Exercise 3: Naandi Foundation’s Safe Drinking Water Programme Business Model

Dear Sir

Please find attached Naandi Foundation's Section III.

Kind Regards,

Amit Jain

Hi Amit,

The submission looks fine. With this you have completed the application process. Someone from the GSBI will contact you in the next couple of weeks regarding the status of your application and how to proceed further. Please let me know if you have any further questions.

Good Luck.

-Ananth

Previously Ananth Balasubramanian wrote:

Hi Amit,

The submission looks fine. With this you have completed the application process. Someone from the GSBI will contact you in the next couple of weeks regarding the status of your application and how to proceed further. Please let me know if you have any further questions.

Good Luck.

-Ananth

Dear Mr. Amit jain:

I have heard of your initiatives in Andhra Pradesh. They are indeed very good. I some how have always wondered as to how do we make such initiatives self sustainable commerrcially. 

After all at Rs.20lac per plant, interest cost itself would be prohibitive given the selling price of 10-12 paise per liter!

I also wonder what are your plant capacities. In our case (we are also in to water purification systems), an RO-plant able to fulfil the entire drinking/kitchen water requiremnents of a village - say 2500lph (30000lpd) plant costs less than 30% of your projected costs.    

I donot know if we are at teh right pllatform for this interaction. May be if you cvan provide your mail ID or mobile phone, I may like to seek to discuss with you a bit more.

Deepinder Mohan

Kind regards.

Dear Mr Deepinder Mohan

Greetings from Naandi Foundation ! Thanks for encouraging words for Naandi’s Community-based Safe Drinking Water Programme. I regret that I could not place your email earlier and hence am responding only now+

The Revere Osmosis –tech based Water Plant capacity is  2000 litres per hour (lph) and is expected to run for about 16 hours daily.

The cost of the Plant submitted by us includes the following ( which incidentally is not part of the cost quoted by any supplier for water purification unit) ; Infact , the model that Naandi offers and implements is not  supply of equipment/plant/machinery alone but is a bundled offering including

1)Pre-installation Field  assessment and  technical analysis

2)Construction of a Civil Structure for housing the Plant , which costs around Rs 2.5 Lakhs to Rs 3 Lakhs.

3) Cost of Storage Tanks; raw water storage and product water storage.

4) Boundary wall/fencing, landscaping in and around the Plant building.

5) Personnel cost for a Plant Operator (Technical) and A Water Promoter (usually a lady from the village)

6) Communication-related costs – Indepth Interviews across a cross section of community respondents/potential beneficiaries , Focus Group discussions ,  Inauguration function expenses , School events (like Drawing/Painting, Essays/debate etc.) , Design/Development, Translation and Production of Locally appropriate Communication Material

7) Staff Training, Travel and MIS related expenses

8) All the usual Operations and Maintenance expenses

9) Financing Costs for borrowed capital etc.

10) Cost of the Treatment Plant & Machinery

For Naandi, the current model is still viable, generates some surplus on a monthly basis and is expected to be sustainable on a long-term basis.

Trust this meets most of the clarifications sought thru your email.

If anything, in addition to the above is required, kindly contact

Mobile Phone 9989698881  email  amit@naandi.org

With Regards

Amit Jain

National Director (Water Programme)

Naandi Foundation

Hyderabad

www.naandi.org