• Somehow it has escaped policy makers that people do not stop

using a toilet if they don’t have a sewerage network.

• The framework is weak and unclear and not enforced unless it

happens to suit someone’s interest.

• Dumping is not allowed but still happens.

• Current practices will continue and grow but economies of scale are

hampered.

Page 13: Commercial productive use of faecal sludge in Bengaluru

Thank you

Credits• Pictures by Vishwanath• Data collection by Vishwanath, Karan Singh, and Subha Ramachandran• Research design, case study by Elisabeth Kvarnström, Math Nilsson and

Joep Verhagen• Financial support: IRC and IWMI

Presentation Title13