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
and
"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,
“Poverty is created scarcity”
Wahu Kaara, point 8 of the Global Call to Action Against Poverty, 58th
annual NGO Conference, United Nations,
5.69
BENEFICIARIES’ CONTRIBUTIONS
5.69.1
CONTRIBUTIONS TO PROJECT COSTS.
Willingness to pay at
least Euro 3 per month per family of 5 into a Cooperative Local Development
Fund was a condition precedent for the drafting of these project documents.
Drawing showing how the users'
contributions are built into the financial structures of the project.
The monthly payment of Euro 0,60 per person for the first three years
and Euro 0,75 per person for the next following seven years is enough to cover the entire basic package
of services offered. As soon as users are able to pay more than Euro 3 per
family of 5 per month, the services offered can gradually be extended. The
minimum services set up during the first two executive years of the project are
not, therefore, necessarily permanent. Dynamic local development will take
place over the following years. This development will vary considerably from
one part and another in the project area.
Some of the water sources in the project area are deep-set. Others are
believed to be shallow. Boreholes need to be drilled and an appropriate
allowance for this has been made in the budget. Distributed drinking water
costs therefore tend in principle to be slightly higher in areas where drilling
is needed than where protected wells can be dug under the local money systems
set up. Given the cooperative nature of the project, this difference will not
be taken into account when deciding the contributions requested of the
inhabitants.
This project
application is self-financing because it allows the recipient communities to
fully exploit a network of sustainable development activities using:
(i) The initial capital grant or interest-free seed loan itself
(ii) Local Exchange Trading Systems (LETS)
(iii) Multiple re-cycled interest-free micro-credits administered by the people
themselves. The micro-credits for at least Euro 5000 per extended family of ten
during the first ten years’ period are generated by recycling as rapidly as
possible the monthly contributions paid by families into their Cooperative
Local Development Fund, the repayments
of loans for productivity structures established as part of project
execution, and any project reserves
available during the loan term.
The compensation principle.
Under the compensation principle applied in the Model on which this project
is based, users’ monthly contributions of
Euro 0,60 per person during the first three years and Euro 0,75 per
person during the next following seven years are covered by savings on some of
their current expenditure as a result of the execution of the project. For
instance, where families now spend a large slice of their income for wood for
cooking or for drinking water or medicines, these costs will be eliminated or
reduced under the project, releasing formal money for other uses. Wood will not
be used. It will be replaced by mini-briquettes grown, produced, and
distributed under the LETS local money systems. Even where users do not have to
pay for their firewood, they will make important savings in time currently
spent fetching wood.
The supply of drinking water and the maintenance of water supply
structures are already covered under the monthly contributions. General
increases in living conditions (hygiene education, clean drinking water,
sanitation, elimination of smoke, better drainage, a more varied diet) should
lead to less illness and less need to buy medicines.
The
Some sustainable applications under the proposed 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. The
project therefore qualifies in principle under the
Each typical family in the project area typically uses 10kg of firewood
per day for cooking. Efficient cooking stoves should reduce this by 65%, or
6.5kg of firewood per day. There are
80.000 extended families in the project area. They represent a typical expected
saving of 8.000 x 6.5kg of wood per day. This is 52
tons per day and (18.980) tons per year. Expressed in CO2 at a typical ratio
of 0.80 tons of CO2 to 1 ton of wood,
annual CO2 savings amount to 15184 tons. The
credit for one ton of CO2 has fluctuated violently since the Kyoto
Treaty entered into effect. In
Some timid initiatives are under way to try to correct this situation.
For more information refer to:
09.33 CER
certificates Kyoto Treaty : programme of activities as a single CDM project
activity.
5.69.2 CONTRIBUTIONS TO HEALTH COSTS.
Curative health structures are not formally a part of this project. The
relationship of the project with them is
described in section 5.62 of the project documents. As nursing, doctors’,
hospital and ambulance structures are set up, users at the levels of the
respective tank commissions, well
commissions, will make modest formal money contributions into the various
sub-funds of Cooperative Health Fund to cover formal money costs of medicines, materials,
and long term capital replacement of equipment and structures.
5.69.3 CONTRIBUTIONS TO COOPERATIVE PURCHASING FUNDS.
Cooperative purchasing groups can be set up amongst interested users, or
amongst all the users reporting to a tank commission, well commission or to the
project as a whole. The project will on
request provide free of formal money charges bulk purchasing and administration facilities for the purchasing
groups, provided all the members of the groups are able to cover both their
normal monthly formal money contributions to the project costs and the extra
costs as a member of the cooperative purchasing group.
FROM SECTION 05.60 SUMMARY OF IMPROVEMENTS TO
THE QUALITY OF LIFE OF THE INHABITANTS
Forward:
06.01 Activities
schedules per year.
Back:
FROM SECTION 07.00 FINANCIAL JUSTIFICATION
Forward:
07.50
Observations on the budget.
Back: