[Stoves] No subsidies in TLUD char peoduction

Crispin Pemberton-Pigott crispinpigott at outlook.com
Tue Dec 5 01:39:38 CST 2017


Dear Paul

There is nothing controversial or toxic about this question. You have a stove project that has a CDM component - apparently the first CDM project approved for stoves - someone said (which I found an amazing claim).

Anyway:

>I repeat:  NOT subsidized.
>...if you are willing to help, including to help test the website regarding donations or the purchase GS CER fully certified carbon credits.  )

It is a donation. There are beneficiaries. Something is subsidized. I want to know where the CDM money goes. I do not care where it goes , I just want to see the whole financial picture.

This will inform my first question which is: can the project continue if this money source is cut off. I was not thinking of your request for $40 per stove, I was thinking of the CDM money which according to Sujatha, was necessary to buy the char at a viable price and sell it to the foundry.

If the value as a coal replacement is adequate to cover the cost of collection and delivery, then it is viable without the CDM money. If it is needed, then it is not.

Is this clear? There is external money flowing into the project. I expressed no opinion about whether or not it was good or bad. The question is whether or not it can continue indefinitely without that money.

If it can, the next assessment of risk is what change might take place and how that would affect the viability. If the change wrought indeed made it unviable financially, what steps can be take to mitigate the risk?

This is normal due diligence. We are not allowed to take unconscionable risks and risks have to have a mitigation plan. Stove char is a business and needs a business plan. If it depends on a subsidy, say so, and let us know that it is an essential element, and we will prepare for it. We will justify it to governments or donors if we can.

Regards
Crispin

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