Kopernik - Identifying Demand for Improved Cookstoves (ICS) in West Timor - the Report
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Identifying Demand for Improved Cookstoves (ICS) in West Timor
Final Report
Written by Kopernik 2015 Fellows:
Ade Safrina, Gabriela Cruz, Fiorella Benedetti
August 2015
2. KOPERNIK.INFO2
1. Summary & Recommendations
2. Methodology & Context
3. Place & People
4. Price
5. Product
6. Annex
3. • Income savings is the main benefit of ICS, as
indicated by more than half of WW and users.
• Durability and need for further maintenance are
identified as key issues with ICS.
• Most households do not use a single cooking
method.
Price
At what price are ICS
in demand?
Summary & Recommendations
In order to assess the demand for improved cookstoves (ICS), the fellow team conducted fieldwork over
8 eight weeks in West Timor interviewing 337 households in 32 communities, as well as 10 Wonder
Women (WW) and 10 existing users of the stove.
KOPERNIK.INFO3
Product
Which aspects of ICS
are in demand?
Place &
People
Which villages & HHs
demand ICS?
Promotion
In what ways should
the ICS be
promoted?
Findings
Recommendations
• Most people interested in buying ICS live in
rural or peri-urban area.
• People who are married, have more stable
income and are living in rural areas display
greatest interest in buying ICS.
• Take into account these factors in order to
target potential clients with higher probability
of buying.
• Three-stone stove users identify smoke inhalation
as a health issue.
• Health benefits should be
communicated to three-
stone stove users as part of
promotional activities.
• Saving calculator tool for kerosene usage.
• Improving product materials and WW training to
better explain the benefits of ICSs to consumers.
• Test the product in non-laboratory conditions to
evaluate its durability.
• Offering installment option considerably
increases the willingness to buy from 23% to
80%.
• Consider offering more
flexible payment options.
.
Detailed findings
on promotion are
not included in this
abridged report.
4. KOPERNIK.INFO4
1. Summary & Recommendations
2. Methodology & Context
3. Place & People
4. Price
5. Product
6. Annex
6. Secondary Data (Government Statistics)
Socioeconomic Indicators
Highest purchasing power concentrated in Kupang.
Highest percentage of poverty in Soe.
KOPERNIK.INFO6
Regency
Average Life
Expectancy
(years)
Mean Years of
Education
(years)
Per Capita
Monthly
Expenditure
Percentage of
People in
Poverty
Kupang 73.46 11.29 Rp 638,030 9.12%
South Central
Timor (Soe)
67.26 6.71 Rp 614,650 27.81%
North Central
Timor (Kefa)
69.19 6.94 Rp 613,280 21.59%
East Nusa
Tenggara
Province
Average
68.05 7.16 Rp 612,880 20.24%
Source: www.bps.go.id & www.nttbps.go.id (only in Indonesian)
7. Stove Type Usage
Kupang has the highest rate of Kerosene cookstove usage. Three Stone Fire (3SF) cooking
method is most prevalent in Soe.
KOPERNIK.INFO7
Characteristics Kefa Kupang Soe
Total number of observations 115 95 127
Using kerosene cookstoves 52% 96% 54%
Using 3 stone fire (3SF) 92% 60% 98%
Fuel Access
In Soe, wood is highly available at no cost. In Kupang and Kefa kerosene is more readily available.
Characteristics Kefa Kupang Soe
Total number of observations 115 95 127
Availability of wood 51% 48% 69%
Have to buy wood 35% 53% 17%
Kerosene shortages* 29% 27% 72%
Primary Data
*Kerosene shortage is described as a situation in which obtaining kerosene requires longer waiting time or greater distance traveled
than usual.
9. KOPERNIK.INFO9
1. Summary & Recommendations
2. Methodology & Context
3. Place & People
4. Price
5. Product
6. Annex
10. Demand map based on willingness to buy
KOPERNIK.INFO10
Demand cutoffs
• Green: High demand above 40%
• Yellow: Medium demand 25-39%
• Red: Low demand 24%
Figure expresses proportion of
respondents willing to buy up front in
cash.
Kupang
City
So’e
Kefa
West Timor
11. People: Key factors determining willingness to buy
KOPERNIK.INFO11
Correlation
Statistically Significant Determinants Category
+ Living in rural or peri-urban area Location
+ Married and living together Marital status
+ Having good dwelling materials* Income
+ Women having regular salary (employee)** Income
+ Partner having regular salary (employee)** Income
- Having to buy wood Location
+ Availability of kerosene at home Income
Note: This table summarizes the results of a regression analysis. The above variables are statistically significant at 10 percent
level.
*’Having good dwelling materials’ refers to having ceramic in the floor or pentile, shingle or asbestos in the roof.
**Being a ‘regular salary’ employee includes civil servants, NGO and schools employees and other regular salary employees.
Area characteristics and family status are the key determinants of willingness to buy an ICS according
to regression analysis.
12. Determinants and correlation of willingness to buy research
KOPERNIK.INFO12
Source: See Annex: Uganda: Mercy Corps(2015), Mexico: IEI (2011), Bangladesh: USAID (2013)
Determinants
Rural Mexico
Uganda
Bangladesh
Health Issue Concerning Previous
Cooking Method
+a
No Data
No Data
Convenience on Acquiring Fuel for
Cookstoves
+b
+h
+o
Alternative Cooking Methods
-c
+i
No Effect/No Data
Higher Educational Level in the
Community
+d
No Data
No Data
Head of the House Employment
profile as Farmers / Agricultural Work
+e
-j
-p
Women works primarily at home
(Homestay Wife)
+f
No Effect/No Data
No Data
Less transient population (longer
average length of stay at current
residence)
+g
No Data
No Data
Women with some independent
income or access to financing
No Effect/No Data +k
+q
Strategic Location (Living in Urban /
Peri Urban Area)
No Data
+l
-r
Big amount of control over the use of
house income (Women)
No Data
+m
No Effect/No Data
Married or live with a partner, living
together
No Data
+n
+s
13. KOPERNIK.INFO13
1. Summary & Recommendations
2. Methodology & Context
3. Place & People
4. Price
5. Product
6. Annex
14. Price was reported to be the strongest factor deterring consumers from
buying the stove
KOPERNIK.INFO14
Source: Interviews conducted in Soe, Kefa & Kupang July 2015
19
64
2
2
12
Completely satistfied with
their cooking method
Price is too expensive
Traditional reason
Unfamiliar with the
technology
Other
*These 42 respondents indicated their unwillingness to purchase an ICS at Rp 320,000, upfront in
cash or with installments.
Reasons not to buy an Improved Cookstove
Percentage (n=42)*
15. The option to purchase on installment considerably increases the
willingness to buy, turning all surveyed areas in Kupang and Kefa into high
demand areas.
KOPERNIK.INFO15
0
0.1
0.2
0.3
0.4
0.5
0.6
0.7
0.8
0.9
1
Kupang Kefa
Medium
Demand
High
Demand
Low
Demand
Source: Surveys conducted in Kefa and Kupang, July 2015
n Willing to buy in
installments
n Willing to buy
upfront in cash
Willingness to buy upfront and with installment by village
Proportion of all responses per area (n total=210)*
17. Product:
Income, time savings and health benefits of the ICS
KOPERNIK.INFO17
Given there is no full transition to ICS (i.e. practicing stove stacking), ICS benefits have not
been maximized by existing ICS users.
Income savings
• More than half of the Wonder Women and
users indicated income saving as the most
important benefit of ICS.
• For users who find wood available freely
around the house, switching to an ICS does
not result in income saving. Users who
switch or mix fuels, and have to buy firewood
for the ICS also do not realize income
savings.
• When using ICS, users reduce their
kerosene consumption by 41%. But, the
ICS’ short lifespan (~2 years) means the
stove purchase cost will recur in a couple of
years.
Time savings and health benefits
• 4 out of 7 Wonder Women and 3 out of 9
users think the ICS does not result in saved
time because of the extra time it takes to chop
wood that fits the ICS.
• 3 out of 7 stove users were not aware of the
health benefits of ICS.
• Health benefits can be a selling factor in rural
communities, as evident by 54% of
interviewed three-stone fire users expressing
concerns over inhaling smoke from their
cooking sources.
• Rigorous impact evaluation conducted in India
concluded that positive health outcomes
expected from use of ICS were not consistent
due to prevalence of stove-stacking practices
among ICS users. (Duflo, E., Hanna, R.,
Greenstone, M., 2012.)
19. Annex - Detailed information over literature review
KOPERNIK.INFO19
Source: Kathleen Pine et Al. 2011. Adoption and use of improved biomass stoves in Rural Mexico. Mexico:
International Energy Initiatives.
Rural Mexico
a) Those who reported suffering from irritated eyes during the health pre-survey those who use wood
scraps for fuel were more than twice as likely to adopt the stove were more than twice as likely to
adopt the stove.
b) Those who use wood scraps for fuel were more than twice as likely to adopt the stove. Familiarity use
of pine wood in the household were significantly and positively associated with quick adoption of the
stove.
c) Using kerosene for fuel and kerosene cookstove as cooking method was marginally negatively
associated with Improved Cookstove adoption at later times.
d) Women in Quinceo and Mojonera (early/ easy adopter communities) were more highly educated,
averaging 5 years of formal education while participants from Turicuaro (late / difficult adopter
community) averaged only 3 years.
e) Head of household occupation as a farmer were significantly and positively associated with adoption
at earlier times.
f) Households in which the woman works outside the home were 50% less likely to adopt the Improved
Cookstove in the earlier time.
g) Participants reported, on average, more years lived at their current address in the early / easy
adopter communities than the difficult / late adopter community.
20. Annex - Detailed information over literature review
KOPERNIK.INFO20
Uganda
h) Early improved cookstove adopters are likely women who are already using charcoal for cooking at
least part of the time. This includes as many as 45,000-50,000 households within East Acholi. These
women are already purchasing fuel and would experience immediate benefits through cost-savings in
fuel purchases. If they are already using charcoal, the probability of adoption is higher, but firewood
users that fall into these groups are also better positioned to buy than most other firewood users.
i) Married women firewood users living in villages in households dependent on agriculture who are
dependent on their husbands for income are among the least likely to buy improved cookstoves. This
group has relatively high barriers to access across the board and very few offsetting motivating factors.
j) Salaried women working for NGOs, health centers, schools, and local government: Currently, this
consumer group is one of the biggest buyers of the improved cookstove. Although all salaried women
are good to target for their relatively higher purchasing power, salaried women working for these groups
are especially good targets. They are mobile, educated, have reliable income, and a need to cook food
quickly, efficiently and cleanly. They are also time-constrained. emale salaried or small business owners
in urban areas or small towns who are heads of household or living separately from their husbands may
be early adopters as they face few obstacles in terms of decision-making, have regular income, and
confront high demands on their time – all factors that highly motivate a switch to improved cookstoves.
k) Over 90 percent of all purchasers lived in urban or peri-urban locales.
l) A full 85 percent of purchasers indicated that they exercise total control over the use of household
income.
m) Most purchasers are married or with a partner, and living together.
Source: Kim Beevers. 2015. What motivates women to buy? : Valuing, Understanding, Targeting Women for
Improved Cookstove Purchase. Mercy Corps Uganda
21. Annex - Detailed information over literature review
Bangladesh
o) 105 of 120 households in the field survey that are willing to adopt the cookstoves familarly
use wood as the primary fuel. About 50% of their size involved in wood gathering activities
(not buying woods) for their fuel needs. In most of households, agrowaster (dry leafs) also
used as the supplementary fuel in the winter months (December – January).
p) The main occupation of the husband is business (31%), followed by service (22,5%). Other
common occupations are driver hired vehicles, artisans, farmers, fishing, and daily
laborers.
q) Among the women, 46 out of 120 were enganged in income generating activities. Poultry
rearing and sewing were the most common. About half (61/120) of the participants belong
to some sort of women’s group (such as saving cooperatives)
r) Only 9/118 participants reccommended that this stove would appropriate in urban-peri
urban area. There is lack of space in urban area for the cookstove, and the probability of
people using LPG / Gas stove is much higher in the urban community.
s) The baseline survey asked whether respondents were able to independently make the
decision whether or not to purchase the cookstove. The result shows a gradual rise in
decision making powers as women’s age increases and as they are in marital status (or
having a partner) and have authority to make a decision within their own family.
KOPERNIK.INFO21
Source:: WASHplus Project. 2013. Understanding Consumer Preference and Willingness to Pay for Improved
Cookstoves in Bangladesh. USAID
