Improved Water Mill Programme

Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

Table of Contents Acknowledgement

History of Falling Water in Nepal 2 It is my immense pleasure to bring out the first concise
Past IWM interventions 3 documentation of the IWM programme supported by AEPC and
SNV/N. The main objective of publishing this booklet is to make
Water Mill: Introduction 4 available the information on IWM programme to the interested
About IWM programme 6 individuals and institutions. Since this documentation attempt
just includes the key information, I would kindly request all those
Sustainability of the sector 8 interested to contact us for further details.
Service Providers 17
I express my sincere thanks to AEPC, SNV/N, Service Providers
Achievements 22 and other stakeholders for supporting IWM programme. I also
Challenges 23 appreciate the sincere and hard work of IWM team for making
this publication possible.
Way Forward 24
Ganesh Ram Shrestha
Executive Director
Centre for Rural Technology, Nepal

CRT

His Majesty's Government of Nepal Netherlands Development Organisation Centre for Rural Technology, Nepal
Ministry of Environment, Science and Technology GPO 1966, Kathmandu, Nepal GPO 3628, Tripureswor, Kathmandu
Alternative Energy Promotion Center Bakhundole, Lalitpur Tel : 4260165/4256819
GPO 14237, Kathmandu, Dhobighat, Lalitpur Tel: 5523444, Fax: 977-1-5523155 iwm@crtnepal.org
Tel: 5528335, Fax: 977-1-5542397 nrm@snv.org.np
aepc@seti.ntc.net.np

1 Centre for Rural Technology Nepal, CRT/N

 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

History of Falling Water in Nepal

Nepal a land of mountains has immense water resources. The falling water has
been widely used and developed since centuries. The potential energy of the water
is converted into kinetic energy, flowing the water through certain head.
There is no historical data to show how long the traditional water mills have been
in use in Nepal. Some say that the vertical axis water wheel might have been
developed in the Himalayas, its use then spreading to Western Europe.
Oral history tells that Ghatta technology was transferred from Tibet to Nepal
many years ago during the time of the Newar Dynasty. More than 300 years ago,
Nepal had good trade with Tibet. At that time Tibet was considered as a ‘bowl of
gold’. Though it was difficult to travel across the Himalayas, many Nepalese went
to Tibet in search of fortune. Some of the Nepalese who belonged to the Nakarmi
(metalworker) caste were fascinated with the Ghatta in Tibet and pioneered its
transfer to Nepal. But it did not prove an easy job for them. In order to develop
one working Ghatta in Nepal, the metalworkers had to travel over 10 times to
and from Tibet. In each visit they learned one or two solutions or components.
Finally, they could develop the working Ghatta in Nepal. The technology was found
to be suitable for many rural areas and spread from one corner of the country
to another. (source: Informal discussion with Mr. Akal Man Nakarmi, developer of Multi
Purpose Power Unit and Peltric Set in Nepal)
The improvement of traditional water mill is a story in itself. Over the past, much
effort has been experienced to improve the efficiency especially during the mid
eighties and various modern turbines have been developed with a special focus
on generating electricity. As the efficiency increased, the rpm of the shaft also
increased guiding the technicians for the design of high-speed machineries. But on
the other hand, little effort has been made to promote the improved version of
the smallest scale water wheels which, even today, are the most widely spread and
are means for providing agro processing services to the major rural communities
since time immemorial.
For long time researchers have worked on new ideas to improve the efficiency
of ghattas to make them useful also in other processing operations. Many of these
thinkers have contributed in achieving the improvement of ghattas to the present
day version. Centre for Rural Technology Nepal, CRT/N 2
 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector
Various attempts were made by individuals and institutions
in the country towards improving the traditional water
mill and increase its operational efficiency. However the
major break through was noted when Mr. Akal Man
Nakarmi of Kathmandu Metal Industries, Kathmandu
improved the traditional mill by using basically local
materials and skills of village craftsmen.With the exception
of metal parts, mainly the kit runner and shaft, the other
parts of the water mill such as chute, framework, stone
grinder, canal and intake are kept intact without any
Past IWM Interventions…
change. The beauty of Improved Water Mill Technology
is its simplicity, cost effective and can easily be installed
by trained entrepreneurs. On the other hand, the improved
service quality is translated in a higher agro-processing
capacity (milling capacity often doubles) and/or diversified
range of services (hulling, oil expelling, saw milling, electricity
generation).
With this improved version, phase wise initiatives were
taken to support the traditional water mill owners not
only to help them technically/financially and increase their
income level but also to the local community users,
especially the women, to reduce their stress and drudgery.
Various stakeholders including the donors, development
agencies, service providers etc. were being involved in
making the promotional efforts. Centre for Rural
Technology, Nepal (CRT/N) has been playing an
instrumental role in the promotion and dissemination of
Improved Water Mill (IWM) in Nepal since its establishment
in 1989. It has a long track record on promotion of rural
technologies including IWM in Nepal. With regards to
support, GTZ comes in the foremost list that directly
supported to the millers during the period from 1984 to
1988 in Dhading district and through CRT/N afterwards
in different potential hill districts of Nepal. Apart from
3 Centre for Rural Technology Nepal, CRT/N
GTZ other development agencies such as PLAN, CARE,
CECI, ACAP, SNV/N, UMN, SCF/USA, ITDG, etc. have
also equally contributed for its promotion.
It is very much worth mentioning here about the support
from International Centre for Integrated Mountain
Development (ICIMOD), Kathmandu in 2001 where water
millers in Kavre and Makawanpur districts were assisted
to organize in groups at the local and village level and to
form associations at the district level.The institutionalization
of the millers have helped not only to easily support them
to enhance their technical and institutional capacity as
well as link them with district agencies and other service
providers such as micro-finance, service centres and kit
manufacturers but also to strengthen their advocacy and
bargaining power for their own benefits.
With CRT/N as the lead organization working in
collaboration with other stakeholders in IWM promotion
in Nepal, by middle of 2003 over 900 Improved Water
Mills were installed in about 40 hill districts of the Kingdom.
A study done in 2000 with the support from ICIMOD
indicated that substantial reduction in drudgery for both
the millers and users were seen due to improvement of
the mills. The millers can quickly finish (saving their time
by about 50%) their processing job due to increased
processing capacity (on an average from 17 kg maize to
32 kg maize per hour). It was also found that they also
need less time in repair and maintenance. This has a
positive effect for the users requiring less time to wait,
again by about 50%, in the mills. As such IWM programme
has been considered as successful one by concerned
agencies and have incorporated this technology in their
components.
 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

Water Mill (Ghatta)

Introduction
- Ghatta: The wheel of prosperity
- Used since time immemorial
- Symbol of local technical excellence
- Traditional wisdom of the people
- Working harmoniously with nature and man
- Lies abundantly dotted across the country
- Vehicle of economic upliftment of the poor people

Centre for Rural Technology Nepal, CRT/N 4

 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

Basic Technical Features of

the Traditional and Improved Water Mill
Parts of Traditional Parts of Improved During the early fifties, the
Water Mill Water Mill establishment of rice and oil
mills was promoted in the flat
Wooden water wheel with flat Metal runners with buckets lands (Terai) to respond to the
paddles increased demand for the
Wooden hub covers the metal Metal vertical shaft processed food. These mills
vertical shaft were operated either by diesel
or by electricity wherever was
Wooden open chute of uniform 6"-8" Diameter, HDPE Pipes
cross-section available. These interventions
provided further incentive for
Runner mounted on to a wooden Runner mounted on to a wooden diversify end uses of local
frame frame Ghattas by exposing the
A pulley and belt system is different end uses to the
introduced for power transmission communities.

Traditional Water Mill Improved Water Mill

Functions and

Grinding of cereal grains only Grinding of cereals

Capacity

(maize, millet, wheat, rice etc.), (20-50 kg/hr)

10-20 kg/hr
Paddy hulling
(50-70 kg/hr)
Oil expelling
(10-15 kg/hr)
Electricity Generation
(1-3 kW)

5 Centre for Rural Technology Nepal, CRT/N

 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

About IWM Programme Programme Management and

Implementation Structure
The IWM Support Programme planned for a period of five years commenced
from July of 2002. But due to the delay in the signing of the agreement
between HMG/N and SNV/N on behalf of the Dutch Government (June SNV/N CRT/N AEPC
2003) and also the delayed official approval of CRT/N as IWM Programme
implementer by HMG/N (December 2003), the implementation of the IWM
current programme started only from early 2004 by initiating activities in CPCC IWM Unit
4 pilot districts namely namely Lalitpur, Ramechhap, Kavre and Makawanpur.
Currently the programme is being implemented in the pilot districts plus
IWM CRT/N & Service Providers
12 more districts namely Ilam, Taplejung, Panchthar, Sindhupalchowk, Dolakha,
Nuwakot, Tanahu, Myagdi, Baglung, Surkhet, Dadeldhura and Baitadi. DPCC PPOs Service Centres
Manufacturers
As an implementing organisation, CRT/N provides a coherent set of core
functions (sector management, company support, quality management, fund MFIs
administration and information) to the IWM sector while SNV/N provides advice and
management expertise to implement the programme and also monitors/evaluates the IWM Owners
programme activities. Alternative Energy Promotion Centre being the apex institution for Association
Renewable Energy Initiatives in the country provides policy, coordination and monitoring
support to execute the programme.

The IWM Programme… Owners Owners

Group Group
• is not reinventing the wheel;
• respects the traditional wisdom;
IWM IWM IWM IWM
• provides a cost effective and efficient alternative;
• is not focussing on parachuting technology but broadening the scope
of the programme by diversifying the services demanded by the target
CUSTOMERS (RURAL COMMUNITIES/FAMILIES)
groups

Centre for Rural Technology Nepal, CRT/N 6

 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

PROGRAMME OBJECTIVE SUBSIDY ARRANGEMENTS

• To improve the living condition of rural households, Subsidy will be provided to mill owners through Service Centres as follows;
especially of the traditional water millers and women Short Shaft (Grinding Only) Rs. 10,000.00/unit
users Long Shaft (adding end uses) Rs. 20,000.00/unit
• To improve the sustainability of the IWM sector as a Electrification through IWM Rs. 27,500.00/kW
whole through institutional strengthening and local capability
development Additional Subsidy to Remote Districts
TARGET GROUP (Bhojpur, Darchula, Jajarkot, Khotang, Sankhuwasabha, Bajhang, Bajura, Dolpa,
Humla, Jumla, Kalikot, Manag, Mugu, Mustang, Solukhumbu)
• Consists of millers in the hill and mountain areas of Nepal
owning a traditional water mill. Short Shaft (Grinding Only) Rs. 1,500.00
• Indirectly, the programme addresses the agro-processing Long Shaft (for adding end uses) Rs. 3,000.00
needs of rural communities, especially of the women, that
depend on the services of local traditional water mills
and encroaching diesel mills. How do I
manage How to
PHYSICAL TARGET cost ? repay ?

• To improve 4000 water mills with end uses in 25% of the

Technology Cost
installations

EXPECTED RESULTS
• Increased income for 4000 millers.
• Improved receiving power of millers organized in
groups/associations.
• Reduction of the workload of about 100,000 households
–often women and girls- as a result of reduced in waiting

Credit
Subsidy
time for milling services.

Equity
• Diversified agro-processing services for about 25,000
rural households.
• Generation of employment in rural areas.
• Significantly increased sustainability of IWM sector as a
result of improved institutional and local capability.

7 Centre for Rural Technology Nepal, CRT/N

 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

Sustainabiligy of the IWM sector

The programme aims particularly to improve the sustainability of the sector as
a whole – planning activities at macro (institutional strengthening), meso (company
support) and micro (support to miller associations) level.

The expected benefits of the programme include advantages in the fields of

sustainable energy use, environment, rural and human development, agriculture
and rural employment.

The specific objectives of the programme are to:

• improve co-operation between sector partners;
• strengthen the capacity of sector organisations and stakeholders;
• establish and put into practice the Quality Management System;
• install 4000 certified IWMs; and
• innovate through R&D activities on optimisation, efficiency and diversification
of IWMs

The following chapters highlight the activities undertaken inline with the objective
of the programme, achievements, list of Service Providers, challenges and a way
forward for the IWM programme.

Centre for Rural Technology Nepal, CRT/N 8

 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

Programme Initiation Workshop
Objective 1. To improve cooperation
To create awareness among the local development agencies
(GOs, CBOs and NGOs) about the IWM Programme, its
objectives, activities, strategies, approaches and expected
outputs and also to seek support, co-operation and
participation from them during the implementation of the
between sector partners
Various advisory services from a number of SNV/N advisors
have helped CRT/N to strengthen and accomplish a number
of programme related activities. Regular management meetings
were held between CRT/N, AEPC and SNV/N that has been
very helpful to streamline the planned activities.
District Selection for Expansion

programme Programme Inititation Workshop were held in

all the programme districts. Based on the positive outcome in the 4 pilot districts and
considering the demand from various districts and responses
Workshop to formulate Open up from potential PPOs during the Consultative Meeting, 12
more districts were selected based on the criteria such as
Strategy accessibility, IWM potential, IWM penetration, better
To explore the wider scope for ghatta improvements in the infrastructures, existence of supporting agencies etc.
potential hill districts, a Consultative Meeting on “Open-up
Programme and Approach for Wider Dissemination of
Improved Water Mills in Nepal” was organised where
potential Programme Partner Organisations (PPOs) and
Service Providers (mainly the Service Centres) were present
to share the programme and forge partnership to avail
services outside the current pilot districts so as to reach
and serve more target groups from different corners of the
country.
After the pre qualification of Service providers an orientation
programme was organised during which the Service Centres
from the pilot districts presented the status and the issues
identified during the course of implementation.
An exposure visit to Kavre (GOA Kavre and demonstration
site) was also organised for PPOs and newly qualified Service
Providers to familiarise the IWM activities in the district..
Later an agreement was signed with SCs individually regarding
the IWM programme implementation.

9 Centre for Rural Technology Nepal, CRT/N

 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector
Service Providers
1. Service Centre Technicians Training
(31 technicians developed)
2. Training support for Marketing of
IWM products (13 millers from 4
districts)
3. Training IWM Manufacturers
(13 technicians from 8
manufacturers)
Ghatta Owners and Ghatta Owners Association
Objective 2. To strengthen the capacity of
sector organisations and stakeholders
1. Assessment of GOA (Systematic Analysis Workshop)-GOA Kavre
(15 members) and GOA Makawanpur (12 members)
2. Operation, Repair & Maintenance and Gender Sensitisation Training
(461 male and 23 female IWM owners)
3. Entrepreneurship Training for Ghatta Owners (17 IWM owners from
5 districts)
4. Association Management Training for GOA (Lalitpur 12, Makawanpur
14, Sindhupalchowk 12)
5. Experiences Sharing & Exchange Visit among GOAs and visit to
Chambers
6. Facilitate the Formation and Strengthening of GOG/GOA
7. Organisation of Orientation and Demonstration (O&D) of IWM
8. Support Development for Village Technology Centre (Charangephedi,
Kavre and Kharanitar, Nuwakot)
9. Training support for integration of IWM with
RETs Kavre 11 participants (2 female)
Nuwakot 10 participants (1 female)
Programme Staff
1. Renewable Energy
Orientation
2. Risk management training for
programme staff
3. Training on basics of ID/OS
and advisory skills to IWM
team
Centre for Rural Technology Nepal, CRT/N 10
 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

Introduction of IWM Information System instructions given in the guideline.

Objective 3. To establish Quality Management
For the purpose of tracking information related to
installed IWM a database has been developed and is being
Development of Monitoring Standards
maintained in the central unit. for installation
Monitoring standards have been developed and are
Preparation of Guidelines for Ghatta linked to the IWM Information System. Monitoring guideline
System and put into practice

Electrification
Interim Ghatta Electrification Standards and guideline
for installation of the electrification units has been finalised.
Development of Guidelines for
Installation
The guidelines for installation of IWM for grinding only,
installation of totally new set-up of IWM and installation of
IWM with Huller have been developed in compliance with
the standards developed under the programme. All the IWMs
are installed as per the detail technical and managerial
has been strictly followed in IWM installation and as per the
field requirement monitoring guidelines are being updated.
Quality Awareness Meeting
Quality Awareness meeting was held with the objective
to make aware the IWM manufacturers about the Quality
Standards of IWM Components particularly the updated
version (Quality Standards of IWM Components, Version
1.2). All the pre-qualified manufacturers provided their feedback
on the updated version of the standards. There were total
15 participants from eight IWM manufacturing workshops.

11 Centre for Rural Technology Nepal, CRT/N

 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

Support for Arrangement of Subsidy

Objective 4. To install certified IWMs

The IWM Service Centre installs IWM after the approval of feasibility study by IWM Field Facilitators. Once the installation is
complete they fill the Project Completion Certificate (PCC) and forward to CRT/N for further recommendation to AEPC for the
release of subsidy. IWM team assesses the documents and does a field verification (on sample basis) and upon satisfactory findings
recommends for subsidy approval. Subsidy for all the IWMs installed are released by AEPC as per the subsidy delivery mechanism.
Guidelines for conversion of short shaft installed within the programme to long shaft has been developed and is functional. Similarly,
guideline for subsidy arrangements for IWM units washed away due to landslides/floods is available.

Support for Arrangement of Credits

Credit Administration Procedure is already developed. But the identification/pre-qualification of MFIs could not be carried out. The
IWM team is exploring various possibilities to encourage and motivate MFIs to enter the IWM sector. Workshop with district MFIs
were held to aware on credit component on IWM programme. As per the comments and suggestion collected during the workshop
the previous guideline seems to be updated to attract the MFIs.

Support for Arrangements of Units

IWM team is continuously visiting IWM SCs in various programme districts to help them in providing technical know-how of IWM
installation. Similarly, IWM team is undertaking Quality Control at the gate of manufacturing workshop as per the Quality Standards
developed.

Technology Installation
Till date, 1539 IWM units have been installed in the 16 programme districts, out of which 1455 units are for grinding only and 84
units are with end use diversification. The IWM team is emphasising on the installation of IWM with end uses so as to develop IWM
as a local energy centre rather than just agro processing unit.

Diversification of end uses by 25% of total IWM installed

It is targeted that 25 % of 4,000 IWMs is to be coupled with end uses varying from rice huller to electrification. Till the reporting
period, the percentage of end use installation is in lower side compare to the target. Therefore more emphasis has given for end
use diversification.

Centre for Rural Technology Nepal, CRT/N 12

 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

District LS SS Total
Dolakha 25 85 110
Nuwakot 17 196 213
Kavre 14 298 312
Ramechap 12 75 87
Panchthar 3 0 3
Ilam 3 1 4
Surkhet 3 7 10
Taplejung 2 0 2
Sindupalchowk 2 56 58
Makwanpur 2 565 567
Lalitpur 1 127 128
Tanhaun 0 1 1
Baglung 0 6 6
Myagdi 0 10 10
Dadeldhura 0 10 10
Baitadi 0 18 18
Total 84 1455 1539

(LS=Long Shaft, SS=Short Shaft)

13 Centre for Rural Technology Nepal, CRT/N

 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

Avg. Power Production (kW) in Short Shaft Avg. Power Production (kW) in Long Shaft

3.5 7.0 Average Power Production (kW)

3.0 6.0
3.6
2.5 5.0
4
2.0 4.0 3.5
3
1.5 3.0 1.9

Power (KW)
2.5
1.0 2.0 2
0.5 1.5
1.0
1
0.0
0.0 0.5
0
Short Shaft Long Shaft

End uses in IWM

13% 3%

82%
2%

Centre for Rural Technology Nepal, CRT/N 14

 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector
optimisation, efficiency and diversification of IWMs
Technical Testing of IWM Components
Objective 5. Innovations through R&D activities on
and establishment of IWM test rig
The IWM Test Rig is established in the premises of the
Institute of Engineering (IoE). Three different models of
IWM kits and its components have been tested in the test
rig.
Documentation of data from different
end uses pilot sites
The end uses are not always established to make money.
Social objectives of local resource use and employment
generation or simply as a social work are also the governing
factors in end use establishment. Hence in such case, sufficient
data are required to convince the community members that
the option would be good for investment. Documentation
of already established end uses are available.
Establishment of end use demo sites
Demonstration sites are established at accessible and centrally
located areas in various programme district as a learning
centres and promotional units for other ghatta owners. The
demonstration sites have been successful in creating awareness
and in generating demand at the local level.
15 Centre for Rural Technology Nepal, CRT/N
Assessment on Current Water Usages in
Ghatta
A good planning process adopting conflict resolution measures
is felt necessary to safeguard the installed IWM. In this regard
an "Assessment of Current Water Usages in Ghatta" with
the objective to compile and critically review indigenous
water management practices and systems was undertaken.
From the assessment it was found that main conflicts
prevailing in water usage for the operation of ghattas are
mainly due to resource sharing between community and
owner or between owners, disputes between mill owner
and land owner, mill owner and the owner from where the
canal pass through.
R & D Activities
Various R&D activities were initiated with the support from
service providers and individuals having interest in IWM. A
lifting mechanism to vary the texture of the flour was initiated
in Makawanpur and has been integrated as part of IWM kit
with additional cost of Rs. 500 per unit. Few units were sent
to other districts as well. Modification of shaft for easy
removal of base plate and pivot was designed by manufacturers
in Kavre and Nuwakot and are being field tested. The cost
of the unit with the above modification may increase the
cost of kits by almost Rs.1,500.
 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

Preliminary Market Analysis of IWM products in Hetauda

Centre for Rural Technology Nepal, CRT/N 16

 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

Details of Service Centres

Major Responsibilities of
Mr. Sasi Bikram Upreti Gottikhel-2, Lalitpur
IWM Service Centres: Chairman
Society for Integrated Development Mr. Puran Prasad Rijal
• Conduction of inventory of existing traditional water mills PO Box-5943,Kathmandu Managing Director
• Social mobilization for the marketing and promotion of Improved Email-bharat_upreti@hotmail.com Manikhej Urja
Water Mills Surkhet, Ph-083-520045
• Orientation/demonstrations and exposure visits for awareness Mr. Govinda Prasad Koirala
making Chairman Mr. Prakash Chandra Subedi
• Assist in formation of Mill Owners' Groups/Associations and Centre for Energy and Environment Director
and Development (CEED) Rural and Alternative Energy (P.) Ltd.
increase their capability for institutionalization of the millers
Chautara-8, Sindupalchowk Vyas Municipality-11, Main Road
• Conduction of feasibility Survey for installation of Improved Ph-011-620315, 630138 Damauli Chowk, Tanhaun
Water Mills Ph-065-560573, 560873
• Procurement of IWM kits from pre-qualified manufacturers Mr. Homnath Adhikari
• Promotion of service (end-use) diversification from IWM Programme Director Mr. Govinda Bahadur Shrestha
• Linking available program subsidy to IWM owners Namsaling Samudaiek Bikas Kendra President
• Installation of IWM Ilam Bazaar,Malapath Ghatta Owner's Association- Kavre
Ph-027-520411, 520792 Panuati, Kavre
• Provision of repair/maintenance services Ph-011-663288
Mr. Mohan Prasad Parajuli
Details of Service Centres Manager Mr. Durga Prasad Shrestha
Shree Bhagwati Metal Udyog Proprietor
Mr. Ratna Prasad Kandel Mr. Krishni Singh Bhandari Hetauda Municipality-9, Mygadi Urja Prabidhi Sewa Kendra
General Seceratary Member Seceratary Pasupatinagar,Makwanpur Arthungo-2, Beni Bazaar,Myagdi
Shree Pahadi Samaj Kalyan Kendra Sarvodaya Sustainable Development Ph- 057-522880 Ph-069-520430
Doramba-6, Ramechap Contact Office Society
: Manthali, Ramechap Baitadi (Gothalapani) Mr. Yogendra Raj Pant Mr. Nanda Kumar Newang
Ph-048-540050 Ph-095-520253 Executive Chairman Executive Secreatary
Fax: 095-20055 Dhaulagiri Community Resourse Alternative Energy Development
Mr. Chandra Prakash Bhattarai Development Centre(DCRDC) Centre
President Mr. Hom Pathak Baglung Muncipality -11, Phidim-1, Panchthar
Enviromental Conservation and Chairman Upllachaure,PO Box-01 Ph-024-520439
Development Forum Sustainable Rural Energy Development Ph-068-520249/520665
Phungling-4, Taplejung Guest House, Centre Fax-068-520665 Mr. Dhrama raj Bhatta
Taplejung Bhimeswor Municipality-7, Email-dcrdc@cnet.wlink.com.np President
Ph-024-460162 Charikot,Dolakha Ph (049-420240) Gramin Sasktikaran Kendra
Mr. Lal Bhadur Lama Kritipur, Dadeldhura
17 Centre for Rural Technology Nepal, CRT/N
Seceratary
Ghatta Owner's Association- Lalitpur
Ph-096-420499
Fax: 977-096-420107
 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

Details of Manufacturers
Major Responsibilities of Mr. Shyam Nakarmi Mr. Balram Prashad Subedi
Proprietor Manager

Manufacturers: Banepa Metal Udyog

Ugra Tara-1,Pul Bazaar,Banepa
Bhagawati Metal Udyog
Pashupati Nagar,
Ph-011-660435 Hetauda
• Production of quality kits as Mr. L. M. Rajbhandari
Ph-057-522880

per standards set by the Managing Director

Krishna Grill & Engineering Works
PO Box-150,Main Road
program Biratnagar - 13
Ph-021-525492, Fax-021-531162
• Facilitate CRT/N for quality Mr. Purna Prasad Rijal
Managing Director
checking of the products Manikej Urja
Birendra Nagar Industrial Area, Surkhet
Ph-083-520045
• Supply of the products as per
Mr. Prakash Chandra Subedi
demand made by IWM Service Director
Rural and Alternative Energy Pvt. Ltd.
Vyas Municipality-11, Main Road
Centres Damauli Chowk, Tanhaun
Ph-065-560573, 560873
• Facilitate IWM Service Centres
Mr. Shyam Raj Pradhan
Proprietor
Nepal Yantra Shala Energy
Patan Industrial Area,
PO Box-8957, Lalitpur
Ph- 01-5522167 / 5527857
Mr. Ramhari Rimal
Proprietor
Sharada Metal tatha Mechanical Udyog
Bidur Municipalty, Ward no-9, Koleni,
Nuwakot
Ph-010-560107
Mr. Durga Prasad Shrestha
Proprietor
Mygadi Urja Prabidhi Sewa Kendra
Arthungo-2, Beni Bazaar,Myagdi
Ph-069-520430

for the transport of the

products to program districts

Centre for Rural Technology Nepal, CRT/N 18

 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

Major Responsibilities of Micro Finance Institutions (MFIs):

Although no MFI so far has been involved in the programme, its role
is seen vital, mainly to impart following important services:

• Coordinate with IWM Service Centres for promotion of IWM with lending support
• Receive pre-finance from AEPC as made provision within the framework of the program
• Receive loan applications from mill owners, appraise and decide lending arrangements
• Provide loan to IWM owners
• Supervise, manage and control the loans provided to IWM owners
• Collection of loan from IWM owners and pay back to AEPC

19 Centre for Rural Technology Nepal, CRT/N

 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

Institutionalisation of the Millers Major Responsibilities of GOAs

This is one of the most important aspect of the IWM Programme. Supporting • Work as vehicle for awareness campaign
millers individually is much more cumbersome as well as costly. Presently IWM
• Work as pressure group for their rights
Programme has Associations in 5 districts namely Kavre, Makawanpur, Lalitpur,
Ramechhap and Sindhupalchowk. Apart from programme orientation and technical The programme is less susceptible to impact by the conflict
aspects on IWM, these associations were also provided Association Management situation because of the involvement of local service
traning within the framework of the programme to strengthen their organizational providers, immediate tangible benefits and also winning the
capability. trust of communities by consulting and engaging them in
the programme.
Initiation for the establishment of GOA in the programme districts is underway
by forming groups at different pocket areas and orienting them about the benefits
of forming an association. It has been realised that ones IWM owners understand
the benefit of being united they will definitely organise themselves under the
provided background. GOAs are involved in all the major activities of the Current President
programme.
of GOAs
It has been mandatory that the Working Committee of such associations includes Mr. Krishna Prashad Ghimire
some female members as well to make the association gender balance. The GOA-Makwanpur
Associations in Kavre and Lalitpur districts have now been grown up and
undertaken the role of IWM Service Centre. Mr. Shree Bahadur Shrestha
GOA-Ramechhap
Mr. Bir Bahadur Tamang
GOA-Sindhupalchock
Mr. Bhai Raj Kumar Lama
GOA-Lalitpur
Mr. Govinda Bahadur Shrestha
GOA-Kavre
Ph-011-663288

Centre for Rural Technology Nepal, CRT/N 20

 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

Support to Establish Village Energy Centres

Within the framework of the programme, CRT/N has
assisted IWM Service Centres including the Water Millers'
Association to initiate the establishment of Village Energy
Centres where a number of renewable energy technologies
such as Improved Cooking Stove, Bee-hive Briquette, Biogas
Plants, Solar Cooker, Solar Dryer, Solar Photovoltaic etc.
are promoted in an integrated manner to meet the total
requirement of the community considering IWM as the
springboard. At the moment, initiations are taken to
establish such Centres in Kavre and Nuwakot districts. In
Kavre district, Water Millers' Association has taken the
lead for its management to establish such centre at
Charangephedi while in Nuwakot, the IWM Service Centre
has taken the lead to establish such centre.

21 Centre for Rural Technology Nepal, CRT/N

 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

Achievements The social status of the

1500 IWM owners are capable to operate, manage and maintain the mills and
n

provide efficient services to the users.

millers in the community has
n Increase in income level by about 25-50 % of 1500 plus mill owners markedly improved as the
n Served 60,000 rural families (about 40 families per IWM) to meet their agro- community members now
processing needs in an efficient way and reduce their drudgery, especially of
women and children.
regard them as "Facilitating
n 84 IWMs , with end-use services, have provided not only efficient grinding services Entrepreneurs" rather than
to the users but also other services such as paddy hulling, oil expelling, saw milling just "Mill Operators". The
etc.
n Increase in number of pro active females for operation and management of IWMs
millers have considered the
n There is an increasing trend of demand for installation of IWM due to the mill operation as an
awareness creation among the potential millers and users. enterprise rather than for
saved nearly half of the processing time due to increased processing efficiency
n

of the mills.
maintaining the subsistence
n more time available to be involved in other social and economic activities level.
n the processing services are available also during winter/dry season as IWM
requires comparatively less water for its operation
n 1500 plus IWMs generate 2.9 MW (mechanical power, about 1.9 kW per unit)
IWM: centre to multiple
that could be used for various rural applications. activities that are catalytic
n 95% of the installed plants are in operation (Some are washed away by the flood). to local development
n generated additional employment opportunities for about additional 750 persons
(about 0.5 per IWM).
n 16 Service Centres and 8 Manufacutrers are are capable to provide quality Availability of water
services to millers at the local level. encourages activities that
discouraged the entry of diesel mills as the community members prefer to have
n

products from water mills rather than from diesel mills due to its taste and
are economically and
keeping quality. environmentally viable
n impact in the reduction of carbon emission in the atmosphere and global warming.

Centre for Rural Technology Nepal, CRT/N 22

 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

Challenges

Although the programme has brought positive changes
in the socio-economic status of the millers, local
community members and village as a whole, a number
of issues as follows have been observed that need to be
well addressed.
• Presently most improved mills disseminated were
with short shaft ( 95%) and are only used for grinding
purposes. Because of easy access for entering by
diesel mills, comparatively high investment required
for end-use diversification and non-availability of
proper lending facilities, lacking of policy support
for electrification through IWM and inadequate
research and development works for diversified uses
of the power from improved mills, the end-use
applications so far has not been that high and need
to be well addressed.
• “Annual Client Satisfaction Survey 2004" revealed
that both the millers and users have saved their time
substantially due to efficient services available from
IWM. It was found that some IWM owners have
fixed their operation time so that they are free to
do other things in the afternoon. It has been a matter
of great concern that how the saved time is best
utilised by both the millers and users.
• As the millers are mostly illiterate and are not well
exposed immediate quality services from millers
association cannot be expected. Establishment of
association does not solve the purpose unless their
capabilities are strengthened to cater services to
their members.
• Financing the water mill improvement activities has
all the time been one of the most critical problems.
Even the development bank like Agricultural
Development Bank, Nepal has shown no interest to
support the millers. Likewise, Micro-financing
Institutions (MFIs) at the grass-root level are also
so far not willing to participate. The main reasons
behind their unwillingness seem to be the risk factor
due to location of the mill at the remote places
nearby the stream/river on one hand and present
security situation on the other.

23 Centre for Rural Technology Nepal, CRT/N

 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

Way Forward… Proposition for using of saved time

Support for establishing "Village Energy Centres“
As initiated in Kavre and Nuwakot, support the local communities to
integrate IWM with other renewable energy technologies (RETs) such as
Improved Cooking Stove, Bee-hive Briquette, Biogas Plants, Solar Cooker,
Solar Dryer, Solar Photovoltaic etc. in villages and establish “Village Energy
Centres” that will help not only to fulfill their total energy requirement
but also reduce their drudgery substantially.
Introduction of technologies such as Improved Cooking Stove, Bee-hive
Briquette, Biogas Plants, Solar Cooker will help both the millers and users
to save their fuel requirement, reduce their time to collect fuel wood,
allows them to have smoke free kitchen etc. Solar electricity will reduce
their drudgery and ease their life-style. Solar dryer will help them to initiate
micro-enterprises with dried and processed agro-products. Initiation for
establishment of Village Energy Centres will also help the local Service
Providers to get more business opportunities to generate additional income
and employment. The local settings will be eco-friendly and environmentally
sound. Such Centres will be locally managed supported either by Mill
Owners’ Associations or by IWM Service Centres and considered as
training and learning ground for others interested to replicate the ideas.
(Integration of Improved Water Mill with other
Renewable Energy and Income Generating
Activities)
Strengthening end-use applications
Strengthening of end uses will have more income and
employment generating opportunities for the millers
on one hand and provide other services to the
community.
Support the millers and users to involve in economic
activities
make effort to link with potential economic activities
such as high value cash crops supported by micro-
irrigation, agro-forestry, organic farming, fishery, micro-
enterprises etc. For this, feasibility studies will be done
around IWM sites in certain program districts and will
be implemented on pilot basis.
Organisational Strengthening of Water Millers'
Associations
continual efforts with technical as well as managerial
support to strengthen associations for their continuous
growth.

Streamlining of MFIs
• Without proper financial support to the millers and users, the question of end-use diversification with IWM, RETs integration and
undertaking potential economic activities to use time saved by the millers and users is not possible.
• efforts to motivate local MFIs and other potential lending institutions to make them participate in the program.

Centre for Rural Technology Nepal, CRT/N 24

 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

• The success of IWM Programme in Nepal has been worldwide known

through recognition and registration of the programme for “Project
Around the World” and was presented at EXPO 2000 held in Hannover,
Germany in June 2000 under the theme of “Humankind-Nature-
Technology”.

• Likewise, IWM programme was sort listed among 7 applicants from all
over the world for the prestigious "Ashden Award for Renewable Energy"
(UK) for the year 2001 and was offered 2000 Pounds as consolation
prize for the efforts made in this sector.

25 Centre for Rural Technology Nepal, CRT/N

 Improved Water Mill Programme
Programme implemented by Centre for Rural Technology, Nepal (CRT/N) as part of His Majesty’s
Government of Nepal (HMG/N) and Netherlands Government programme Support to Nepal’s Renewable Energy Sector

Objective of the project

is to substantially increase the number of improved water mills to meet especially the motive
power needs of off-grid rural communities.

IWM CDM Project in Nepal

Project description and activities
• addresses the agro-processing needs of rural communities that depend on the services of
local traditional water mills and encroaching diesel mills
• diesel mills have disturbed the self-reliant set up of villages
• The IWM is a modified version of traditional water mill with increased power output
• project seeks to further develop a viable, market oriented improved water mill sector
Short shaft: Grinder only
offering support to both demand and supply side
3,126 kg CO2/yr/IWM

Project Outputs
• Faster milling and less waiting time with more efficient mills.
• Reduction of workload (mainly women and children) from mechanized milling of paddy and
pressing oil thus avoiding drudgery related to manual milling.
• Improved lighting from electricity in certain cases.
• Improved family health as a result of improved indoor air quality where electricity is
generated from the IWM.
• There will be reduction of the workload of about 100,000 households –often women and
Long shaft: Electrification girls- as a result of reduced in waiting time for milling services which can be used more
6,075 kg CO2/yr/IWM productively in different areas.
• The project is expected to increase income for 4,000 millers.
• Capacity building of the local people to manage their improved water mills and for repair
and maintenance of the plants would be another positive effect of this project.

Estimate of Greenhouse Gases abated

Long shaft: Grinder + Rice Huller
4,519 kg CO2/yr/IWM
(in metric tons of CO2-equivalent)
Annual
From 2,225 tCO2eq in the first year to 16,326 tCO2eq
From the 4th year onwards His Majesty's Government of Nepal
Ministry of Environment, Science and Technology
up to and including 2012: 104,731 tCO2-equivalent
up to a period of 10 years: 137,383 tCO2-equivalent Alternative Energy Promotion Center
GPO 14237, Kathmandu, Dhobighat, Lalitpur
up to a period of 7 years: 88,405 tCO2-equivalent Tel: 5528335, Fax: 977-1-5542397
up to a period of 14 years: 202,686 tCO2-equivalent aepc@seti.ntc.net.np

Centre for Rural Technology Nepal, CRT/N 26