CASE STUDY
Floor insulation PKR 110 (US$1.3) per square metre Wall insulation PKR 650 (US$7.6) per square metre AKPBS,P places bulk orders for products with entrepreneurs, which ensures a good price and enables quality checking. Users order the product through AKPBS,P and usually pay the full price. A 50% down payment is required to place an order, and the remaining 50% on delivery. To increase wood savings and other benefits, there is currently a subsidy of PKR 2,500 for households who buy a package of four products together. Thus the most common package of stove, water-warmer, roof window and about 10m2 of floor insulation costs PKR 6,800 (US$80) rather than PKR 9,300 (US$110). It is possible to include other products in the package, such as earthquake-resistant wire bindings for a house. About 60% of products sold in the past three years have been in these subsidised packages. First Micro Finance Bank, the microfinance institution of AKDN, has recently started a joint scheme with AKPBS,P to provide loans for buying the products. The loan is made to a group.
Environmental benefits AKPBS,P regularly monitors wood savings by training the demonstration households to weigh and record their wood use, with the help of the local resource people. In the 2009 study, wood consumption initially averaged 7.7 tonnes/year per household: this value is high because homes need to be heated for up to seven months in the year. After the energy saving products were installed, wood consumption fell by 3.9 tonnes/year (51%). For all 27,000 households, the saving is therefore about 100,000 tonnes/year of wood. This is very significant in an area with high rates of deforestation. Cutting the use of unsustainable wood and improving stove combustion reduces greenhouse gas emissions. AKPBS,P estimates a saving of 1.5 tonnes of CO2 per tonne of wood. On this basis, emissions are cut by about 5.85 tonnes/year CO2 per household or a total of 160,000 tonnes/year CO2.
Social benefits A detailed study of the health and social impacts of using the energy-efficient stoves and water-warming facilities was undertaken by the Aga Khan University Hospital during the winters of 2008 and 2009. The study included 24-hour monitoring of carbon monoxide (CO) and small particulates (PM2.5) - the major pollutants that damage health – in homes. Median CO concentrations were reduced by 44% in homes that used the AKPBS,P products, while PM2.5 concentrations were reduced by 70%. The impact of these reductions was confirmed by reporting of reduced cough and eye irritations (controlled for other variables such as house type). Women using the products noticed that there was less smoke in their homes, and that the house and cooking utensils stayed cleaner. They also found that food cooked in less time, and the house warmed up more quickly. Other benefits
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were reported to the Ashden judge who visited households. Insulated floors were found to be much more comfortable to sit on, and being able to close up the roof vent greatly reduced heat loss and draughts. Having a supply of hot water ‘on tap’ was particularly appreciated. It saves time – for instance, not having to heat water first thing in the morning before prayers – and improves hygiene.
Economic and employment benefits A 2001 survey of the GBC region found that 55% of households purchase some or all of their fuelwood. These households make substantial financial savings using AKPBS,P products. Fuelwood in the GBC region currently costs about PKR 15 per kg, so a household that cuts wood use by 3.9 tonnes/year saves up to PKR 57,000 (US$680) per year, or eight times the cost of a four product package. This is a significant benefit in a region where household incomes average PKR 260,000 (US$3,000) per year. The BACIP programme has increased employment and income, both in the towns and in remote villages. The programme employs about 60 people directly, and provides indirect employment to 35 entrepreneurs and 170 artisans, working in both towns and villages. Over 100 village resource people earn a small commission on each enquiry they follow up and PKR 200 (US$2.40) for each four-product package that they arrange to have installed.
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