Mini-grids led water treatment units can add up to $600 mn

As part of Smart Power India’s (SPI’s) on-ground interventions, it became apparent that a large chunk of the rural population lacks proper access to and is consecutively unaware of the importance of potable water. This is an opportunity for Energy Service Company Outsourcing (ESCOs) to play a greater role in educating the masses towards the benefits of purified water and driving customer uptake. In states like Uttar Pradesh, Bihar and Jharkhand, SPI has been working with ESCOs for the past six years to ensure rural communities receive potable water for consumption. Less than 50% of the Indian population have access to safe drinking water. According to a 2018 report by the Central Bureau of Health Intelligence (CBHI) and the Ministry of Health and Family Welfare, water contamination claims around 2,400 lives due to waterborne diseases a year, crippling the economy with an estimate of $600 million. It is also learned that women in rural parts of India spend up to 700 hours each year fetching drinking water. Water treatment units (WTU) provide an opportunity for better access to potable water to the rural masses, not only by improving the quality of life for people but also by improving health outcomes. Thus, freeing up time to undertake other income-generating activities instead of using that time to procure water. Additionally, WTUs themselves provide a sustained livelihood option as well to the local community. Jaideep Mukherjee, CEO, SPI, shares, “Health infrastructure is an issue in the remotest corners of the nation. Hence, it becomes even more important to ensure that these communities get access to potable water. Establishing water treatment units not only ensure good health and increased contribution to the economy by the rural community, but it also opens avenues for sustainable livelihood options”. Running WTUs are energy-intensive and require a reliable supply of electricity from the main grid network. Despite the fact that India is 100% electrified, the power supply is often inconsistent – especially in parts of rural India. These are areas where mini-grid developers step in to fill this gap by providing a clean and consistent supply of energy. Mukherjee adds, “WTUs that run on electricity from mini-grids are beneficial to mini-grid developers as they prove to be a considerable load on the grid, with an average monthly energy consumption of 14% of the total mini-grid load. WTUs also ensure that mini-grids are being utilised as per their respective potential, ensuring its financial sustainability. Also, WTUs are relatively easy to set up across geographies, and require minimal operational support.”