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Grass Root Level. Hitesh Chittara Dhruv Lal. Gap Identification and Government’s role. Gaps. Government’s role. Low per capita income Lack of financing models Uncertain returns. Government subsidy Donors & funding agencies Help market set up which provides good returns on long term.
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Grass Root Level Hitesh Chittara Dhruv Lal
Gap Identification and Government’s role Gaps Government’s role • Low per capita income • Lack of financing models • Uncertain returns • Government subsidy • Donors & funding agencies • Help market set up which provides good returns on long term Finance • Lack of awareness at grass root level • Adaptability is slow • People are reluctant towards change • Govt. organizes awareness campaigns • Govt. associates with local communities to increase awareness • Free distribution of the innovation to let people know its benefit Awareness and Adaptability Infrastructure • Absence of infrastructure to support development of the innovation • Government facilitates transfer of technology by training programs • Rewarding the innovators Government’s dilemma
Government can help the innovator set up a market 1 2 3 DA DA I I I G D LC G D D G LC LC R/W R/W R/W 2 3 1 Development Growth
Government can provide financial support to the innovator • Providing assistance to the innovator on inputs (finance/ raw material, etc.) • Helps low income innovators to innovate cheaply • Increases adoption by lowering cost • Puts huge financial burden on the funding agency / government Direct Mode • Promoting the innovation, setting up distribution channels, awareness camps • Helps create sustainable impact by developing skills and creating employment opportunities • Creates awareness of the innovation among consumers Indirect • Helps bring down the cost of innovation • Can generate huge demand in a short period of time • Huge capital / funding requirement • Innovators get used to the high subsidy High Subsidy Value • Low capital requirement • May be insufficient in motivating innovators Low • Constant financial support to the innovator resulting in faster adoption • Virtually impossible to support with subsidies for a long time Full time Extent • Innovator learns to value the subsidy and keeps on improving • Financial burden on the govt. eases out gradually Phase out
Case-1: Clean and Efficient Cookstoves Traditional 3-stone fire Clean and Efficient cookstoves • Significantly reduces indoor air pollution • Increases the efficiency by ~ 40% • Increases employment opportunities • Saves time which is better spent in education and other productive work • Increases spendable income • Enhances status of the user • Women and children exposed to indoor air pollution • Lots of energy gets wasted • Fuel requirement is high, puts pressure on the poor • A lot of time is wasted in collecting fuel • Increases pressure on forests • Govt. provides easy loan schemes to innovators to set up commercial market for themselves • It assists with increasing awareness in nearby regions • It provides technical guidance on improvements • It rewards the innovator which increases his/ her motivation and reputation • It brings together the value chain to minimize cost of production
Case-2: Solar Mosquito Killer Problems with traditional chemical based mosquito repellents • Most of them need electricity so cannot be used everywhere • They use harmful chemicals that can have adverse effects on small children • Recurring cost very high Product: The device makes the use of the smell from the septic tank to attract the mosquitoes. Once trapped, the heat built up inside the device as a result of direct sunlight exposure, kills them Applications: It is a portable outdoor device; very useful for hospitals, gardens, schools, hotels, etc. Inventor Profile: Mathews K Mathew (45) hails from a very small village in Kerala and has little formal edu. Current Status: The product can be ordered online and is priced at Rs 1500 Patent: The device has been granted a patent