Global South Experiencing Transportation Revolution

Away from the news headlines, a quiet revolution has been taking place in public transportation across the global South. As cities have expanded and grown, they have also been putting in place public transport systems to help people get around and get to work.

One proven, efficient way to move large numbers of people quickly through dense urban areas is to use underground subway or metro systems. Subway systems have a profound effect on local economies and wealth creation. They allow people to quickly cover distances that may once have meant hours stuck in traffic. Once people can move around a city quickly and over large distances, they can change how they work, shop, enjoy themselves. It allows people living in poor outlying neighbourhoods to travel to jobs in the city centre, improving their income prospects.

As many countries in the global South have enjoyed healthy growth rates despite the global economic crisis, and with the global financial system being flooded with stimulus funds to spur growth, the resources have become available to invest in expensive and long-term public transport solutions such as metro systems. Another factor is the scale of urbanization in the global South, which is driving governments to turn to new solutions that will help in avoiding the mistakes made in the past.

The world’s first urban underground railway system was built in 19th-century London, England. It was the product of a country that had been experiencing rapid, large-scale industrialization and urbanization unseen before in human history. Since then, the now 150-year-old London Underground (http://www.tfl.gov.uk/modalpages/2625.aspx) has acted as the arteries coursing through the city’s economic body, criss-crossing the city and delivering millions of people to work and play every day. It is now impossible to imagine Britain’s economy functioning without this efficiency tool.

Now, as the global South engages in the greatest urbanization project in human history, more cities are turning to underground metro systems to keep people, and the economy, moving. Lessons have been learned from the first generation of global South cities, which expanded rapidly in the 1960s, 1970s and 1980s. Many became quickly clogged in traffic and cloaked in pollution, and saw economic opportunity and social mobility slowed down as a consequence.

Three of the biggest metro systems in the world are now in China – Beijing, Shanghai and Guangzhou (The Economist). Beijing (http://www.explorebj.com/metro/) has a metro system stretching 442 kilometres and is used every day by 5.97 million people. By 2020, Beijing is hoping to boast 1,000 kilometres of metro network in the city. In Shanghai (http://www.shmetro.com/EnglishPage/EnglishPage.jsp), the 423 kilometre metro system carries 5.16 million people every day, while Guangzhou (http://www.gzmtr.com/en/) carries 4.49 million people a day.

From the 1960s, the building of metros increased around the world. More than 190 cities now have metro systems. In China, Suzhou (http://www.livingsu.com/guide_detail.asp?id=7), Kunming (http://www.urbanrail.net/as/cn/kunming/kunming.htm) and Hangzhou (http://www.urbanrail.net/as/cn/hang/hangzhou.htm) opened metro systems in 2012. Elsewhere in the global South, Lima in Peru and Algiers (http://www.metroalger-dz.com/) in Algeria recently acquired new metro systems. This means Africa now has two cities with metro systems – Algiers and Cairo in Egypt.

In India, Bangalore opened a metro system two years ago and Mumbai is close to finishing its metro. Bhopal and Jaipur also plan to build metros. In Brazil, the metros in Sao Paulo and Rio de Janeiro are being expanded and new systems are being built in Salvador and Cuiaba. In the Gulf states of the Middle East, Dubai (http://dubaimetro.eu/) opened a system in 2009 and Mecca (http://meccametro.com/) in Saudi Arabia in 2010. Abu Dhabi, Doha, Riyadh and Kuwait City are also working on building metro systems.

Paraguay’s capital, Asuncion, is working on one, as is Kathmandu in Nepal. Jakarta in Indonesia has attempted to build an underground metro several times and is now trying to getting one built.

But how are many of these countries funding this splurge on metro systems? According to Roland Berger Strategy Consultants (rolandberger.co.uk), global government stimulus programmes to fight the current financial crisis have increased available funding for rail systems. There are also increased resources available for transport solutions that avoid the high pollution rates that come with automobiles.

According to Mass Transit Magazine, China is using domestic consumption and increasing urbanization to spur economic growth and is hoping to increase investment in metro systems in the country by 10 per cent per year.

The target is to spend 280 billion yuan to 290 billion yuan (US $44.91 to US $46.51 billion) on metro systems in 2013, up from 260 billion yuan in 2012.

The knock-on economic boost will be felt by domestic businesses as trains and train systems are purchased. It is estimated sales of Chinese-made trains will go from 10.9 billion yuan in 2012 to 28 billion yuan by 2017.

All this new building will expand the country’s metro lines by 846 kilometres in 24 cities.

Ten Chinese cities are expecting soon to receive permission to begin work on building new metro systems: Xian, Tianjin, Chongqing, Chengdu, Hangzhou, Ningbo, Kunming, Tsingdao, Wuxi and Dongguan.

In 2013, 12 Chinese cities will complete new metro systems including Harbin, Changsha, Ningbo and Zhengzhou.

If this trend continues and expands, then the future cities of the global South could be modern, urban places that raise living standards, while avoiding damaging human health with environmental pollution and over-crowding and social exclusion.

By David South, Development Challenges, South-South Solutions

Published: February 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.  

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Global South’s Middle Class is Increasing Prosperity

The global middle class is on the rise – and this is creating both challenges and opportunities. As poverty rates have come down across the global South, many countries have seen a rise in the proportion of their population categorized as “middle class”. Globally, being middle class is defined as a person able to consume between US $4 a day and US $13 a day (ILO).

According to the Organization for Economic Cooperation and Development (OECD), most of this growth will be in Asia and the region will soon make up 66 per cent of the world’s middle class. Historical experience shows that members of the middle class quickly become absorbed in spending their accumulated capital on housing, equipment, industry and business, health and education. In countries with a growing middle class, policy makers need to show a strong interest in creating stable economic conditions to encourage this expanding consumption and domestic demand, the OECD advises.

Growth of the world’s middle class took off after 2001, with an additional 400 million workers joining this group. The McKinsey group of consultants found the total number reached 2 billion in a dozen “emerging nations” in 2010, collectively spending US $6.9 trillion every year (McKinsey).

Forecasters predict a further increase in the middle class across the global South will bring with it a surge in consumption (a combination of spending and demand). Areas being highlighted by various studies and reports include China’s small and mid-size cities, other areas of East Asia and Africa.

Middle class spending in these dozen emerging nations could reach US $20 trillion during the next decade – twice the amount of consumption occurring in the United States right now (McKinsey).

The result is a re-shaping of populations, with growing numbers of people now neither rich nor desperately poor, but landing in the middle of the income distribution.

And local competitors in the global South are fighting hard for these consumers on their own turf.

The Hangzhou Wahaha (http://en.wahaha.com.cn/) beverage maker in China has been able to compete against multinationals such as Coca-Cola and PepsiCo, according to McKinsey. It has turned itself into a US $5.2 billion business using a multi-pronged strategy: targeting rural areas, catering to local needs, keeping costs low and positioning itself as the patriotic choice.

And this change is also occurring in Africa, where a growing middle class is fuelling sales of refrigerators, television sets, mobile phones, motors and automobiles across the continent, according to the OECD. In Ghana, for example, car and motorcycle ownership has risen by 81 per cent since 2006.

According to the African Development Bank (AfDB), Africa’s middle class has reached 34 per cent of the population, or 350 million people. In 1980, it was 126 million people, or 27 per cent of the population.

Countries with the largest middle classes in Africa include Tunisia and Morocco, while Liberia and Burundi have the smallest number of people in the middle class.

The economic growth that is fuelling this middle-class surge is coming from a combination of increasing investment in the services sector, the tapping of the natural resource sector and better economic policies in the past two decades. Africa’s middle class is driving growth in the private sector and boosting demand for goods and services, most often also provided by the private sector.

“The liberalization of African economies has resulted in improved efficiencies and led to a rapid growth in the service sector, which has spurred the growth of the middle class,” Lawrence Bategeka, a principal researcher at the Uganda-based Economic Policy Research Centre, told The East African newspaper.

How important the middle class is to increasing consumption levels can be seen in the cases of Brazil and South Korea.

According to the OECD, both countries had similar income levels and growth rates in the 1960s. But by the 1980s, high income inequality in Brazil capped the middle class at 29 per cent of the population. In South Korea in the 1980s, the middle class population reached 53 per cent. This larger middle class population enabled South Korea to switch from an export-driven growth strategy to domestic consumption.

While Brazil wasn’t able to do this at the time, it has since made impressive gains in reducing poverty – from 40 per cent of the population in 2001 to 25 per cent in 2009. This has seen the middle class grow to 52 per cent of the population and boosted domestic consumption.

While a rising middle class in the global South is good news for improving human development and living standards, the OECD found much of the new middle class was vulnerable and could easily slip out of that category. They also often lacked enough income to purchase more expensive durable goods such as automobiles (OECD Yearbook 2012).

The success of this fragile but growing middle class will be key to how well the global economy fares in the coming years.

A new report by the UN’s International Labour Organization (ILO) argues that the global South’s growing middle classes are just the thing to spur growth across the wider world economy.

“Over time, this emerging middle-class could give a much needed push to more balanced global growth by boosting consumption, particularly in poorer parts of the developing world,” said Steven Kapsos, one of the authors of the report.

In Indonesia, an example of the economic impact of the middle class trend in action can be seen in the surging life insurance business.

Association of Indonesian Life Insurance Companies (AAJI) chairman Hendrisman Rahim believes the growing middle class are potential customers for the country’s thriving life insurance industry.

“They are the ones who have the need to be insured and can afford to purchase a policy. Extremely rich people are financially capable [of buying], but may not have the need. Extremely poor people have the need, but require financial assistance to be insured,” he said to the Jakarta Post.

As the Indonesian middle class increases, the life insurance industry is expecting to see revenue rise by 30 per cent in 2013.

By David South, Development Challenges, South-South Solutions

Published: February 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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New Cities Offering Solutions for Growing Urban Populations

Across the global South, new cities are being dreamed up by architects, city planners and governments, or are already under construction. Two new urban areas being built offer lessons for others in the global South. They both deploy intelligent solutions to the combined demands of urbanization, growing populations and rising expectations.

An eco city in China and a smart city in the Republic of Korea are tackling today’s – and tomorrow’s – challenges.

A joint initiative between China and Singapore, the Sino-Singapore Tianjin Eco-City project (tianjinecocity.gov.sg) – located on reclaimed land some 45 kilometres from the booming Chinese city of Tianjin and 150 kilometres from Beijing – is an attempt to create a replicable model for other cities in China and the global South. Already well underway, with the first phase of construction nearly complete, the Eco-City’s hallmarks include encouraging walking, reducing reliance on private vehicles and aiming to generate 20 per cent of the city’s energy from renewable sources. It is run from the Chinese end by Tianjin TEDA Investment Holding Co., Ltd and in Singapore by the Keppel Group.

It is located 10 kilometres from the Tianjin Economic Technological Development Area (TEDA), a fast-growing high-tech business hub in its own right.

Called an “integrated work, live, play and learn environment,” it is a mix of public and private housing based on the highly successful model developed in Singapore.

The concept of an “eco city” was first raised by Richard Register in his 1987 book Ecocity Berkeley: Building Cities for a Healthy Future. It was to be a place that minimizes inputs of energy, water, and food and outputs of waste heat, air pollution, carbon dioxide, methane and water pollution. Like smart cities, eco cities are taking shape in various forms around the world. Some are applying the concept and principles of an eco city to an existing place, while others are being built from scratch.

The Tianjin Eco-City is a mix of elements designed to make it sustainable in the long-term. It includes an “EcoValley” running through the development as its centrepiece green space to encourage walking and cycling between the major centres of the city. It has the usual urban services – from schools to shops and restaurants – but also, critically, a growing range of business parks to support employment.

Unlike green initiatives in wealthy, developed countries, it is hoped the Tianjin Eco-City will prove a more relevant model for the global South. It has factored in the need to make an eco city pay its way and generate new business and innovations. It is trying to address the pressing urgency of China’s growing population and rapid urbanization, while balancing people’s expectations of rising living standards. As in other countries in the global South, people aspire to a higher standard of living and this needs to be taken into consideration when planning eco cities.

Ho Tong Yen, Chief Executive Officer of Sino-Singapore Tianjin Eco-City, says its aim is “sustainable development packaged in a way that is uniquely Asian.”

He says the project is intended to be “practical, replicable and scalable.”

“Practical at its core is building something that the market can support, something that is affordable given the economic development of the region,” he said. “The idea is that this model must be one that is replicable and scalable in other parts of China. Now, strictly speaking, there is no reason it needs to be just for China – it really might be replicable in other developing countries as well. Our starting point, however, is to find a model that might work for China.

“I think it is still a work in progress – a bold experiment – and it is a long-term experiment. The idea is to create an eco city that can support a population of 350,000 over a 10 to 15 year horizon.

“In some ways it is a city that does not look all that much different from other Chinese cities. But if you look at the subtleties – the building orientation, the renewable energy, the transit oriented developments, the walkability concepts – these are all the elements we built into this project.

“An eco city is not necessarily a science-fiction-like concept; it is something that is very real, very do-able. It looks a lot like a normal city – it is not a special city in a glass dome.”

The explosion in information technologies in the past decade has re-shaped the way cities can be planned, run and developed. The connectivity brought about by now-ubiquitous electronic devices such as mobile phones and the ever-expanding information networks connected by fibre optic cables is giving rise to so-called “smart cities.” These urban areas draw on information technologies to use resources more efficiently and reduce waste, while – it is hoped – better serving the needs of residents. Real-time information can be gleaned to monitor energy use, or traffic congestion, or crime, while constant online connectivity enables the efficient delivery of a multitude of services to residents.

Smart cities vary in their scope and ambition. Some are existing urban areas given a modern upgrade, while others, such as the Songdo International Business District (IBD) (songdoibd.com) smart city in the Republic of Korea, are planned and built from scratch.

Built on 1,500 acres (607 hectares) of reclaimed land from the Yellow Sea in Incheon, Songdo International Business District is being built by Gale International and POSCO E&C of Korea. It is considered one of the largest public/private real estate ventures in the world. Due to be completed in 2017, it will be home to 65,000 people (22,000 currently live there), while 300,000 people will commute in daily to work. Fifteen years in the making and costing over US $35 billion, it is called a “synergistic city” because it contains all the elements necessary for people to live a high-quality life.

Currently 50 percent complete, Songdo IBD is considered one of Asia’s largest green developments and a world leader in meeting LEED (Leadership in Energy and Environmental Design) (https://new.usgbc.org/leed) standards for green buildings. For example, it has the first LEED-certified hotel in Korea, the Sheraton Incheon. These high green standards have led to the United Nations Green Climate Fund Secretariat establishing its headquarters in Songdo, with a slated opening in 2013.

Songdo is “smart” because information technology connects all its systems – residences, buildings, offices, schools, hospitals, hospitality and retail outlets. This includes more than 10,000 Cisco TelePresence units (http://www.cisco.com/en/US/products/ps7060/index.html) – menu-driven video screens – being installed in the residences to connect them to all the services available in Songdo.

It also benefits from proximity to Incheon International Airport – consistently voted one of the best in the world – giving residents quick access to other Asian cities such as Shanghai, Tokyo and Hong Kong. This connection between urban development and a highly connected airport is being called an “aerotropolis.”

Songdo smart city is just one part of a massive regional development plan, using reclaimed land from the sea and marshlands. The residential and business developments are all being linked to IncheonInternationalAirport, which is being positioned as a transport hub and gateway to Northeast Asia – it boasts of being a three-and-a-half hour flight to one-third of the world’s population. The idea is to create a thriving international business hub that is a short flight away from Asia’s booming and fast-growing economic centres.

“The beauty is you are doing everything from scratch – you are using newer building technology, newer systems,” said Scott Summers, Vice President of Foreign Investment for developers Gale International Korea LLC.

“You are not going into a city and ripping up old things and then put in new systems. You have a greater opportunity to install this technology, the backbone (information technology from Cisco), to allow these services and connectivity to work properly because you are laying wires in buildings from the get-go rather than going in afterwards.”

Summers believes it is the high-tech component of Songdo that will set it apart from other cities in the future. Songdo is being built with a combination of innovative sustainable development technologies and the latest in information technologies provided by Cisco.

“That is one of the reasons we are pushing this technology, because it is how a city operates that is important,” Summers said.

“The operation of a city, to do it well, is going to improve the success of it. (To) embed into the development of the city some of the technologies of sustainable development – to put in the pneumatic waste system, grey water system, the co-generation – all of those things are much easier to do on raw land.”

Sojeong Sylvia Sohn, owner of Songdo’s Kyu, a Korean fusion cuisine restaurant, was attracted to Songdo and is banking on its future growth.

Sohn said Seoul’s “existing commercial area was just saturated.”

“SongdoInternationalCity in Incheon is the future for the region and early business tenants are coming here for investment purposes. It has uncluttered streets and modern buildings, being an international city – this makes it attractive.”

By David South, Development Challenges, South-South Solutions

Published: December 2012

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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Global South Urbanization Does Not Have to Harm Biodiversity

How to balance fragile ecosystems with rapid urbanization will be the challenge for planners and governments across the global South in the coming years. The urbanization trend is clear: the world’s total urban area is expected to triple between 2000 and 2030, with urban populations set to double to around 4.9 billion in the same period (UNEP). This urban expansion will draw heavily on water and other natural resources and will consume prime agricultural land.

Global urbanization will have significant implications for biodiversity and ecosystems if current trends continue, with knock-on effects for human health and development, according to a new assessment by the United Nations Convention on Biological Diversity (CBD).

Cities and Biodiversity Outlook – the first global analysis of how projected patterns of urban land expansion will affect biodiversity and crucial ecosystems – argues that promoting low-carbon, resource-efficient urban development can counter urbanization’s adverse effects on biodiversity while improving quality of life.

“The way our cities are designed, the way people live in them and the policy decisions of local authorities, will define, to a large extent, future global sustainability,” said Braulio Dias, Executive Secretary of the CBD.

“The innovation lies not so much in developing new infrastructural technologies and approaches but to work with what we already have. The results often require fewer economic resources and are more sustainable,” he added.

The report says urban expansion is occurring fast in areas close to biodiversity ‘hotspots’ and coastal zones. And rapidly urbanizing regions, such as large and mid-size settlements in sub-Saharan Africa, India and China, often lack resources to implement sustainable urban planning.

But the study found that cities do not need to be in conflict with plant and animal species and ecosystems. They can, in fact, protect species, as is the case with Belgium, where 50 per cent of the country’s floral species are found in Brussels, or Poland, where 65 per cent of the country’s bird species occur in Warsaw.

At the Alexander von Humboldt Research Institute in Bogota, Colombia (humboldt.org.co) researchers have been thinking about how to get this balance right and make sure the growing cities of the future are not ecological disasters.

According to Juana Marino and Maria Angélica Mejia at the Institute’s Biological Resources Policy Program – which investigates “Biodiversity, Ecosystem Services and Urban-Regional Environments” – how cities grow and develop must change.

They believe cities need to take into account the resources they require to function and the impact this has on biodiversity and ecosystems.

“The more people who arrive in cities, the more they demand goods and services (in a massive way!): roads, housing, infrastructure, food, water – (creating) an impressive amount of waste, challenging traditional waste management and sanitation policies,” said Marino.

In short, “Cities enhance consumption.”

The Humboldt researchers believe common patterns can be seen across the global South, where ecosystems “surrounding urban areas are deforested and have significant levels of water and air pollution; they also become deeply transformed by informal settlements.”

This process means cities “lose their ability to be resilient, they become highly vulnerable to global change and they decrease their production of ecosystem services to maintain human well-being in cities.”

They argue that human settlements must be sustainably planned for, with ecological resilience and human well-being. If this is not done, areas suitable for agricultural production and biodiversity preservation will be harmed.

While better planning is needed there also needs to be long-term thinking.

But planning and managing are not the only things required: “it is a matter of design” if new “resilient” urban-rural landscapes are to be created.

And what can be done? They believe better analysis is required and it needs to take on social and cultural knowledge, and take in the border regions around cities, the “suburban, peri-urban and other ‘transition’ landscapes should become main actors in these relationships, not mere by-products; (they are) compromise territories between a lack of definition and low governance.”

These complex relationships with the border ecosystems of cities need to be communicated to the general public in simple, user-friendly ways so they can understand how important these areas are to the overall health of the city.

In Latin America, the cities of Curitiba (Brazil) and Bogotá and Medellin (Colombia) have made great strides in managing and planning for biodiversity and ecosystem services, they say. But it is not just as simple as recording the number of native species and the percentage of protected areas in urban places. Links need to be created between “social, scientific and political” elements to create “socio-ecological indicators” that can be developed and turned into “easy-to-adopt mechanisms” for people to use.

And they see innovation as the way to do this. Innovation is critical if cities and urban areas are to avoid widespread destruction of biodiversity as urbanization increases.

“Innovation is not just an option – it is a ‘must’,” said Marino. “Not just the technical innovation already being carried on by infrastructure, transport and building sectors that are rapidly changing their patterns based on mitigation technologies.

“Innovation is also needed in terms of biodiversity, biotechnology, information and knowledge production; appropriation, use and management. Knowledge turns into innovation when appropriated by social spheres; when it enters the social and political arenas.”

Environmental governance can be strengthened “when promoting top-down and bottom-up innovations.”

By David South, Development Challenges, South-South Solutions

Published: December 2012

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

Google Books: https://books.google.co.uk/books?id=q1KeBgAAQBAJ&dq=development+challenges+december+2012&source=gbs_navlinks_s

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Southern Innovator Issue 5: https://books.google.co.uk/books?id=6ILdAgAAQBAJ&dq=southern+innovator&source=gbs_navlinks_s

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All-in-One Solar Kiosk Business Solution for Africa

 

Kiosks are ubiquitous throughout commercial areas in the global South. These highly efficient little business outlets enable small-scale entrepreneurs to sell necessary products without the expense of renting and running a shop.

While they are a great solution for entrepreneurs and customers alike, they often lack connection to municipal services such as electricity and water. That means kiosk owners need to use batteries or a generator if they need a refrigerator to cool food and drink – an expensive proposition.

A new product launched this year in Addis Ababa, Ethiopia offers a solution.

Created by a team of German architects, the Solarkiosk (solarkiosk.eu) is an autonomous business unit designed for remote, off-grid areas. With solar panels across the top of the kiosk, it generates its own electricity and is basically a mini solar power plant. Inside, it is just like a conventional kiosk, with display shelves for products and a counter in the front with a flap – which can feature advertising and messages – that can be opened up for business and locked shut when the kiosk is closed.

The kiosk captures solar energy and the electricity generated can be used to run a computer, lights or a refrigerator. That makes the Solarkiosk capable of offering a wide range of services needing electricity, from Internet access to car-battery charging and mobile phone recharging – a now essential service as mobile phone use explodes across Africa.

The first kiosk was prototyped in November 2011 and the makers incorporated their first subsidiary, Solarkiosk Solutions PLC, in Addis Ababa, Ethiopia in March 2012.

According to Solarkiosk 1.5 billion people worldwide have no regular supply of electricity – 800 million of them in Africa. The makers of Solarkiosk consider this a huge market and hope to make the most of it.

The kiosk comes in a kit form ready for assembly. The kit is designed to be easy to transport and is light enough and compact enough to be transported on the back of a donkey, its makers claim.

Solarkiosk operators receive training in running and managing a kiosk. They learn about solar technology and how to maintain the kiosks and run a sustainable business. Once the operators are trained and up and running, they typically hire others to help with running the kiosk and offer the services at convenient times for the customers. The Solarkiosk then, potentially, becomes an income and employment generator for the local community.

The kiosk is designed to be durable, secure and difficult to tamper with from the outside. The kiosks have been designed to suit many environments and requirements. There is a basic platform that can be added to or expanded depending on local needs and a series of models depending on the customer’s needs. Cleverly, the largest kiosk model is powerful enough to provide electricity to telecom towers. This has proven attractive to mobile telephone companies who can power a telecom tower and make money from running the kiosk as well.

The Solarkiosk is especially useful for countries near the equator where nights are long (12 hours) and the kiosk can help people get light to read, study and work.

Solarkiosk is targeting off-grid customers who are using up to 40 per cent of their household income on electricity substitutes. According to Solarkiosk, people in off-grid households collectively spend more every year (US $30 billion) lighting their homes – using candles for example – than do all the people living in electricity grid connected countries (US $20 billion).

Solar technology is becoming more affordable at the same time as demand in developing countries for electricity and the products powered by electricity is on the rise. Mobile phones are now essential tools for doing business and staying connected – and all of them need to be kept charged up.

Solarkiosk believes it can save the average off-grid household US $10 per month, while each kiosk could supply solar electricity services to between 200 and 5,000 households.

For now, Solarkiosk is available in Ethiopia. It is based in Berlin, Germany and receives money from the German government. The kiosks themselves were designed and built by Graft Architects (http://www.graftlab.com).

By David South, Development Challenges, South-South Solutions

Published: November 2012

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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Google Books: https://books.google.co.uk/books?id=D_A1VeiJWycC&dq=development+challenges+november+2012&source=gbs_navlinks_s

Slideshare: http://www.slideshare.net/DavidSouth1/development-challenges-november-2012-issue

Southern Innovator Issue 1: https://books.google.co.uk/books?id=Q1O54YSE2BgC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 2: https://books.google.co.uk/books?id=Ty0N969dcssC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 3: https://books.google.co.uk/books?id=AQNt4YmhZagC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 4: https://books.google.co.uk/books?id=9T_n2tA7l4EC&dq=southern+innovator&source=gbs_navlinks_s

Southern Innovator Issue 5: https://books.google.co.uk/books?id=6ILdAgAAQBAJ&dq=southern+innovator&source=gbs_navlinks_s

This work is licensed under a
Creative Commons Attribution-Noncommercial-No Derivative Works 3.0 License.