AIDG

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AIDG

• Appropriate Infrastructure Development Group
• Sustainable Solutions
• to the Infrastructure
• Needs of the Rural Poor

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Overview

• Mission
• Method
• Motivation
• Technologies
• Xela Teco
• Our Partners

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Mission

• AIDG seeks to increase the use of appropriate
  technologies in developing countries through
  education, training, outreach, and business
  incubation

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Appropriate Technology Affordable
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Appropriate Technology Environmentally Sound
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Appropriate Technology Repairable
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Our Method
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A Business Model to Create Change

• Market based development strategy
• Spreads appropriate technology solutions through
  incubation of small employee-owned businesses
• After 3 yrs, business is transitioned to a
  worker-owned cooperative

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Assistance to Workshop

• Financial Assistance
• Seed capital
• Community exposure through grant supported and
  pre-negotiated projects
• Material Equipment Procurement
• Business Planning
• Market Analysis
• Client Procurement
• Financial planning

Fine casting sand, power tools
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Assistance to Workshop

• Technical Assistance
• Access to Technology, Training, Product
  Development, Quality Control, Good Manufacturing
  Practices
• Computer training, Web development

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Model Sustainability

• Post-incubation temporary agreements
• Profit-sharing agreement 10 of profits incubate
  next AIDG business
• Sole product distribution rights in N. Amer,
  Europe, Japan
• Previous workshops help AIDG techs to train new
  workshop employees

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Motivations
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Cuba Experience I.

• 2 pig farms about 20 miles outside of Havana
• Farm A. One with a biodigester for treating pig
  excrement
• Farm was clean with an uncontaminated source of
  well water.
• Biogas used for lighting, a stove and a hot water
  heater.
• The fertilizer bolstered the productive capacity
  of soil.
• Tree cover maintained

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Cuba Experience II.

• Farm B. No biodigester
• Pig excrement contaminated the nearby water
  source
• Inefficient wood fires which created a good deal
  of smoke
• Most of the surrounding trees were cleared.
• Cost of kerosene for lighting
• Issue Nowhere Farmer B could purchase this
  technology

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Sustainable Development

• Sustainable development is development that
  meets the needs of the present without
  compromising the ability of future generations to
  meet their own needs
• The Brundtland Commission, Our Common Future
  (Oxford Oxford University Press, 1987).

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Sustainability Triangle Economic Development
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Sustainability Triangle Ecologic Integrity
Creation of small scale foundry for casting
recycled aluminum
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Sustainability Triangle Equity
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Our Technologies
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Biodigester
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Windmill
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Micro-hydroelectric
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Water
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AIDG in Guatemala
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• 08/2005 AIDG began training at its 1st
  manufacturing facility.
• Team 10 engineering, electrical, metal-working
  specialists
• 2008, Xela Teco will transition into a
  worker-owned cooperative

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Quetzaltango, Guatemala
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Guatemala AssessmentElectricity Water

• Electricity
• 50 non-electrification rate among rural
  villages
• Households using trad alternatives for lighting
  pay about 80 times the price of electricity.
• Water
• 50 rural households no access to water
  service use natural sources
• 75 of home w/ piped water, buy bottled or treat
  water
• Lack of access to clean water major contributor
  to lt5 mortality

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Guatemala Assessment Cooking

• Liquid propane gas (LPG) most common
• in urban areas.
• Firewood is used more often in rural locales
• Purchased firewood is also common costs more
  than LPG
• Cooking with biomass fuels (e.g.
• wood, dung, etc.) is linked to
• acute respiratory tract infections,
• particularly in children.

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Guatemala Assessment Sanitation in Animal
Husbandry

• Most common solutions
• Construction of pigpens near rivers or creeks
• Use of PVC pipe to transfer waste to a river or
  creek
• Daily collection of manure
• Creation of a waste lagoon in a field.

Waste Lagoon
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Opportunities provided by Guatemalan Law

• Law of Promotion of New and Renewable Sources of
  Fuel
• Compels the Bank of Guatemala to offer a credit
  line for the financing of certain renewable
  energy projects
• Article 129 of the Constitution declares the
  country's electrification a national urgency
• Electricity Law (Decree 93-96) of 10/06/96
  de-monopolized the energy sector opened it to
  full private-sector participation.

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Local Partner CEDEPEM

• Experimental rural technology development
  organization
• Largest development agency in Xela
• Has done significant greenhouse water pump
  projects with EU support.
• AIDG installed 2 windmills at CEDEPEM
  demonstration centers in Rancho de Teja and
  Chichaclan

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Recruiting
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Starting the Business

• Starting a corporation was prohibitively
  expensive
• 1200, mostly notary public fees
• Compared to 50 in Massachusetts
• Started Xela Teco as a sole proprietorship
• 300

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Changes in Wages by Sector (1990-1999)
Source World Bank, 2001
17.5Q 3000Q 400 1000Q133
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Existing Protection for Workers in Guatemala

• Living Wage
• IGSS
• Social Security
• Health Insurance
• Workers Compensation

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Potential Customer Base

• Advantage low cost products, installation
  repair/maintenance services
• Infrastructure development NGOs
• Public institutions
• Large farming operations
• Private contractors
• Private individuals

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Barriers to Uptake

• Lack of knowledge of technologies
• Ease of use
• Cultural practice or other needs
• Wood fire energy, warmth, light
• Pricing
• Significant efforts to make base products
  affordable to an individual rural family using a
  micro-loan
• HPDE biodigester, high efficiency stove, ram pump
• Typical micro-loan about 70

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The Xela Teco Team
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Our Partners
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Casa Guatemala
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Biodigester Project
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Comunidad Finca Nueva Alianza
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Biodigester Project
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Rancho de Teja Chicaclan
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Windmill Projects
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For more information

• AIDG
• www.aidg.org
• info_at_aidg.org
• Appropriate technologies
• www.aidg.net
• Xela Teco
• www.xelateco.com