Dispensers for Safe Water: A Case Study in Sustainability UNFCC Regional Workshop on NAMAs 5th August 2015

We scale proven global development interventions with sustainable business models.

Evidence Action Launched in 2013 to scale up proven development solutions so that they benefit millions of people. We only implement solutions that are based on rigorous evidence – they have been proven to work. We target solutions that cost-effectively benefit millions of people. We identify innovative business models to finance our programs, and develop highly-scalable operational models.

Dispensers for Safe Water A Rural Sustainable Water Service with: 1. Impact & scale: 25 million people with on-going access to safe water for <$0.50/person by 2018 2. Proven value & sustainable model: Proven intervention that is based on randomized evaluations and 4+ years of successful & growing operations.

What is Dispensers for Safe Water Simple, convenient chlorine dispenser Community education & local promotion On-going service delivery Source: WHO/UNICEF JMP 2012: 11% of the global population, or 783 million people are without access to an improved water source (note that this is access to an improved water source, not necessarily safe water, although the two are generally used interchangeably!) This is also the number that is cited most widely elsewhere, e.g. Millennium Development Goals literature, UNICEF website, other NGOs websites, etc. 1 problem) Big problem. Fortunately simple solution. 1 solution) chlorine kills most pathogens, and drinking chlorinated water reduces diarrhea by 40%, with significant impacts on health, productivity, and childhood mortality. Furthermore, chlorine keeps free from recontamination. This is a big deal because often when using filters or taking water from a borehole, water often gets contaminated between the time of collection and when people drink it. But why don’t people use it? That’s the gap that this intervention has figured out. 2 problem) Chlorine exists, but people don’t pay for it. Costs $0.30/mo for Waterguard in Kenya for whole HH – still less than 10% of people using it. 2 solution) Free to users, which increases usage by 10x (bring JPAL price is wrong paper with you). Bulk supply at the dispenser brings costs down (packaging major cost). 3 problem) People forget to use it regularly. 3 solution) (1) community education and local promoter. Have actually done follow-up research on different ways of incentivizing promoters to engage communities best for sustained adoption. (2) make it salient by placing at water source so it becomes part of the routine 4 problem) people like building boreholes, buying filters. But these break and rarely are there the right structures in place to repair them, or the costs to do so budgeted for. 4 solution) our program is first and foremost a service – we’re not just talking about hardware here. We provide on-going service delivery of the chlorine, interactions with the promoters, and maintenance of dispensers. Built into our cost model is replacing the dispensers every 4 years. still, with all of its advantages, this is one of the most cost-effective water solutions, cheaper than filters, boreholes etc. If long term solution pipes, why not pipes now? Kenya 10 years ago though they’d get piped water to people. Actually the % of people with piped water has decreased in the last decade.

Dispensers for Safe Water delivers social returns for less than $1/person/year* Reduces diarrhea cases by 40% - one of the largest contributors to childhood death $61 saves a year of quality life* Avoid the irreversible effects of stunted growth in children After this slide, pause and take questions to make sure that we’ve landed how cost-effective an intervention this is *Less than $1 / person in 2015, and expected to be less than $0.50 / person / year by 201. 1.04 DALYs averted per dispenser per year, and the 10-year NPV of the program translate to $61/DALY/yr. DALY = Disability Adjusted Life Year, or the number of life years lost due to ill health, disability, or early death.

4.8 Million People Served Today

Scale enables cost-effective impact

Financial sustainability by 2018 Water purification with chlorine is a substitute for boiling, making it eligible for carbon financing We generate audited carbon credits that can fund OPEX, only requiring up-front funding for the initial two years of a dispenser lifecycle Volume and market value for voluntary market from “State of the Voluntary Carbon Market 2013” (recently released) http://www.forest-trends.org/documents/files/doc_3846.pdf Volume and market value for compliance market has not been updated to 2012 values. The WB did not release a report for 2012!

Financial Sustainability We currently have a portfolio of 527136 VERs per annum (in Kenya) and 100,000 GS CERs (in Uganda) per annum registered with Gold Standard and CDM In Uganda we have capacity for 250,000 CERS per annum Developing the capacity for 500,000 CERs per annum (ongoing) in Malawi and Kenya. Agreement in place with the Climate Cent Fund to purchase 2,000,000 CERs worth ~ 13 million Euros from Malawi and Kenya

Carbon Development Status   Kenya Uganda Malawi Name of Projects Paradigm Healthy Cookstoves and Water Treatment Project International Water Purification Program (Small-Scale CDM PoA) Type of Project Gold Standard VERs CERs Gold Standard CERs Market Voluntary Compliance Compliance/Voluntary Project Developer Paradigm international South Pole Group Sales/Brokerage Number of active CPAs/VPAs n/a 2 (by end of 2015) 2 Status 4th Verification Pre-validation 1st Verfication Validation Sales Status Open to Sales Not available Available by end of 2015 Growth plan 5th Issuance 2016 Additional 2 CPAs by 2017 Additional 5 CPAs by 2016 (if buyer identified) Additional 6 CPAs by 2017

Sustainable Development Co- Benefits Dispensers for Safe Water as a program offers sustainable co-benefits in the Health Sector. Our key indicators are : i) Adoption rates ii) Diarrheal infection rates iii) Water quality

Sustainable Development Co- Benefits Adoption We have an ongoing adoption survey based on the presence of total chlorine in household water. This survey is carried out on a randomized population sample every month. The rates of adoption are made available internally to every staff member through a web based internal information management system. These rates are also reported to partners quarterly , or biannually.

Sustainable Development Co- Benefits Diarrheal Rates Compiled from Self reported data from the adoption monitoring surveys as well. Our spot checks also give us a regular update of the numbers using the community dispensers and any updates on population numbers. We keep monthly records of diarrheal rates in the areas where we work.

Sustainable development Co-benefits Diarrheal rates

Sustainable Development Co-benefits Water Quality Quarterly water quality tests are carried out on water in 10% of households at the point of use of water. IDEXX tests are done in our internal lab to determine if there are any infections with E-coli found in water being consumed by the dispenser users. This is the indicator of success in achieving our basic target which is to provide safe water. Any indicator for E-coli here is a pointer of environmental contamination and always results in a community education meeting.

Sustainable Development Co- Benefits Quality Control A department in Evidence Action dedicated to designing of surveys, data collection, analysis and presentation. Staff are re-trained before every survey season Backchecks are carried out on the quality of data collected Community meetings are held where feedback on project delivery is discussed Monthly reports are provided which serve as the basis for an internal review . Data on ongoing processes, performance, issues tracked and feedback are available to staff internally and these are regularly updated.

Expansion Looking to expand our program Seeking viable and sustainable partnerships in Uganda, Kenya and Malawi … and beyond.

Contact Andrew Ocama Project Manager - Carbon and Partnerships| Dispensers for Safe Water Evidence Action Regency Plaza, Lugogo Bypass, Kampala Mobile: +256772532326 | Email: andrew.ocama@evidenceaction.org   | Skype: andrew.ocamaco2 www.evidenceaction.com