Water purification

Water purification

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Water purification
Water purification
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SectorMost major industry classification systems use sources of revenue as their basis for classifying companies into specific sectors, subsectors and industries. In order to group like companies based on their sustainability-related risks and opportunities, SASB created the Sustainable Industry Classification System® (SICS®) and the classification of sectors, subsectors and industries in the SDG Investor Platform is based on SICS.
Infrastructure
Utilities
Business Model Description

Establish water purification points (UV or reverse osmosis) and provide affordable drinking water to informal settlements and rural communities.

Expected Impact

Increase access to clean and affordable water for Kenyans, especially in rural areas and urban informal settlements.

How is this information gathered?
Updated: 15 Sep, 2021 Date of Production: 1 Feb, 2021
Kenya
Indicative ReturnDescribes the rate of growth an investment is expected to generate within the IOA. The indicative return is identified for the IOA by establishing its Internal Rate of Return (IRR), Return of Investment (ROI) or Gross Profit Margin (GPM).
20% - 25% (in IRR)
Investment TimeframeDescribes the time period in which the IOA will pay-back the invested resources. The estimate is based on asset expected lifetime as the IOA will start generating accumulated positive cash-flows.
Medium Term (5–10 years)
Market SizeDescribes the value of potential addressable market of the IOA. The market size is identified for the IOA by establishing the value in USD, identifying the Compound Annual Growth Rate (CAGR) or providing a numeric unit critical to the IOA.
60% of Kenyans do not have access to safe drinking water.
Average Ticket Size (USD)Describes the USD amount for a typical investment required in the IOA.
USD 1 million - USD 10 million
Direct ImpactDescribes the primary SDG(s) the IOA addresses.
No Poverty (SDG 1) Good health and well-being (SDG 3) Clean water and sanitation (SDG 6)
Indirect ImpactDescribes the secondary SDG(s) the IOA addresses.
Industry, Innovation and Infrastructure (SDG 9) Reduced Inequalities (SDG 10) Sustainable Cities and Communities (SDG 11)
CityTaps scene
Photo by BCtA / CityTaps / CGAP Photo (Nicolas Réméné via Communication for Development Ltd)
Case Study: CityTaps scales digital solutions in the water sector through smart metering and mobile money
CityTaps, a UNDP Business Call to Action (BCtA) member, is a technology and service company on a quest to bring running water into the homes of the world’s urban poor. Its Pay-As-You-Go and Smart water metering solution offers water utilities in developing countries a new and sustainable business model.
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Sector Sources
  • 1) Sachs, J., Schmidt-Traub, G., Kroll, C., Lafortune, G., Fuller, G., Woelm, F. (2020). The Sustainable Development Goals and COVID-19. Sustainable Development Report 2020. Cambridge: Cambridge University Press. 2) Republic of Kenya (2018). Third Medium Term Plan 2018 – 2022 Transforming Lives: Advancing Socio-economic Development Through The 'Big Four'. 3) World Bank database. https://data.worldbank.org/ 4) Word Bank (2018). Kenya: Using Private Financing to Improve Water Services. 5) Office of the United Nations High Commissioner for Human Rights (2020). Right to Water in Kenya: Assessment of Access to Water in Informal Settlements. https://www.ohchr.org/Documents/Countries/KE/Assessment_right_water_Kenya2020.pdf
IOA Sources
  • 6) Fengler, W. (2010). Demographic Transition And Growth In Kenya. World Bank. https://www.worldbank.org/en/news/opinion/2010/04/28/demographic-transition-growth-kenya 7) Globalwaters.org. (2020). Kenya. https://www.globalwaters.org/wherewework/africa/kenya 8) Bertha Centre (2019). Investment Theme: Water, Sanitation & Hygiene. https://www.sbs.ox.ac.uk/sites/default/files/2019-01/impact-theme-wash-pdf.pdf 9) Miranti, K.A. and Nugroho, A.B. (2014). 'Economic Internal Rate of Return in Water Treatment Plant Project', Journal of Business and Management, 3(6), 698-704. https://journal.sbm.itb.ac.id/index.php/jbm/article/download/1253/795 10) UNDP/PwC Stakeholders Interviews, 2020. 11) Wang, H., Li, F. and Zhang, B. (2014). 'Water and Wastewater Treatment in Africa – Current Practices and Challenges', CLEAN - Soil, Air, Water. https://www.researchgate.net/publication/259536701_Water_and_Wastewater_Treatment_in_Africa_-_Current_Practices_and_Challenges 12) Andiva, Y. (2019). Challenges and Solutions in the Water and Wastewater Treatment Industry in Africa. Construction Review Online. https://constructionreviewonline.com/2019/04/challenges-and-solutions-in-the-water-wastewater-treatment-industry-in-africa/ 13) C. Crellin (2018). Kenya: Nairobi’s Water Cartel Woes. https://www.futuredirections.org.au/publication/kenya-nairobis-water-cartel-woes/ 14) Water.org. (2020). Kenya's Water Crisis - Kenya's Water In 2020. https://water.org/our-impact/where-we-work/kenya/ 15) Ato Armah, F. and Ekumah, B. (2018). Access To Improved Water And Sanitation In Sub-Saharan Africa In A Quarter Century. Helion. https://www.sciencedirect.com/science/article/pii/S2405844018349132 16) Barjoveanu, G. and Teodosiu, C. (2019). Environmental Performance Evaluation of a Drinking Water Treatment Plant: a Life Cycle Assessment Perspective. Environmental engineering and management journal. https://www.researchgate.net/publication/332268536_Environmental_performance_evaluation_of_a_drinking_water_treatment_plant_a_life_cycle_assessment_perspective 17) Whitehead, P. (2020). Minimizing Environmental Impacts of Water Purification | ELGA Labwater. https://www.elgalabwater.com/blog/minimizing-environmental-impacts-water-purification 18) National Treasury and Planning (2016). Kenya Vision 2030. https://kfcb.co.ke/wp-content/uploads/2016/08/vision_2030.pdf 19) Ministry of Health (2016). Kenya Environmental Sanitation And Hygiene Policy 2016 – 2030. Republic of Kenya. http://extwprlegs1.fao.org/docs/pdf/ken179039.pdf 20) World Health Organization (2019). Kenya: Sanitation Policy And Planning Framework Case Study For Discussion. https://www.who.int/water_sanitation_health/monitoring/investments/kenya-sanitation-policy-and-planning-framework-case-study-for-discussion.pdf?ua=1 21) Water Sector Trust Fund. https://waterfund.go.ke/ 22) Globalwaters.org. (2020). Kenya. https://www.globalwaters.org/wherewework/africa/kenya 23) Eregulations.invest.go.ke (2020). https://eregulations.invest.go.ke/menu/322?l=sw# 24) Kenya Revenue Authority (2020). Incentives for Investors. https://www.kra.go.ke/en/ngos/incentives-investors-certificate/investing-in-kenya/incentives-investors 25) Aquaya and International Finance Corporation (2013). Water Business Kit Kenya: A Guide To Starting Your Own Water Treatment And Vending Business. Sanitation and Safe Water for All program. http://www.zaragoza.es/contenidos/medioambiente/onu/1114-eng_Water_Business_Kit_Kenya.pdf 26) Water.org. (2020). Kenya's Water Crisis - Kenya's Water In 2020. https://water.org/our-impact/where-we-work/kenya/ 28) The Conversation (2018). Nairobi's slum residents pay a high price for low quality services. 29) SDG Tracker (2021). End poverty in all its forms everywhere. https://sdg-tracker.org/no-poverty 30) AquaTreat (2021). http://aquatreat.co.ke/about-us/