Commercial Re-use in BengaluruElisabeth Kvarnström, Joep Verhagen, Vishwanath, Karan
Singh, and Subha Ramachandran
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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
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What about the remaining 60% of the population?
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“Waste is a resource in the wrong place”
Mahatma Gandhi
Farmers know this for a very long time
Policy makers, administrators, sanitation specialists don’t
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
Two Markets
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Primary Market Secondary Market
Originally 9 building block
Customer value
proposition
Key resources
Key activities
Costs Revenue model
Customer relations
Customers
Distribution/Marketing
channel
Key partners
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
•
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.
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Custom
er
deman
d
Business Model
Legal environment
Institutionalenvironment
Technology and environment
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.
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
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