Stichting Bakens Verzet
Cruquiuskade 165, 1018 AM
Amsterdam, The Netherlands
Reg.nr. 34235506 KvK
Amsterdam; BTW/VAT nr. NL8150.17.972 B01;
Bank: Triodos Bank : IBAN NL90 TRIO 078.13.27.598
Directie :
T.E.Manning, Schoener 50, 1771 ED Wieringerwerf , The Netherlands
Tel : 0031-227-604128
E-mail : (nameatendofline)@)xs4all.nl; Homepage: http://www.flowman.nl : bakensverzet
"Money
is not the key that opens the gates of the market but the bolt that bars
them"
Gesell,
Silvio The Natural Economic Order, revised English edition, Peter Owen, London
1958, page 228
"In the end, it's about love for mankind. Freedom begins with love.
Our challenge is to learn to love the world"
Nigerian writer Ben Okri, interview in Ode Magazine, Dec 2002-Jan 2003,
p.49
Edition 07: 22 March, 2006
The accompanying innovative Model Integrated Self-financing Development
Project covers a complete package of basic services for sustainable development
in beneficiary communities. It includes hygiene education, the provision of
drinking water and sanitation services, PV lighting for study, PV lighting and
refrigeration in clinics, waste removal, high-efficiency stoves and bio-mass to
fuel them. It provides a strong thrust for on-going local development,
productivity, and employment. It contains many decentralised solar energy
applications.
The
Model is strongly demand response oriented. Project applications are worked out
together with the people concerned, who execute, run, own and pay for them.
There will therefore never be a project application identical to the Model, nor
will there ever be two project applications identical to each other.
The
Model provides practical working solutions for sustainable integrated
development and covers all major development priorities. It constitutes a
practical way of applying modern development concepts such as those outlined in
the DFID "Guidance manual on water supply and sanitation programmes"
(WEDC for DFID, 1998). It integrates in a practical and feasible manner policy,
finance, technology and human capacity building to offer sustainable solutions
to development.
Project
applications are self-financing, subject to an interest-free seed loan
repayable in 10years. The Model is structured for communities of 10000
households (50000 users) but can be adapted to smaller and larger project areas
as required. The amount of the loan is Euro 3.000.000 or Euro 60 (or equivalent
in Euro) per user. This involves a monthly payment of at least Euro3 per family
into the Cooperative Development Fund. This is enough to cover the basic
package offered. Services offered can be further extended to projects areas
where users are able to pay more than Euro 3 per family per month.
Project
applications require 75% financing by an External Support Agency. Regional or
state authorities in the beneficiary countries are expected to supply the
remaining 25%.
Project
applications are self-financing because they allow the recipient communities to
fully exploit a network of sustainable development activities using:
(i) The interest-free loan itself
(ii) Local Exchange Trading Systems (LETS)
(iii) Multiple re-cycled interest-free micro-credits to be administered by a
local bank. They are generated by recycling loan repayments and reserves during
the loan term.
Project applications in their minimum configuration are centered on the
following components
i. Hygiene education at community level (Health Clubs) and in schools
ii. Distributed clean drinking water (solar pumps with handpumps backup)
iii. Sustainable sanitation (based on the separation of urine, faeces, grey
water, other organic waste)
iv. Supply of efficient stoves for cooking (plus solar cookers)
v.Production of biomass to fuel the cookers
vi.Recycling of non-organic waste products (rubbish collection)
vii.PV lighting for study
viii.PV lighting and vaccine refrigeration in clinics
ix. Rainwater harvesting
x. A local PV powered radio station
a)The project will be financed by interest-free seed capital in the form
of a 'green' loan repayable over a period of 10 years.
b)75%
of this capital will be contributed by xxxxxxxxxx and the remaining 25% by the
(Regional) Government of xxxxxxxxxx.
c)General
financial supervision will be on terms agreed with the lenders of the seed
capital, but with the elimination of unnecessary bureaucratic restraints.
d)Seed
capital repaid by users in monthly instalments will be retained in the local
area until the end of the loan term. During that time, the repayments will be
used to grant revolving interest-free micro-credits for local development.
e)Seed
capital not required for short term use, will similarly be used to grant
interest-free revolving micro-credits.
f)The
local currency (LETS) systems will form the general method of payment for
(most) local goods and services at community level, including those provided
for the project from within the local community.
g)The
part of the maintenance money destined for long term replacement of capital
items will also be recycled as interest-free micro-credits until it is needed.
h)Users
will be 100% responsible for on-going administration, capital repayments, and
maintenance costs. Each household will pay a monthly contribution sufficient to
cover those costs. The instalments will be to a large extent covered by savings
on funds traditionally spent on fuel, water and waste removal.
i)The
project encourages open competition and free enterprise within the framework of
a cooperative and non-profit-making global financial structure.
j)Administration,
construction and maintenance work will be done by local operators and villagers
who will be paid mostly in local LETS currencies.
k)Local
work will be paid for at current local pay rates expressed in the local LETS
currencies.
l)The
on-going administration costs of the Project Coordinator will be agreed and set
out in the project documentation.
m)Users
must make their first monthly contribution in advance, when their project
systems are put into use.
n)The
tank commissions will be paid a small monthly allowance in formal currency for
their work. The well commissions will be paid a monthly allowance under the
local LETS currencies for their work.
o)Individual
women or women's groups will, without payment, each look after their own
sanitation units.
p)Regular
inspection by installations will be paid as necessary in the local LETS
currencies.
q)The
operation of the xxxxxxxxxx local bank will be supported and supervised by
xxxxxxxxxxxxxxxx(Green Bank)
r)The
Regional Government of xxxxxxxxx and the Local Council of xxxxxxxxxxx will
undertake not to intervene to impede the development of the local LETS
currencies either during or after the project period.
s)The
Project Coordinator will reach a specific agreement with the applicable tax
authorities before the start of the project as to taxation of activities under
the Local Exchange Trading (LETS) systems.
t)Before
the project starts, a formal agreement will be made to ensure ownership of the
project is vested in the beneficiary communities.
The long term goals of the project are:
a)To
sustain on-going improvement of the general quality of life wellbeing and
health of the local people.
b)To
free more human resources for local production and development.
c)To
reduce water-borne diseases so that medical staff and financial resources can
be re-directed to other health objectives such as vaccination programmes and
preventive medicine.
d)To
decrease infant mortality and promote family planning.
e)To
increase literacy levels.
f)To
eliminate dependency on fuels imported from outside the project area.
g)To
help reduce deforestation and global warming.
h)To
create value added from locally recycled non-organic solid waste.
i)To
create a "maintenance culture" to conserve the investments made.
j)To
increase the local pool of expertise so that local people can improve their
sustainable well-being and development by identifying and solving problems,
including erosion, with a minimum of outside help.
k)To
create full employment in the project area.
l.To
offer meaningful opportunities to youth and help stop movement of population
from rural areas to towns.
The various parties which would be presumably usually be involved in
project applications are:
i.
The Local NGO
ii.
Project Coordinator (from the project area in the beneficiary country)
iii.
Consultant to the Project Coordinator
iv.
The Organisational Workshops
v.
External Funding Authority
vi.
Local Funding Authority
vii.
Regional Administrative Authority
viii.Locally
Elected MP's
ix.
Local councils
x.
The Local/State Health Authorities
xi.
The Local/State Education Authorities
xii.
The Local Tax Authorities
xiii.The
Local Bank and Micro-Credit Institution
xiv.
The External Bank
xv.
The Local Beosite Production Units
xvi.
Tank Commissions - the Key Structures
xvii.Well
Commissions
xviii.Zimbabwe
AHEAD (NGO)
xix.
EOS ADVISES
xx.
Medical Commissions
xxi.
Teachers' Commissions
The
details of the roles of each of the above and how they all interact with one
another are set out in detail in section 2.6 of the Model and in the diagrams
and charts part of the project document. The parties participating will vary
from one project application to another.
A typical total budget for a project application under the Model, in its
minimal configuration, is Euro 3.0 Million.
Outgo (Capital) |
Phase |
Estimate (Euro) |
OW health clubs |
2 |
30.000 |
Formation of health clubs |
2 |
10.000 |
Material for health clubs |
2 |
5.000 |
Training of health workers |
2 |
10.000 |
OW health courses in schools |
2 |
10.000 |
Material for school courses |
2 |
2.5000 |
OW social structures |
2 |
40.000 |
OW LETS systems |
2 |
60.000 |
Office and equipment LETS systems |
2 |
30.000 |
OW Micro-credit system |
2 |
20.000 |
Office/equipment Micro-credit system |
2 |
10.000 |
OW Beosite production units |
2 |
30.000 |
Shovel/preparation anhydrite supply site |
2/3 |
10.000 |
Construction and equipping anhydrite factory (*30000 FOR EACH FACTORY)
ASSUMING 3 UNITS |
2/3 |
60.000 |
Moulds for anhydrite products (*20000 FOR EACH FACTORY) ASSUMING 2
UNITS |
2/3 |
60.000 |
Location gypsum depots and quality control |
2 |
3.000 |
OW recycling system |
2 |
30.000 |
Setting up recycling centre network |
2 |
150.000 |
Setting up compost collection network |
2 |
5.000 |
OW Bio-mass system |
2 |
15.000 |
OW Drinking water system |
2 |
25.000 |
Setting up of project workplace |
2 |
12.000 |
Vehicles and materials for wells |
3 |
150.000 |
Fuel and maintenance vehicles |
3 |
26.000 |
Labour for wells - LETS systems |
3 |
pro-memoria |
30 Washing places- LETS systems |
3 |
pro-memoria |
30 Platforms for handpumps - LETS systems |
3 |
pro-memoria |
200 Pumps (300W per pump) |
3 |
257.000 |
200 Supports for solar panels |
3 |
50.000 |
Solar panels (200*300 W=60kW) |
3 |
360.000 |
30 Handpump groups (90 pumps) |
3 |
68.000 |
Cables, feedpipe for pumps/wells |
3 |
65.000 |
Pipe lines from wells to tanks - 100000m @ Euro 1 |
3 |
100.000 |
Labour for laying water pipelines- LETS |
3 |
pro-memoria |
200 Water tanks (@ 2m * 1.7m)- mostly LETS |
3 |
50.000 |
200 Bases for water tanks - mostly LETS |
3 |
25.000 |
Supervision of installation and training maintenance operators |
3 |
15.000 |
Purchase spare parts supplies |
3 |
20.000 |
Permits and formalities |
2 |
1.000 |
Preparation and formulation of project specifications |
2 |
6.000 |
100 Solar water purification installations for clinics and schools |
3 |
47.500 |
900 Solar water purification installations (inc.15.000 Wp panels) |
4 |
128.500 |
200 PV lighting units for study purposes |
4 |
105.000 |
PV television for study |
4 |
pro-memoria |
PV lighting for schools |
4 |
pro-memoria |
PV lighting for clinics outside the project area |
4 |
pro-memoria |
PV lighting for clinics inside the project area |
4 |
15.000 |
PV refrigeration for clinics @ Euro 5000/clinic |
4 |
15.000 |
Water testing equipment |
4 |
5.000 |
Transport costs Europa-xxxxxx |
3 |
30.000 |
Transport costs xxxxx |
3 |
22.500 |
Administration and supervision xxxxxxxxxxx |
3/4 |
36.000 |
Reserve fee for Project coordinator @Euro 50000/year |
1/5 |
100.000 |
General project consulting Manning @Euro 50000/year |
1/5 |
100.000 |
Fund for PV lighting solar home systems |
4 |
100.000 |
Sanitation facilities with exception of some additvites will be
manufactured and installed within the local LETS systems |
|
15.000 |
OW radio station |
4 |
25.000 |
Fund for radio station |
4 |
52.000 |
Reserves 12.6% of total |
5 |
378.000 |
General total |
5 |
3.000.000 |
Outgo (Capital) |
Phase |
Estimate (Euro) |
Total first phase |
1 |
0 |
Total second phase |
2 |
668.500 |
Total phase 3 |
3 |
1.293.000 |
Total phase 4 |
4 |
460.500 |
Fees project coordinator |
1/5 |
100.000 |
Total supervision Manning |
1/5 |
100.000 |
General total all phases |
|
2.622.000 |
Reserves 12.6% |
5 |
378.000 |
Total 1+2+3+4+5 |
|
3.000.000 |
On-going costs |
Euro |
|
|
|
|
Coordinator for administration |
15.000 |
|
Maintenance operators |
5.000 |
|
Tank commissions (200*5 Euro p.m.) |
12.000 |
|
Spare parts |
15.000 |
|
Reserve for theft |
15.000 |
|
Unforeseen |
7.500 |
|
Total recurrent costs |
69.500 |
|
Income |
Euro |
|
|
Annual contribution for use of water (10.000 households @ Euro 3 p.m.) |
360.000 |
On-gong costs per year |
69.500 |
Net annual income for loan repayment |
290.500 |
1. The above net income is sufficient to finance and repay an interest
free loan for Euro 3.000.000 over a period of 10 years, taking the various
reserves into account.
2. Interest-free loan for Beosite (R) each factory Euro 50.000, for repayment
over a period of 3-5 years is included in the above figures.
3. At the end of the ten years' period, on repayment of loan, large capital
reserves will be built up for use in Micro-credits and, subsequently, for the
extension and renewal of the capital goods.
4. Payments for water facilities for schools and clinics are included in the
users' monthly contributions.
5. Payments and financing for eventual PV lighting and refrigeration facilities
in clinics within the project area are covered in the users' contributions.
Those for clinics and schools outside the project area partly serving users
within the project area to be discussed.
6. Payments for PV lighting installations for study purposes will be financed
by each tank commission area separately.
7. Savings on the purchasing of bio-mass for cooking and the costs of drinking
water will at least partly offset the costs of the project.
The project has been placed in the pubic domain and can be freely
accessed and downloaded together with drawings, charts and graphs in colour
together from the home page of the website : www.flowman.nl
Anhydrite, use of; Banks, role of in development; Beosite (R) products;
Bio-mass, for cooking; Briquettes, bio-mass; Capacitation workshops; Chain
control, integral; Clodomir Santos de Morais; CO2 emissions, reduction of;
Communication flows in development projects; Compost, recycling; Composting
toilets; Cookers, high efficiency; Cooperation, role in development;
Development projects, structures for; Development, sustainable; Drinking water
supply; Economy, developing countries; Economy, development projects; Economy,
foreign aid; Economy, industrial development; Economy, interest-free
development; Economy, Local Exchange Trading (LETS) systems; Economy, nominal
local currencies, development of; Economy, micro credits; Economy,
self-financed development; Economy, taxation and development; Education,
hygiene; Gender, role of women; Gypsum, cheap; Hand pumps; Health Clubs,
development projects; Hygiene, education; Industrial development; Information
flow in development projects; Integral chain control; Integrated development
projects; Interest, role of; LETS systems; Loans, interest-free; Local currency
systems; Local Exchange Trading (LETS) systems; Micro-credit systems; Morais
Clodomir Santos de; Organizational workshops (OW); Photovoltaic (PV) home
systems; Photovoltaic (PV) lighting; Photovoltaic (PV) pumps; Photovoltaic (PV)
refrigeration; Poverty alleviation; Products, regeneration of; Pumps, solar;
Pumps, hand ; Rainwater, harvesting; Recycling, compost; Recycling shops;
Recycling, waste; Regeneration of products; Rural water supply; Sanitation,
developing countries; Sanitation, dry; Self-financing development projets;
Solar pumps, submersible; Stoves, high efficiency; Sustainable development;
Tanks, Beosite (R), local manufacture; Toilet facilities, Beosite (R); Toilets,
dry; Urine disposal; Washing places; Waste collection systems; Water
purification, UV; Water supply projects; Water supply, rural; Water tanks,
Beosite (R); Women, role of in development; Workshops Moraisian.
"Money is not the key that opens the gates of the
market but the bolt that bars them"
Gesell, Silvio The Natural Economic Order
Revised english edition, Peter Owen, London 1958, page
228
Model for integrated self-financing
development