Asian Factories Starting to go Green

Media headlines have recently highlighted the growing air pollution crisis in Asia’s expanding cities. This is caused by a mix of factors – the growing number of vehicles, coal-powered factories, people burning dirty fuels to heat their homes, and poor enforcement of standards – and has severe consequences for human health. If it’s not tackled, more and more countries will see large rises in respiratory problems, cancers and early deaths from pollution-caused illnesses (http://www.nrdc.org/air/).

The World Health Organization (WHO) says air pollution is the world’s largest environmental health risk, killing 7 million people every year. Asia has the largest number of air pollution deaths in the world, with 3.3 million deaths linked to indoor air pollution and 2.6 million deaths related to outdoor air pollution (Clean Air Asia).

While most of the Asian countries where this is a problem are also aggressively growing their economies in order to get richer and raise living standards, there is a rising awareness of the need to balance a modern, industrial economy with human health and the environment.

One solution is to adopt green and sustainable building standards when constructing new factories. This is more than just a public relations exercise: the energy savings possible from building smart pay off in the long run. And green factories not only pollute less, they save lives and the environment.

Asia plays a critical role in producing the world’s consumer products, from the small and simple to the highly complex components used in 21st-century computing technologies.

Intel (intel.com), the manufacturer of electronic devices and the computer chips that go inside them, is trying to lead the way. It has built a US $1 billion manufacturing plant 16 kilometers outside Ho Chi Minh City, Vietnam, and it is designed to exceed Vietnamese environmental and sustainability guidelines and laws.

Opened in 2010, it boasts the country’s largest solar power system. It is also currently working on a water reclamation system to reduce water consumption at the plant by 68 per cent, according to The New York Times. It is hoping to receive certification from the US Green Building Council (usgbc.org).

It is all part of a wider trend that is starting to reverse the damaging, short-termist approach of the past. More and more Western multinationals and their Asian suppliers are building environmentally sound factories in the developing world.

According to the US Green Building Council, around 300 manufacturing facilities in Asia are either certified or are awaiting Leadership in Energy and Environmental Design (LEED) certification. The LEED certification recognizes the building has met certain standards in becoming a ‘green’ building.

Going green is more and more part of corporate policy for companies that want to avoid the bad publicity of disasters such as the garment factory collapse that killed 1,135 people in Bangladesh in April 2013.

But it is not just driven by a desire to avoid bad publicity: large corporations that build factories in the global South are also realizing there are big financial savings to be made.

Intel has been able to reduce its global energy costs by US $111 million since 2008. It did this by investing US $59 million in 1,500 projects to boost sustainability across its facilities worldwide. The projects have reduced carbon dioxide emissions equivalent to the amount produced by 126,000 American households per year.

Intel’s solar array in Vietnam, which cost US $1.1 million, offsets the equivalent of 500 pollution-belching motorbikes every day.

How effective are LEED-certified buildings? The New York Times reported that a 2011 survey compared a typical shoe factory with a LEED factory run by the American sport shoe maker Nike. It found the LEED factory used 18 per cent less electricity and fuel and 53 per cent less water.
And this trend is creating a new economy unto itself. As an example, a new marketplace for industrial efficiency upgrading is developing in India. Power outages are frequent in India, so finding a way to save electricity and alternatives to dependence on the national power grid is attractive to any economic enterprise.

Prashant Kapoor, principal industry specialist for green buildings at the International Finance Corporation (IFC), believes demand for upgrades is strong enough that various companies can specialize in this field and profit from it.

And things are also happening in the notoriously smog-choked cities of China. By the end of 2012, China had certified eight factories and 742 buildings as LEED, according to the China buildings programme at the Energy Foundation (ef.org) in San Francisco.

Damien Duhamel of Solidiance (solidiance.com), a firm that advises businesses on how to grow in Asia, believes avoiding risk caused by environmental accidents or scandals is heightened by the growing presence of social media, which amplifies negative publicity.

“The next battle will be here” for higher corporate environmental standards, Duhamel believes. “This is why some smart companies – Intel, for example – took the steps of being proactive.”

By David South, Development Challenges, South-South Solutions

Published: April 2014

Development Challenges, South-South Solutions was launched as an e-newsletter in 2006 by UNDP's South-South Cooperation Unit (now the United Nations Office for South-South Cooperation) based in New York, USA. It led on profiling the rise of the global South as an economic powerhouse and was one of the first regular publications to champion the global South's innovators, entrepreneurs, and pioneers. It tracked the key trends that are now so profoundly reshaping how development is seen and done. This includes the rapid take-up of mobile phones and information technology in the global South (as profiled in the first issue of magazine Southern Innovator), the move to becoming a majority urban world, a growing global innovator culture, and the plethora of solutions being developed in the global South to tackle its problems and improve living conditions and boost human development. The success of the e-newsletter led to the launch of the magazine Southern Innovator.  

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Baker Cookstoves – Designing for the African Customer

An innovative social enterprise is using design to create an energy-efficient cookstove for Kenya. By turning to an experienced Swedish architecture and design firm, the people behind the Baker cookstove wanted to make sure the stove’s design was as efficient as possible and relevant to the customers’ needs, while also making sure it is visually appealing and something a person would proudly want in their home.

The Baker cookstove (bakerproduct.com) has been designed to be a high-quality and desirable product that also accomplishes the goal of saving money for the user. This unique product is being developed and made at the company’s factory in Nairobi, Kenya.

Baker’s owner is Top Third Ventures Global (topthirdventures.com), a social-impact company registered in Kenya and founded in 2011 by American Lucas Belenky and Björn Hammar, a Swedish/Finnish entrepreneur. Their goal is to make sure that everyone in the developing world has access to an affordable, high-quality efficient cookstove.

While cooking is a daily necessity for billions of people, it is also costly and polluting. By switching to energy-efficient cookstoves, families can reduce the cost of cooking daily meals and, if the stove is designed right, cut the amount of pollution generated. One of the great obstacles to the take-up of energy-efficient cookstoves to date has been the absence of sustainable business models to sell and distribute them.

The Baker cookstove, designed as an aspirational product and backed up with a seven-year guarantee, hopes to change this dynamic. If things go to plan, the company hopes to significantly scale up its production based on customers wanting to have a Baker cookstove proudly on display in their home.

The Baker cookstove is the product of a deliberate attempt to use design and a well-thought-out production life cycle to create an item that is eye-catching, effective, and manufactured consistently to a high standard.

Designed by Claesson Koivisto Rune (http://www.ckr.se/), a Swedish architecture and design firm, the Baker cookstove is a sleek, round, modern stove and comes in eye-catching colors such as orange. It could easily fit in with other kitchen products in a high-end design shop. And that is the point: they want people to want the Baker cookstove.

Quality is key, and engineering and design teams constantly monitor the product and make adjustments to the cookstove as they receive feedback from customers.

The Baker cookstove is benefiting from new financing being made available through carbon credits, which its founders believe will bring big changes to the energy-efficient cookstove market over the next 10 years.

Baker’s chief executive, Lucas Belenky, told Southern Innovator magazine – this newsletter’s sister publication – about the thinking behind the Baker cookstove.

SI: What role does design play in the Baker cookstove social enterprise? At what stage did Top Third Ventures start to think through the production life cycle for the Baker cookstove? What did you feel was missing in the other cookstove models currently available on the market?

The Baker cookstove is the cornerstone of the social enterprise. Top Third Ventures is at its core a product company. There are different aspects to the business model to make it work (i.e. carbon credits and big data) but everything depends on the success of the Baker product. We started thinking through the production life cycle from the day the company was founded in late 2011. The Baker is designed for usability, aspirational value, and performance, prioritized in that order. The most important thing is that the Baker is easy to use and does not require its users to change their daily routines or cooking habits. Cooking cultures vary greatly across the developing world so it is important to understand exactly who your customer is and focus on meeting their requirements. When you have a product that is easy to use it needs to be desirable as well. Beyond the service provided, the product should make the customer feel good about themselves. Finally, the Baker cooks the same food with half the fuel and much less smoke.

The priorities seem reversed for other cookstove models on the market. Efficiency comes first, then the aesthetic design, and cultural conformity is last. Hyper-efficient cookstoves are great for health and the environment on paper but the benefits are not realized because widespread adoption isn’t achieved. Most products are imposed through a top-down approach instead of starting with the customer and designing the stove around them.

SI: Why did you choose to have the Baker cookstove designed by Claesson Koivisto Rune, a Swedish architecture and design firm? What were some of the challenges encountered when designing the product and the production life cycle? What advice do you have for other social enterprises looking to offer an appealing product to low-income households?

We wanted the Baker cookstove to be an aspirational product that you use as much because of the performance (less fuel and less smoke) as because it is beautiful. Claesson Koivisto Rune believed in our vision at a very early stage and I doubt we could have gotten where we are today without them. Challenges around the design mainly involve keeping the costs down. Our customers do not have a lot of disposable income so balancing affordability with performance and world-class design is tough.

For other entrepreneurs selling to low-income households my advice is identify your customer, listen to them, and never stop listening. This is obvious to most businesses but for social enterprises sometimes the grant organizations or other dispersers of donor funding become the customer without you noticing.

Finally, often just because the consumer is in a developing country, enterprises neglect aesthetic appeal and branding. Do not do this. Your consumer behaves for the most part like their counterpart in the developed world. They want products that look nice and make them feel good.

SI: What role is information technology playing in the Baker cookstove’s development? How do mobile phones help with reaching customers in Africa? How does offering software products such as Top3Tracker help Baker cookstoves?

Information technology has a huge impact in decentralized areas because it enables cheap flow of information. For Top Third Ventures it allows us to track our sales in real-time, communicate with current and future customers instantly, and gain valuable insights about how to improve the sales pitch and marketing strategy. The Baker cookstoves also depends on carbon finance, which requires a dialogue with current customers to ensure the usage of the cookstove is accurately measured. Information technology such as our Top3 Tracker significantly reduces the cost of accessing carbon finance.

SI: It is said an innovator is somebody who disrupts existing products and ways of doing things. How is Top Third Ventures innovating and disrupting the current approach to energy-efficient cookstove distribution?

We hope to change the way products for low-income households are designed, marketed, and sold. Top Third Ventures’ Baker cookstove embodies our conviction that these products should be customer-centric, have aspirational value, and conform to local cultures. The success of our product will show that consumers in the developing world want the same thing as their counterparts in developed countries.

Top Third is a partner of the Global Alliance for Clean Cookstoves (cleancookstoves.org).

Lucas Belenky from Top Third Ventures Global.

The Baker cookstove by Claeson Koivisto Rune.

By David South, Development Challenges, South-South Solutions

Published: December 2013

Development Challenges, South-South Solutions was launched as an e-newsletter in 2006 by UNDP's South-South Cooperation Unit (now the United Nations Office for South-South Cooperation) based in New York, USA. It led on profiling the rise of the global South as an economic powerhouse and was one of the first regular publications to champion the global South's innovators, entrepreneurs, and pioneers. It tracked the key trends that are now so profoundly reshaping how development is seen and done. This includes the rapid take-up of mobile phones and information technology in the global South (as profiled in the first issue of magazine Southern Innovator), the move to becoming a majority urban world, a growing global innovator culture, and the plethora of solutions being developed in the global South to tackle its problems and improve living conditions and boost human development. The success of the e-newsletter led to the launch of the magazine Southern Innovator.  

Follow @SouthSouth1

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Tackling China’s Air Pollution Crisis: An Innovative Solution

China reached an undesired landmark in 2013. While the country’s impressive economic growth has amazed the world, it has come at a price: pollution. China recorded record levels of smog in 2013, with some cities suffering air pollution many times above what is acceptable for human health.

This is evidence of the perils of rapid industrialization using non-green technologies. China relies on coal burning, a highly polluting resource, for 70 to 80 per cent of its electricity. It also uses coal for factories and winter heating.

Burning coal causes smog, soot, acid rain, global warming, and toxic air emissions (http://www.ucsusa.org/clean_energy/coalvswind/c01.html). Environmental group Greenpeace claims 83,500 people died prematurely in 2011 from respiratory diseases in Shandong, Inner Mongolia and Shanxi – the top three coal-consuming provinces in China.

Anyone visiting Beijing or other Chinese cities will notice the high levels of smog and how this interferes with access to sunshine and curbs visibility. Worse still for human beings and the environment, this level of pollution causes severe respiratory problems, and has the potential to cause a rise in cancer rates, among other health problems.

Beijing had record pollution levels in January 2013. That haze, according to China’s Ministry of Environmental Protection, covered 1.43 million square kilometers.

Generated by industry and coal-fired power stations, particulate matter (http://www.epa.gov/pm/) or PM, is a complex mix of extremely small particles and liquid droplets. Particle pollution is made up of a number of components, including acids (such as nitrates and sulfates), organic chemicals, metals, and soil or dust particles.

In October 2013, Beijing announced a series of emergency measures to tackle the record high levels of pollution and smog (http://edition.cnn.com/2013/10/23/world/asia/china-beijing-smog-emergency-measures/index.html). The Heavy Air Pollution Contingency Plan uses a color-coded warning system if serious pollution levels occur in three consecutive days. This means kindergartens, primary and middle schools will need to stop classes. Eighty per cent of government cars must come off the roads and private cars can only enter the city on alternate days based on a ballot system. Emergency measures will come into play when the air quality index for fine particulate matter, called PM2.5 (http://www.epa.gov/pmdesignations/faq.htm#0) – very fine particles that lodge in the lungs and are very harmful to human health – exceed 300 micrograms per cubic meter for three days in a row. According to the World Health Organization (WHO), the safe limit for human beings is 20 micrograms (http://www.who.int/mediacentre/factsheets/fs313/en/).

The only serious, long-term solution is to switch to non or low-polluting green energy sources. But, meanwhile, some are coming up with stop-gap measures that also help to educate people about the necessity to do away with this major threat to human health.

Dutch designer Daan Roosegaarde (studioroosegaarde.net) thinks he has a temporary solution to the pollution problem – a “vacuum cleaner” to clean up the sky. And the city of Beijing is taking the solution seriously.

The proposed technology works like this: a system of buried coils of copper produce an ion electrostatic field that attracts smog particles. The particles are magnetized and are drawn downwards, creating a gap of clean air above the coil.

Called the Smog project, it is already under discussion with the mayor of Beijing. An animation video explains how it works: http://studioroosegaarde.net/video/the-smog-project/.

Talking to CNN, Roosegaarde likened the science behind the invention to what happens when “you have a balloon which has static (electricity) and your hair goes toward it. Same with the smog.”

In a deal with the Beijing city government, the technology will be tested in the city’s parks.

Roosegaarde has successfully tested the technology indoors and found it worked in the experiment.

He told CNN: “Beijing is quite good because the smog is quite low, it’s in a valley so there’s not so much wind. It’s a good environment to explore this kind of thing.”

“We’ll be able to purify the air and the challenge is to get on top of the smog so you can see the sun again.”

Roosegaarde thinks that successfully running the experiment in a Beijing park makes a radical statement and shows the benefits of breathing clean air and being able to see the sun on most days.

But he is not deluded that this is the final solution for pollution: “This is not the real answer for smog. The real answer has to do with clean cars, different industry and different lifestyles.”

With many people resigned to the pollution, at least for now, China’s entrepreneurs are making the face masks and air filters people wear to protect their lungs from the pollution more fashionable and appealing to look at, the South China Morning Post reported.

Xiao Lu, a saleswoman at Panfeng Household Products, explained the varying fashion tastes in masks: “Young people tend to like bright colors. Men prefer blue or black masks. Right now, UV proof masks are popular.”

Lu told the newspaper that customers make their decisions based on comfort and price.

Popular brands include Respro (http://respro.com/), Totobobo (totobobo.co.uk) and 3M9010 (http://solutions.3m.com/wps/portal/3M/en_US/3M-PPE-Safety-Solutions/Personal-Protective-Equipment/Products/Product-Catalog/?N=5022986&rt=c3).

But, why not just move out of cities and avoid breathing bad air? Things are not that simple from an economic perspective. The South China Morning Post quoted Rena from Urumqi in China’s western Xinjiang province, who came to Beijing for the better job opportunities.

“Going back to Urumqi means less job opportunities and the air is not necessarily better,” she said. “Staying in Beijing means wearing a mask most days. It’s not very comfortable.

“But I can’t cover my face forever,” she said. “I’d prefer to live in a cleaner environment."

Read more about the harm caused by air pollution and what can be done here: What Are The Causes of Air Pollution and What Can We Do To Prevent It? 

By David South, Development Challenges, South-South Solutions

Published: December 2013

Read more about the impact of air pollution on human health in Beth Gardiner's Choked: The Age of Air Pollution and the Fight for a Cleaner Future (Granta, 2019). 

Beth Gardiner shows off the first galley proof of Choked on Twitter.

Development Challenges, South-South Solutions was launched as an e-newsletter in 2006 by UNDP's South-South Cooperation Unit (now the United Nations Office for South-South Cooperation) based in New York, USA. It led on profiling the rise of the global South as an economic powerhouse and was one of the first regular publications to champion the global South's innovators, entrepreneurs, and pioneers. It tracked the key trends that are now so profoundly reshaping how development is seen and done. This includes the rapid take-up of mobile phones and information technology in the global South (as profiled in the first issue of magazine Southern Innovator), the move to becoming a majority urban world, a growing global innovator culture, and the plethora of solutions being developed in the global South to tackle its problems and improve living conditions and boost human development. The success of the e-newsletter led to the launch of the magazine Southern Innovator.                      

Follow @SouthSouth1

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Two-stroke Engine Pollution Solution

Cities across the South choke on the pollution made by the small two-stroke engines (http://www.howstuffworks.com/two-stroke.htm) powering motor scooters, motorcycles, auto rickshaws, tuk-tuks and other vehicles. People choose these vehicles to get around because they are cheap, powerful and easy to fix. But the environment – and human health – suffers as a result. And as cities balloon and populations grow, the number of journeys and two-stroke engines grows with it.

In large cities across Asia, 1 million three-wheeled auto-rickshaws form an important means of daily transportation, and a source of income for their drivers. And the Asian Development Bank estimates there are over 100 million vehicles using two-stroke engines in Southeast Asia. But these vehicles cause serious air pollution and emissions of carbon dioxide (CO2), which contributes to global warming.

Because two-stroke engines burn an oil-gasoline mixture, they also emit more smoke, carbon monoxide, hydrocarbons and particulate matter than the gas-only, four-stroke engines found in newer vehicles.

In the Philippines, auto rickshaw drivers are pioneering specially adapted two-stroke engines that reduce particulate emissions by 70 percent and carbon dioxide emissions by 76 percent.

Tim Bauer, the 31-year-old American mechanical engineer who developed the technology, said auto rickshaws “play an essential role in the social and economic fabric. But their impact on public health is disastrous.”

Motorized tricycles produce an astonishing amount of pollution: each one is equivalent to 50 cars. In Bangkok, Thailand, two-stroke engines contribute 47 percent of pollution particulates in the air.

The World Health Organization (www.who.org) ranks urban outdoor air pollution as the 13th greatest contributor to disease burden and death worldwide. It has been estimated that the air pollution leads to the deaths of more than half a million people a year. About two-thirds of the residents of Delhi and Calcutta suffer from respiratory symptoms such as common cold and dry and wet cough, much of this caused by two-stroke engine emissions.

Two-stroke engines are highly inefficient users of fuel: up to 40 percent of the fuel and oil goes out of the exhaust pipe unburned. This exhaust is packed with oxides of carbon, nitrogen, sulphur, hydrocarbons and fine dust – all toxic contributors to air pollution.

But the attraction of these engines remains strong. “They are powerful, simple, reliable and robust,” said Bauer, “and spare parts are easy to find. They also have a long lifetime.”

Bauer faced some strict constraints in developing the technology.

“It had to substantially reduce emissions without impairing the engine’s performance. It had to be installed without machining the engine crankcase, and with only a basic tool set. Of course, it also had to be affordable for Filipino drivers.”

Using off-the-shelf components, Bauer developed a kit that turns two-stroke engines into fuel-injection machines. This adjustment reduced particulate emissions by 70 percent and carbon dioxide emissions by 76 percent. He now sells the kits through Envirofit, a non-profit organization (http://www.envirofit.org/). It has been pilot tested at two Filipino holiday resorts, Vigan and Puerto Princesa.

Auto-rickshaw drivers tend to be poor and earn on average US $3 to US $4 a day. The cost of fitting vehicles with Bauer’s new technology is met by microcredit.

“Drivers earn money daily, so it’s easy for them to pay back their loan, and 90 percent of them do it in less than a year,” he said. Over 260 taxi drivers have already installed the new kit.

“These drivers are at the base of the economic pyramid and these tricycles are a testament to their ingenuity and work ethic. At the end of the day, we can improve their lives with a cylinder head, a few brackets and, of course, hard work.”

Bauer pioneered his solution while working on fuel injection in snowmobiles at the Engines and Energy Conservation Lab at Colorado State University. He started to market the solution in Asia in 2004. Bauer has won a Rolex Award for Enterprise to pay for the distribution of the kits throughout Asia.

There is, of course, another solution: an outright ban or measures to push the vehicles off the road. In the Philippines’ San Fernando City, economic incentives were what drove the transition from two-stroke to four-stroke (less polluting) tricycles. In 2001, three-quarters of the city’s 1,600 registered tricycles ran on two-stroke engines. But after a city council mandate to totally phase out the vehicles by 2004, and offers of interest-free loans for down-payments on four-stroke models, more than 400 four-stroke tricycles had replaced the older two-stroke models.

When Bangkok toughened up vehicle inspections and emissions standards in 2000, two-wheelers made up over 96 percent of the city’s traffic. But by March 2004, they made up only 40 percent, according to Supat Wangwongwatana, deputy director general of Thailand’s Pollution Control Department.

By David South, Development Challenges, South-South Solutions

Published: December 2008

Read more about the impact of air pollution on human health in Beth Gardiner's Choked: The Age of Air Pollution and the Fight for a Cleaner Future (Granta, 2019). 

Beth Gardiner shows off the first galley proof of Choked on Twitter.

Development Challenges, South-South Solutions was launched as an e-newsletter in 2006 by UNDP's South-South Cooperation Unit (now the United Nations Office for South-South Cooperation) based in New York, USA. It led on profiling the rise of the global South as an economic powerhouse and was one of the first regular publications to champion the global South's innovators, entrepreneurs, and pioneers. It tracked the key trends that are now so profoundly reshaping how development is seen and done. This includes the rapid take-up of mobile phones and information technology in the global South (as profiled in the first issue of magazine Southern Innovator), the move to becoming a majority urban world, a growing global innovator culture, and the plethora of solutions being developed in the global South to tackle its problems and improve living conditions and boost human development. The success of the e-newsletter led to the launch of the magazine Southern Innovator.  

Follow @SouthSouth1

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