Fresh water with mobile payments in rural Kenya

An article in BBC news (http://www.bbc.com/future/story/20121102-mobiles-call-out-for-fresh-water) describes an initiative for rural residents to get an opportunity to pay for about 4 cents for a 20 liter jerry can of water, a price claimed to be affordable to all. The company, Grundfors, gets water from underground sources using solar powered pumps and stores it in elevated tanks. Customers use money on their mobile phones to pay for water at the pump. Given that the money collected across consumers pays for all the costs of operation, the water provision is sustained. How should the pricing for such services be adjusted to reflect the lower medical costs associated with clean water provision ? How should individual entrepreneurs be permitted to play a role in maintenance of such supply chains ? How can these ideas be extended to other issues that are an issue in rural Africa, such as healthcare ?

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About aviyer2010

Professor
This entry was posted in Global Contexts, Operations Management, Supply Chain Issues and tagged , , , , , , . Bookmark the permalink.

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