Sistema Biobolsa: Addressing Challenges of Climate Change, Sustainable Agriculture and Waste Management in Mexico
Case Code: LDEN166 Case Length: 18 Pages Period: 2007-2019 Pub Date: 2021 Teaching Note: Available |
Price: Rs.500 Organization : Sistema Biobolsa Industry : Energy Countries : Mexico Themes: Social Entrepreneurship, Social Enterprise, Socially-responsible Business Practices |
Abstract Case Intro 1 Case Intro 2 Excerpts
Excerpts
The Bio-Digester System
Sistema Biobolsa’s bio-digester closely resembled natural ecosystems, which did not generate much waste. Whatever was generated became an input to another system. According to Eaton, “We take that waste and turn it into a clean, renewable energy source.”
The mission of Sistema Biobolsa was to empower farmers to manage their own resources in order to build a better future for themselves and their families. This was to be achieved through a well-designed technology and by raising awareness about the system and its benefits..
Outreach Programs
The main challenge lay in making people who had scarce resources spend a substantial amount on a product, whose benefits they were yet to witness. To enable this, the company carried out ground level, rural outreach programs..
Financing
The equipment was sold as an integrated package consisting of the necessary connections, appliances, and a biogas cookstove. The system installed for a small farm produced 1 m3 (volume of one cubic meter equal to 1000 liters) of biogas every day, and gave biogas for 2 to 4 hours. The smallest and most popular bio-digester was called BB4 and contained 4 m3 of waste storage. It cost US$ 600 and included the tubing, installation..
Installation
The head office of the company was located in Mexico City, and there were three regional offices and operations spread across 25 states in the country. A team of two technicians installed the product and the customers were trained on using the system. There was a one year guarantee on the product and a 20-year guarantee on the geomembrane. The installation was completed in 2-5 hours..
The Impact
Sistema Biobolsa believed that small, sustainable farms played a major role in bringing in economic prosperity. It involved low-income groups as consumers, distributors, and employees. It aimed to create a culture of sustainable resource management by increasing the number of systems installed. On the impact he desired to create..
Going Global
To support the farmers, the company decided to not only sell the equipment but also train rural families on using the bio-digesters to process waste into energy. The founders planned to reach millions of small farmers across the world through this system..
Looking Ahead
There was a huge potential for bio-digesters across the world. As per the Food and Agriculture Organization of the United Nations, there were more than 500 million small farms in the world , while the number of digesters was only around 10 million, showing a huge gap between supply and potential demand..
Exhibits
Exhibit I: Need for Clean Energy
Exhibit II: Social Entrepreneurship in Mexico
Exhibit III: Bio-Digesters
Exhibit IV: Sistema Biobolsa – Revenue from Sales Vs Grants
Exhibit V: Sistema Biobolsa – Revenue and Expenditure
Exhibit VI: Benefits of Biogas
Exhibit VII: Sistema Biobolsa – Characteristics
Exhibit VIII: Parts of the Biobolsa System
Exhibit IX: Loan Eligibility Criteria
Exhibit X: Sistema Biobolsa – Global Goals
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