SURYOPAHAR

Energy solutions for a better life

Team comprising of:

K. J. SOMAIYA INSTITUTE OF MANAGEMENT STUDIES & RESEARCH, Mumbai, India Ashwath Bereke Gautam Jaju Guruprasad Padmanabhan Jaya Longani Swapna Mukherjee

ACKNOWLEDGEMENTS

The entire Suryopahar team would like to thank all the below members without whose support our business plan could not have been complete. Our mentors Prof. Radha Iyer, Prof. Archana Patankar, Prof. Rekha Rau, Prof. K.S. Ranjini (SIMSR) for their continued support throughout the process The ACARA Institute especially Mr. Fred Rose and Ms. Sri Ganti Mr. Yavalkar, Scientist at Marathi Vigyan Parishad Mr. Pradeep Lokhande of Rural Relations in helping us connect to the village, Bhivri Mr. Tyagarajan of Vinimay Trust Mr. Ravi Gudi, Professor- IITB Ms. Ira Jhangiani, Independent Consultant on Design thinking Mr. Ajay Chandak, CEO of PRINCE Mr. Radha Krishna Das, Managing Program Director of ISKCON Food Relief Foundation The entire Cornell team Rupal Naidu for helping us connect with the community K. J. Somaiya Institute for giving us the opportunity to participate in the ACARA challenge

TABLE OF CONTENTS
Executive Summary Background The Concept and Potential Business Opportunity Benefits of using a solar cooker Research Findings Business model Implementation Plan Business operational Structure Financials Competition Risks Our vision Page 1 Page 2 Page 3 Page 4 Page 4 Page 5 Page 7 Page 8 Page 9 Page 9 Page 9 Page 10

Appendix A: Solar Cooker Construction Methodology Appendix B: Research Questionnaire Appendix C: Social Return on Investment Appendix D: Factors promoting the use of solar cooker Appendix E: Detailed Projected Financials Appendix F: The Somaiya Team members profiles Appendix G: References

Page 11 Page 13 Page 14 Page 16 Page 16 Page 20 Page 20

ii

EXECUTIVE SUMMARY

Throughout the history of mankind, the sun has been of paramount importance. It is a gigantic source of energy, which sparked, nurtured and has been sustaining life on earth. Hence, various civilizations like the Aztec, Chinese, Indian, etc considered the Sun as a God. Though modern astronomers have proved that the Sun is just one of the millions of stars in the universe, its significance has not diminished. We need to find ways to effectively utilize its energy in order to successfully combat the energy crises that our planet is bound to face. One such way is to use it as a means to cook food by using solar cookers. Solar cooker complements traditional cooking using gas/LPG, it cannot completely replace the existing forms of cooking. The study of the project started with getting technical assistance from experts of clean technology. We attended courses on Design Thinking, and Biofuels along with other clean energy generation methodologies. We visited communities in Mumbai and Pune to understand the level of disposable income and their perceptions for clean energy for cooking. After evaluating different options and communities, we chose solar cooker as a means of clean energy for cooking. The Somaiya team then underwent training on the assembly of Solar Cooker. All the above helped us in getting the necessary inputs in further pursuing our idea. We intend to bring down the imaginary gap between the solar cooker technology and the rural poor. Our value addition would be in terms of the ways employed to take this technology into the poorer households, make them realise the benefits of using solar cooker, and provide employment to the rural villagers. We make solar cookers affordable by making the villagers assemble the solar cookers. Usage of solar cookers will bring down the cost incurred in alternate fuels for cooking and meet the long-term demand of energy for cooking of the present and future generations. We have initiated relationships with our supply chain partners. The training of the rural villagers will happen in PRINCE (Promoters and Researchers In Non-Conventional Energy) located in Dhule, Maharasthra. For the first year of operations, our target school has been identified as Prathamik Vidyalaya and the target village as Bhivri both located in Pune, Maharashtra. We wish to target two more schools in Mumbai which is served the mid-day meals by ISKCON.

Page | 1

Our greatest challenge lies in increasing awareness about the benefits of solar cookers among the BOP (Bottom of the Pyramid). We need to make them realise the health related issues from traditional methods of cooking. These health risks are often overlooked or ignored. Many do not even relate the health problems to methods of cooking. One more area that we needed to focus on was to bring the cost of solar cooker further down. Even when the poor have the purchasing power to buy a solar cooker, the one-time cost incurred to buy it and the associated lack of awareness of its long-term benefits leads to the villagers becoming averse to buying them. Hence easy credit options, sponsorships, etc need to be looked at. BACKGROUND Energy Scenario in Rural India: About 70% of the Indians live in rural areas and use animal dung, agricultural waste, fuel wood as fuel for cooking Particulate matter in the Indian rural households is 2000 micro gm/cubic m which is much higher than the permissible 150 micro gm/cubic m. Use of traditional fuel is estimated to cause around 400,000 premature annual deaths due to various respiratory problems.

So, there is an acute necessity of a solution that can tackle the dual issues of deaths due to respiratory problems from using traditional fuels and the need to meet the demand for energy that is not being met by wood, coal, LPG, oil, etc. Page | 2

Availability of Sunlight in India Annual Isolation With about 300 clear sunny days in a year, India's theoretical solar power reception, just on its land area, is about 5 PWh/year (i.e. = 5000 trillion kWh/yr ~ 600 TW). The daily average solar energy incident over India varies from 4 to 7 kWh/m2 with about 2,3003,200 sunshine hours per year, depending upon location. So, there is huge potential is using this energy to meet our goals. Quite disturbingly, the present state of exploitation of solar energy is insignificant in comparison to its estimated potential in the country. Therefore, we adopted the concept of solar cooker as a clean energy for cooking.

THE CONCEPT AND POTENTIAL BUSINESS OPPORTUNITY The tremendous growth in population has led to India facing an intense crisis of resources. The exploitation of mineral resources is threatening forests, nature reserves, and ecology. Seventy percent of the energy resources need to be imported putting constant pressure on the nation to export more or face currency devaluation. The growth in population also fuels the ever increasing demand for food and consequently the need for cooking fuels. The solar cooker concept has been in existence for quite some time. Over this time period, it has continuously improved in terms of effectiveness. But what has still not improved is its awareness. For the segment of people who need it the most, the awareness is almost non-existent. The implementation of solar cookers on a large scale has never really happened. The Solar team of ACARA wanted to tap this opportunity as there is a huge potential business opportunity by targeting the bottom of the pyramid for their energy needs. Most of the State Governments in India have initiated implementing mid-day meal schemes in primary and municipal government schools. With this they wish to cover every underprivileged child belonging to the poorer sections of the society. There is a great opportunity to collaborate with government agencies and making solar cooker a main mode of cooking in India. Communicating the benefits of the solar cooker would enhance usage of solar cookers in the rural community. Hence with proper efforts, the social and economic impact created can be great and with useful collaborations and economies of scale, profits can be generated with cost reduction. The team decided to find out the right target group who could afford to invest in a solar cooker and reap its benefits for a very long time. India lives in villages and many of the rural poor often lose out on even two meals a day. Prima facie it appears that they are incapable of purchasing and using solar cookers and hence dismiss this opportunity forthright. But the team decided to challenge the assumptions and did a lot of ground work to find out the disposable income in the hands of the rural households and also the perception about alternative energy for cooking. The team visited communities in Mumbai and Pune and ultimately found that the problem can be tackled by lowering the cost of a solar cooker by using cheaper alternative materials for construction and not compromising on quality at the same time. All this coupled with easy financing options and awareness raising programs make the cookers affordable and attractive for these families.

Page | 3

BENEFITS OF A SOLAR COOKER Environmental Benefits The fuel source is unlimited and environmental friendly No need to use firewood , dung etc No smoke, cleaner air and environment Slows deforestation (one domestic solar cooker saves 2 full-grown trees per year) Financial Benefits Although the initial investment is high, the cost can be recovered by the communities/households within 8-9 months A typical family of four spends Rs.450 a month on LPG. This can be reduced and a saving of upto Rs.150 a month can be achieved, by cooking one meal per day on a solar cooker Savings for a school or an orphanage or any university that would be implementing the solar cookers would be enormous. The spending on LPG would reduce and the costs of implementing a solar cooker can be recovered through these savings. No maintenance costs and one solar cooker last for 10 years. Social Benefits Reduction in the number of deaths due to traditional fuels Awareness building for children and their parents Creates rural employment and increases self-esteem Health benefits due to availability of clean air and hygienic food Positive influence of creating may more such models RESEARCH FINDINGS

1. ORPHANAGES/ NGOs Vinimay Trust - a 27 year old institution for the youth. These youth are above 18 yrs of age. The hostel capacity is 50-60 boys. Feasibility Constraints Boys carry lunch boxes from hostel to work. So cooking is done before 6.30 am which comprises of both breakfast and lunch. Dinner around 7.30 pm If they purchase a solar cooker worth Rs.50, 000-Rs.60,000, they can use it only on Sundays. So from a cost-benefit analysis, it's not worth the cost. The trust is run by volunteers and donated money. They have no overhead costs as the building itself was donated. It is difficult to raise such huge amounts of money.

Page | 4

2. RURAL VILLAGES Bhivri Village, Pune district 130 Km from Mumbai City. Met 6-7 families and surveyed a school Varying family sizes (6-13 people average in one family) Occupation is Farming mostly sugarcanes Education level Older generation have low level of schooling but the younger generation is more aware and some of them are graduates Income Levels Rs.6, 000 12,000 a month. Income level is dependent on their farming activities Feasibility Constraints Most of the families have LPG, but they use it as standby. Cooking is mainly done using choola (traditional wood based) and kerosene stoves. 1 LPG cylinder lasts for 1-1.5 months and costs them around Rs.320 per month, Kerosene costs around Rs.100 a month. Daily food consists of chapathis or rotis, dal and rice, non vegetarian food During peak seasons, the women folk will be busy in the farms Lack of Awareness about solar cookers Concern of theft 3. SCHOOLS AND HOSTELS Bhivri Village. The School serves Khichdi everyday as part of mid-day meal scheme to students LPG is used to make the food. Khichdi is an Indian food preparation made up of Rice and Dal. It is very easy to prepare. 25Kg Khichdi is prepared daily to serve 200 students Solar cooker seems to be the perfect fit and provide cost savings. They welcomed the idea of using Solar Cookers to make the food and were willing to spread the word about the benefits of using clean energy cooking like Solar cooking among the rest of the village. Feasibility Constraints Initial Investment Approval from concerned authorities BUSINESS MODEL We aim to make the solar cookers economical by using cheaper materials, and not reducing the performance significantly. Keeping this objective in perspective, we took part in a workshop on building a solar cooker by an eminent scientist Mr. Yavalkar, who has been working on various solar cooker designs for the past 18 years. The assembly of the solar cooker from the apparatus is explained in Appendix A. This procedure is easy to replicate. Additionally, it encourages the people to build their own cookers. We can take this concept further, by encouraging them to assemble the cookers as a part time profession and hence generating employment among the poor. Our business model is based on Solar Entrepreneurship. We can employ and provide training to unemployed youth from rural villagers on how to construct solar cookers. The following steps need to be taken for this business model to succeed.

Page | 5

MARKETING Concept Selling 1. Many people havent seen a solar cooker. They need to be shown the product and its working. 2. Education about clean surroundings, hygiene, clean drinking water, etc and then introducing solar cooker as an additional point would help increase acceptability. It has to be build around something that is directly involved in their welfare. A lot of trust issues are to be resorted too. 3. It is not enough to tell them only about solar cooker technology but it is also important to showcase on tangible lines how it is beneficial to them in long run. Some hard experiential evidence is necessary. 4. People would be reluctant to switch unless they are taught and made to realize the harm they do their bodies by not using a cleaner source of cooking 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. Increasing awareness about the product Demonstration in school through plays involving locals Demos in nearby identified influential families/ educated individuals who can propagate the concept Free testing Ease of use/ personnel assistance People can calculate the savings by using the product for a month. Word of mouth: Include few opinion leaders like LIC agents, people who go to cities for livelihood. Taking help from banks and other institutions active in the area to spread the word and financial collaboration called Bachat Gat in Marathi, a local language used in Maharashtra. Involving the corporates which are interested in CSR activities in the area and designing special target programs for propagation Special learning camps / workshops teaching how to operate Demonstration in Melas (fairs) and Haats in villages Propagating the idea as one that generates a source of livelihood Sometimes bringing in personalities with whom they can identify or some actions that develop universal appeal as in case of pulse polio campaign so that everybody believes that it is important and imperative to have cleaner source of energy

OPERATIONS Material Procurement. Assembly of Solar Cookers. Logistics Aspects Transportation of raw materials and finished goods, Storing and warehousing them. Procedure for testing solar equipment Extending free consultation to all social organizations for use of non-conventional energy.

FINANCE The Cost of Constructing a Solar Cooker (Box type) Rs. 1500-1800 to buy the apparatus for solar cooker, and about Rs. 250 for the assembly. Hence, Rs. 1750 2150 for construction of a box-type solar cooker. The Cost of Parabolic cookers - Rs.25, 000. Cooking Capacity 30 to 40 people. Page | 6

Garner support from Institutes like IREDA, the financing arm of MNRE (Ministry of New and Renewable Energy) to facilitate the commercialization and market development of renewable energy. It has emerged as one of the main instruments for promoting development and financing renewable energy technologies and projects. It has been able to tie up funds from leading multilateral agencies, bilateral organizations, and domestic financial institutions for lending to end-users, manufacturers, financial intermediaries, and entrepreneurs predominantly in the private sector Tie up with banks like the Surya Shakti Scheme by Andhra Bank (as Soft Loan scheme for Solar Water Heaters (SWH) and solar cookers under the Interest Subsidy)

REVENUE The revenues will be earned by selling the solar cookers at a price slightly more than the cost of assembly. Hence, the business model will become sustainable and profitable. CRITICAL SUCCESS FACTORS The critical success factors are proper concept selling, promoting the use of solar cookers to the bottom of the pyramid, creating local opinion leaders, proper networking or connecting with the rural people at grass root level and gaining their trust and confidence to build long and fruitful business relationships.

IMPLEMENTATION PLAN Our target segment in Phase 1 would be Orphanages/ NGOs, Schools and Hostels in rural areas (B2B) and in phase 2 the below poverty line households/families of the slums in and around Mumbai (B2C). The target group has to have rice as their staple food as rotis cannot be cooked in solar cookers. Our focus would be first on schools and communities providing mid-deal meals in Mumbai and Pune before moving on to the other states. Page | 7

BUSINESS OPERATIONAL STRUCTURE

Managing Director Marketing & Sales Operations Finance

Managing Director - The managing director has responsibility for the overall management of a company, including the staff, the customers, the budget, the company's assets and all other company resources to make the best use of them and increase the company's profitability. The MD leads the company and develops the corporate culture for the organization. Marketing & Sales The marketing and sales department's goal is to increase the number of interactions between potential customers and company, which includes the sales team using promotional techniques such as advertising, sales promotion, publicity, and public relations, creating new sales channels, sales pitch, opportunity identification, and the closure of the order. Operations: The chief role of the operations department is to assemble the solar cookers as per the sales requirement. A trained Operations manager will impart the solar cooker assembly training to two assistants and will oversee the quality of work done and ensure timely execution. He will also be responsible for procuring raw materials as and when needed, negotiations with vendors, preparing purchase orders, logistics and transportation. Finance: A financial officer is required to handle all the accounts, record expenses, revenues and profits, and prepare income statements and balance sheets for the company.

Rural employees of Bhivri village are sent to PRINCE located in Dhule, Maharashtra for free training of assembly of solar cookers. Ajay Chandak, CEO of PRINCE is open to any kind of collaboration that leads to acceptability of solar cookers by rural masses. Phase-1 begins in the summer of the first year in Prathamik Vidyalaya consisting of 200 students and located in Bhivri Village, Pune. The head of the school has shown willingness to get all the required permission from the government authorities for the implementation of the Solar Cooker. Page | 8

We will also cover two schools catered to by ISKCON. ISKCON in a combined initiative with the Government of Maharashtra provides mid-day meal to more than 200,000 students (as on 28th June 2009). Radha Krishna Das, Managing Program Director of ISKCON, has shown acceptance to incorporate solar cookers to grow their service to more schools. We will spread awareness among people of a target community by conducting public demonstrations in haats (fairs), distributing free testing samples of solar cookers, involving corporate, influence leaders, popular personalities to increase acceptability. Identifying banks and financial institutions that will be willing to finance or provide loans to villagers and developing tie ups with them. After a period of 6 months (of the start of the venture), we wish to start Phase-II. In the first year of operations, we would sell solar cookers to the same village (Bhivri). After overseeing the implementation in the first year of operations, we would select other schools and villages before moving to other states. FINANCIALS

Notes: The break-even will be in 3 years. So, we expect a start-up capital of $ 75, 023.47. COMPETITION The technology of constructing a solar cooker is easily available and can be copied easily. There is a threat of others duplicating the plan. However the market potential is huge. About 70% of Indians live in rural areas and use animal dung, agricultural waste and fuel wood as fuel for cooking. Traditional fuels for cooking are still predominantly used in most of the households. So, we would go for aggressive marketing techniques to change the perception of the rural community towards traditional fuels and alternative forms of clean energies for cooking. RISKS Some shortcomings of a Solar Cooker Solar cookers cannot be used to make chapathis and fries. Time taken to cook food is around 1-2 hours Slums have space constraints. It does work during night time or during rains. It is most effective between 9am 2 pm. Theft of cookers is also an area of concern. Page | 9

ADDRESSING RISKS 1) It cannot wok during night or on rainy days - The Solar Cooker solution proposed is complementary to the existing solution. Hence LPG/ gas cylinders should be kept as a standby in case of cooking during night/rainy days. At a later stage, if we want to completely eliminate conventional mode of cooking, then solar energy can be collected during daytime by solar panels and stored using battery banks. This stored energy can be used for cooking during night/rainy conditions using an electric cooker. 2) Cannot be used to cook all kinds of food The solution is complementary and can be used only to achieve fuel savings. This solution will work effectively in areas where rice is the staple food. Eg South India and also in schools. 3) Time taken to cook is around 2 hrs in box type cooker Technological constraint. The time required to cook can be reduced by incorporating a reflector which can help concentrate the sun rays effectively. In parabolic cookers the cooking time is much lesser. 4) Theft of cookers The cooker can be protected from theft by advising users to keep the cooker either on the roof of the house or in a place where it is visible at all times.

OUR VISION: Solar Cooker integrated into village life

Page | 10

APPENDICES APPENDIX A: SOLAR COOKER CONSTRUCTION METHODOLOGY The apparatus for the construction of a solar cooker consists of the following: Aluminium sheet Wooden Plywood Cotton/Paper/Sand - any natural heat insulator Screws and nails Rubber Gasket Fevibond - to stick rubber wooden border frame Toughened Glass Normal Glass Hinges Optional: Wheel, Handles, etc. Procedure: Cut and fold the Aluminium sheet as per the defined dimensions Fill the wooden box with sufficient quantity of cotton, till it is almost full. Place the aluminium sheet inside the wooden box Fix the rims of the aluminium sheet to the box using nails Slide the glass sheet inside the wooden frame. Place this frame on top of the arrangement. Use hinges to attach it to the box Use steel boxes, painted black from outside to cook the food in.

Page | 11

Some important aspects to be noted are: The solar cooker can be used to prepare both the lunch and dinner. It works best when put outside to get maximum sunlight. To prepare lunch, cook between 9 am 12pm. It takes around 2 hrs to cook. Soon after lunch is prepared, the cooker can be used to prepare dinner. Word of caution, open the lid only when the food is about to be served. Do not open the lid even if cooking is over as there will be loss of heat. Over-boiling does not occur in a solar cooker because the temperature inside a solar cooker is very less as compared to the normal cookers. No maintenance is required for solar cookers. Only periodic dusting and cleaning is needed. A solar cooker lasts for 10 yrs. Page | 12

 The vessel inside it should be painted with blackboard colour on its outer surface (except the base). Solar cooker is mostly useful to those households whose main food items are rice, dal, curry (Sabji), etc as Chapathis, and fries cannot be made in this cooker. Food made in solar cooker tastes better because the essential vitamins are retained. We can cook eggs, meat balls, potato, groundnuts, etc by wrapping them in an aluminium foil and placing them directly in the cooker and not inside the container. For a rectangular solar cooker, reflector is not needed (especially for countries in the South Asia, where the sun rays are almost directly incident throughout the year). The break-even period for a solar cooker is 8-9 months, for a family of 4-5 people. The bottom of the vessel should be as wide as possible, and its thickness should be less for quick cooking. A small box-type cooker is sufficient for a family of 5. APPENDIX B: RESEARCH QUESTIONNAIRE (MUMBAI SLUM ETHNOGRAPHY DISCUSSION GUIDE) Community Can you describe the community structure to me? (Could also ask to draw a map or picture) Does your family have relationships with other people or families in the community? What types of relationships are they (i.e. family, friendship, business or transactional, acquaintance, etc.) Do people in community trust each other? Why or why not? Is theft a concern in the community? If yes, why? What is the most expensive object that you or someone in your community has purchased recently? How much does it cost? What do you think of it? Home Would you mind giving me a tour of your home? Is your home similar to other homes in the community? If not, can you describe what those are like? Can you describe or show me what takes place during a typical 24 hours in your home? (Who is there, coming and going; what are they doing; etc.) Cooking Can you show me the staple food items in your diet? Who all is involved in the cooking process? Is it just you or do others help with the cooking or grocery shopping, gathering of water or fuel, etc.? Can you show me how you cook? What equipment do you use? What type of fuel? How long does it take to cook? Is heat/stove on continuously? If not, how many times do you turn it on a day? Do you enjoy cooking for your family? What do you enjoy about it? Is there anything that you would do differently if you could? What foods would you want to cook if you could? Can you describe the grocery shopping process? Who decides what to buy? Who goes to buy the groceries? Where do you buy them? How much do you spend on groceries (daily, weekly, or monthly)? Are you happy with your stove? What do you or dislike about it? Page | 13

If you were to buy a new stove, what would you like on it (in terms of benefits: e.g. cooks faster, easy to use, etc.) If you were to buy your new stove, would you have to ask your husband for money? Do you think he would agree? Why yes, why not? Can you describe how your family gets fuel for cooking? What do you use? How much do you pay or Who collects it? How often do you collect it? Where do you collect it; how far away is it? Are you happy with your current source of fuel? If not, what dont you like about it and what would you want to change? Can you describe how your family gets water for the home? Who collects it? How often do you collect it? Where do you collect it; how far away is it? Are you happy with your current source of water? If not, what dont you like about it and what would you want to change? Eating How many times a day do you and your family eat? When are meals consumed and with whom? Does everyone eat together all the time? Is it same throughout the week? Weekend? Holidays? How often do holidays take place? How is holiday cooking different from your typical cooking?

APPENDIX C: SOCIAL RETURN ON INVESTMENT

1) Women can spend more time on other activities than cooking In those families that rely on gathered firewood instead of purchased wood or charcoal, women and girls usually do most of the fuel collecting. Under some economic analyses, the time spent gathering the wood would be considered a cost of cooking. We can find out how women are utilizing the time saved by using solar cookers. Eg: they may be involved in taking care of their children, more time for social interactions or other income generating opportunities. 2) Health and Family Harmony Mens attitudes can support the acceptance of solar cooking. There are examples of men praising their wives move to solar cooking because of the lack of smoke and soot. Some men have said that with solar cooking their wives smell better (not smoky), look better (no red eyes from smoke), feel better (reduced coughing) and have more time for the family. We can ask men about how introduction of solar cooker has improved the family harmony. Health benefits can be quantified by recording the number of villagers succumbing to air pollution/ smoke related ailments. 3) Gender Equality Men can begin cooking their own meals as it is simple to cook food using solar cookers. This is especially useful for single men with no female relatives. They may also like cooking using a solar cooker because it is clean and modern. 4) Community Bonding Use of solar cookers can increase community bonding. Large community type solar cookers help in more interaction between women while cooking at a common place and Page | 14

also while cooking feasts for major festivals, marriages etc. The data of how frequently people get together during such community events can be recorded. 5) Environment Consciousness The younger generation of village and school children will be more aware of the environmental benefits of using solar cookers if it is implemented in their schools or homes. Hence they become more environmental conscious and more aware of pressing issues like deforestation, global warming etc. The awareness level can be gauged by interviewing these children. Also this will increase the awareness level in the current generation about environmental issues. 6) Empowerment of Community Empower the community with skills and the ability to act on the information and sustain the changes, e.g, providing the solar cookers free of charge and the training to use it; engaging village children in data collection; capacity building by training students from rural colleges in collection of data for scientific evaluation. 7) Measuring Health Benefits %age reduction Reduction in Ear Nose and Throat diseases Reduction in chest related diseases Reduction in eye infections Reduction in diarrhea in Children % age reduction in adults

Page | 15

APPENDIX D: Factors promoting the use of solar cooker

Social Houses remain tidy due to reduced cases of littered firewood/ charcoal and smoke. Utensils remain clean due to lack of soot Both men, women and children can now cook easily Reduced cases of stealing firewood among women and using wood for fencing Families can cook different foods with several kits at the same time Reduced drudgery Economic Money saved from buying other firewood and charcoal is used in attending to other familys needs eg buying food, books, etc Time saved in cooking is put to other economic use eg washing, farming, doing homework etc. hence being more productive The gadget is affordable for a average family The project has both direct and indirect staff (Entrepreneurs who engage in making and selling of the cookers and their suppliers)and provides them gainful employment Health and Environmental Families eat tasty foods and nutritional values which is good for their health Families eat hygienic foods hence reduces cases of diarrhoea diseases Families have clean surroundings not littered with firewood and black charcoal stains There is reduced cases of use of firewood hence reduced deforestation Smoke related ailments are reduced amongst households members There is reduced cases of fire accidents Families can take pasteurized water for drinking leading to reduced water borne diseases Institutional and Educational Families have adopted the culture of planning for cooking Promotes awareness and learning of Science Gives opportunity for self studies/homework among school children Reduced absenteeism and lateness in schools Families and other groups working closely with our team have mainstreamed environmental conservation into their activities Promote environmental education in community Technological Keeps food warm for long Its portable and easy to manage Enables families to harness free natural/ Renewable energy (transformation)

Appendix E: Detailed Projected Financials Expenses every month Salary Employees Contract Workers Managers Facility (Rent) Electricity bill Cell phone bill Stationery Travel cost No. of employees Wages/month Total (Rs.) 2 2500 5000 2 8000 16000 Amount per month 5000 300 150 50 410 Page | 16

Expenses every month Interest on loans Miscellaneous expenses Transportation Costs Expenses per month Total recurring expenses 0 1500 1200 29610 Rs. 3,55,320

Expenses incurred over the year Training Costs Travel Cost of the 2 employees from Pune to Dhule Associated Food Cost 2 members Rs. 168 Cost of each 4 20000 24 20000 75 1700 336 200

Number Raw Materials

80000 480000 127500

Marketing Distributing pamhplets Designing Pamphlets Printing 1000 pamphlets Campaigns Garnering support of opinion leader and asking him/her to promote Free tesing of Solar Cookers Apparatus for Solar Cooker Depreciation Total one-time expense Total expense in the year

500 500

2000 1 1700 1700 7800 Rs. 7,00,536 Rs. 10,55,856

Income for the first year School- Prathamik Vidyalaya No. of solar cookers sold Price of each Revenue 2 Schools - ISKCON No. Of solar cookers sold Price of each Revenue Village - Bhivri 4 25000 100000 24 25000 600000 Page | 17

Income for the first year No. of solar cookers sold Price of each Revenue Total income for first year 75 2300 172500 Rs. 8,72,500

One-time cost for the first year Facility (plant) advance rent Plant furniture Computer Maintaining account under business name Licenses and Permits Setup, installation, and consulting fees Total one-time cost Depreciation per year (Depreciated over 10 yrs) 50000 10000 15000 1000 1000 1000 Rs. 78,000 Rs. 7,800

REVENUE PROJECTION Type of Cooker Parabolic Box type Units to be Sold 28 75 Revenue per unit Sold 25000 2300

Year Sales for 1st Year Sales for 1st Year Revenue for 1st year Total Profit / (Loss)

Revenue (Rs.) 700000 172500 872500

-183356

Sales for 2nd Year Sales for 2nd Year Revenue for 2nd year Total Profit / (Loss) Sales for 3rd Year Sales for 3rd Year Revenue for 3rd year Total Profit / (Loss)

Parabolic Box type

60 210

25000 2300

1500000 483000 1983000

24644 Parabolic Box type 72 400

POSITIVE PROFITS 25000 2300 1800000 920000 2720000

162584

BREAK EVEN

Page | 18

EXPENSE PROJECTION Units to be Sold 28 75 Variable Cost per unit Sold 20000 1700

Year Variable Costs for year 1 Variable Costs for year 1 Fixed Costs for Year 1 Total Costs for Year 1

Type of Cooker Parabolic Box type

Total Costs (Rs.) 560000 127500 368356 Rs. 10,55,856

Variable Costs for year 2 Variable Costs for year 2 Fixed Costs for Year 2 Total Costs for Year 2

Parabolic Box type

60 210

20000 1700

1200000 357000 401356 Rs. 19,58,356

Variable Costs for year 3 Variable Costs for year 3 Fixed Costs for Year 3 Total Costs for Year 3

Parabolic Box type

72 400

20000 1700

1440000 680000 437416 Rs. 25,57,416

MANUFACURING CAPACITY ( WITH 2 WORKERS) Type of cooker Parabolic Box type Time required to build one cooker using 2 workers 4 0.5 Capacity / Month (Nos) 6 50 Capacity / Year (Nos) 72 600

Page | 19

APPENDIX F: THE SOMAIYA TEAM-MEMBERS PROFILES 1. Guruprasad Padmanabhan Guru is a 2nd year MBA-Marketing student at K. J. Somaiya Institute of Management Studies and Research (SIMSR). He has done his Bachelors degree in Electrical Engineering. Guru worked with ABB Ltd (a power and automation MNC) for 3 years in various roles like Design, Project Management, Sales, and Estimation mostly in various infrastructure projects. 2. Swapna Mukherjee Swapna is a 2nd year MBA-Finance student at SIMSR. After completing her Bachelors in Science (BSc) from St. Anns College for Women, Hyderabad she worked for 3 yrs in Oracle, India as an Associate Application Engineer. She wants to pursue a career in Microfinance in the long term. Among her projects, she heads the Financial Literacy team of the Somaiya Social Cell, undertaking a project in Financial Risk Management with Equinox Financial Services. She also has an experience in conducting a market survey in the slums of Mumbai. 3. Gautam Jaju Gautam is a 2nd year MBA-Marketing student at SIMSR. He has a Bachelors degree in Mechanical Engineering and a brief experience of 6 months in Bharat Forge Ltd in Production Control. His work involved the streamlining of the manufacturing process using MOST (Maynards Operating Sequencing Techniques). 4. Ashwath Bereke Ashwath is a 2nd year MBA-Marketing student at SIMSR. He belongs to Bangalore and passed out of Engineering in 2006. He has a work experience of 10 months in Perot Systems before joining Oracle, India where he worked for another 26 months as an Applications Engineer. He worked on Data Modeling Group (DMG), Oracle Siebel CRM. He has also been involved working with many NGOs like School Kit Drive, Sponsor a child, etc. Now he is an active member of Somaiya Social Cell. He is also an avid trekker and a Toastmaster. 5. Jaya Longani Jaya is a 2nd year MBA-Finance student at SIMSR. She has done her Bachelors in Chemistry from St. Stephens College, New Delhi. Later on she worked in a small health care and beauty business. She was a part of social service league of her college that helped in the blind reading campaign. She was also involved in a program of teaching underprivileged kids of the locality around college and from children belonging to lower income groups. APPENDIX G: REFERENCES http://www.middaymeal.com/ http://www.iskconmumbai.com/Activities/MiddayMeal/tabid/180/Default.aspx http://www.princeindia.org/ http://www.solarcooking.org/ http://www.vinimaytrust.org/ Page | 20