The Servals Value Proposition

I want to articulate the Servals value proposition – the social and environmental dimensions of our business approach. We derive a lot of pride and joy in the “value” we create and add to the world we touch.

I. As such, the overriding need that we are seeking to address is the enhancement in the quality of life of the four billion strong BOP. We are seeking to do this by finding energy solutions for their cooking and lighting requirements – perhaps the two most defining aspects of their quality of life. We are in pursuit of energy solutions that subscribe to the following criteria.

• It must be clean. Reduction of indoor air pollution is a must because we are aware of how it contributes to their health.
• It must be green. Reducing the carbon footprint is a must because we are aware of the ramifications of greenhouse gas emissions.
• It must be affordable. Reducing the spending on cooking/lighting fuel is a must because we believe lives will be better when there is more household savings.
• It must be sustainable. Sustainability and reducing energy dependence on factors that are ‘outside the local community’ is a big part of Servals’ long term vision.

II. We believe our products reduce the carbon footprint of cooking stoves. They reduce the net addition of CO2 into the atmosphere. Apparently cooking stoves contribute 18% to the rise of CO2. We believe our products play a responsible role in mitigating this global problem.

• Burners: Reduce carbon emission to the order of 44 kg of CO2 per burner per annum. (about 20% saving compared to other burners)

• Stoves: Compared to normal stoves (Thermal Efficiency of 50% - 55%), our stoves contribute a minimum of 5% (Thermal Efficiency of 60% - 65%) improvement in fuel use efficiency.

• TLUD wood stoves: Early to measure the impact but has high potential. Servals is in the initial stages of designing an experiment among users in a village called Koothambakkam (Tamil Nadu, India) to estimate the impact of biochar on agricultural land fertility. Biochar is where the charcoal, which is a residue in the stoves, is put into the soil for improving fertility.

• Plant Oil Stoves/Lamps: Their impact has not yet been quantified because the products are awaiting market readiness. While its potential is high, the innovations can be leveraged only if there is availability of plant oil.

III. We believe we improve the lives of the customers by helping them reduce their expenditure on cooking fuels, thus increasing their household income.

• It is estimated that there is a saving of INR 900 per annum per household just by using Servals burners.

• It is estimated that each entrepreneur will be able to make approximately INR 20 per burner sold by him. Servals also believes that with its long-term vision of energy entrepreneurs, extreme hunger and poverty can be alleviated at least among some segments of the BOP.

IV. We believe we help address the global and social problem of energy conservation by encouraging the usage of alternate, renewable energy sources with our vision, plan and progress on wood stoves, plant oil stoves/ lamps. Read more...

V. We believe we focus on ushering in Rural Economic Independence especially for people below poverty line by adopting a business model that is based on social entrepreneurship. We are building a low-capital model that uses NGO’s (Non Governmental Organization) and SHGs (Self Help Groups) as channel partners both in production and marketing.


VI. We believe we focus on creating rural energy independence with our vision for rural energy entrepreneurs. We believe that this will make communities less vulnerable to fluctuations in price and availability of traditional fuels. Read more...

Read about our social metrics analysis here