How Induction-Based Cooking Can Help Reduce the Drudgery of the Summer Heatwave for Women and their Families

Making cooking environments safer for rural women in India

By Nitisha Agrawal, Director, Social Impact, MicroEnergy Credits

20th August 2024

As per a recent report - ‘The scorching divide: How extreme heat inflames gender inequalities in health and income’ published by The Adrienne Arsht-Rockefeller Foundation[i] In India, the number of women dying annually due to heat is projected to double, reaching 73,500 by 2050. While the report does not point specifically to the drudgery faced by women due to rudimentary cooking practices using fire food and biomass, much has been said about the uncomfortable, almost unbearable cooking conditions these practices create.

The report points out that presently, 27,000 women in India die each year due to heat-related excess mortality. While the women are exposed to extreme heat for all outdoor activities including paid and unpaid labour, cooking through traditional stoves further exacerbates their exposure to heat.

Several factors add to what could be termed as heat-related issues from the lens of the cooking scenario - direct exposure to flames, intense smoke, and soot that stays in the cooking area long after the food is cooked, increased instances of skin burns, longer hours to collect firewood as one’s efficiency is at an all-time low, and longer hours to fetch water due to drying water sources are among the obvious factors.

That extreme heat affects physical and mental health is a known fact, and the report highlights that “February 2023 was India's hottest February since 1901, and July 2023 broke records as the hottest July on Earth. Women are vulnerable to extreme heat due to physiological differences, limited access to healthcare, and increased risk of gender-based violence.”

However, the good news is that several new technologies and innovations could well have the solution to help reduce the heat factor in these women's cooking areas. Induction-based cooking is surely one of the most efficient and promising ways forward.

Based on my recent experience with MicroEnergy Credits, I had a chance to meet almost 25 women who have been using induction-based cookstoves for most of their cooking requirements. We met these women in their homes between March and April. Based on temperature records, some of those days had been recorded as the hottest days (29th April, Nalanda district of Bihar recorded well over 40 degrees daytime temperature in some parts).

The one differentiating factor that stood out immediately was that their cooking space did not feel as hot as compared to homes using traditional cooking methods. The absence of smoke and flame-related heat made their cooking environment bearable and comfortable. Most of these women shared that they find cooking on induction stoves convenient and easy. As opposed to traditional cooking methods using biomass, not being exposed to smoke and flame-related heat can prevent them from direct health issues like extreme exhaustion, giddiness, headache, respiratory illness, and heat-related fever.

MEC through its field partner network has been instrumental in bringing these induction cookstoves to over 1,30,000 households in the first year of its program which is a stupendous achievement given the largeness of this problem statement.

As the grid infrastructure and power connectivity continue to improve across the villages in India, induction-based cooking can play a pivotal role in preventing several issues related to rudimentary cooking practices including the health and well-being of women.

MEC is committed to strengthening the user experience through its partners and helping reduce barriers to adopting these new and improved technologies like induction-based cooking.

[i] https://onebillionresilient.org/extreme-heat-inflames-gender-inequalities/

A Better Cooking Environment for Rural Indian Kitchens

Small but significant steps taken by MicroEnergy Credits’ induction cookstove carbon program

By Nitisha Agrawal, Director, Social Impact, MicroEnergy Credits

7th August 2024

That I’ll get to see an induction cook stove in a small home in Samastipur, Bihar along with the same old facets of an Indian village life, has been a fascinating first experience. These homes are still lined up with walls of dried cow dung and rudimentary structures but one of their cooking options is an induction-based stove, something that even I don’t have in my kitchen currently.  In my 8th year as a practitioner of access to clean energy opportunities for the most marginal sections of our society, observing the use of induction cookstoves feels like a quantum leap.

I got this opportunity with MicroEnergy Credits (MEC) as they are currently rolling out a unique and first-of-its-kind induction cook stove clean cooking carbon program. Traveling to the state of Bihar, we made our way to Hasanpur in Samastipur District. Hasanpur is known for its sugar mills and one would assume that a large part of the population in this block would find employment in these mills. But there is more to it when we go deeper into the villages and meet the women.

MEC’s differentiated model of last-mile connectivity resides in its partnership with women’s financial inclusion organizations across the footprints of India. This makes the model not only scalable but also consistently dynamic. By its definition of purpose, ‘microfinance serves as a cornerstone for financial inclusion and grassroots development in India’. By providing the marginalized sections of society with access to credit and financial services, it has contributed to poverty alleviation, women empowerment, and rural development.

Now consider this powerful tool to provide opportunities for clean energy technologies. While most models grapple with achieving scale, MEC effectively uses this platform to reach lakhs of households with distributed technologies like induction cookstoves, improved cookstoves, solar lights, water purifiers, and others.

Our hosts for this visit were one of MEC’s field partners working for women’s financial inclusion, which has a robust footprint in this region and other parts of India. I could start to feel the power of this narrative by listening and interacting with women who are part of this universe. I attended a ‘women’s center collection’ meeting with our partner’s field team and realized that these women not only have taken their first steps towards empowerment but are better informed of their opportunities in life. Making decisions about accessing finance, what type of finance, using digital payment methods, handling their own money, choosing from an array of products and services offered through financial schemes, getting together regularly and talking about their home situations with a lot more confidence, felt like a move in the right direction.

In this meeting, we asked the women about their experience using an induction cookstove.  While some of them are still learning how to use the stove to its full potential, their initial experience seemed positive and exciting to some extent. Expression of excitement emerges from the ease of use of these stoves, and perhaps how quickly one can make a dish or boil water or even milk.

‘Click of a button’, and the cookstove is in use. Juxtaposing this ease against the smokiness of firewood-based cooking where it takes several minutes to get the fire going, use of a firestarter like plastic or kerosene and then subsequent and continuous fumes while the woman is cooking and even beyond that (as the smoke stays in the environment for a long time).

This makes me think of the mobile phone- the telecommunication revolution in rural India with the images of old grandparents being connected to their grandchildren first through voice and then through videos and now the digital payments revolution. The context may be different, but the emotion feels similar.

One may argue that induction-based cooking is drastically different from traditional cooking methods and so its impact on cooking output, but meeting these women made me believe that if given the right inputs and by continuously having conversations with them, they will choose what's right for them. And from what they shared; the taste is just what it needs to be.

What is also very interesting in this MEC program is that it considers both traditional cookstoves using firewood and LPG as baseline fuels. This shows the well-researched and also conservative approach of the organization making sure that there are no false assumptions and estimations as far as user behavior is concerned.

Now in these homes in Bihar and other states, there is an interplay of three types of cooking tools: traditional cookstoves, LPG, and induction. The scope of this article is not about usage percentages and the actual MRV process followed by program developers but MEC’s approach takes this into account by making sure that only the most conservative data is used. And looking at the cooking scenario in homes using induction, there is definitely less smoke, much less drudgery associated with fuel food collection, and critical saving of the woman’s time. This is an impactful transition towards cleaner kitchens and if we continue to motivate women to increase their adoption of using more of cleaner cooking options, they will make the right choice.

Like any other new technology, there is initial hesitation attached to the use of induction cook stoves, like a TV, a mixer grinder, a microwave oven, and even induction in urban homes. These aspects of slight hesitation can easily be removed by demonstrations, sharing of experiences, and sometimes just by talking. This is another differentiator within the MEC model where the field partners are present in the lives of their clients for several years through some kind of financial service. Naturally, the relationship will move beyond that of a cookstove, but it will always allow the client to come back in case of doubts or problems.

If we can support the user community with continuous capacity building and training through the field partners, then this will perhaps lead to deeper adoption of these technologies.

After the collection meeting, we visited the homes of some of the users of induction cookstoves where again the dominant thread was ease of use and very visible saving of time. Yes, there are infrastructural gaps related to power connectivity and the presence of extension boards, but these will improve over time with concentrated efforts by the government and other developmental agencies.

An impromptu cooking demonstration done during our field visit helped erase certain doubts in the minds of women who were hesitant to use the induction cookstoves.

Observing the expressions of some of these women and even men, I felt that there is an underlying emotion of aspiration through the use of these induction-based cookstoves. As if the household has moved up the ladder. Yes, to be able to use induction-based cooking for some of the cooking needs is a huge movement up the energy ladder and this is indeed the underlying objective of MEC’s program. Another interesting dynamic in favor of this technology is the positive response from the younger generation. We saw that in homes where there are youth and children, there is better adoption. Not only are the youth using it themselves to make a quick snack like Maggi noodles but these cookstoves are turning out to be very useful in making early morning tiffins for school-going children. As per MEC’s current monitoring, women have reported saving 1.10 hours per household per week, which is about 10 to 12 minutes each day.

Given an option, any woman would like to save 10 minutes of her time daily and escape from the drudgery of a smoke-filled cooking environment.

MEC through its field partner network has been instrumental in bringing these induction cookstoves to over 1,30,000 households in the first year of its program which is a stupendous achievement given the magnitude of this problem statement.

Even though these women are choosing the induction for some of their cooking requirements regularly, they are still choosing the most advanced and clean technology available in this space and everyone involved in this transition should be extremely proud of this achievement.

MEC’s unique program methodology uses metered technology to track the use of these induction cookstoves to measure the energy used for cooking. This also means that the data is collected digitally, resides on a cloud-based system, and ensures that there is no manipulation of the numbers. The meter will only take the readings if the induction is in use and then record the energy spent during cooking through induction. This process of data collection once again is a step in the right direction as this metered technology can be scaled up to each cooking device over time, much like recording the TRP or viewership ratings through a chip for our TV viewing preferences.

While this visit to Hasanpur in Samastipur district opened up an opportunity to witness a transition unfolding in the homes here, I am extremely optimistic and curious to understand how induction-based cooking is impacting the lives of women and families in other parts of India. Globally, there is much emphasis on induction-based cooking, and rightly so, but programs like MEC’s are also allowing the users to choose what may seem the current best option for them by financial empowerment of making the purchase decision and not free distribution.

With over 1.3 lakh users of induction cookstoves currently under this program, the numbers are likely to go up substantially over time as one can see the demand for it. And when there is a pull for any technology, we have seen how quickly the penetration happens.

On MEC’s part, it is committed to strengthening the user experience through its partners and helping reduce barriers to adopting these new and improved technologies leading to the overall well-being and empowerment of women in rural India.

Lighting the Way: Women's Empowerment through Climate Finance in Action

A current MicroEnergy Credits client and a future one show the power of women’s empowerment climate finance.

By Garima Dawer, Director, Communications, MicroEnergy Credits

1st August 2024

I recently visited a new area where we at MEC hope to expand our clean energy program, and there I met with an inspirational woman, Tania Bibi.

Tania Bibi is a hardworking young mother to a school-going daughter in Barrackpore, near Kolkata in West Bengal, India. Like all mothers, Tania has hopes and dreams for her child, but her days are spent in drudgery, cooking on a traditional chulha surrounded by smoke, and her evenings and nights in an almost dark home. Her daughter studies by the meagre light of a kerosene wick lamp after dark because their home has no other source of lighting, managing the bare minimum she needs to, because the smell and smoke from the lamp mean she cannot sit next to it for too long without damaging her eyes and lungs.

I am so excited that MEC’s program will introduce solar lighting, improved cookstoves, and water purification in her region. It is an honor to help these inspiring women offer more to their families and children. Indeed, through our program, Tania Bibi will spend less to achieve clean and modern energy than she currently spends on traditional fuel. When Tania accesses clean energy solutions like an improved cookstove for cooking, and solar lights to light up her home so her child can study after dark, she and her family will achieve freedom from continued health risks due to exposure to harmful smoke, as well as from the high probability of Tania’s daughter dropping out of school and limiting her access to future opportunities for development. When a child drops out of school, there is a strong likelihood that another generation will remain in poverty.

As I return to my desk to get up to speed on generative AI, I am boggled by the contrast in how our society allocates wealth. There are still millions and millions of women, their children, and their families in Asia and Africa still living in the dark - cooking, heating, and lighting their homes with polluting fossil fuels, unable to access simple clean energy to improve their daily lives. This lack of access has a far-reaching impact on several human development factors such as a long and healthy life, access to education and a decent standard of living. India, where MEC is determined to create a high social impact through its projects, ranks a dismal 134 out of 191 in the Global Human Development Index, and Kenya, another MEC project geography, ranks 152nd.

Our company has had the privilege to work with some incredible corporations that have funded climate action. But this is a small portion of what is needed.

The integrity conversation has led to terrific tools to increase climate impact, like the ICVCM and the VCMI. But while the debate has raged, it has also delayed carbon funding, with billions of dollars earmarked for climate action lying untapped in corporations, resulting in organizations like MEC needing to scale back their plans. I have personally witnessed the urgency to resume this scale-up and reach women like Tania Bibi.

We need more corporations to commit to carbon funding so we can support more women like Tania Bibi, who are ready to create healthier homes and a cleaner climate.

Now meet Uttama Barik, another inspirational woman I met on my travels. She is an end-user of our clean cooking carbon program in Nayapalli, Bhubaneswar, Odisha, India, and a micro-entrepreneur who uses the induction cookstove bought as part of the program to make snacks she sells to tea stalls and student hostels. The induction cookstove has allowed Uttama to spend more hours cooking in a safe, smoke-free environment and supplement her family income that is now being used to fund her daughter’s diploma program in computer science. This one step of clean energy adoption has had a far-reaching effect – Uttama’s family’s health has improved, and the additional income has provided her daughter with a chance to enter the technical workforce, potentially lifting her family up the economic ladder.

Uttama’s is one of the many success stories of women positively impacted through our clean cooking program GS12066- Microfinance for Clean Cooking Product Lines - India. Success stories like hers are made possible only through climate finance, a critical tool that holds the potential to catalyze transformative change on a global scale.

Each dollar spent buying carbon credits from a high-integrity, high-quality project developer like MicroEnergy Credits goes ten times further, not only supporting critical climate action and creating livelihoods for clean energy product distributors and demonstrators but generating a host of co-benefits like improved health and access to education with the potential to change the lives of entire families, communities, and countries.

And each client positively impacted when corporations fund development through climate finance is more than a number. It’s an individual, a child, a family, and a community that benefits from meaningful change. By investing in climate finance, corporations not only mitigate the risks associated with climate change but also pave the way for a more equitable and sustainable future for generations to come.

Even as nations grapple with the consequences of rising temperatures, extreme weather events, and environmental degradation, all is not lost, and we are not powerless. There is near-term action that climate-aware corporations can take. Climate heroes like Tania Bibi and her young daughter are ready to improve the climate as well as their lives, as Uttama Barik and her daughter have been able to do.

MEC India Efficient Lighting Program: All You Need to Know

MicroEnergy Credits - Microfinance for Efficient Lighting Product Lines

Grouped Project under Verra

In line with our commitment to transparency and integrity, we are providing a comprehensive list of all the information about our efficient lighting carbon program here.

This initiative aims to ensure that stakeholders have access to program details and documentation in an easy-to-use way.

The purpose of this grouped project “Microfinance for Inverter LED lamps in India” is to reduce fossil-fuel-based electricity consumption in rural households across India by introducing more energy-efficient inverter LED lamps to replace incandescent lightbulbs (“ICLs”). An inverter LED contains a light bulb coupled with a battery system (typically Li-Ion type) such that the LED bulb will operate on the mains power supply during availability and will switch to battery power when the main supply is not available (for e.g., in a blackout situation). This makes the inverter LED more versatile and useful than a normal LED bulb.

The inverter LEDs distributed under the grouped project replace ICL lamps in households, which results in GHG emissions due to the usage of ICL. Thus, the grouped project leads to the mitigation of GHG emissions and a range of other sustainable development benefits in the project region.

The distribution of SLS is not mandated by Indian law and the grouped project is a voluntary initiative.

Audited Documents

Additionality:

Over-crediting

Co-benefits of the program: Fostering community empowerment

MEC India Clean Energy Program (GS11450): All You Need to Know

MICROENERGY CREDITS – MICROFINANCE FOR CLEAN ENERGY PRODUCT LINES – INDIA

PoA ID GS 11450

In line with our commitment to transparency and integrity, we are providing a comprehensive list of all the information about our India clean energy carbon program here.

This initiative aims to ensure that stakeholders have access to program details and documentation in an easy-to-use way.

The program promotes three broad categories of Clean Energy Products (“CEP”):

Comprehensive information about the program:

I. Audited Documents:

II. Additionality:

III. Over-crediting:

IV. Co-benefits of the program: Fostering community empowerment

MicroEnergy Credits Achieves Milestone with First-of-Their-Kind Induction Cookstove Carbon Credits Issuance under Gold Standard

Mumbai, 13 February 2024– MicroEnergy Credits, a trusted provider of social impact carbon credits, proudly announces the issuance of first-of-their-kind carbon credits for its innovative induction cookstove clean cooking carbon program under the new Gold Standard Methodology for Metered & Measured Energy Cooking Devices. This achievement marks a significant step forward in the fight against pollution and health impacts caused by traditional cooking fuels, particularly in rural India.

Cooking fuels, including wood, coal, and biomass, have long been a major source of indoor air pollution in India. This form of cooking has a disastrous impact on not only the environment but also a devastating toll on public health. Those who cook over wood or kerosene, mostly women, inhale dangerous amounts of toxic smoke. According to the World Health Organization, pollution from this type of cooking kills 4 million people every year. In India, smoke from solid fuel used for cooking and other household activities is the largest source of ambient air pollution. Recent studies[i], including the one by Rao et al[ii]., have found that 20–50% of the pollutants in ambient air in India originate from residential solid fuel combustion.

April Allderdice, CEO, MicroEnergy Credits said:

“Our induction cookstove program not only contributes significantly to reducing carbon emissions but also plays a crucial role in uplifting communities on the energy ladder, providing them with cleaner and more efficient cooking solutions. By harnessing the power of innovative solutions, we are empowering households to transition towards cleaner energy sources, contributing to a healthier environment, and improving the quality of life for rural and low-income women and their families.

“This initiative aligns seamlessly with the United Nations Sustainable Development Goals (SDGs), specifically targeting SDG 7 - Affordable and Clean Energy, SDG 3 - Good Health and Well-being, and SDG 13 – Climate Action. By addressing the cooking sector's environmental impact, we are promoting better health outcomes for communities as well as creating a positive ripple effect in mitigating climate change.”

Margaret Kim, CEO, Gold Standard said:

“Clean cooking projects play an essential role in contributing to sustainable development and reducing emissions. The first issuance of credits from our Methodology Metered and Measured Cooking Device methodology, which enables accurate real-time measurement of energy consumption, marks an important milestone for clean cooking in the carbon market. I congratulate MicroEnergy Credits for their innovative and impactful project, and look forward to seeing the wider adoption of this methodology.”

MicroEnergy Credits' induction cookstove clean cooking program offers a transformative solution by significantly reducing the air pollution and carbon emissions associated with cooking. Induction cookstoves provide a cleaner and more sustainable alternative to traditional methods. The technology not only improves air quality and health outcomes for communities, but it also aligns with global efforts to combat climate change.

The Gold Standard certification attests to the verifiable emission reductions achieved by the MicroEnergy Credits program. The rigorous monitoring and verification process ensures that each credit issued represents a genuine and impactful reduction in carbon emissions, further emphasizing the company's commitment to generating the highest quality of carbon credits with verifiable impact.

Following a certification the project has achieved the following verified impact:

“The world will not reach net zero without addressing clean cooking access. And the cooking crisis, like climate change, will not be solved without carbon finance,” said Donee Alexander, Chief Science and Learning Officer, Clean Cooking Alliance. “When based on realistic assumptions that reflect integrity, transparency, and accountability, like those of Gold Standard’s metered methodology, clean cooking projects can deliver huge climate wins for people and the planet.”

MicroEnergy Credits remains dedicated to pioneering programs with clean energy solutions to empower rural and low-income communities on their journey out of poverty. The induction cookstove carbon credits issuance is a testament to the company's ongoing efforts to make a positive impact on both the well-being of communities and the planet.

For media inquiries, please contact:

Garima Dawer

Director, Communications, MicroEnergy Credits

garima.dawer@microenergycredits.com

About MicroEnergy Credits 

MicroEnergy Credits is a social enterprise that helps MFIs launch and scale clean energy lending programs by connecting them to carbon markets. As a trusted provider of social impact carbon credits, MEC seeks to empower every community by providing access to affordable and innovative clean energy solutions. MEC aims to create a world free of both poverty and climate change. Our programs enable rural and low-income communities to take control of their clean energy future while providing corporations committed to positive climate action with carbon credits with verifiable impact. 

Over the past 16 years, we have impacted the lives of over 40 million people in the developing countries of Asia and Africa. Our MFI partners play a crucial role in the adoption of clean energy. As a supportive partner, MEC leverages its prowess in the carbon market to provide resources, training, and expertise to help our MFI partners make a difference on the ground. 

[i] [i] Chafe, Z., & Chowdhury, S. (2021). A deadly double dose for India’s poor. Nature Sustainability, 4(10), 835-836. https://doi.org/10.1038/s41893-021-00752-0

[ii] Rao, N. D., Kiesewetter, G., Min, J., Pachauri, S., & Wagner, F. (2021). Household contributions to and impacts from air pollution in India. Nature Sustainability, 4(10), 859-867. https://doi.org/10.1038/s41893-021-00744-0

How Does MEC Incorporate the Research from UC Berkeley (Gill-Wiehl et al) in its Work? 

As a project developer, MEC read Gill-Wiehl’s original research with interest. We are always trying to keep on the cutting edge using the best possible methodologies. Technology is continuously changing and we are evolving with it. As our CEO April Allderdice writes here, the methodologies will continue to change and improve over time. Moreover, it is our company's value that constructive criticism is a valuable catalyst for progress.  The great news is that MEC has already been applying most of the suggestions for monitoring integrity. Here are some of the suggestions from the paper that MEC is already implementing:

MEC Clean Energy Program- Project Additionality: Overcoming Socio-Economic Barriers

Bolstering the Integrity of Carbon Credits

The concept of additionality is a critical component in bolstering confidence in the integrity of carbon credits. MicroEnergy Credits follows a robust process to ensure that all its carbon projects are strictly additional and have a high social impact.

In the Guide to Carbon Offset Utilization, the concept of "quality or integrity" of an offset revolves around the confidence of the stakeholders in the ability of credit to fulfill the emission reduction requirements. The principle of additionality is crucial for boosting trust in carbon credits and safeguarding their integrity. In the context of crediting mechanisms, "additionality" refers to the notion that emission reductions or removals resulting from a mitigation activity are considered additional only if the activity would not have taken place without the additional incentive provided by carbon credits. Essentially, an additional project signifies that it would only be financially viable with carbon funding from market-based mechanisms. To quality as genuine carbon offsets, the reductions from projects must be "additional" compared to what would happen at business as usual. All projects registered under widely accepted greenhouse gas (GHG) project standardsadhere to the guidelines for evaluating and demonstrating additionality as established by the respective GHG crediting programs.

Socio-Economic Barriers Analysis for Proof of Additionality of MEC’s Clean Energy Program

  1. Barriers faced by low-income households to adopting clean energy technologies in India & Africa

Low-income households in India and Africa face several barriers to adopting clean energy technologies. These barriers are economic, social, and infrastructural. Here are some common challenges:

Addressing these barriers requires a comprehensive approach involving government initiatives, financial institutions, awareness campaigns, and community engagement to make clean energy technologies more accessible and attractive to low-income households in India.

In India, MEC's Carbon Program is closing gaps by designing projects that empower low-income households to select the most suitable and dependable clean technologies, supported by carbon finance.

2. Barriers faced by micro finance institutions to fund low-carbon technologies

Historically, a few microfinance institutions have engaged in providing microfinance for low-carbon technologies, However, challenges such as the high cost of hiring additional staff, costs related to marketing and building awareness, understanding of the products and technologies, absence of a local supply chain, concern about reputational risk, limited onward lending funds and challenge in developing products for consumptive loans have always tied the scope of growth. The MEC has introduced a program aimed at helping microfinance institutions overcome these hurdles.

Use of carbon funding to overcome barriers to clean energy adoption

MEC utilizes carbon finance to overcome the barriers - from investing in awareness programs by training MFI partners to empowering microentrepreneurs by accessing loans for the adoption of products and supporting MFI partners to provide aftersales service to customers. MEC begins by collaborating with microfinance institutions to devise an attractive clean energy product offering for its microfinance client base, addressing obstacles such as lack of education, high pricing, access to financing, and delivery and after-sales services. Subsequently, MEC trains the microfinance institutions for the implementation of the clean energy-lending program. This includes business planning, capacity building, and the execution of marketing, awareness/ education, and supply chain processes. MEC has established a robust and transparent system for monitoring and tracking carbon credits, quantifying, and documenting the amount of emission reductions generated by the clean energy projects. Lastly, the carbon finance is employed to expand and sustain the clean energy program through activities such as:

MEC employs a rigorous methodology to guarantee that its projects exclusively benefit low-income households in rural India, who would otherwise face challenges in accessing clean energy technologies due to economic and financial obstacles. The utilization of carbon funding is instrumental to overcoming these barriers and eventually bridging the viability gap in investment decisions. Consequently, the carbon credits produced by MEC's carbon programs contribute significantly to socio-economic development and the achievement of Sustainable Development Goals (SDGs).

MEC India Clean Energy Program: Co-Benefits - Fostering Community Empowerment

Paving the Way Towards a Sustainable Future

MicroEnergy Credits (MEC) programs, backed by carbon finance, play a crucial role in bridging the gap between clean energy solutions and communities in need.

Employing a holistic approach, MEC addresses challenges encompassing energy drudgery, awareness, pricing, finance, and after-sales services, ensuring a sustained impact on the communities it serves.

The comprehensive strategy of MEC's India program makes a substantial contribution to community development. By significantly reducing indoor air pollution and providing access to sustainable energy for cooking, lighting, and clean water, the program addresses the fundamental needs of low-income households. Strategic partnerships with microfinance institutions facilitate upfront credit facilities for clean energy technologies, ensuring affordability through manageable EMIs. Furthermore, the program creates employment opportunities for local youth, fostering sustainable development in the communities it serves.

Contributing to Sustainable Development Goals while Addressing Barriers for Low-Income Clients under MEC Projects in India

Within the dynamic landscape of its projects in India, MEC not only strives to contribute to the broader canvas of Sustainable Development Goals (SDGs) but also successfully addresses the unique challenges faced by low-income households. This multipronged model forms the crux of MEC's mission in India.

MEC is committed to not only providing clean energy solutions and clean water (significantly contributing to SDGs 6 & 7) but also actively addressing the barriers faced by low-income clients. Comprehensive training programs empower MEC’s project partners to effectively implement clean energy lending, supported by a robust carbon credit monitoring system for transparency and accountability. These innovative strategies and multifaceted approaches employed by MEC’s projects in India have been striving to achieve the twin objectives of sustainable development and inclusivity in the Indian context since 2013, impacting 8 million low-income households.

MEC strategically employs carbon finance to drive sustainable change, focusing on:

Carbon finance is allocated to drive educative awareness campaigns among rural and low-income communities. This ensures that communities are not only aware of the benefits of clean energy but also actively engage in adopting solutions that help them shift away from traditional fossil fuels to improved clean energy technologies. This action aligns the end user’s perspective towards the low carbon technology and contributes to SDG-7(Affordable and Clean Energy) and 13 (Climate Action).

MEC dedicates resources to training and capacity-building programs for micro-entrepreneurs and staff members of microfinance institutions (MFIs). Each training program developed by MEC is tailored to the specific needs of partner organizations. These programs aim to improve skills, facilitate effective communication with end-users, and ensure the rigorous use of technology, along with prompt after-sales services, and scaling-up of the program in the long run. This action aligns the end user’s perspective towards the low carbon technology and contributes to SDG-7(Affordable and Clean Energy), 13 (Climate Action), SDG-8 (Decent Work and Economic Growth)

MEC recognizes the importance of local businesses, especially Small and Medium Enterprises (SMEs), and channels funds to support sales of clean energy products. This not only boosts local economies but also creates a self-sustaining cycle of clean energy adoption. The activities under the program provide opportunities for skilled employment in rural areas and significantly contribute to SDG-8 (Decent Work and Economic Growth).

Carbon finance is utilized to provide after-sales service and maintenance, ensuring that the end-users can maximize the benefits from the continuous use of clean energy products.  This solidifies the community’s trust and commitment towards the adoption and consistent use of clean energy technologies which significantly contributes to SDG-7 and SDG-13.

MEC maintains a sustained relationship with the end-user, with regular monitoring of product usage being an important part of MEC’s carbon program. MEC works with microfinance institutions which typically meet with clients every week or fortnight. These meetings serve the purpose of reinforcing the behavioural change needed for the sustained efficient adoption of the clean energy product. Moreover, these meetings create a timely opportunity for users to access after-sales service for their products. The action promptly contributes to SDG-7 and SDG-13.

Carbon finance is strategically used to lower interest or principal costs for clients, making clean energy solutions more affordable to low-income communities. This lowering of the upfront cost is supported through carbon finance promotes widespread adoption and significantly contributes to SDG-1.

Harmony Between MEC Projects in India and the Government of India's Welfare Schemes and Programs

In addition to aligning with the SDGs, MEC's India program has broadened its influence by supporting various schemes and social security programs initiated by the Government of India. The following is a list of schemes and programs to which MEC's India program has contributed:

 Scheme/Program NameAboutContribution of MEC’s Program to the Schemes/Program
1Swachh Bharat Mission (SBM)SBM focuses on achieving universal sanitation coverage and clean water for all A prominent technology within MEC's program is the water purification system, ensuring continuous access to safe and clean drinking water
2National Solar Mission (Jawaharlal Nehru National Solar Mission)Aims to promote the use of solar energyThe solar home lighting System is a frequently used technology within the MEC program
3UJALA (Unnat Jyoti by Affordable LEDs for All)UJALA promotes the use of energy-efficient LED bulbsLED lights are part of the offering under the MEC program
4Deen Dayal Upadhyaya Gram Jyoti YojanaReliable power supply to rural areasBy implementing solar home lighting systems, MEC ensures sustainable access to electricity, enabling low-income households to engage in productive activities after nightfall
5Skill India Mission (Pradhan Mantri Kaushal Vikas Yojana)Enhance employability of the India's youth by providing them with skill development and vocational trainingThe MEC model educates and empowers microentrepreneurs, creating a skilled workforce in rural areas. Additionally, MEC provides training for MFI staff, enhancing their skills in sales, marketing, and the service and maintenance of low carbon technologies
6Jal Jeevan MissionAccess to safe and piped water supply to all rural households in IndiaA prominent technology within MEC's program is the water purification system, ensuring continuous access to safe and clean drinking water
7Green India Mission (National Mission for a Green India)Focuses on afforestation, reforestation, and conservation of biodiversity to enhance carbon sinks, mitigate climate change, and improve environmental sustainabilityThe MEC program guarantees a decrease in carbon emissions, contributing positively to climate change mitigation and enhancing environmental sustainability. Efficient energy usage in improved cookstoves reduces the amount of firewood used in cooking, reducing deforestation
8Stand-Up IndiaPromotes entrepreneurship among women, Scheduled Castes (SCs), and Scheduled Tribes (STs)The MEC model educates and supports micro entrepreneurs, especially women, cultivating a skilled workforce (for example: distributors of clean energy products, and clean energy leaders) in rural regions

MEC seeks to empower every community by providing access to affordable and innovative clean energy solutions, including solar lighting systems, improved biomass cookstoves, and water purification systems.

With the aim to create a world free of both poverty and climate change, MEC leverages carbon finance through its programs, enabling rural and low-income communities to take control of their clean energy future. MEC's projects in India showcase collaboration, innovative financing, and a comprehensive approach to empowerment to bring enduring transformation for communities in their journey out of poverty.

Ensuring No Over-Crediting of Emission Reductions Due to Double Counting: Stringent Data Management and Exclusive Partnership Contracts

MicroEnergy Credits (MEC) is committed to the ICVCM’s Core Carbon Principles and ensuring that emission reductions from its program are not double counted. According to IC-VCM, the “GHG emission reductions or removals from the mitigation activity shall not be double counted, i.e., they shall only be counted once towards achieving mitigation targets or goals” (ICVCM, 2023).

Double counting covers double issuance, double claiming, and double use. Double claiming and double use are risks managed by standards that certify the projects. MEC’s projects are certified by reputed standards like Gold Standard and Verra which have mechanisms in place at their registry level to ensure that double claiming does not occur. Double Issuance occurs when two or more carbon credits co-exist for one GHG emission reduction or removal, under the same or different carbon-crediting or other programs. MEC takes stringent measures to ensure that there is no double issuance of credits from a single household or that no other entity is issuing credits from the same project. MEC employs a robust database management team that develops customised data model algorithms and proprietary software that surgically scans and eliminates any duplicate records of end-users through multiple levels of data modeling checks. To implement these checks successfully, MEC engages with partner organisations to submit an extensive monthly database of loan records corresponding to clean energy product sales. Moreover, MEC’s contract agreement with partnering organisations includes a rigorous exclusivity clause for the carbon project implementation within a specified geographical area.

Checking for duplicate records

Duplicate records can happen due to human error in entering records or erroneous data submission. Since MEC’s carbon program follows a market-driven approach, every end-user of the clean energy product is accessing affordable financing options from a partner microfinance institution (MFI). Therefore, all clean energy product loans have a unique transaction number. In the monthly data submitted by MFIs, MEC checks all transaction records in the entire database and eliminates all duplicate transaction numbers as double entries or erroneous records. This way, we can eliminate any human error or the possibility of erroneous data submission that may inflate the emission reduction calculations and generate more carbon credits than the actual. This method might sometimes even lead to under-crediting, which preserves the principle of conservativeness in the calculation of carbon credits.

Double-layer scrutiny with checks for overlapping records.

MEC works with several MFIs across different crediting periods, which means that there is a possibility that a single end-user may be a client of multiple MFIs at the same time. Sometimes end users may access a cross-sale loan from multiple MFIs for the same technology device. End users can also access an MFI for multiple loans for similar technologies across different loan periods. There is a risk that an end-user might end up with more than one solar light, improved cookstove, or water purifier during the same crediting period. While one may argue that an end-user may need multiple units of similar devices and may be using them regularly, by the principle of conservativeness in carbon credits, only the first unit may be eligible for calculation of carbon credits as that unit is reducing emissions over the baseline under a business-as-usual scenario. Therefore, it becomes imperative that all succeeding and overlapping devices of the same technology type are eliminated while calculating the emission reductions from the carbon program.

MEC applies a second layer of checks (beyond duplicate entries) for overlapping user account identifications by carefully identifying patterns and matches in all historical customer identifier data fields. MEC sends all overlapping records to partner MFIs for clarification, and only upon submission of satisfactory evidence does MEC include such records in the current monitoring period, otherwise these records are eliminated.

MEC also eliminates the possibility of overlapping loan products across partner MFIs by scrutinizing the entire database across different partners by applying partial matching algorithms on end-user demographic microdata. This helps us scan out overlapping sales, which we send for clarification to different partner organizations for a common data field. MEC eliminates all overlapping records from the database and only includes unique records in the emission reduction calculations.

MEC has developed a proprietary data warehousing and processing software called the Credit Tracker, which applies all these complex data modeling algorithms to ensure that the data integrity is maintained by elimination of over-crediting due to double counting across the entire program in the defined geographical area. Our Credit Tracker software is ever-evolving, and the current version is upgraded with state-of-the-art big data algorithms to identify noise across a heterogeneous database of over 9 million households across the globe.

Distinction between MEC's CER and VER portfolio

MEC ensures that the emission reductions from its projects and the related climate impacts are counted only once. MEC ensures that there is no double issuance because:

  1. There is no overlap between the CDM monitoring periods and GS/Verra monitoring periods for any of these PoA/projects.
  2. There are no issued CERs that have been converted to GS-VERs or VCUs.

Exclusivity clause

The concept of exclusivity is deeply embedded in the partnership agreements between MEC and partnering MFIs. MEC signs partnerships with MFIs on the ground that all clean energy projects by the partnering entity shall only be registered under MEC’s carbon program. This ensures that no partnering MFI can claim carbon funding from any other project developer while being a part of MEC’s carbon projects. Through continuous training and engagement with partners, MEC implements the concept of exclusivity in all carbon projects to avoid any possibility that two or more mitigation activities have overlapping GHG accounting boundaries in the carbon market which could lead to double issuance. This enables us to implement a market-wide check and balance since MEC is the trusted carbon program partner to all major MFIs in the geographical area.

MEC’s stringent data management and exclusive contracts can set out a market-wide standard for upholding the integrity of carbon credits and eliminate doubts that different market participants may have on the issue of over-crediting due to double counting.