this is a proposal how a developing nations rural poor might make money… the world donates $300...
TRANSCRIPT
This is a proposal how a developing nation’s
rural poor might make money…
The world donates $300 billion every year…
…yet there are 1 billion people living on a $1 dollar per day…
It would be more efficient to mail $300 to each person every year to double their income to $2 per day than use the world’s existing aid system to lift
people out of poverty.
A poor person’s greatest need is a way to make money…
Household Electrification
Clean Water
Electricity for small business activity
Rural Development Aid can supply…
but a rurally produced diesel fuel replacement is the missing piece in the aid puzzle that can
energize rural communities and provide income generation opportunities for the rural
poor trapped in the poverty cycle…
The M.F.R.F.P.Multi Functional
Rural Fuel Platform brings…..
…plus brings electricity and clean water to their communities …
…a way for rural populations to earn money producing diesel fuel…
Renewable Diesel Fuel
Multi Functional Platforms - MFP
Multi Functional Platforms (MFP’s) are used very successfully in countries like Mali as part of rural poverty alleviation programs.
The Multi Functional Rural Fuel Platform - MFRFP
Adding a rural fuel production capability to other typical Multi Functional Platform sub-systems creates the Multi Functional Rural Fuel Platform (MFRFP)…
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The Rural Poverty Trap
This dependence on biomass energy in rural areas has led to women dedicating long hours to wood and water gathering activities, ensnaring
them and their families in the rural poverty trap...
Biomass energy like wood, dung etc. accounts for on average 75% of the total energy consumption in developing regions...
…use vegetable oil to power a diesel engine and sell rural
fuel for cash…
Local villagers collect oil seeds instead of
firewood and water…
…use diesel power for electricity
generation to charge LED
lanterns
and run the water maker.
…process vegetable oil seeds into a diesel fuel…
Vegetable Oil can break the Trap?
Vegetable Vegetable OilOil
is a clean burning, renewable substitute for petroleum based
Diesel Fuel…
…2. or you can modify the vegetable oil to reduce it’s viscosity through a
chemical conversion process called Transestrification and produce
Biodiesel…
1. You can use a conversion kit to modify a vehicle and reduce a
vegetable oil’s viscosity on-board using engine heat…these are
commonly known as SVO kits.
How can vegetable oil replace diesel fuel?
Straight Vegetable Oil (SVO)
SVO is an acronym for “Straight Vegetable Oil” when used as a diesel fuel substitute.
Suitable oils are commonly found vegetable oils like soy, sunflower & canola…
Current Biodiesel Technology
Home Brew Refinery Containerized Refinery Industrial Scale Refinery
• You have to get the Methanol to the refinery. • Biodiesel is a different product from diesel fuel.
Small ↔ Large
The Challenges of a Biodiesel refinery in a remote location:
The Rural Fuel Reactor
The reactor does not need Methanol and is capable of refining vegetable oil into
diesel fuel …
…this is not Biodiesel but Renewable Diesel.
This renewable diesel fuel meets all the existing
specification for petroleum derived diesel fuel – D975.
Petroleum Diesel Biodiesel Renewable Diesel
We call it Biodiesel “2.0”
The Rural Fuel Reactor produces a diesel fuel replacement with very similar properties to existing petroleum diesel fuel produced from fossil derived crude oil.
Producing a vegetable oil derived diesel fuel replacement that is ready to use in any diesel engine overcomes the need to convert the vehicle to Straight Vegetable Oil
(SVO).
This kind of diesel fuel production technology overcomes the practical issues that plague making biodiesel using transesterification...
…and could be the missing piece of the aid puzzle.
TheM.F.R.F.P.Platform
The Multi Functional Rural Fuel Platform enables
poor, rural farmers to free themselves from the poverty trap by using
vegetable oil seed crops to energize their
communities…
Water pump for irrigation
Components of a Multi Functional Rural Fuel Platform (MFRFP)
Oil Seed Processor
Skywater water maker
Electric generator for lighting
Rural Fuel Processor
Diesel Engine
Flour Mill
MFRFP’s Oil Seed Processing
The prototype MFRFP uses an seed expeller combined with a… …C.S. Bell Flour Mill
The Lister Engine produces 24 hp at full power. Fuel consumption is 0.25 gallons per hour at 6 hp power output and 0.5 gallons per hour at full power.
Our Lister Engine runs on SVO…
MFRFP Diesel Engine Power The Lister Engine is one of the most
commonly used engines in developing countries and has proven to be extremely reliable in the field...
…The MFRFP uses Old Style Lister’s version which claims 100,000+ hours of 24/7 continuous operation which is 10+ years without the need for anything
more than routine maintenance.
The field units will in all likelihood use a regular 12 volt vehicle alternator as these are readily available pretty much anywhere in the world.
MFRFP Electricity Generation
The generator is connected to a series of outlets, 12, 120 and 220 volt. We can run most of our equipment in our shop from this unit so we gain a lot of experience being off
the grid ourselves…
The prototype MFRFP uses a
10KVA generator…
Rechargeable LED lanterns can be used in community households, brought to be recharged in a “Sandal” grid network and recharged daily using the MFRFP’s generator…
“Sandal Grid” Community Lighting
…an electric LED lantern can replace and provide more light than 3 kerosene lanterns...
…a small business opportunity is created collecting and recharging the community's electric lanterns daily.
Platform Drives a Water Pump
The Prototype MFRFP is fitted with a 120 gallon per minute water pump…
…for irrigation…
MFRFP makes water from the air
Clean water is critical to any development effort that seeks to improve the lives of poor,
rural communities…
The MFRFP Platform is design to use a Skywater system coupled to a series of filters to produce good quality, drinking water without the
need for a well…
MFRFP drives a Tool Grinder
… a stone grinding wheel can easily be connected to a power takeoff shaft on the MFRFP…
Manual grind stones require tremendous physical labor and don’t
do the most efficient job…
What does the MFRFP look like?
How does a community purchase a Multi Functional Rural Fuel Platform?
We wish to create a micro bond finance system for
financing community level MFRFP infrastructure…
Proceeds from the sales of carbon credits are used to pay off the purchase costs of the MFRFP equipment and fuel
sales provide cash to all those individuals in the community providing services and products to the MFRFP enterprise...
similar toMuhammad Yunus’s
microfinance model…and supplemented with carbon
credits…
The Economics of a Platform8 Gallon per hour Multi Functional Rural Fuel Platform - Business Model in Africa
Income StreamCrude Oil Input 70,080 Gallons Per YearDiesel Production Level 49,056 Gallons Per Year 192 Gals per day 8 gallons per hourPrice Per Gallon $196,224 $4.00 per gallon 365 Working Days in a yearMeal Cake $0 $0.000 per ib 3,504,000 Ibs per year 9600 Ibs per dayTotal Income $196,224 Per Year 400 Ibs per hour 8 Scale up
70% Reactor EfficiencyVariable Costs / YearPlant Operator $2,044 $0.70 per hour 8 hours per dayMFRFP Royalty $4,906 $0.10 per gallonCapital Repayment $30,000 5 Year Loan TermsFinance Costs $15,000 10% Libor +2 5 year Loan TermsService Contract $2,500Total Variable Cost $54,450 Per Year
Gross Margin / Year $141,774 Per Year
Total Acreage 350 200 Jatropha estimatedgallons per acre
Equipment CostsTotal Capital Costs $150,000
MFRFP’s Carbon Accounting
22 * lbs of carbon dioxide per gallon of diesel50,000 Gallons of carbon diesel displaced per year
1,110,000 Total lbs of carbon dioxide displaced per year503 Total tons of carbon dioxide displaced per year$30 Price per metric ton of carbon dioxide
$15,105 Carbon credits per year per Platform$151,048 Carbon credits over 10 years
*CO2 emissions from a gallon of diesel = 2,778 grams x 0.99 x (44/12) = 10,084 grams = 10.1 kg/gallon = 22.2 pounds/gallon
Cash from fuel sales funds the vegetable
oil uplift system
Cash from Carbon Credits funds the purchase of the
MFRFP equipment
By picking oil seeds instead of collecting firewood and water everyday, poor rural people have the opportunity to triple their income.
$1 per day or $365 per year to
$3 per day or $1,095 per year.
In Rwanda, 40,000 unskilled people could hand pick enough oil seeds to replace 50% or 20 million gallons of the country’s imported diesel fuel using
400 MFRFP Platforms…
220,000 acres of vegetable oil plantation or 4% of Rwanda’s 26,798 sq km of total land area would produce this much vegetable oil…
National Economic Implications
1st Deployment - 2010
…Install 1st Platform in Rwanda in 2010 ???
Possible Rwanda Center of Excellence in partnership with Tom Ritchie’s NGO
NGO has already kicked off oil seed cultivation…
Sell Carbon Offset Credits for Reactors
Partner with NGO’s
NGO’s Roll out Reactors
with 1st Year’s Supply of Oil Seeds
Produce Renewable Diesel
Communities Develop Oil Seed
Cultivation in their Immediate Area
African Deployment Schedule
Set up Rwanda Center of Excellencein partnership with Tom Ritchie’s NGO
2011 - Deploy2010 – Set Up
Install 1st Reactor in Rwanda
NGO Kick off Oil Seed Cultivation
…roll out Carbon Credit program and MFRFP equipment into rural communities…
Capital and personnel are needed to establish a Vegetable Oil Uplift System Center of Excellence in the region…
R&D Effort needed to investigate crop availability and suitability for area in need of Economic Development…
What are the first steps establishing an MFRFP program?
Thank you for your time.
If you have any questions, please feel free to contact:Peter Bell at: 972-948-8355 [email protected]
http://www.mfrfp.com