Access to Energy for the Base of the - Ashoka

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� Financials:
Envirofit stoves save time and money
and improve indoor air quality
Project ability to solve the problem
�� Problem and magnitude: 3b people cook over biomass -
with low energy efficiency and harmful emissions
�� Envirofit stove benefits:
� Fuel consumption reduced by 50%
� Cooking time reduced by 40%
� Toxic emissions reduced by 80%
� Independent 3 rd party verification
�� BOP500 targeted (India, 2009):
�� B-1200 stove market price: $17
� Several microfinance partnerships
� Savings on fuel purchasing / gathering
�� Needs addressed: Modern cooking benefits (reduce
IAP) paired with traditional cooking methods and no
need for fuel modification
�� Sustainability: over 5 year life-expectancy, 5 year
warranty on the combustion chamber/ 2 year
warranty on all other components
�� Impact:
� Improved cooking, health, environment, and
economic status for ~50k families
� Over 300 distributors/dealers in Karnataka, Tamil
Nadu, Kerala & Andhra Pradesh
Project economic viability Project scalability
� Shell Foundation invested $3.5m in Envirofit
(targets $25m fundraising)
� Self-sustainable Indian operation by 2010 (incl.
R&D for new models, manufacturing / supply chain
cost drive-down, sales channel development)
� Strong margin at each step of the value chain
provides market-driven incentives
�� Affordable quality product:
� Centralized manufacturing ensures quality control
and economies of scale that reduce costs
� Award-winning stove technology
�� Not-for profit organization with self-sustaining
business-model:
� Enterprise-model attractive to government
foundation and corporate funding
� Non-profit status helps in-country policy-makers
and NGO relationships
�� Global market: 3b potential customers
�� Competition: Low-cost traditional stoves, BP,
Phillips, Bosch-Siemens
�� Scalable supply-chain:
� Business structured to scale globally
� Centralized manufacturing provides high-volume
capacity to meet demand
�� Multiple partners and distribution channels: MFIs,
NGOs, top-tier distributors, local retailers
�� Entering new markets requires:
★★★
★★ ★★✩
Sources: Hystra analysis; Interviews with Envirofit's Marketing Communications Manager; www.envirofit.org
� Expertise from local resources (e.g., in-country
General Manager)
� Market research and stove line development to
meet market needs
� Funding runway (3 years to break-even)
� 5 years initial R&D investment (incl. fundamental
combustion materials, stove geometry and testing
protocols research)