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 About Bakens Verzet

 

STICHTING BAKENS VERZET

1018 AM AMSTERDAM, THE NETHERLANDS

Director,

T.E.(Terry) Manning,

Schoener 50,

1771 ED Wieringerwerf,

The Netherlands.

Tel: 0031-227-604128

Homepage: http://www.flowman.nl

E-mail: (nameatendofline)@xs4all.nl : bakensverzet

 

 


KIOGORO  INTEGRATED SELF-FINANCING RURAL DEVELOPMENT PROJECT

 

KIOGORO DIVISION IN KISII CENTRAL DISTRICT IN THE REPUBLIC OF  KENYA

INCORPORATING LETS AND COMMUNITY BANKING

 

(partnership applications invited)

 

and

NGO STICHTING BAKENS VERZET, WIERINGERWERF, NETHERLANDS


"Money is not the key that opens the gates of the market but the bolt that bars them"

 

Gesell, Silvio The Natural Economic Order

Revised English edition, Peter Owen, London 1958, page 228

 

 

“Poverty is created scarcity”

Wahu Kaara, point 8 of the Global Call to Action Against Poverty, 58th annual NGO Conference, United Nations, New York 7th September 2005.


 (Edition 02 : 10th July, 2008)


05.00 THE ORDER OF SEQUENCE OF PROJECT ACTIVTTIES

 

05.04 Four-page summary of the action, for funding applications.

 

I. CONCEPT NOTE

1.Summary of the action:

1.        Short description of the proposed action.

 

This innovative sustainable integrated development project  is called “Kiogoro Integrated Development Project”. It is submitted under the section (name the section – an example might be “Co-financing of civil society  and decentralised cooperation initiatives” ) of the (reference of the international aid fund or  facility in question).

The project refers to the Kiogoro Division of the Kisii Central District, in the Nyanza Province in Kenya, with (80.000) habitants living in 50 villages covering a surface of 200 km2. A new vision of the relationships between the social, financial and productive structures necessary for integrated development makes it possible to offer an entire range of sustainable services to all of the inhabitants, without exclusion, living in the project area at a cost lower than that of a conventional drinking water supply project. The project is prepared in cooperation with the inhabitants themselves, who play an active role in its execution. They take part in the organisation of activities. They run and maintain all of the structures set up, which they own. An important role is reserved for women. The total value of the project is Euro 8.000.000, which is about Euro 100 per inhabitant. The contribution of the (name of the Fund) is (Euro 6.000.000) (75 %). The contribution of the local population is about (Euro 2.000.000) (25%). This contribution takes the form of about 666.667 days or about 5.333.336  hours of work carried out for the project under the framework of local money systems set up in the project area as an integral part of the project. This work is carried out during the first two, executive, years of the project during which all of the project structures are set up. The work of the local inhabitants is valued on the basis of a nominal rate of exchange of Euro 3 for each eight-hour working day. All of the transactions carried out by the local populations for the project under the local money systems set up are fully documented and justified. Those doing the work receive real credits for their work, which are used for the purchase of products and services originating in the project area. The debits covering the credits for project work are charged to the local money accounts of all the adults living  in the project area.

2.Relevance.

2.1 Needs and constraints.

This proposal refers to decisions taken in connection with ( example : Millennium Development Goals (MDGs) adopted in 2000 with a purpose of reducing the part of the world population without sustainable access to clean drinking water by 50% by 2015) and the decisions taken during (example: the World Summit on Sustainable Development (WSSD) held in Johannesburg in 2002 with a purpose of reducing the part of the world population without sustainable access to sustainable sanitation by 50% and promoting efficient integrated structures for the management of water resources.)

While Kenya is not the poorest country in Africa, income is not well distributed there and its rural areas are recognised as being very poor. The number of people in the rural areas in Kenya with access to clean drinking water and sanitation facilities is very low. In the project area practically no-one has access to clean drinking water  or to sanitation facilities.

(Give a short paragraph of not more than 10 lines, describing the National Plan for Access to Clean Drinking Water and Sanitation in:

(Kenya)

(Nyanza Priovince)

(Kisii Central district and the Kiogoro project area)

It is clear from the foregoing analysis, that so long as traditional concepts of development are followed, the task of supplying clean drinking water and sanitation facilities to the people in the project area and of promoting their general development so as to ensure them a good quality of life is a very difficult, if not impossible one. New integrated development concepts are needed to ensure that the people enjoy a complete range of services essential to a good quality of life. A powerful local general mobilisation of the people in the project area is needed. The formal money cost of the mobilisation must be very low.

The project “Kiogoro Integrated Development Project” will have a pilot function. Acceptance of the concepts applied in the project as basis for a strategic plan for sustainable integrated development at national level in Kenya would involve setting up about 700 such projects there. The importance of  this first project in Kenya is then evident. If successful, poverty could be eliminated in Kenya within a few years, in any case by 2015.

2.2 Poor and vulnerable populations.

The proposal is based on the improvement of the quality of life of all of the inhabitants in the project area, without exclusion, and in particular of that of women, children, and the poorest. The people themselves, and in particular the women, are mobilised to create thousands (about six thousand) of sustainable jobs. They set a full range of local social, financial and productive structures up. The project is therefore not limited to drinking water supply and sanitation. It also covers, by way of example, structures for hygiene education for women and in schools, autonomous recycling at local level of organic and non-organic  wastes, local money systems, interest-free micro-credit structures productivity development, structures for the local production of most of the items necessary for the basic services in question, communication systems, lighting for study purposes, local production of high efficiency stoves to eliminate smoke and health hazards in and around users’ homes, and the production of mini-briquettes for use with the stoves, and structures at household level for the harvesting of rainwater. The drinking water structures are the ones requiring the highest formal currency investment, as they contain elements which are not susceptible to local manufacture under the structures set up by the project.

2.3. Relationship of the project with the goals and principles behind the tender.

The proposal responds to the goals of and the principles behind the tender in a particularly innovative way. It provides for the development of numerous permanent physical and sustainable social, financial, and productive structures which all become the property of the inhabitants themselves, in the management of which women play a dominating role. The inhabitants participate in  the planning, execution and management of the project structures. They sustainably organise, run, and maintain all of the structures set up at their own cost. The monthly contribution (Euro 0,60 per person for the first three years, 0,75 per person for the following seven years) paid by each family into the Cooperative Local Development Fund covers the entire range of services offered, and is affordable even to the poorest families, who benefit from a three tiered social security system itself integrated into the project structures. Sustainable hygiene education, drinking water, eco-sanitation systems at household level and structures for the recycling of organic and non-organic waste and for the elimination of smoke hazards inside users’ homes improve the conditions of health in the project area, and in particular that of women and children. Elimination of the use of wood for cooking leads to a reduction in CO2 emissions and to the protection of forests and the environment in general. The project sets up a complete, voluntary, cooperative, interest-free, inflation-free local economic environment entirely managed by the community itself.

2.4 Added value and multiplying effects.

The proposed project is fully integrated in an innovative way and represents a world-wide precedent. Poverty can be eliminated in the project area over a period of 4-5 years at a cost of about (Euro 100) per person through the supply of a full range of basic structures necessary to a good quality of life, with the creation of several thousand individual and cooperative jobs (in this case about 6.000) and local money systems enabling limitless exchanges of locally produced goods and services in the project area. Each family receives on an average at least Euro 2500 in interest-free micro-credits for productivity increase over each period of 10 years. The success of this first project in (name of host country) should lead to the formation of an integrated development strategy at national level, and to pilot projects in other countries.

3. Methodology and sustainability.

3.1 Appropriateness, practicability, and coherence of the proposed activities.

The project sets a cooperative, non-profit, interest-free, inflation-free economic environment up in the project area for the benefit of all of the inhabitants there, where individual initiative and true competition can flourish. It produces direct employment for about 10% of the adult population and powerfully influences the economic development of the remaining 90%. All of the social and economic structures and services set up are sustainably created, run owned by and paid for by the people themselves without the need for any financial assistance after their formation.  These local economic and management structures are set up during capacitation or organisation workshops run following the concepts presented by the Brazilian sociologist Clodomir Santos de Morais. The order in which these workshops are held is critical.

The new integrated sustainable development principles applied in this project call for a pre-determined sequence of activities offering an optimum guarantee to donors and funding organisations as to how their funds are used. First, the social structures, being the health clubs or the hygiene education structures (they constitute a platform for women’s participation), the tank or local development commissions, the well or intermediate level development commissions, and a central management structure are set up. Secondly, the financial structures, being the local money systems and the self-financing interest-free micro-credit systems are set up. Finally, productive structures are set up for the local production, using the financial systems created, of most of the articles necessary for the range of basic services foreseen, such as the distributed drinking water and eco-sanitation structures, which can then be installed.

3.2 Participation of partners and of the beneficiary population.

First, 297 Health Clubs, each based on 20 extended family groups (200-300 people) are set up. They form a platform for women, to make sure they can organise themselves in groups and participate en  bloc at local development meetings and to play a dominant role in the various social, financial, service and productive structures set up.

Once the Health Clubs are in operation, 297 tank or local development commissions are set up. They are based on the same groups of 20 extended families (200-300 people). The commissions each have 3 - 5 members, all or at least most of whom are women. These commissions are the heart of the project. They in turn elect  66 intermediate or well commissions, which in turn choose a 66 central commission, which is the Project Parliament. The Central Commission nominates a central management unit and controls its activities.

Once the tank and well commissions and the central committee and the central management unit are in place, it is possible to set up the local money systems which offer the inhabitants in the project area means for the transfer of all locally produced and consumed goods and services. The art is at this point to identify and use technologies enabling most of the goods and services necessary to local development and a good quality of life in the project area to be produced with 100% local value added. Such goods and services can then be produced, installed, maintained and paid for under the framework of the local money systems set up, without the need for any formal money at all. An example applied in this project is the possibility to produce, install, manage, and maintain a complete dry composting eco-sanitation structure throughout the project area without the need for a cent of formal money. The costs of running the local money systems are covered under the local money systems themselves.

Once the LETS local money systems are in place, a distinction can be made between what can be done under the local money systems and what must be “imported” into the project area. For goods and services needed for basic urgently needed services  such as clean drinking water supply, use is made of the project’s seed funds to cover the formal money (Euros) cost of imported goods and services. For other initiatives cooperative interest-free micro-credit structures are put in place. These recycle the users' monthly contributions (Euro 0,60 per person for the first three years, and Euro 0,75 per person for the following seven years) to the Cooperative Local Development Fund interest-free for credits for sustainable productivity purposes, for the purpose of purchasing goods for productivity increase not locally produced. The micro-credit systems allow for at least Euro 2500 of interest-free micro-credit for each family during the first ten years of the project. Probably more, as the Euro 2500 is conservatively based on an average two-year pay back time. The Cooperative Local Development Fund is set up as a project structure. It belongs to, and is run by the people themselves, at the beginning with professional support through the project Coordinator.. The costs of running the micro-credit structures are covered under the local money systems. 

Once the cooperative micro-credit structures and the LETS local money systems are in place, the production structures can be set up, and in particular units for the production of articles from gypsum composites. Amongst the priority items for manufacture in these factories are products necessary for the water supply project such as water tanks, well linings, water containers, etc.  When capacity is available they can start making the planned ecological sanitation systems, and other necessary items such as high efficiency stoves, rainwater harvesting systems, construction components. Where cheap gypsum or anhydrite deposits are present in or near the project area (indicate where), little or no formal money is needed either for the raw materials or for production, installation and maintenance. Small amounts of formal money may be needed to cover the purchase of gypsum in other areas of Kenya, and its transport to the project area.

3.3 Sustainable impact.

Apart from structures basic to poverty alleviation and an improved quality of life, such as hygiene education at home and in the schools, water supply, sanitation in the homes at schools and in clinics, solar lighting for study purposes, solar refrigeration for medicines in clinics, improved cooking stoves etc,  no  attempt is made in this project to list all of the initiatives which could take place, as these are as varied as the minds and wishes of the people.

However, any services the local people may consider of special importance can always be included in the project and itemised in the budget. Some examples are the setting up of a local radio station, setting up local milk shops for the pasteurisation and distribution of milk, the creation of cooperative storage facilities for food, especially for food for local consumption, the creation of a seed bank and the draining and re-structuring of market squares and public places. Many such poverty alleviation initiatives may require some project-level formal money funds. Some of them are provided for in the project budget. Other initiatives, for instance, creating sports clubs, theatre groups, local consultants’ offices, or communications centres, plant nurseries, reforestation etc would typically be done under a combination of the LETS local money systems and the interest-free micro-credit systems.

The contributions made by users into their Cooperative Local Development Fund are sufficient, were this to be necessary, to finance and repay an interest free formal currency loan for up to Euro 6.00.000 over a period of 10 years, taking the various reserves and loan repayments into account. Should payments out of reserves be higher than expected, the project administration may choose to increase the monthly contribution of the families after four or five years, as their standard of living improves.  Interest-free loans for various project structures transferred by the project to private persons or cooperatives are paid back into the Cooperative Local Development Fund over a period of 3-5 years. These loans include those for the gypsum composites manufacturing units, the briquette manufacturing units, public transport cooperatives (buses), and the maintenance and installation cooperatives (vehicles). At the end of the first ten years' period, on repayment, where appropriate, of any ten year interest-free loan, large capital reserves will again be built up during the next following ten years for use in Micro-credits and, subsequently, for the extension and renewal of capital goods. In case of loan repayment after ten years, funds available for interest-free micro-credits will be temporarily reduced to zero. Since the families continue to make their monthly payments to the Cooperative Local Development Fund, the capital in the Fund for micro-credits will gradually build up again during the second period of ten year as it did during the first period of ten years. Where the original seed funding was by way of grant, the large amount of capital in the Fund at the close of the first period of ten years will continue to circulate for micro-credit loans and accumulate. Some or all of it may be invested to extend project structures.

The principles of sustainable integrated development on which this project is based are such that all, or at least a part, of  users’ monthly  contributions to the Cooperative Local Development Fund can be covered by savings in their current expenditure which are a direct consequence of  the use of the project structures set up. For instance, users no longer need to make formal money payments for drinking water, for wood for cooking, or for rubbish collection. Some sustainable applications under the project reduce CO2 emissions. The main one is through the use of locally-produced high efficiency cooking stoves, others are the substitution of the use of kerosene lamps by solar home systems, and of some pumping systems by solar or advanced hand-pump technologies, and the reduction of the use of non-rechargeable batteries. They therefore qualify, at least in theory, under the Kyoto treaty for the issue of CER certificates, which can be traded to industrialised countries. The value of these certificates will contribute to covering the cost of the projects and may, over time, cover all their costs, enabling the seed capital to be recycled for other poverty alleviation initiatives. Alas, complex administration and compliance costs of applications under the Kyoto treaty have been kept so high that smaller projects of this type have up until now been excluded from qualification. 

4.Operational capacity and expertise.

4.1. Applicant’s experience.

 

The NGO “Kiogoro Integrated Development Project” has been set up by its members for the purposes of execution of the project. The members of the applicant partnership have been active since (years) in rural development initiatives in rural areas in Kenya. (Make special reference where applicable to  experience in the project area). Members of the applicant partnership are a member of (list of Associations and Federations of which the members of the applicant partnership are members) . They are currently active in (areas where applicant is active, with special reference to the project area).  In (year) applicant (received, was recognised for) (list of awards, recognitions at international and national level). The members of the applicant NGO are specialised in (carefully describe areas of specialisation, with special reference to integrated development, hygiene education, drinking water supply and sanitation, rights of women, micro-credit development, and environmental protection.) The new concepts presented in this project enable the applicant NGO to make a high quality contribution to the quality of life of all of the inhabitants without exclusion in the project area  in all of the named sectors, in particular hygiene education, drinking water supply, and sanitation through the formation of a full range of social, financial, service and productive structures there. The project calls for a good existing relationship with the people in the project area, where, because of the poverty of the people, few national and international aid structures are present . (Describe how the members of the applicant NGO enjoys such a relationship).

4.2.Technical expertise sufficient to carry the project out.

Local people running the social, financial and productive structures and services  set up under the project are themselves responsible for most of the project activities. A three-member project coordination group with a general consultant for integrated development of the type foreseen and three specialists over a period of 6-12 months are sufficient for the formal execution of the project. The project area is in the Lake Victoria basin. In view of the depth at which water is expected to be found in the project area, wells can be dug by hand in some places. In others, the services of a drilling contractor will be  required. The project coordination team and its assistants are “the government” of the project. The applicant NGO has the role of “parliament” and is responsible for on-going monitoring of the project activities. The applicant NGO is qualified to do this through its office (where?) , (a general manager, a qualified economist, a civil engineer, a sociologist, a secretariat and an independent auditor. ) (The applicant NGO also has a local office in the project area, with (personnel)).  The applicant NGO and/or its members are able to supply financial guarantees through (name of leading bank). For specified services (name them) the applicant can call upon the advice of (names of NGO members and associates listed under point 4.1). The applicant NGO possesses its own all-weather means of transport to carry out independent spot checks on project activities anywhere in the project area without the use of project structures.

The nominated project coordination team is (name, main qualification and details from their curricula). (List experience specific to their responsibilities as members of the project coordination team.)  The members of the team know the project area well, and are well known to and respected by the population in the project area.

 

(Description)

 

The named consultant (Terrence Edward MANNING) is (director of the Dutch NGO Stichting Bakens Verzet.) He is the author of the innovative Model on the basis of which this project has been drafted. NGO Stichting Bakens Verzet is responsible for the promotion of the Model for sustainable integrated development  in question, which it has placed in the public domain. NGO Stichting Bakens Verzet,  through its director Mr Manning, has also cooperated in the drafting of this project, in the sole interests of the local population and without remuneration, as a voluntary contribution to the development of the project area. The NGO Stichting Bakens Verzet has agreed to make Mr. Manning available to act as general consultant to the project coordinator for the executive management of the project for the maximum daily pro-diem payment foreseen by the European Union for European expatriate staff in Kenya.  The dedication of the NGO Stichting Bakens Verzet to the preparation of this project and Mr Manning’s unique personal knowledge of the innovative development principles in question make him particularly suitable for this position.

 

One of the secondary project goals is the training of younger people to repeat  this experience in other areas in Kenya and in other countries. For this purpose, interested parties, especially parties originating in the project area, are invited to participate in the Moraisian workshops and in the activities of the project to gain the experience necessary to ensure ever-widening repeatability of this project initiative.

 


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