2006 Development Marketplace Global Competition Innovations in Water, Sanitation and Energy Services for Poor People OFFICIAL PROPOSAL FORM
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1 OFFICIAL PROPOSAL FORM Introduction: The 2006 Development Marketplace Competition Proposal Form is divided into the following six sections: Project Team Leader Contact Info, Project Profile, Primary Partner, Project Details, Project Costs, and Additional Info. All questions marked with an asterisk (*) denotes mandatory information that must be answered. Please note that a number of questions have word count limits which will be strictly enforced. If your answer exceeds the given word count, the DM Team reserves the right to cut it off at the word count limit. 1. Project Team Leader Contact Info * Name (Last, First): Baruda, Anton Position at Organization: Director *Organization: Sustainable Growth International Unit Within Organization: Eastern Regional Team *Organization Type (Please Select): Academia Development Agency (Bilateral or Multilateral) Foundation Government Non-Governmental Organization (NGO) Private Business Individual *Primary Address: anton.baruda@sgi-intl.org Secondary Address: abaruda242@developnetwork.com Organization Website: *Telephone: Fax: *Address: 191 Lanham Crescent, Floor 12 *City: Silvestri *State/Province: Stadtland *Country: Paisterre Postal Code: *Date Established: March 25, 1987 *Describe Your Organization (word limit 50): Sustainable Growth International (SGI) is a non-profit development organization promoting sustainable, enterprise-oriented solutions to problems facing small-scale farmers and entrepreneurs in the developing world. SGI has a locally registered office in Silvestra (SGI/Paisterre, opened in 2002), where it is currently implementing irrigation and improved charcoal stove programs. DM2006 Official Proposal Form Page 1
2 2. Project Profile *Title of Project Proposal: Power to the Poor in Paisterre *Region of Implementation (Please Select One): Africa East Asia and the Pacific Europe and Central Asia Latin America and the Caribbean Middle East and North Africa Multi-regions South Asia *Sector (Please Select One): Water Supply Sanitation Energy *Country of Implementation: Paisterre *Sub-theme (Please Select One): Service Delivery: Sustainable delivery of water supply, sanitation, and/or energy services to poor households. Environment: Renewable energy, clean energy technologies, energy efficiency, and/or environmentally sustainable sanitation solutions to poor households and small enterprises. Health: Protecting health from environmental risk factors (indoor air pollution, contaminated drinking water, unsafe sanitation) including innovative programs for hygiene promotion and behavioral change. Natural resources: Sustainable management of natural resources (land, water, forests) specifically for the provision of water supply, sanitation and energy to the poor. *Project Duration Using DM funds 18 (in number of months only): DM2006 Official Proposal Form Page 2
3 3. Primary Partner *Partner Contact Name (Last, First): Olongo, Grace Partner Contact Title: Environmental Specialist *Partner Organization: Paisterre Citizens Organization *Classify Partner Organization (Please Select): Academia Development Agency (Bilateral or Multilateral) Foundation Government Non Governmental Organization (NGO) Private Business Individual *Partner Primary Address: Partner Secondary Address: Partner Website: *Partner Telephone: Partner Fax: *Partner Address: 49 Calleweg Road *Partner City: Trivandra *Partner State: Mesania *Partner Country: Paisterre Partner Postal Code: *Date Partner Organization Established: November 24, 1983 *Duration of Partnership: Pre-existing; ( Number of Months: 48) New *Describe Partner s Responsibilities (word limit 50): Paisterre Citizens Organization has extensive experience with stand-alone renewable energy projects in Paisterre. They will assist with selection of pilot sites and the education campaign to maximize sustainability and benefits to users. The group also has strong links with other renewable energy organizations and the energy unit of the Paisterrian government. DM2006 Official Proposal Form Page 3
4 4. Project Details *Question 1. Objective: What is/are the specific problem(s) that you are trying to solve and why is it important (include estimated number of people currently affected by the problem in the project area)? (100 words) A stark difference exists between a village with electricity and one without. Villages with electricity can enter the information age: schools can have computers, private internet cafés can open, and people can watch the local news. By contrast, villages without electricity tend to be extremely isolated: radios are quiet, conserving batteries, and at night children try to read by candlelight. Entrepreneurs, artisans and traders move to where the electrical power (and money) is, further marginalizing the village. Many of these villages are too far from the power grid to have a chance at obtaining any power in the near future. *Question 2. Idea: What is your idea to address the problem(s) described above? (100 words) This project plans to establish electricity generation from wind by halving the capital cost of wind generators, as well as increase their availability and maintenance by training local manufacturers to construct robust machines using readily available materials. These units will become as well-known, affordable, and appropriate as other successfully transferred and locally made income-generating equipment, such as: brick presses, water pumps, flour mills, welding machines, and bread ovens. The project will also increase employment and income for the trained manufacturers. *Question 3. Implementation: How will you implement your idea? Describe the activities your project will undertake to realize its objective(s). (150 words) The project will target existing businesses or well-run private organizations in isolated communities. Basic business plans will be developed to determine which groups can best benefit from an electricity service. Ten early adopters will be chosen and their premises fitted with imported wind-power units to demonstrate the feasibility of wind-generated electricity. While these units are being monitored for their impact, two local manufacturers will be trained to construct lower-cost units. After six months, if the user is convinced of the benefits of wind-generated electricity for their business, the unit will be offered for sale from the trained manufacturer, or, after providing assistance in drawing up a business plan and repayment schedule, on credit through the United Nations Environment Programme. After proving the viability of the concept with this pilot project, SGI will seek funding for a larger-scale project aimed at marketing the new Paisterrian-made wind generators. *Question 4. Innovation: How is your idea truly innovative or unique? Describe the extent to which it uses a novel approach. (150 words) Note: The DM is especially interested in a variety of innovations, such as affordable technologies, application of advanced technologies for the poor, institutional arrangements and partnerships that address constraints to service delivery, innovative contracting instruments, innovative use of technology for capacity building and training, new financing mechanisms, people-centered approaches to service delivery, and encouragement of behavioral change. The necessary conditions for the promotion of small-scale wind powered electricity generation including sufficient wind, skilled workshops and an unmet demand for electricity in rural areas exist in Paisterre, but they have not been linked together and addressed with a sustainable, enterprise-based development approach. This project will bring the technical and promotional expertise of SGI/Paisterre to develop a local solution for a local problem. There are three primary innovations: introduction of proven small scale wind turbines to a new country, creation of local manufacturing and installation capacity and private sector marketing to ensure sustainability. *Question 5. Outcomes/Results: What are the expected outcomes/results of your project? Whom will it benefit? How will you measure the impact of these outcomes/results? (150 words) Note: Outcomes are the desired result or effect that the project hopes to achieve. For example, the outcome of a project that aims to improve water supply and/or energy services could be the sustainable provision of safe drinking water and/or cooking fuels to X people, of which Y are poor, as well as to Z are small enterprises. DM2006 Official Proposal Form Page 4
5 Ten businesses in five different villages with significantly increased income from improved service provision; surveys will measure increased business volume showing that customers are purchasing more goods or services from these businesses; the benefits of electricity should be clear enough for at least eight of these beneficiaries to have made investments in the locally made generators. Two manufacturers able to supply good quality, affordable wind powered generators suited to the needs of isolated rural communities. A further ten customers purchasing units from these manufacturers by the end of the pilot project. A report detailing any other indirect impact on the community and lessons for further interventions. Non-quantifiable benefits to the community will also been seen due to the significantly lower cost per lumen for lighting and the lower cost for use of radio or television. This will improve the social environment in the communities. *Question 6. Financial Viability: How will your project continue beyond the phase funded by Development Marketplace? Describe the project/organization s projected expenses and revenue/income stream (from grant and non-grant resources such as user fees, sales revenues, community contributions, etc.) over the next 3 to 5 years. If relevant, provide an estimate of when you expect to cover your operational costs through revenues. (200 words) SGI is committed to establishing sustainable supply chains for technology transfer by training local manufactures and assisting them to promote technologies at a price that ensures a profit for them and a benefit for the end-user. It takes 3-5 years and intensive publicity and promotion to establish a critical mass of demand. In a one-year pilot project the groundwork will be laid, although sustainability through the private sector cannot be guaranteed. The objective of this pilot is to demonstrate that locally manufactured wind turbines can be an economical solution for electrical power generation in rural Paisterre. A successful pilot puts SGI in a good position to source further funding. The head of our primary partner organization is also the head of the Renewable Energy Team within the Paisterre Ministry of Energy. This project will raise awareness within the ministry that affordable renewable energy devices can be successfully manufactured locally. *Question 7. Sustainability: Describe any major challenges that your project/organization faces and how you will overcome them. Describe the extent to which your project has local participation/support. If relevant, describe the extent to which your project addresses environmental problems or generates environmental benefits. (200 words) The biggest challenge to the success of this project is convincing end users of the financial benefits of the new turbines. Fortunately, SGI has extensive experience working with citizens in Paisterre on multiple projects for over than a decade. We have also have a long history of partnering with local businesses and NGOs for capacity building and technology transfer. We are also able to draw on our SGI affiliates in other regions to leverage their technical expertise. This project also addresses the need for environmentally sound power generation. The SGI wind turbines are nonpolluting, quiet and have minimal impact on the landscape. This technology will replace often antiquated, highly polluting generators and can reduce dependency on expensive kerosene and diesel fuel for lighting and electricity. *Question 8. Replicability and Scaling-Up: What is the possibility of implementing your idea/project elsewhere (in a different region/country)? What is the potential for this idea to be expanded/applied on a large scale? Be specific on opportunities and constraints, and define the scale that the project could achieve in the short to medium-term timeframe under favorable circumstances? (150 words) This project uses a very successful implementation method that SGI has developed over the last 15 years by creating local capacity to solve local problems. Small-scale wind generators have the potential to be replicated in other areas in Paisterre as well as in other countries where rural enterprises are located far from the power grid. As with other income-generating equipment, cross-border sales to other neighboring countries are expected. If regional demand proves to be high, training of manufacturers in those areas can be undertaken by Paisterrian artisans trained during this project. The necessary skills for manufacturing the wind turbines are found in many countries and should not be a constraint to further replication. With training and promotional efforts this technology can provide clean renewable energy for thousands of rural businesses and households. DM2006 Official Proposal Form Page 5
6 5. Project Costs Instructions: a) UNITS ARE IN US DOLLARS (US$). b) Applicable taxes, if any, should be included as part of your budget. c) "Total Personnel Costs" should include overall cost of wages, salaries, and benefits associated with the project. d) "Materials and Equipment", "Training", and "Travel" refer to any expenses in these categories needed to achieve project objectives. e) "Other" expenses must be explained in text box below. f) Evaluation/ Information Dissemination should include the costs of assessing the impact of the project and to share that information with the development community. g) "General Administration/ Overhead" should not exceed 10% of Total Project Expenses. h) "Other funding sources" refers to contributors other than Development Marketplace. If applicable, please explain in notes section. i) Funding requested from the Development Marketplace is to be calculated by subtracting "Other Donor Funding" from the "Total Project Expenses". Your requested amount can not exceed the maximum award amount of US$200,000. j) "Estimated Project Revenues" refers to any income-generation expected during project period and should also be described in the notes section. k) Any in-kind contributions should be described in notes section *Expenses *Amount (US$) 1. Personnel Materials and Equipment Training Travel Evaluation/ Information Dissemination General Administration/Overhead Other Expenses (Explain below) TOTAL EXPENSES Other Funding Sources Total DM Funding Requested Estimated Project Revenues, if applicable If applicable, please describe Other Expenses" (25 words) : Other expenses includes share of office rental (25% of actual cost), communications (12 months x $200), 2 mobile phones at $170 each and utilities (12 months x $75). Please enter comments/explanations regarding project costs (50 words): The team has already received a US$ grant to support this effort from the Nordish Development Agency. These funds will reduce the amount of support needed from DM. DM2006 Official Proposal Form Page 6
7 6. Additional Information *Have you ever received a grant from any World Bank or GEF grant program for this project idea? If yes, please list grant program: How did you learn about the Development Marketplace 2006 Global Competition? Website World Bank Newsletter Other Newsletter Local World Bank Office Local Newspaper Radio Word of Mouth Other Yes No DM2006 Official Proposal Form Page 7
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