20140123032409_Exploring local and district level BDS providers for providing BDS services for MSMES

December, 2013

ExploringLocalandDistrictLevelOrganizations/FirmsProvidingBusinessDevelopmentServices

RequiredforMSMEs

Final Report

SubmittedBy:AasthaNetworkPvt.LtdSubmittedto:AlternativeEnergyPromotionCenter/

NationalRuralandRenewableEnergyProgram/ProductiveEnergyUse

ExploringLocalandDistrictlevelOrganizations/FirmsprovidingBusinessDevelopmentServicesrequiredbyMSMEs

AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pagea

Acknowledgement

Wewouldliketoexpressourgratitudewithappreciationtoalltheindividualswhoprovidedtheirinvaluabletimeandeffortsforthestudycarriedout.

WewouldliketoexpressourgratitudetoNationalRuralandRenewableEnergyProgram(NRREP)/ProductiveEnergy‐Use(PEU)componenttoprovideusopportunitytocarryoutthisassignmentandsupportingusthroughprovidingrelevantinformationandnetworkinglinkageswiththeRegionalServiceCentreandotherorganizations.WewouldliketothankDistrictEnergyandEnvironmentUnit(DEEU)‐Myagdi,Baglung,KaskiandGorkha,Dhaula‐giriCommunityDevelopmentResearchCentre(DCRDC),DistrictAgricultureOffice(DAO)‐Myagdi,Baglung,DistrictLivestockServiceOffice(DLSO)Myagdi,Baglung,DistrictForestOf‐fice(DFO)Myagdi and Baglung, Local Initiatives for Biodiversity, Research and Develop‐ment(LI‐BIRD), Area Program Support Office(APSO) MEDEP Kaski, Prabhu Vikas bank,GreenDevelopmentBank,feedandpoultrysuppliersatdistrictlevels,electricandelectron‐icsshopsatdistrictlevels,hardwares,toolsandmachineriessuppliers,agro‐vetsatdistrictslevelbyprovidingrelevantinformationregardingthemicro‐hydroandexistingenterprises.

WewouldliketothankmainlytheprojectTeamleaderMr.SuhridPrasadChapagainandallteammembersincluding‐Mr.UjjwalChapagain(BDSandDataAnalysisExpert),Mr.KumarPaudel(REExpert),Mr.BaburamDhakal(FieldResearch)fortheirdedicationtocarryouttheassignment.

AasthaNetworkPrivateLtd

Kupodole,Lalitpur


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ListofAbbreviationsAEPC AlternativeEnergyPromotionCenter

BDS BusinessDevelopmentServices

CCI ChamberofCommerceandIndustries

CFUG CommunityForestUserGroup

CSIDB CottageandSmallIndustriesDevelopmentBoard

CTEVT CouncilforTechnicalEducationandVocationalTraining

DAO DistrictAgricultureOffice

DDC DistrictDevelopmentCommittee

DFO DistrictForestryOffice

DLSO DistrictLivestockServiceOffice

DCCI DistrictChamberofCommerceandIndustries

DCEM DhaulagiriCivilElectricalMechanicalEngineering

DCRDC DhaulagiriCommunityResourceandDevelopmentCentre

DCSI DepartmentofCottageandSmallIndustries

DDC DistrictDevelopmentCommittee

DEEU DistrictEnergyandEnvironmentUnit

DFO DistrictForestOffice

DLSO DistrictLivestockSupportOffice

EDF EnterpriseDevelopmentFacilitator

FECOFUN FederationofCommunityForestUsersNepal

FM FrequencyModulation

GoN GovernmentofNepal

GOs GovernmentOrganization

HBTL HimalayanBio‐tradeLimited

HH Household

Hq. Headquarter

ICT InformationandCommunicationsTechnology

INGO InternationalNon‐GovernmentInstitutions


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ISP InternetServiceProvider

kW Kilowatt

LGCDP LocalGovernanceandCommunityDevelopmentProject

LI‐BIRD LocalInitiativesforBiodiversity,ResearchandDevelopment

MEDEP Micro‐enterpriseDevelopmentProgram

MFIs Micro‐FinanceInstitutions

MHP MicroHydroProjects

MSFP MultiStakeholderForestryProgram

MSME MicroSmallandMediumEnterprise

NGO Non‐GovernmentOrganization

No. Number

NRREP NationalRuralandRenewableEnergyProgram

NTC NepalTelecom

OLENepal OpenLearningNepal

PC Percentage

PEU ProductiveEnergyuse

RE RenewableEnergy

RET RenewableEnergyTechnology

RSC RegionalServiceCentre

S.N SerialNumber

VDC VillageDevelopmentCommittee

Vs Versus


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ContentsAcknowledgement.................................................................................................................................................a

ListofAbbreviations............................................................................................................................................b

ExecutiveSummary...............................................................................................................................................f

1. Introduction....................................................................................................................................................1

1.1 Background ......................................................................................................................................... 1

1.2 Objective ............................................................................................................................................. 2

1.3 Understanding TOR ............................................................................................................................. 2

2. Methodology...................................................................................................................................................3

3. Fieldresearchfindings...............................................................................................................................5

3.1 Overview of the findings from the Study areas‐ Myagdi, Baglung, Kaski and Gorkha ....................... 5

3.2 Overview of Energy: Production Vs Consumption ............................................................................. 6

3.3 Overview of the enterprise listed from the Study areas: ................................................................... 9

3.4 Brief Overview of the prioritized enterprises ................................................................................... 11

3.5 List of Services required for the enterprises ..................................................................................... 12

3.6 Demand Assessment of the services ................................................................................................ 14

3.7 Analysis of constraints of the enterprises and business service providers ...................................... 15

3.8 Generic Constraints of the enterprises ............................................................................................. 17

3.9 SWOT Analysis ................................................................................................................................... 18

4.DistrictwiseAnalysis...................................................................................................................................20

4.1 Baglung District ................................................................................................................................. 20

4.2 Myagdi District ................................................................................................................................. 28

4.3 Kaski District ...................................................................................................................................... 35

4.4 Gorkha District .................................................................................................................................. 39

5. MHPsasEnterprise‐AnAnalysis.........................................................................................................41


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5.5.1 MHPs as an enterprise constraints and service provision: ........................................................ 42

6. Accesstofinance........................................................................................................................................46

7. Recommendation.......................................................................................................................................47

7.1 Subsector related recommendation ................................................................................................. 47

7.2 Generic Business Services Recommendation ................................................................................... 49

7.3 Recommendation for Business Service provision for MHPs as enterprise ....................................... 51

7.4 Centralized BDS provider (Single window business service provision) ............................................. 52

7.5 Recommendation based on demand side assessment of services ................................................... 53

7.6 Recommendation based on overall energy balance scenario: ......................................................... 54

7.7 Partnership for access to finance ...................................................................................................... 54

7.8 Partnership with the N/GOs for training and skill development ...................................................... 54

7.9 Sample Action Plan ........................................................................................................................... 55

8. Conclusion....................................................................................................................................................57

ANNEXIBDSprovidersinBaglung..................................................................................................................i

AnnexIIBusinessServiceprovidersinMyagdi..........................................................................................ii

AnnexIIIBusinessServiceProvidersinKaskiDistricts.........................................................................v

AnnexIVBusinessServiceprovidersinGorkhaDistricts....................................................................vii

AnnexVEnterpriseListing.............................................................................................................................viii

ANNEXVINameofthestakeholders/organizationsvisited.............................................................xvii

ANNEXVII:FieldVisitDetails..........................................................................................................................xx

ANNEXVIII AssessmentFormat(SurveyQuestionnaire).........................................................xxiii


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ExecutiveSummaryThestudyofBusinessDevelopmentservicesproviders’assessmenthasbeencarriedoutbyAasthaNetworkPvt.Ltd.Fieldvisithasbeencarriedoutinthedistricts:Myagdi,Baglung,KaskiandGorkha.

Theresearchhasbeencarriedouttoidentifybusinessserviceprovidersinthreedistricts.Theserviceprovidershadbeenidentifiedintermsof:

AIM1:BusinessDevelopment??Serviceprovidersforenterprises

AIM2:SinglewindowbusinessserviceprovisionthroughgrowthenterprisescloselylinkedwithMHPs

Thestudyassessed36enterprisesinMHPscatchmentareatoidentifyconstraintsoftheen‐terprises.Therearetotal596enterprisesin4districtsincatchmentareaof156MHPs.Thestudyteamsegmentedeachenterpriseandselectedthoseenterpriseswhichhavehighnum‐berineachdistricts.Thedetailconstraintsanalysisoftheseenterpriseswerecarriedout.ThespecificconstraintsofenterpriseswereassessedmainlyforPoultry,Agroprocessing(huller,grinder),furniture,stonecuttingandhotelandlodge.Genericbusinessserviceswerealsoassessedforalltheenterprisesvisited.Themajorservicesrequiredbyenterprisesarea. Maintenance services, input supply, technical knowledge, registration services (forestbasedenterprises)andtoolsandmachineries.Thespecificservicerequiredbyeachenter‐prisesarementionedandassessedindetailinthereport.

Thestudyalsoassessed9MHPsbyvisitingthemanddiscussingindetailwhatarethebusi‐nessservicesrequiredbyMHPsasanenterprise.Themostpertainingbusinessservicesre‐quiredbyMHPsare:RepairandMaintenance,ManagementServices,operatorskillsdevel‐opmentandaccesstofinanceservice.

StakeholdersmeetingswerecarriedoutthenaftertoidentifybusinessservicesforSpecificEnterprise/ Sectorwise constraints and Generic business constraints. 29 BDS providerswerevisitedtodiscussabouttheservicedeliverymechanism.20otherBDSwerecontactedthroughtelephoneconversation.BDSprovidersofButwalandKathmanduwerealsocon‐tactedfordiscussion.

ThestudyanalyzedtheBDSsituationforenterprisesbytwoprocesses.Firstwastoidentifyprioritizedenterprisesineachdistrictbasedonnumberofenterprisesandenergyconsump‐tion.Secondly,theassessmentofenterpriseswascarriedoutbasedondifferentscenarioofenergyuse,viz:Energysurplus,energybalanceandenergydeficit.


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Therecommendationsareasfollows1

a. Individualrecommendationforeachbusinessservicesrequiredbyenterprises

b. Model for annual maintenance contract for enterprises that has pertaining con‐

straintsonmaintenance

c. ModelforSinglewindowserviceprovision

d. LeveragestrategiesforAEPC/PEUtoworkwithstakeholders

1 Recommendations are elaborated further in the report


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1. IntroductionAEPCisanapexbodyunderthehoodofGONworkingonpromotionoftheRenewableEnergywiththeobjectiveofdevelopingandpromotingalternative/renewableenergytechnologies(RETs)withfocusinruralareaofNepal.Currently,AEPCisexecutingafiveyearsNationalRuralandRenewableEnergyProgram(NRREP)whichisasingleprogrammodalityforallenergyrelatedactivitiesinNepal.ItisenvisagedthatnootherprogramorprojectrelatedtoREpromotioninNepalwillbesupportedorexecutedoutsidetheNRREP'sframework.These5yearslastingNRREPaimstocreate1300MSMEsalongwiththedevelopmentoftheRe‐newable Energy. AEPC has been implementing/executing renewable energy (RE) pro‐gram/activitiesinNepalandhasbeenactivelypromotingtheuseoftheseenergytechnolo‐giesthroughimplementingnumberofprogramandprojects.

Experiencehasshownthatelectrificationinruralareasdoesnotautomaticallyinducelocaleconomicdevelopment.Thisisprimarilyduetolackoflocalbusinessdevelopmentsupportservicesavailabletomicroandsmallbusinesses,loworientationtowardsenterprisecrea‐tionaswellasfragmentedcapacityofexistingsmallbusinessestocapitalizeonincreasedenergyaccess.

BusinessDevelopmentforRenewableEnergyandProductiveEnergyUse(PEU)isoneofthemajorcomponentsofNRREP.ThiscomponentseekstopromoteproductiveenergyuseofREinordertogenerateemploymentandincomeoftheruralmenandwomenbyestablishingMicro,SmallandMediumEnterprises(MSMEs).

1.1BackgroundAEPCasthepublicpartnerhasbeenworkingforformulatingbusinessfriendlypoliciestoallowtheprivatesectortofosteritsbusinessinonehandandinprotectingtheinterestofenduserson theotherhand. In addition,AEPCalsoworks in thedemand side to createawarenessintheuseandbenefitsofthetechnologyfortheusersandotherstakeholders.

Playingtheprivatepartner'srole,BusinessDevelopmentServices(BDS)providersarework‐ingtomakeprofitablebusiness,qualityassuredproducts/servicesavailable,developingareliablemarketingnetworkandlinkageoftheproduct/services,establishmentoftheaftersales,repairandmaintenancefacilitiesfortheusersofRETsandentrepreneurs.

ThetermBDSprovidersinthisassessmentstandforallenterprisesandorganizationswhoseservicesarenecessarytorunaMSME.Inthisrelation,AEPC/NRREPisalsoassumedtore‐quireservicesofBDSproviders,bothatlocalandregionalleveltoprovidevariousbusinessservicestoenterprisesinsustainableway.Sincetheseserviceprovidersmaybebasedontheurbanareasalongwithwidenetwork,itbecomenecessarytomapthatserviceprovider's



vis‐a‐vistheexistenceoftherenewableenergytechnologiessuchasmicro‐hydro.Hence,the ideawastoexploresuchbusinessserviceproviderswhichareuseful for theend‐useenterprisesformakingbetterservicesreadilyavailable.

1.2ObjectiveThe main objective of this assessment is to explore local and district level organiza‐tions/firmsprovidingBDSservicesrequiredtoMSMEsforgrowthandcompetitiveness.

Thespecificobjectivesoftheassignmentsareasfollows:

Toexplore/identifyofexistingBDSprovidersaswellasothernewpotentialservice

providersinstudydistricts.

ToconductadetailsurveyandanalyzeBDSprovidersbasedontheirstrengthsand

weaknesses considering thekeyopportunities and constraints todeliver required

servicesforMSMEs.

To formulate a comprehensive strategy (within the parameters of project's re‐

sources)forthedevelopmentandimplementationofkeyactivitiesoftheBDSprovid‐

ers(supplystrengthening)andincreasethedemandofsuchservices(demandstim‐

ulation)aswellasoutreachofBDSproviders.

TocategorizeBDSprovidersbasedontheirspecializedservicesforproductiveen‐

ergyusepromotionatlocal,districtandregionallevel.

1.3UnderstandingTORAIM1:AssessingBDSprovidersforproductiveenergyuse?

AIM2:MultiplebusinessprovisioncentersatvicinityofMHPs

AIM1dealswithBusinessserviceprovidersforProductiveenergyusestrengthening,sup‐portandevenmanagement.

AIM2isreallyimportantasteambelievesthattherewillbedemandofmultipleservicesforMSMEs.TheprovisionofthismightnotbeavailableatMHPcatchment,thestudyteamislookingforGrowthorientedprivateandcommunityledMHPtoactasMultipleServicepro‐vidersalongwithbuildingnetworkswithvariousBDS.



2. MethodologyThefollowingmethodologyhasbeenadaptedinthisconsulting:

A. UnderstandingofTORandindepthdiscussionwithAEPCteamtofinalizewhattypesof

businessserviceshastobeassessed

Businessserviceprovisionisrequiredforthegrowthoftheenterprises.Ithasbeenfoundthatintheweakermarketthereislesspossibilityofbusinessserviceprovisionatremoteareas. ThediscussionwithAEPCalso articulated that there is less possibility of capacitybuildingofbusinessserviceproviders.Theagreedmethodologywasto:

a. AssesstheMHPcatchmentareaandunderstandbusinessservicesrequired

byenterprisescurrentlyinoperation

b. Listbusinessserviceproviderstocatertotheconstraintsofenterprises.The

projectdocumentindicatestoexpandtheservicesofexistingserviceprovid‐

ersratherthanstrengtheningpotentialbusinessservicesproviders

c. Discussionindepthwithbusinessserviceprovidersondemandsidewhich

includes

MarketSize

Pricing

AwarenessandAccess

Potential/newthoughtonbusinessserviceprovisionifany

d. SupplysideassessmentofEnterpriseforbusinessserviceswereassessedin

termsof

Awareness

Pricing

Outreach

B. Fieldvisitforfindingoutbusinessservicestrengths,weaknesses,constraints,

C. businessserviceprovidersanddemandandsupplysideassessmentofbusinessservices

Thefieldvisittofourdistrictswascarriedoutforassessingthebusinessservicerequire‐ment.Thiswascarriedoutwithwidediscussionwithenterprisesbeingoperated.Thebusi‐nessservicesrequirementsingeneralhasbeenfoundas:

AIM1:BusinessServiceProvisionforenterprise



A. Entrepreneurshiptraining

B. AccesstoMarket

C. TechnicalKnowledge

D. Accesstofinance

E. Skilltraining

F. Inputsupply

G. TechnologyTransfer

H. Informationservices

I. LegalandPolicyadvocacy

AIM2:Singlewindowserviceprovision

Thishasbeenassessedforthepossibilitiesofvariousenterpriseswhichcanactassinglewindowserviceprovision.Assessmenthasbeencarriedoutfor

a. MHPsassinglewindowserviceprovider

b. Enterpriseassinglewindowserviceprovider

D. Identifyingmajorinterventionsforbusinessservicesstrengthening

Thefieldvisithasrevealedthattherearethreeimportantpertainingbusinessservices

a. AnnualMaintenancecontractsystembetweenEnterprisesandserviceprovidersin

Butwalorregionalcenters

b. Enterprisesasabusinessserviceproviders–providingsinglewindowbusinessser‐

viceprovision

c. Accesstofinancialservicesforcurrententerprisestogrow



3. FieldresearchfindingsThefieldresearchwascarriedoutinfollowingways

a. ListingofMHPsandenterprisesinthedistricts

b. IdentificationofKeyenterprisesinthedistrict(3‐5)forwhomspecificbusinessser‐vicesaresoughtafter

c. AssessingcasespecificMHPs(CaseI‐energybalance,CaseII:Energysurplus,CaseIII:Energydeficit)

d. Visitinginsample(oneeach)ofthesekeyenterprisesandassessingthebusinessser‐viceconstraints

e. Assessinggenericbusiness constraintsof other enterprise ( other thankeyenter‐prises)

f. Assessingpossibilitiesofenterprisesasabusinessserviceprovider(singlewindowbusinessserviceprovider)

Theaboveassessmentswerecarriedoutineachfourdistricts.InformationofButwalandKathmanduweresoughtfromtelephoneconversation.

3.1OverviewofthefindingsfromtheStudyareas‐Myagdi,Baglung,KaskiandGorkha

District No.ofMHP

TotalEnter‐prisesinMHPcatch‐ment

MHCapac‐ity(kW)

Totaltypeofenter‐prises

No. of MHPhaving en‐terprise incatchment

Total InstalledCapacityofEn‐terprises(kW)

Baglung 91 288 2784 29 77 1487Myagdi 17 38 361 19 10 201Kaski 23 185 665.3 7 16 255Gorkha 25 85 600.6 20 16 497.5Total 156 596 4410.9 39 119 2440.5Theabovetablegivesabriefoverviewofarea‐wisenumberofmicro‐hydropowers,totalenterprisenumber,capacityofmicro‐hydropower,typeofenterprisesexistinginthearea,numberofMHhavingenterpriseinitscatchmentandaverageenergyconsumedbytheex‐istingenterprises.



Throughthefieldstudy,altogether156numberofMHPshasbeenlistedfromthefourdis‐tricts‐Myagdi,Baglung,KaskiandGorkha.ThecapacityofMHPhasbeenobserved4410.9kWandthetotalinstalledcapacityoftheenterpriseswas2440.5kW.Therewere119MHPshavingenterprisesinitscatchmentwhileother37MHPsdidnothaveanyenterprisesasofOctober2013.

Thedata(MHPscapacityVsInstalledCapacityofEnterprisesinabovetable)showsthatfur‐thermoreenterprisepromotionpotentialhasbeenobservedsoastoutilizethepowergen‐eratedwithintheexistingMHP.

3.2OverviewofCapacity(Power):ProductionVsConsumption

S.N. Name ofMHP

MHP Capac‐ity(kW)

EnterpriseInstalledCapacity(kW)

Remarks HHs Energy Sta‐tus

1 DaramkholaI 35 67.5 Over‐Capacity 306 Energy Defi‐cit

2 Ratna ChitraGunja (RCG)MHP

22 22 Balanced 220 Energy Bal‐ance

3 Ritha KholaMHP

74 30 UnderCapacity 620 Energy Sur‐plus

0

10

20

30

40

50

60

70

80

Daram khola I RCG Mhp Ritha Khola MHP

MHP Capacity (KW)

Enterprise Energy Use



InselectiveabovechartwecompareMHPsCapacityVs.InstalledCapacityofProductiveEn‐ergyUseEnterprises.

Herethecomparisoncanbedoneinthreedifferentterms:

Case I: Energy Deficit

DaramKholaIMHPwhoseproductioncapacityis35kWissupportingenterpriseswhose

totalinstalledcapacityis67.5kW.Thehouseholdnumberwhichisalsosignificantlyhigh

(306HHs)isnottakenintoaccount.Insuchsituation,allEnterprisescannotrunatatime.

ThisisEnergyDeficitSituation.Presently,theseenterprisesrunindifferentshifts.Creating

amini‐gridcouldbeonepossiblesolutiontorunallenterprisesatatime,otherwisepower

hasbetoborrowedfromothernearestMHPtocompensatetheenergydeficit.

Case II: Energy Balance

RCGMHPhasplantcapacityof22kWandinstalledcapacityofenterprisessetupwithinthe

coverageregionisalso22kW.Giventhat,enterprisesrunatdaytimeandHHsappliancesat

morningandevening,theMHPneedstorunsmoothlyallroundtheyeartofacilitatetheen‐

terprisesandHHs.

Case III: Energy Surplus

RithaKholaMHPwithinstalledcapacityof74kWhasonly30kWofEnergyUseEnterprises,

leavinglargechunkofdaytimeenergy(44kWh)unused,variousstakeholdershaveoppor‐

tunitytoworkonestablishingnewenterprisestomaketheoptimumutilizationonavailable

energy.

Forthedetailanalysisoftheenergystatusofthestudyareas,theenergybalancesituation

wascalculatedforthestudyareas.Firstofall,theenergyconsumedbytheenterprisesexist‐

ingintheMHPcatchmentswascalculated.ThetotalenergybalancescenarioineachMHP

catchmentofthestudyareas‐Myagdi,Baglung,KaskiandGorkhawerecarriedout.Basedon

theobservationthescenariosweredividedintostatusaspertherangeasfollows.

Range2(kW) Status

between‐5and+5 Energybalance

2 Basis of classifying the status of MHPs in three categories for comparison among MHPs capacity



morethan+5 EnergySurplus

Lessthan‐5 Energydeficit

Thevaluebetween‐5and+5(kW)wereregardedasenergybalance,thevalueabove+5

weregivenwiththeenergysurplusandthevaluelessthan‐5areregardedasenergydeficit

scenarios.

Theabovegraphshowstheenergystatusofthestudyareas.TheenergybalancescenariorevealsthattheenergyproducedbytheMHPsisconsumedbytheexistingenterprisesofthoseareas.Theenergysurplusscenariorevealsthattherearestillgapsinenergyuse.Theenergydeficitscenariorevealsthattheenergyavailableinthoseareasisnotabletomeettheenergyrequirementoftheexistingenterprises.

19

63

7

0

20

40

60

80

Energybalance

EnergySurplus

Energydefeceit

No of MHP Vs Energy Status‐ Baglung

No. of MHP 2

14

1

0

5

10

15

Energybalance

EnergySurplus

Energydefeceit

No. of MHP Vs Energy Status‐Myagdi

No. of MHP

5

15

3

0

5

10

15

20

Energybalance

EnergySurplus

Energydefeceit

No. of MHP Vs Energy Status‐Kaski

No. of MHP

6

109

0

2

4

6

8

10

12

Energybalance

EnergySurplus

Energydefeceit

No. of MHP Vs Energy Status‐ Gorkha

No. of MHP



3.3OverviewoftheenterpriselistedfromtheStudyareas:

Theabovegraphshowstheoverviewoftheenterpriseanditsnumberfromthestudyareas,inwhich39typesofenterprisesand596numbersofenterpriseshasbeenlisted.Thelistingshows that the major four enterprises in maximum number were found to beHuller/Grinder/seller/expeller/mechanical, hotel/lodge, poultry farm, furniture udhyogandcomputertrainingcentre.

46

112

241636

112

5 12 3 5 4 7 4 2 7 7 1 1 3 1 2 3

168

2 1 1 1 2 1 2 2 2 3 1 1 2 1 3 1020406080

100120140160180

Name of the enterprises

Overview of the enterprise by type and number in study areas

91

17 23 25

156

77

10 16 16

119

0

20

40

60

80

100

120

140

160

180

Baglung Myagdi Kaski Gorkha Total

District‐wise Total No of MHP Vs No of MHP having enterprise in catchment

No of MHP No of MH having enterprise in catchment



TheabovegraphdepictsthescenarioontotalnumberofMHPsandnumberofMHPshavingenterpriseinitscatchment.IncaseofBaglung,outoftotal91MHPs,77MHPscatchmentwere foundtohavedifferententerprisesandMyagdi thereare17MHPsoutofwhich10MHPswerefoundtohaveenterpriseinitscatchment.SimilarlythecasesofKaskiandGorkhaarealsoshowninthegraph.Itshowsthegap/potentialforenterprisepromotioninthedis‐tricts.

TheabovegraphshowsthescenarioofMHcapacity(inkW)Vs.installedcapacityoftheen‐terprise(inkW)inthestudyareas.Thisgraphalsoshowsthatenterprisepromotionneedstobedoneinthoseareaswithamajorfocus,toutilizetheenergygenerated.

2784

361665.3 600.6

4410.9

1487

201 255497.5

2440.5

0

500

1000

1500

2000

2500

3000

3500

4000

4500

5000

Baglung Myagdi Kaski Gorkha Total

Districtwise MHP Capacity Vs Installed Capacity of the enterprises

MH Capacity Power Consumed by enterprise



3.4BriefOverviewoftheprioritizedenterprises

District Number of en‐terprises

Power Consump‐tion3

Prioritizeden‐terprise

Remarks

Baglung Huller/Grinder(135)Poultry(92)Furniture(18)

Huller/grinder(65%)Poultry(12.4%)Telephone tower4(8.4%)

Huller/GrinderPoultryFurniture

Huller/Grinder,furniture andpoultry enter‐prises outnum‐bered other en‐terprises in thecatchmentareas

Myagdi Huller/grinder(16)Handmade paper(4)Furniture(3)

Huller/grinder(59.70%)Furniture(11.44%)Block Udhyog(9.95%)Telephone tower(4.98%)Computer TrainingInstitute(1.99%)

Huller/grinderFurnitureComputer

Computer: as itprovides oppor‐tunities to largenumber ofyouths in area(skill develop‐ment)

Kaski Hotel/Lodge(168)Huller/grinder(10)Poultry(4)

Hotel/lodge(66%)Furniture(22.71%)Grill Udhyog(3.02%)

Hotel/lodge Maximum num‐ber of enter‐prises as Ho‐tel/lodge con‐tributetoenergyconsumption

Gorkha Huller/grinder(37)Furniture(15)Poultry(15)

Huller/grinder(55.78%)Furniture(22.71%)Grill(3.02%)

StoneCutting StoneCuttingbe‐ing innovativeenterprise withhigh growth po‐tential besidesotherbusiness

3 Huller/Grinder typically has capacity of 7.5 kW while a poultry enterprise has average capacity of 2 kW 4 A single tower was found to be of capacity of 10 kW which was comparatively higher than other enterprises



Theabovetableshowsabriefoverviewoftheenterprisesprioritizedfromthestudyareasforthedetailstudy.Theprioritizationisdoneonthebasisoffollowingcriteria:

NumberofEnterprisesinmaximumnumber Enterprisesconsumingmaximumenergy Enterpriseemployingmorenumberofpeopleorhavingmorenumberofbeneficiar‐

ies Innovativeness/Growthpotentialoftheenterprise

Takingintoconsiderationsontheproject’smainfocusonpromotingproductiveenergyuse,employingmorenumberofpeopleandsecuringthelivelihoodsofmaximumnumberofpeo‐ple theselectionofenterprisesweredone.Someenterprisewith innovative ideaorgoodgrowthpotentialswerealsotakenforthedetailstudywhicharehighlightedinthetable.

3.5ListofServicesrequiredfortheenterprises

NameoftheselectedEnterprise

SpecificServices

Huller/Grinder MachinerySupplyandmachineoperation Maintenance

Hotel/lodge Skillonfrontdeskmanagement,foodandbeverage,housekeep‐ing,hospitality

Regularandtimelyinputsupplies(foodproducts) Laundry Internetfacility

Poultry Feed,medicine,technicaladvice,breedsupplytimelyandregu‐larbasis

TimelyveterinaryservicesFurniture Machinery,coloring

Technical knowledge on handlingmachine, sketching, cutting,slittinganddesignmaking

TimelymachinerymaintenanceserviceComputertraining Computerandaccessoriessupplies

MaintenanceService Skillsoncomputerrelatedvariousprograms

StoneCutting Toolsandmachineries Skillsoncuttingstones,makingdesignsandpreparingdiverse

productspossessinghighmarketvalueGenericServices

Regularsupplyofenergy

Trainingsandskilldevelopment

CommunicationandTransportation



AccesstoFinance

RegularsupplyofPower

Fortheregularoperationofenergybasedenterprises,regularsupplyofpowermustbeen‐sured.Themajorfocusshouldbeonprovidingqualitypowersupply.Operatorsshouldhaveknowledgeonfixingminor/generalproblemsariseandcontractwiththeserviceprovidershouldbedonetoarrangeduringtheproblemsoccurred.

TrainingandSkillDevelopment

Trainingandskilldevelopmentisrequiredforanentrepreneurtooperatetheirbusiness.Trainings are required for handling ofmachineries, keepingmanagement records of thecompanyandplanningforup‐scalingtheirbusinesses.

CommunicationandTransportation

MeansofCommunicationisessentialtogetinformedaboutthemarketinformationandcom‐municatetoexchangethe information.Facilityofmobiletelephonehasprovidedservicesand access to communication to every class of people residing in every corner ofNepal.Transportationaccessprovidesthetimely,cost‐effectiveinteractionbetweenproducersandmarketactors.

AccesstoFinance

Accesstofinanceisakeyforthestart‐upofthenewenterpriseandscale‐upoftheexistingenterprisestowardsthenextlevel.Banks,co‐operatives,micro‐financeprovidefinancialservicestotheenterprises.



3.6DemandAssessmentoftheservices

ServiceAssess‐mentParame‐ters

Presentstatus

MarketSize Enterpriseshavebeenprioritizedbasedonthenumberofenter‐prisesandenergyuse.Thisdepictstheno.ofenterprisesineachdis‐trictsothatserviceprovisioncanbemadeforthem(incaseofHuller/grinder,poultry,furniture,hotelbusiness)Eg‐Huller/grinder‐135,Poultry‐92numberinBaglung,Hotelbusiness‐168inKaski,Furniture‐15inGorkha).ThereexistsamarketsizewhereBDScancatertothem.

Pricing EnterprisesareseekingservicesfromdistrictHeadquarterwhichiscostlierinonehandandtimeconsuminginotherhand.TheserviceassessmenthasshownthatenterprisesareseekingservicesfromdistrictHq.andregionalserviceslikeinButwal.

AvailabilityandAppropriate‐ness

TheserviceprovisionareavailableindistrictHq.andButwalbutisnotappropriateforremoteenterprisesduetotimeconsumptionforserviceacquaintanceandcostlierservicedelivery

AwarenessandAccess

EnterpriseshaveknowledgeonserviceprovisionindistrictHq.andButwalbutaccessingthoseservicesarecostlierandtimetaking(asmentionedearlier)

Satisfaction Enterprisesarenotsatisfiedwithpresentservicedeliverymecha‐nism.Enterprisesareaskingforaccesstobusinessservicesattheirvicinity.Theyarenotsatisfiedduetohighservicecostandlongtimetakenforservicedeliverybyserviceprovidersresidingindistrictheadquarters.

ImpactandSus‐tainability

Enterprisesarebeingclosedformorethanonemonthduetolackofservicedeliveryatlocallevel.Thebusinessservicesatpresentarenotsustainableasenterprisesarenotsatisfiedwiththem.



3.7Analysisofconstraintsoftheenterprisesandbusinessserviceprovid‐ersThetablebelowgivesabriefoverviewoftheconstraintsgatheredfromtheprioritizeden‐terprisesandtheirserviceproviders.

Enterpriseconstraints ServiceProviderconstraints

MHP:• Frequentdamageofequipments• Frequent problem in AVR (Auto‐

maticVoltageRegulator)• Lackofskilledoperators• LackofInformationmanagementon

energyuse• Electricmetersnotinstalledatallar‐

eas• Canal damages due to landslides

problems(inGurjaVDC)• LowInvestmentcapacityofusers• Installersdonotprovidedetailspec‐

ificationofmachineries• LackofProvisionofsparestoolsand

equipmentinstock• Provisionofmaintenanceservice

MHP:• Transactioncostishigh• Lackoflocallevelserviceproviders• Trainingprovidedaspertheproject

activitiesonly• Lackofcapacitybuildingmechanism

between MHPs, operators and Ser‐viceproviders

• Lack of community ownership onpayingaspertheuses

• Canalmaintenance plan not formu‐latedinannualplan

Huller/grinder:• Maintenanceproblemformotors• Machineries are not operated

throughouttheyear

Huller/grinder:• Lack of knowledge about business

serviceproviders onbusinessplan‐ningandproductdiversification(de‐mandside)

• HighbusinessmanagementCost



Poultry:• Timely access to feed delivery ser‐

vices• Access to technical services fordis‐

easecontrol

Poultry• Lackoftransportationfordelivering

feedduringallseasons• Agro‐vet located mainly in district

HQsandlimitedservicedeliveryca‐pacity

• DLSO has limited staffs to addresstheproblemtodiverseareas

Furniture:• Enterprisesexperiencethatthereg‐

istrationprocessiscomplicated• Frequent breakage of tools of saw

mills (saw tooth,motor belt,motoretc.)andmaintenanceproblems

• Nopropermechanismtoaccessfor‐est based resources (wood) fromcommunity forests available at theareas

• Enterprise lack skills on qualitywood products. They have to hiretechniciansfromIndiafortheopera‐tionofmachineries

Furniture• Lack of provision of registration of

furniture within 5 Kms radial dis‐tance fromthecommunity forest inTerai and 3 Kms radial distance inHills

• Service providers lack manpowerandhighertransactioncost tocatermaintenanceservicetoenterprises

• Lack of government policy to com‐mercialize the forest based re‐sources. Community forests arebound to provide forest based re‐sourcestotheirmembersfirst.

• Lack of service providers to trainqualitywoodfurnitureproductionindistrict

ComputerInstitute/ICTCentre• Lack of skilled manpower at local

level• Lack of access to Low cost internet

servicesandaccesstosystemforof‐fline information (wiki pedia, E‐pustakalaya,MidasE‐Classetc.)

Computer• Computer providers only provide

partialtrainingduringpurchaseandfollowupisnotcarriedout

• Lack of mechanism for continuouscapacity building of ICT related en‐terprises

• Service provider do not follow upwithconstraintsofenterprises



Hotels• Hotelsareusingelectricityforlight‐

ingaswellasheatingandlackofin‐formation about other electricequipment.

Hotels• Serviceprovidersarenotabletoun‐

derstand energy demand of hotelsanddocounselingaccordingly

StoneCutting• Enterprisearenotawareaboutreg‐

istrationprocess• Enterpriselackknowledgeondiffer‐

ent types of stones found in riverbeds.

• Enterpriselackknowledgeondiffer‐ent typesof technology toproducefinalproducts

StoneCutting• Serviceprovidersdonotknowabout

thestonecuttingactivitiesinthedis‐trict

• Minimalpresenceofserviceprovid‐ers and service providers are notawareofstonecuttinginitiative

3.8GenericConstraintsoftheenterprisesThegenericconstraintsoftheenterprisesexistingintheMHPcatchmentofthestudyareasarelistedasfollows:

Migration:Duetothemigrationofskilledoperatorsinsearchofopportunitiesoutsidethedistrictorcountry,thereisaproblemofskilledmanpowerfortheregularopera‐tionofenterprisesandMHPs.

Roadaccessproblem:Mostoftheareashavingenterprisesdonothaveproperaccesstoroadduringtherainyseason,duetowhichtheenterpriseshastobestoppedduetodifficultiesininputsuppliesanddeliveringproductstothemarket.

Marketing:Enterpriselackskilltoupgradequalityandlackaccesstomarket.Enter‐

priseslackideasaboutthevalueadditionoftheproducts.

LegalServices:Mostoftheenterprisesarenotregisteredtothegovernmentauthor‐ity, feeling that the registrationprocess is complicated, time‐consuming.Also theywanttoregistertheirbusinessonlyafterbuildingconfidencethattheyarenowabletooperatetheirbusinessessmoothly.

TechnicalKnowledge:Technicalknowledge isrequiredfor thestart‐upof thenew

venturesandscale‐upondifferentaspects‐likehandlingmachineries,onthespotfix‐ingthesmallproblemsbythemselves.



Lackofknowledgeaboutthestakeholdersworkingindifferentsub‐sectorsintheirareas(government, non‐government, tools and machinery suppliers, maintenanceserviceproviders)

InputSupply:Duetothelackofinputsupplyserviceprovisionatlocalleveltheyhave

beenstoppingtheirbusinessesduringtherainyseasonwhenthetransportationac‐cessisnotavailable,eg‐poultrybusinessesarenotoperatedduringtherainyseason.

TechnologyTransfer:Enterpriselackknowledgeandinformationonimprovedand

innovativetechnologies,duetowhichtheproductioncostisveryhighinsomeprod‐ucts,e.g.‐toproduce250gmofAllothreadwhicharesoldatRs250theyweretaking2‐3daystime.

Managementservices:Enterprisesarenotoperatingbyanalysisofcashflowmanage‐mentandaccounting.Therefore,theyhavebeenfacingproblemofcashmanagementatthepeaktime.

FinancialServices:Enterprisesarenotinterestedtoundergofinancialactivitieswith

banksandco‐operativesastheythinkthatthebankingproceduresarelengthyandtimeconsuming.Theyarecomfortablewithlocallendersbypayinghighinterestrate(upto60%)thinkingthatthereisnotriskoftheircollateral.

3.9SWOTAnalysisTheSWOTanalysisofvariousservicesiscarriedoutas:

ServicePro‐viders

Strength Weakness Opportunities Threats

Technologyservicepro‐viders

Goodlinkageswithtechnologyandotherserviceprovidersatna‐tionalandinter‐nationallevel

Lackofinnova‐tivenessinser‐vicedeliverymechanisminremoteareas

Increasingmar‐ketsizeofen‐terprises

RoadaccessproblemMarketpricefluctuationofproducts

TechnicalTrainingProviders

Skilledtraineratdistricthq.level

Lackofskilledtraineratlocallevelandlackofsustainablemechanismforfollowupofen‐terprises

Budgetallo‐catedforagri‐cultureandfor‐estryrelatedbusinessthroughVDC,CFUGetc.

Marketdistor‐tionandlackofawarenessonpayforservicemechanism



Lackoftrainingmanuals

MarketAc‐tors

Serviceprovidersarecapableofmarketingprod‐uctsatdistrictandlocallevel

Lackofknowledgeaboutregionalandnationalmarket

Nationalbuyersshowinginter‐estonsubcon‐tractingandpartnership

Lackofmarketaccessin‐creasestheclo‐sureofbusiness

FinancialIn‐stitutions

Largenumberofgroups,coopera‐tivepresent

EnterprisesneedloansrangingfromNrs.60,000toNrs.5Lakhwhichisnotdealtbycooper‐ativeorbanks

Increasedin‐vestmentinru‐ralareasthroughwhole‐salelending,deprivedsectorloans

Lackofloanmix(Nrs.60,000to5Lakhs)atpre‐sentsystemmighthinderenterprisegrowth

Forthedetailstudy,listingofexistingenterprises,prioritizationoftheenterprisesforstudy,assessmentofexistingandpotentialBDSprovidersforthoseenterprises,opportunitiesandconstraintstheirstrengthandweaknesstoprovideservicestoMSMEshasbeenanalyzed.



4.DistrictwiseAnalysis

4.1BaglungDistrictAmongaltogether29typesofenterprisesand288numbersofenterpriseswerelistedinthecatchmentsof77MHPsinBaglung.ThisshowsthatBaglungisfoundtoberichintermsofhavingmaximumenterprisesbynumberandtypes.

Huller/grinder/seller/expeller/mechanicalwasfoundtobeinmaximumnumber.Similarly,poultryandfurniturefallsunderthesecondandthirdpriorityintermsofnumberofenter‐prises.Thenthetotalenergyconsumedbytheenterpriseswascalculatedtoidentifytheen‐terprisestobeprioritizedforthestudy.

6

105

21

318

92

1 2 1 3 1 5 2 1 6 5 1 1 3 1 1 2 0 1 1 1 1 1 1 1 0 0 0 0 0 0 0 0 00

20

40

60

80

100

120

Huller /…

Grinder

Furniture Udhyog

Haand m

ade…

Block Udyog

Photocopy Cen

ter

Highvision Hall

Cable Network

Milk Diary

Community Radio

Community…

Hotel/ludge

Fresh house

Mahuri Ghar…

Choumin Udyog

Masala Udyog

Bank / IM

E

Hospital

School

Radio Rep

airing…

No. of enterprises existing in MH catchment‐baglung

Number of Enterprise



The prioritized enterprises in Balgung were Huller/grinder/seller/expeller/mechanical,poultry,telephonetowerandgrilludhyog.Furnitureudhyogisfoundtobeprovidingem‐ployment and services to large number of people. For the detail study‐huller/grinder/seller/expeller/mechanical,poultry,furnitureudhyogareprioritizedforde‐tailstudy.

Asall theenterprisesneedBDSservices,wearefocusingontheBDSrequirementofKeyenterprises.Thekeyenterprisesareselectedbasedonhighernumberoftheseenterprisesinthedistricts.

1012.5

184

50 3868.112.4 3.4 2.6

0

200

400

600

800

1000

1200

Huller/Grinder Poultry Telephonetower

Grill Udyog

Priotitized enterprise Vs Power Consumption‐Baglung

Power Consumption in KW

Power Consumption in PC



4.1.1 Subsector Specific Business Service Assessment

Spe‐cificSub‐Sector

Constraints Service Service Pro‐vider5

Demand Side Con‐straint

SupplySideConstraint

Huller/Grinder/Ex‐peller

Maintenance isamajorissue for these enter‐prises as there is re‐quirement for greasing,dysfunctional motorsetc.

Access to Mainte‐nanceService

Pangali Ma‐chineries andTools

CostofmaintenanceishighHavetowaitalongformaintenance

Transactioncostishighforserviceprovision

Thesemachinesarenotoperatedthroughouttheyear,andtherehasbeendemand for full func‐tionalofthesemachiner‐ies

Access to businessinformation onhowthesemachin‐eriescanbeopera‐tion throughouttheyear

SANGAM,DCDRC, DCSI/CSIDB,EDFs

Enterprise lackknowledge on busi‐nessserviceproviderswho can provideknowledge on busi‐ness planning andproductdiversificationEnterprises are notabletopayfortheser‐vicesofbusinessman‐agement due to highcost

Service provider are una‐ble to provide businessmanagement services dueto remoteness and inabil‐itytopayfortheservices

5 Business Service Providers of Baglung is listed in Annex I



Poul‐try

Diseases like Coccydio‐sisareprevalentinthisareas

Accesstotechnicalservices

District live‐stock supportoffice

Baral Veteri‐nary andAgrovet Sup‐pliers

Local Re‐source Per‐sons

Timely services arenot available duringthethreatofdisease

DLSOHavetoprovideser‐vices to many farms withlimitedstaffs

AgrovetsarebasedinDis‐trictHq.

Costs are high due to thecost incurred during thelong transportation route,road situation beingworse,mainlyinthemon‐soonseas

Poultry enterprises arenotabletogetsufficientquantityoffeed

Access to feed ser‐vices

Baral Veteri‐nary andAgrovet Sup‐pliers

Feed is not timelyavailable

Lack of agent to supplyfeed toenterprisesas thisisavailableatdistrictHq.

Lack of road transporta‐tion(allweather)hinderstransportationoffeed

Furni‐ture(Sawmill,WoodFurni‐ture)

Furniture enterprise issubjected to be regis‐teredinCSIDB/DCSIaf‐tergettingrecommenda‐tionfromDistrictForestOffice

Access to infor‐mation of registra‐tion

FECOFUN,DFO, DCSI/CSIDB, Law‐yers

Enterprises are notregistered and lack ofinformation about theprocessofregistration

Government policy inforest base enterpriseestablishment is very

Serviceproviders lack thesupport for orienting en‐terprise on registrationprocess.



strict for establish‐mentoffurnituremill

Thereisnotclearpro‐visionto

Frequent breakage oftools of saw mills (sawtooth,motorbelt,motoretc.) and maintenanceproblems

Accesstoengineer‐ing service provid‐ers

DhaulagiriCivilEngineer‐ingMechanicalWorkshop

Shankar Elec‐tricWorks

Enterprises have tostopduetosawtooth,motor belt,motor etc.and they do not havenearbyserviceprovid‐ers

Service providers lackmanpower and highertransaction cost to catermaintenanceservicetoen‐terprises

Enterprises lack infor‐mation onmaking qual‐itywoodfurnitureprod‐ucts

Access to qualitywood furnitureproduction train‐ing

Malla Furni‐ture,Pokhara

Enterprise lack skillsonqualityproduction

Lack of service providersto train qualitywood fur‐niture production in dis‐trict



4.1.2 Generic Service Provision:

InBaglungthereare29differentsectorswhere288enterprisesareestablished.Inthisreportonlyspecificserviceprovisionfor3keysubsectorsareprovided.Thediscussionalsorevealedthatfollowinggenericserviceprovisionarerequiredtodealwithvariousgenericconstraintsfacedbytheenterprises

GenericConstraints Subsectoraffected

ServiceProvision BDS Demand Side As‐sessment

ServiceSideAssess‐ment

Marketing:Enterpriselack skill to upgradequality and lack ac‐cesstomarket

Productspecific (E.g. Lokta,furniture,SoapMak‐ing,Allo)

Provision of train‐ing for quality pro‐duction and accesstomarket

Private sectorsworking in theseareas (E.g.,Herbal Soap:Asmi Herbal,Lokta Paper:HBTL, Furniture:Malla furnitureetc.)

Enterprise lackmarketingknowledgeonqual‐ity,packagingetc.

Private companiesareinterestedtopro‐curefromcommunityorganization but lacknetworkswiththem

LegalServices:Allen‐terprisearenotregis‐tered

All , Spe‐cial focusto Forestbased en‐terprises

AccesstoLegalser‐vices on Registra‐tion

DCSI/ CSIDB,FECOFUN

Enterprises are notregistered due tolack of awarenessor lengthy registra‐tionprocess

Service providers donotawareenterprisesforregistration






TechnicalKnowledge

Lackoftechnicalman‐powerineachsubsec‐torsatlocallevel

Forestryand Agri‐culturerelated

AccesstoLeadtech‐nical service pro‐viders at least inMHPs clusters forkeysubsectors

Districtlevelandnational serviceproviders

LocalLeadfarmers,Local resourceper‐sons can be tech‐nical service pro‐viders but lack ca‐pacity

Serviceprovidersarenot able to build ca‐pacity of local re‐sourcepersondue tolackoffund

Input Supply: Lack ofinput supply serviceprovision at locallevel

Manufac‐turing re‐lated

Provision of Agentfor Input supply atlocallevel

Koseli Ghar, CCI,MHPs, Enter‐prise at locallevel

Enterprises needvarious input sup‐plyandtheyneedtogo to district hq.and regional cen‐ters ( Pokhara) forinputsupply

CCI led Koseli Gharare interested for in‐put supply but lackavailability of busi‐ness agent at locallevel

Technology Transfer:Enterprise lackknowledge and infor‐mation on improvedand innovative tech‐nologies

All Provisionofmecha‐nism of technologytransfer infor‐mation andknowledge at locallevel

MHPs, Enter‐prise at locallevel,FM

Entrepreneurs areless aware aboutimprovedandinno‐vative technologiesavailable

Technology serviceproviders, NGOs andGovernment organi‐zationsarenotabletoarticulate improvedand innovative tech‐nologiesatlocallevel

Managementservices:Enterprises are not

All Provision of ac‐counting and cash

AccountManage‐ment committee

Enterprise are notable to do proper

Accounting commit‐teemembershasless






operating by analysisof cash flowmanage‐mentandaccounting

flow managementof enterprise to ac‐count managementcommitteememberofMHPs

member ofMHPs, TreasurerofCFUG,Accountteacher

accounting andanalysis businesscashflow

capacity andknowledge on busi‐ness accounting andcash flow manage‐ment

FinancialServices:En‐terprisearenotinter‐estedtoavailtofinan‐cial services of coop‐eratives etc. due tolack of collateral andlengthilyprocedures

All Provision of Enter‐priseFund

Legal status ofMHPstoutilizethisfund

Provision of link‐agestofundofDDC,VDC,CFUG,LGCDO/CAC etc for enter‐priseinvestment

MHPs,DDC,VDC,LGCDP/ CAC,CFUG, Commu‐nity Organiza‐tions

Enterprises are notable to upscale orestablish businessfromgrantandloanfromAEPC

Propoorpeoplearenot able to startbusinessduetolackofworkingcapital

Supporting organiza‐tion are not able tomatch fund in busi‐ness planning due tolackofinterest

Co‐operativesarenotabletoreleaseloanincompetitive rate dueto the low capital in‐vestment



4.2MyagdiDistrictAmong39typesofenterpriseslisted(Section3.1),altogether19typesofenterpriseswerelistedinthestudyareasandtotalof38enterprises.Huller/grinder/seller/expeller/mechan‐icalwasfoundtobeinmaximumnumber.Similarly,furnitureudhyogandhandmadepaperfallsunderthesecondandthirdpriorityintermsofnumberofenterprises.

Thenthetotalenergyconsumedbytheenterpriseswascalculatedtoidentifytheenterprisestobeprioritizedforthestudy.Enterpriseonpreparinghandmadepaperarenotfoundtobeutilizingenergy,thereforetheyarenottakenintoconsiderationfordetailstudy.

5

2

1

8

3

1

4

2 2

1 1 1 1 1 1 1 1

0

1

2

3

4

5

6

7

8

9

No. of enterprises existing in Myagdi Catchment




Theabovechartshowsthedetailsoftheprioritizedenterprises.Theenterpriseswereprior‐itizedintermsoftheenergybeingusedinKWandcalculatedforpercentageofenergyused.Theenterprisesprioritizedforthestudywerehuller/grinder/seller/mechanical,furnitureandcomputertraining.Computertrainingwasprioritizedasitwasfoundtobeingreaternumberthanblockudhyogandprovidesservicestolargenumberofpeople.

The detail BDS assessments of these three specific enterprises are carried out as under.PleasenotethatconstraintsofBaglungandMyagdiforHuller/Grinder/ExpellerandFurni‐turesubsectorlookssimilarbutdifferencewillbeserviceprovidersandtheirconstraints.

120

23 2010 4

59.70

11.44 9.95 4.98 1.990

20

40

60

80

100

120

140

Huller Grinder Furniture Block Udhyog Telephone tower Computer traininginstitute

Prioritized enterprise Vs Power Consumption (Myagdi)

Power Consumption in KW Power Consumption by PC



4.2.1SpecificBusinessserviceassessmentinMyagdi

SpecificSub‐Sec‐tor


Demand SideConstraint


Huller/Grinder/Expel‐ler

Bearing problem,Grinding toothbreaking and wear‐ing,Motordamage


DhaulagiriHard‐wareandSuppli‐ers

Khatri Electricand Electronicsworkshop

Lackofskillman‐power at locallevel formainte‐nance

Transaction cost is high forserviceprovision

These machine arefocus on grind sea‐sonalcropsandisnotoperated throughoutthe year ( Rice,Wheat,Maize,Millet)

Access to businessinformationonhowthese machineriescan be operationthroughouttheyear(Eg.Masala)

SANGAM,DCDRC, DCSI/CSIDB,EDFs,Mi‐lan Myagdi, Sa‐hamatiMyagdi

Farmersnearen‐terpriselackcul‐tivationandpro‐cessing of othervarietieslikema‐salarelatedagri‐cultureproducts

Service providers are yet tounderstand the importanceofyear around operation ofHulleretc.andhasnotcarriedout detail analysis on howthese machines can be usedthroughouttheyear

6 Business Service Providers of Mygadi is listed in Annex II







Com‐puterIn‐stitute/ICT Cen‐ter

There isexistenceofICT centers at locallevel (includingschools), and theyare facing problemsofhardwareandsoft‐ware. Timely repairandmaintenance

Access to hardwareand software ser‐vices

GlobalComputerPoint

Graphics Com‐puterCenter

B TECH Com‐puterHouse

Lack of skilledmanpower at lo‐callevel

Computerprovidersonlypro‐vide partial training duringpurchaseand followup isnotcarriedout

Lackofskilledcom‐puterprofessional

Accesstoskilldevel‐opmenttraining

GlobalComputerPoint

Graphics Com‐puterCenter

B TECH Com‐puterHouse

Technology up‐grading in shortspan need in‐creaseknowledge oncomputer hard‐ware and soft‐ware

Lack of follow up of serviceproviders

Lackofmechanismforcontin‐uous capacity building of ICTrelatedenterprises

Lack of internet ac‐cesstoISPs,ICTcen‐ters and ComputerInstitute

Access to Low costinternet servicesand access to sys‐temforofflineinfor‐mation (wiki pedia,E‐pustakalaya,MidaE‐Classetc.)

Myagdi KaliSanchar Saha‐kariSanstha,Ne‐pal Wireless,MIDAS Technol‐ogy, OLE Nepal,NTC,NCELL

StabilityofInter‐net(duringrainyseason and ex‐tremecold)Slowinternet connec‐tion

Serviceproviderdonotfollowup with constraints of enter‐prises







Furni‐ture(Sawmill, WoodFurni‐ture)

Lack of registrationof furniture enter‐priseinCSIDB/DCSI

Access to infor‐mation of registra‐tion

FECOFUN, DFO,DCSI/ CSIDB,Lawyers

Similar to Bag‐lung

SimilartoBaglung

Frequentbreakageoftools of saw mills(saw tooth, motorbelt,motor etc.) andmaintenance prob‐lems

Access to engineer‐ing service provid‐ers

Khatri Electricand ElectronicWorkshop

Shrestha Grilland Steel Furni‐ture

Tridev MetalUdyog


SimilartoBaglung

Enterprises lack in‐formationonmakingquality wood furni‐tureproducts

Access to qualitywoodfurniturepro‐ductiontraining

Malla Furniture,Pokhara

Enterprise lackskills on qualityproduction

Lack of service providers totrain quality wood furnitureproductionindistrict



4.2.2GenericServiceProvision:

InMyagdithereare19differentsectorswhere38enterprisesareestablished.Inthisreportonlyspecificserviceprovisionfor3keysubsectorsareprovided.Thediscussionalsorevealedthatfollowinggenericserviceprovisionarerequiredtodealwithvariousgenericconstraintsfacedbytheenterprises

GenericConstraints Subsector af‐fected

ServiceProvision BDS Demand SideAssessment

Service Side As‐sessment

Marketing: Enterpriselack skill to upgradequalityand lackaccesstomarket

Productspecific(Eg. Chowmein,Dairy, Blocketc,)

Provision of trainingforqualityproductionand access to localmarket

DCSI/CSIDB,Technicalperson,CCI

Enterprise lackmarketingknowledge onquality,packag‐ingetc.

Lackofprogramonmarketingskills

Lack of knowledgeabout marketingconstraints by CCIas they supporttheirmembersonly

Legal Services :All en‐terprisesarenotregis‐tered

All , Special fo‐cus to Forestbased enter‐prises

Access to Legal ser‐vicesonRegistration

DCSI/ CSIDB,FECOFUN


SimilartoBaglung

TechnicalKnowledge

Lack of technicalman‐power in each subsec‐torsatlocallevel

Forestry andAgriculture re‐lated

SimilartoBaglung Similar to Bag‐lung


SimilartoBaglung

Input Supply: Lack ofinput supply serviceprovisionatlocallevel

Manufacturingrelated

ProvisionofAgentforInput supply at locallevel

Koseli Ghar, CCI,MHPs,Enterpriseatlocallevel


SimilartoBaglung



Technology Transfer:Enterprise lackknowledge and infor‐mation on improvedandinnovativetechnol‐ogies

All Provision of mecha‐nism of technologytransfer informationand knowledge at lo‐callevel

MHPs,Enterpriseatlocallevel,FM


SimilartoBaglung

Management services:Enterprisesarenotop‐erating by analysis ofcash flowmanagementandaccounting

All Provision of account‐ingandcashflowman‐agementofenterprisetoAccountingcommit‐teememberofMHPs

Accounting com‐mitteememberofMHPs, TreasurerofCFUG,Accountteacher


SimilartoBaglung

Financial Services: En‐terprise are not inter‐ested to avail to finan‐cialservicesofcoopera‐tivesetc.dueto lackofcollateraland lengthilyprocedures

All Provision of Enter‐priseFundInMHPs

Legal status of MHPstoutilizethisfund

Provision of linkagesto fund of DDC, VDC,CFUG,LGCDO/CACetcfor enterprise invest‐ment

DDC, VDC,LGCDP/ CAC,CFUG, Commu‐nity Organiza‐tions


SimilartoBaglung



4.3KaskiDistrictAmong39typesofenterpriseslisted(Section3.1),Kaskiisfoundtohave7typesofenter‐prisesand185enterprisesinnumber.Thisgraphrevealsthattherearelessernumberofenterprisebytypeandgreaternumberoftheparticularenterprise.Hotel/lodgeisfoundtobeinthemaximumnumberinKaski.

Similarly, huller/grinder/mechanical/expeller/seller, poultry and computer training cen‐tersareinthefollowingorder.

ThespecificbusinessconstraintsofhotelsareonlymentionedasthisiswheremajorityofpowerfromMHPsasenterpriseisconsumed.

3 2 5 4 2 1

168

0

50

100

150

200

No. of enterprises existing in MH Catchment‐Kaski




Theabovechartshowsthedetailsoftheprioritizedenterprises.Theenterpriseswereprior‐itizedintermsofthepowerbeingusedinKWandcalculatedforpercentageofenergyused.Theenterprisesprioritizedforthestudywerehotel/lodge,huller/grinderandpoultry.

ThedetailBDSassessmentsofhotel/lodgeonlywerecarriedoutasunder,asthefindingsfromtheassessmentofhullergrinderandpoultryaresimilartothatoftheothers.

168

75

8

65.88

29.413.14

020406080

100120140160180

Prioritized enterprises Vs Power consumption‐kaski


Power Consumption in PC



4.3.1SpecificserviceassessmentofKaskiDistrict:

Spe‐cificSub‐Sector

Constraints/Opportunities Service Ser‐vicePro‐vider7

Demand Side Con‐straint

Supply Side Con‐straint

Hotel

Outoftotalpowerof665.3KW,168hotels are using in an average 168KWofelectricity(1KWperhotel)

Hotels are paying Nrs. 10 per unit(Nrs. 7 in one case only). There ishuge opportunities for furtherpowerconsumptionbyhotels

Provision of infor‐mation on electricequipments forheating, lightening,cooking, laundry,computeretc.

GlobalTrad‐ing,BiswakarmaElectri‐cals

Hotels are usingelectricity forlighting andheating only.There is lack ofinformationaboutotherelec‐tricequipments

Service providersare not able to un‐derstand electricitydemand of hotelsand do counselingaccordingly

Fluctuationofelectricpower Continuous supplyofelectricity

MHPs Hotels are usingmore than oneMHPs electricitydue to lack ofcertainty ofpower from oneMHPs

MHPs are not re‐sponsible for multi‐pleuseofelectricityfrom differentsources

7 Detail Business Service Providers listing of Kaski District is in Annex III



4.3.2GenericBusinessServices

Generic Con‐straints

Subsector af‐fected


Service Side As‐sessment

Marketing: Farm‐ers lack skill fornew product de‐velopment andlink it to tourismmarket (supplysideoftourism)

Majority of elec‐tricityisconsumedby Hotels andthereareverylessenterprises thatneed marketingsupport

Provision of train‐ingforqualitypro‐ductionandaccesstolocalmarket

DCSI/CSIDB, Ho‐telAssociationofNepalKaski

People are inter‐ested in dried fish,dried potatoes etc.forsupplyingtoho‐tel

Service providerhas not assessedwhat all productcan be developedfor selling throughhotels

TechnologyTransfer: Enter‐prise lack infor‐mation about theelectric appli‐ances

All especially ho‐tels

Provisionofinfor‐mation on electricmachineries

Global Trading,BiswakarmaElectricals

Hotels are usingconventionalmeth‐ods and not inno‐vating services aslaundry, heatingandcookinguses

Service providershas not assessedtechnology usagepossibilities of ho‐tels

Bearingproblem,Grinding toothbreaking andwearing, Motordamage

Huller/ Grinderetc.


BhanuMachiner‐ies

Lack of skill man‐poweratlocallevelformaintenance

Transaction cost ishigh for serviceprovision



4.4GorkhaDistrictAmong39typesofenterprises(Section3.1),20typesofenterprisesandtotalof85enter‐priseswerelistedfromtheMHPcatchmentsofGorkha.Huller/grinder/mechanical/expel‐ler/seller,furniture,poultryfarmandcomputertrainingcentrearefoundintheprioritylist.

Theabovechartshowsthedetailsoftheprioritizedenterprises.Theenterpriseswereprior‐itizedintermsofthepowerbeingusedinKWandcalculatedforpercentageofpowerused.

35

2

15 15

61 2 2 2 1 1 1 1 1 2 1 1 2 1 3 1

05

10152025303540

Huller /…

Huller/grnder

Furniture Udhyog

Poultry Form

Computer Training…

Bakery Udhyog

Photocopy Cen

ter

Grill Udyog

Highvision Hall

Cable Network

Telephone Tower

Photo Studio/…

Masala Udyog

Elctrocnics repair…

Bank / IM

E

Mobile Rep

airing

Hospital

x‐Ray M

achine

School

Stone Cutting…

Radio Rep

airing…

No. of enterprise existing in MH Catchment


277.5

113

15 1255.78

22.713.02 2.41

0

50

100

150

200

250

300

Prioritized enterprise Vs Power consumption‐ Gorkha


Power Consumption by PC



Theenterprisesprioritizedforthestudywerehuller/grinder/seller/mechanical,furniture,grilludhyogandcomputertraining.

AsthefindingsontheprioritizedenterprisesfromotherdistrictswerefoundsimilarduringtheBDSassessment,stonecuttingenterprisebeingfoundinnovativeandhavingpotentialbusinessopportunity,thedetailassessmenthasbeencarriedoutasunder.

4.4.1SpecificBusinessserviceassessmentinGorkha

Spe‐cificSub‐Sec‐tor

Service ServiceProvider8 Demand Side Con‐straint

Supply Side Con‐straint

StoneCut‐ting

Accessto regis‐trationofenter‐prise

Department ofMines and Geology,CSIDB./DCSI,NepalMinerals and Re‐searchDevelopmentCompany

Enterprise are notaware about registra‐tionprocess

Service providersdo not know aboutthestonecuttingac‐tivities in the dis‐trict

Accesstoappro‐priatetechnol‐ogy(Cut‐ting, pol‐ishing,gradingetc.)

NepalMineralsandResearch Develop‐mentCompany

Enterprise lackknowledge on differenttypesofstonesfoundinriver beds along withtechnology to producefinalproducts

Minimal presenceofserviceprovidersandserviceprovid‐ersarenotawareofstonecuttinginitia‐tive

Theconstraintsofotherprioritizedenterprisesaresimilartootherdistricts.

8 Detail Business Service Providers listing of Gorkha District is in Annex IV



5. MHPsasEnterprise‐AnAnalysisThereexistsstructuredapproachofNRREPtosupportproductiveenduseofenergywillbothenablemicrohydropower(MHP)plantstobecomeself‐sustainableandincreasethelivelihoodandincomegeneratingprospectsofpoorpeople.NRREPhassetitstargettopro‐duceMiniandMicroHydroPower:25MWbytheendofprojectterm.Involvementofthelocalgovernmentsystemisinparticularrelevantinrelationtocommunityelectrification,bothfromthepointofplanningandcomplementaryfundingofmicrohydropowersystems.MHPgenerateselectricitywhichistheprimarysourceofelectricalenergyforrunningdif‐ferentkindsofenterprisesinitscoverage.MHPinitselfarenotfullysubsidized.Dependinguponthesupportprogramssubsidyisprovidedupto40‐60%.Rest40‐60%occurstobecommunityobligationwhichveryoftenismanualworkcontributionandloan.Paymentofloanisnotonlyobligationbutalsoaburdeninmostcases,since;MHPsareconstructedatruralsettingsandforpoorpeople.Onlysourceofpaybackistheincomegeneratedfromthesales/utilizationofproducedelectricity.ForthisconsiderationMHPhastobefullyopera‐tionalatpeakhoursofenergyconsumptionsandreliablesourceofenergyfordependententerprises.

Transparency,asamethodtopromotegoodgovernanceandaccountability,willacrosscom‐ponentspenetrateimplementation,includingtheuseofapublicdisclosuresystemespeciallywheremicro‐hydropowersystemsareestablished.GoodmanagementmodelisnecessarytoruntheMHPefficiently.MHPsdohavemanagementcommitteebut, theyrequiregoodmanagementpracticetobeimplementedforstrategicinterventionsforeffectiveoperationandupdatingwithlatesttechnologiesandbusinessopportunities.

BasicRequirementsofMHP:

1. TimelyRepairandmaintenance2. SkillfulOperator3. GoodManagementSystem4. Affordablefinancialservices(interestrateandamountofloan)5. Goodenergybalancesituation(enterprisesandhouseholdutilityofenergy)



5.5.1MHPsasanenterpriseconstraintsandserviceprovision:

Thereare91MHPsinBaglung(4MHPsvisited),17MHPsinMyagdi(2MHPswerevisited),23MHPsinKaski(1MHPwasvisited)and25MHPsinGorkha(2MHPswerevisited).TheseMHPsarticulatedfollowingconstraints.

Constraints ServiceProvision Service pro‐vider

DemandSide SupplySide

MaintenanceConstraints

Installing companies hasnot provided technicalspecificationofequipmentinstalled for eg. Belt size,Bearingsizeetc.

AccesstospecificationofequipmentfromIn‐stallingcompanies

AppropriateEngineering

MHPs user are notawareofwhatallinfor‐mation are needed forthem during installa‐tion

LackofTechnicalknow

Lack of managementcommittee knowledgeonrequirement

Easyexcusefromtheser‐viceproviders

Frequentdamagetoequip‐ments(problemofexcita‐tion,voltagefluctuation)

Provision of sparestools and equipmentinstock

Provision of mainte‐nanceservice

DCEMPvt. Ltd.Banglung

Cream HydelPvt.Ltd.

GTECHNepal

MHPs are not able tokeep necessary sparetools and equipmentsinstock

Lackofexistenceof locallevelserviceproviders

High transactioncost forservice providers in dis‐trictHq.andButwaltoca‐terindividualMHPs





AppropriateEngineeringButwal

MHPs decision makingtakes time for repairandmaintenance

MHPsdonothaveMRPcosting of necessaryspare tools and equip‐ments

Lackofskilloperator Provision of continu‐ousskilldevelopmenttooperator

Aastha Net‐workPvt.Ltd.,

DEL EnergyConcern

HPRNepalPvt.Ltd.

EPSOM Engi‐neering Con‐sultancy Pvt.Ltd.

Skill operator wantsregulartrainingandin‐teraction with otherMHPsoperator

MHPsoperatorrequireadditionalbenefit

Service providers areproviding training basedonprojectactivities

Mechanism of capacitybuilding between MHPs,operatorandservicepro‐vidernotdeveloped





Migrationofskilloperator Provision of addi‐tionalincomegenera‐tionopportunities foroperator

Specificdistrictlevel serviceproviders forskill develop‐ment

Operators migrate forgettingnewopportuni‐ties

Lack of networks withoperatorfortraining

Information managementon energy use, MHPs arenotabletomanageenergyuse with some of house‐hold not having electricmeter

Users are paying sameamount irrespective ofelectricityusage

Provision of manage‐ment system for database entry of eachhousehold and enter‐priseconsumption

MHPs

User specially poorhouseholds are payingsame amount as elec‐tricmeteraredysfunc‐tional

Management commit‐tee are not able to up‐dateinformationduetolack of time andmeet‐ing

MHPsarethinkingofhighcostofdatamanagement,instead of making datamanagement profes‐sional to increase effi‐ciency

Lackof communityown‐ership on paying as peruse

Investment capacityofus‐ersareless

Mechanism ofmatch‐ing fund for enter‐priseestablishment

DDC, VDC,CFUG,MFIs

MHPs user especiallypropoorarenotabletoestablishenterprise

Lackofbusinessplanandallocation of fund fromdifferent stakeholders inbusinessplanabsent



6. AccesstofinanceSchemeforAgricultureandEnergySectorAsperthepolicyofNepalRastraBank,thereisaprovisionthatitismandatoryforeveryfinancialinstitutiontoinvestatleast12%oftheirtotalinvestmentinAgricultureandEnergysector.DeprivedSectorLoanasaWholesalelendingprogram

AsareplicationofthesuccessmodelofGrameenbankBangladesh,NepalRastraBankhascameupwithapolicytosupportthedeprivedsectorlendingprogramin1991/92.Inthepolicy,commercialbanksarerequiredtoflowacertainpercentageoftheirresourcestothepromotion of the deprived sector. The funds are being channelized through savings andcreditco‐operativesfortheimprovementofthesocio‐economicconditionsofthedeprived9and economically backward communities. Example‐ Sana Kisan Bikas Bank (SKBBL) hasbeenextendingthewholesalecreditthroughmicro‐creditdevelopmentbanks.

Forthepromotionofthedeprivedsector,anyDclassfinancialinstitutioncanapproachA,BandCclassfinancialinstitutionforthewholesalelending.Inthisconcept,Dclassfinancialinstitutiontakesguaranteeoftheamountrequestedfromthebankandinvesttotheentre‐preneurswithsmallfundsforestablishingenterprises.Forthecurrentfiscalyear2012/13,commercialbanks(Class‐A),developmentbanks(Class‐B)andfinancecompanies(Class‐C)arerequiredtoextenddeprivedsectorcreditattherateof4percent,3.5percentand3percentrespectivelyonthebasisoftheirtotalloansandad‐vances.Aprovisionhasalreadybeenmadetoincreasesuchrequirementby0.50percent‐pointeveryyearforthenexttwoyears.So,buildingthecapacityandprovidinginformationaboutdifferentschemesofthefinancialinstitutionswillhelpforthepromotionofenterprisesintheMHPcatchmentareas.

9 deprivedmeanslowincomeandespeciallysociallybackwardwomen,tribalpeople,Dalit,blind,hearingimpairedandphysicallyincapacitatedpersons,marginalizedandsmallfarm‐ers,craft‐men,labourandlandlesssquatterfamily



7. Recommendation

7.1Subsectorrelatedrecommendation

Subsector ServicesinSubsectors District Intervention

HullerGrinder

Maintenance Bag‐lungMyag‐di‐Gorkha

AnnualMaintenancecontractbetweenser‐viceprovidersandenterprises

Capacitybuildingoflocalpersonnel(elec‐tricians/electronics)formaintenanceser‐vices

Access to informationforallyearoperationofmachine

BaglungMyag‐di‐Gorkha

Business counseling and follow up be‐tweenenterprisesandserviceproviders

Research on how thesemachines can becommerciallyusedthroughouttheyear

Poultry Accesstotechnicalser‐vices for disease con‐trol

Bag‐lungGorkha

Strengthening of lead famers as serviceprovidersthroughlinkageswithDLSOandAgrovets

Accesstofeedservices Bag‐lungGorkha

Provisionofagentforfeedsupplytoenter‐prises(asanenterprise itself)by linkingwithbusinessserviceprovidersindistrictHq.

Furniture Access to informationaboutregistration

BaglungMyagdiGorkha

Interaction between DFO, DCSI/ CSIDB,FECOFUNonprocessofregistrationoffur‐nitureenterprise

Access to engineeringservices for frequentbreakage

Bag‐lungMyag‐di‐Gorkha

Annualmaintenancecontractbetweenen‐terprisesandserviceproviders

Capacity building of local electric/ elec‐tronicsshoponmaintenance

Access to forest re‐sources from the com‐munityforestsnearby

Myag‐diBag‐lungGorkha

Itprovideseasyaccessofrawmaterialsfortheenterpriseswithintheirareas



Access toqualitywoodfurniture productiontraining

BaglungMyag‐di‐Gorkha

Onthejobtrainingforenterprisesinwoodfurniture based in regional centers (likePokhara)forqualityfurnitureproduction

ComputerInstitute/ICT Cen‐ter

Accesstohardwareandsoftwareservices

Myag‐di‐Gorkha

Annualmaintenancecontractbetweenen‐terprisesandserviceproviders

Capacitybuildingofcomputertraineratlo‐callevel

ComputerliteracyprogramthroughFM

Provision of computer support hotlinenumbersthroughpartnershipwithserviceproviders

Accesstoskilldevelop‐menttraining

Myag‐di‐Gorkha

ProductdiversificationandinclusionofE‐Class,E‐Pustakalaya

Capacitydevelopmentofcomputerrelatedmanpoweratlocallevel

Access to low cost in‐ternet services and ac‐cess to offline infor‐mation system plat‐forms

Myagdi Provision of group internet service fromNTC, NCELL for continuous and low costsupplyofinternet

ProvisionoflinkageswithMiDAS,OLENe‐palforofflineinformationplatforms

Hotel Provision of infor‐mation on electricequipmentsforheating,cooking, lightening,laundry,computeretc.

Kaski Increase electricity usage by hotelsthroughinformationsharingaboutelectricappliances for cooking, laundry, heatingetc.

Provisionoftrainingonfront desk manage‐ment, food and bever‐age,housekeeping,hos‐pitalitymanagement

Kaski Enhances thequalityof serviceprovisionbythehotelsfortheguests

Continuous supply ofelectricity

Kaski Provision of synchronization along withMini Grid for growing tourism based in‐dustries



StoneCut‐ting

Access to registrationofenterprises

Gorkha Facilitationonregistrationofstoneenter‐priseswithsupportofNepalMineralsandResearch Development company, CSIDB/DCSI,DepartmentofMinesandGeology

Access to appropriatetechnology (cutting,polishing,gradingetc)

Gorkha Appropriate technology transfer throughserviceproviderslikeNepalMineralsandResearchDevelopmentCompany

Trainingonstones(CTEVThasalreadyfor‐mulatedtrainingonstones)

7.2GenericBusinessServicesRecommendation

Services SubsectorAffected

Districts Intervention

Provision of train‐ing for quality pro‐duction and accesstomarket

Lokta, Furni‐ture, Soap,Allo,Chowmien,Dairy,Block

Baglung,Myagdi,Gorkha

Subcontractingorpartnershipbetweenprivate sectors like HBTL, Mahaguthi,AsmiHerbals,MallaFurnituresetc.formarketlinkagesandqualityupgradingtraining

Facilitate partnership with CSIDB/DCSIformarketingtraining

Provision of enterprise to becomemembersofCCItoavailmarketingsup‐portservices

RapidMarketAppraisal(RMA)trainingtolocalpersontosupportenterpriseinmarketing

LegalServices Forest based,stone based,informalbusinesses


Facilitateregistrationofenterprises inDCSI/ CSIDB in coordination with re‐lated government line agencies andprovision of rawmaterials for the en‐terprises

Access to lead tech‐nical services pro‐viders

Forestry andAgriculturerelated


Facilitatecapacitydevelopmentoflocalresourcepersoninclusterofprioritizedenterprisesontechnicalknowledge



Provision of agentfor Input supply atlocallevel

Manufactur‐ingrelated


Strengtheninputsupplyenterprisesatlocallevelasperthedemandoftheen‐terprises

Provisionofmecha‐nism of technologytransfer infor‐mation andknowledge at locallevel

All Baglung,Myagdi,Gorkha

Facilitateinformationhubatenterpriselevel to provide information on im‐proved and innovative technologiesandlinkageswithtechnologyprovidersatdistrictHq.andnationallevel

ProvisionofendusecatalogueforusersofMHPs

Additional promotion of innovativetechnologies and enterprises throughFM

Provision of enter‐prise developmentfundinMHPs

Expansionoriented en‐terprises

Baglung,Myagdi,Gorkha,Kaski

Facilitatemore funding from local or‐ganizationsasperbusinessplanningofenterprises

Provision of ac‐counting and cashflowmanagementofenterprises to ac‐counting resourcesperson ( of MHPs,CFUGs,Schools)

All Baglung,Myagdi,Gorkha,Kaski

Capacity building and linkages of ac‐counting personnel at local level withenterprises ( pay for service mecha‐nism)

Provision of prod‐ucts developmentfor strengtheningsupply sideof tour‐ism(E.g.Driedvege‐tables,potatoes,fishetc.)

Enterpriseswhere thereis growth intourism

Kaski Facilitateresearchanddevelopmentonproductdevelopmenttobemadebylo‐cal enterprise andmarketed through/byhotels



7.3RecommendationforBusinessServiceprovisionforMHPsasenterprise

ServiceProvision Interventions

Access to specification of equip‐mentfrominstallingcompanies

Facilitate punctual handover document withequipmentratings

Provisionofsparetoolsandequip‐mentinstock

Facilitateforfinancialallocationforkeepingnec‐essarysparesorStrongMHPskeepingspares

Easyprocurementdesigntoassignedtoperson‐nel(eg.Operator)basedonearliertrends

MRPcostingcatalogueofsparepartstobepro‐videdtoallMHPs

AnnualMaintenancecontractbetweenMHPsandserviceproviders

Provisionofcontinuousskilldevel‐opmenttooperator

Capacitybuildingofatleast5operatorsaspro‐fessionaloperatorsandopportunitiesforthemtotrainotheroperatorasonthejobtraining

Provisionofadditionalincomegen‐erationopportunitiesforoperator

Provideadditionalincomegenerationforfamilyofoperatorsfornegatingmigration

Provision of management systemfordatabaseentryofeachhouse‐holdandenterpriseconsumption

Monitoring and capacity building of committeeasperpresentmanagementguideline

Improvement of management guideline as perfeedbackandconstraints facedbymanagementcommittee

Establishmentofpayforusetodistincthighandlowenergyconsuminghouseholds

Mechanismofmatchingfundforen‐terpriseestablishment

Provisionofbusinessplanningandinteraction/linkageswithsupportingorganizationsforaddi‐tionalsupportapartfromAEPCloanandgrant



7.4CentralizedBDSprovider(Singlewindowbusinessserviceprovision)a. AsRepairandMaintenanceServicesforOthersurroundingMHPs.(Repairand

Maintenance)

b. AsCo‐operativesfordisseminating/guaranteeforEnterpriseDevelopmentloans(Finance)

c. AsLocalizedCallcenter(InformationandDataCenterforallkindsofBDSexistingintheRegion(Information)

d. ProvidingManagementServices(AccountingandotherRecordkeeping)

Single window service provision

Repair and

Maintenance Contrac

t

MHP 1, MHP 2, MHP 3........ MHP n

Management Service

s

Finance

Co‐operative at MHP1

Co‐operative at MHP2

Co‐operative at MHP 3

BDS Provider for Enterprise

Tools and

Machinery

(Purchase / stock)

Buyer of

Produced

Goods

Tools and

Machinery

(Repair and

Maintenance)

Marketing

Information Center

(Call Center)

Resource Pool (JTAs, Vet. Docs., Technicians, Trainer

s, Financi

al Institutions etc. )

Legal Counselling ( Registering in CSIDB, CCIs)



ConceptofRegionalServiceCentrehasbeenwidelypracticedallover.Therearelatestinno‐vativeideaslikePracticalAnswers,whereone‐stop‐multiplesolutionsareprovidedrang‐ingfromtechnicaltofinancial,psychologicalandsocialsupport.Itisrecommendedtocreateone‐stopsolutioncentre,whichcouldbe:

a. Existingenterprises(likeelectricshopsetc.)

b. CentrallylocatedMHPsupportingotherMHPsinvicinity.

c. CreatingindependentSinglewindowserviceprovider.

d. CreatingFranchisesofBDSproviderofDistrictHeadquarterstoSemi‐Ur‐banplaces(for.Eg.Darbang,Kharbang)

Duringstakeholdermeetingwiththeinstallationcompany,itwasrevealedthatMHPsaskedhelpoverthesimplerepairandmaintenanceissues.ReachingtheMHPsite,fixingtheprob‐lemandcomingbackto thecompanywouldgenerallyrequireaweektime. If thiswouldhappento4‐MHPsinamonth,thiswouldrequireateamofSkilledTechnicianfortheR&Mworkonly.ThisservicewouldbecostliergiventhedifficultroadconditionsthroughouttheMHPsites.(ForexampleinBaglung:anEngineeringConsultancyFirmwouldchargeRs2000–Rs3000/dayperpersonforR&Mtask)

AsolutionmodeltothiskindofproblemcanbethecreationofabasketfundsuchthateachMHPwoulddepositcertainamountoffundassumesRs10000/year,ifthereare10MHPsinproximitythatcouldcreateacollectivefundofRs100000/year.AnAMCcanbecreatedwithABCCompanywhichwouldvisitall10MHPsatatimeincertainintervalandkeepupdateonstatusofthesystem.ThesystemthatcomesintroublewouldcontacttheAMCCompanyandgettheservice;paymentcanbedonefromthefund.

7.5RecommendationbasedondemandsideassessmentofservicesFortheenterpriseshavinggoodmarketsize,itisrecommendedtoidentifypotentialbusi‐nessserviceproviderlocatedatthedistrictheadquartersthroughannualcontractorcreat‐ingaplatform toestablisha servicecentreat the local leveleitherby thebusiness inde‐pendentlyorincollaborationwithpotentialenterpriseatthelocallevel.Thisapproachwillmaketheservicelesscostlyandthusaffordableforthedemandsideenterprises.Further,theserviceavailabilityandsustainabilityconcernoftheenterpriseswillbesolvedfortheregularoperationandscale‐upofthebusinesses.



7.6Recommendationbasedonoverallenergybalancescenario:TheenergybalancescenariosofMHPsfromthestudywerecategorizedanddiscussedintothreecases‐energysurplus,energybalanceandenergydeficitscenariosandtherecommen‐dationsaremadeas:

EnergySurplus:Intheareashavingtheenergysurplus,lookingintothemarketpotentialsenterprisesneedstobepromotedfortheconsumptionofenergygeneratedbytheMHPs.

EnergyDeficit:Intheenergydeficitscenario,theenergyneedstobegeneratedbypromotingnewMHPsandincreasingtheefficiencyandcapacityoftheexistingMHPs.

OverallScenarios:Intheenergybalancescenario,energysurplusandenergydeficitcasesaswell,qualityonMHPsefficiencyneedstobeensured.Thiscouldbedonebythroughthepro‐visionforregularoperationofMHPsbyensuringthattheoperatorsarecapableoffixingthesmalltechnicalproblemsassociatedwithitandcontractingwithmaintenanceservicepro‐viderforregularserviceprovision.Further,installationofelectricmeterinthehouseholdsconsumingenergyfromtheMHPsandpaymentshouldbecollectedbasedontheenergyuse.

7.7PartnershipforaccesstofinanceMostoftheMSMEsrequiremediumlevelfundingfortheregularoperationandscale‐upoftheirbusinesses.Throughco‐operativesandMFIstheycouldaccessamountupto60,000fortheoperationoftheirbusinesses.Commercialbanksareinterestedinfundingtheamountabove5lakhsuponpropertycollatre.Astheenterprisesinmostoftheareaswerefoundtobe seeking amount between60,000‐5 lakhs, theywere seeking for financing frombanksshowing theirbusinessoperated.Therefore, for thescale‐upof theexistingbusinesses,aclearandsimpleprovisionoffundingthemwithneedstobefacilitatedthroughtheinter‐estedfinancialinstitutions.

7.8PartnershipwiththeN/GOsfortrainingandskilldevelopmentDifferentgovernmentandnon‐governmentinstitutionshavevariousprogramsontrainingsand skill development,which isdemand,basedorplanned looking into thepotentialsofthoseareas.Therefore,theproposedcentralizedBDSprovidercanworkasacoordinatingagencywiththerelevantinstitutionsindifferentprograms.DistrictLivestockServicesOffice,DistrictAgricultureOffice,DistrictForestOffice,DistrictCottageandSmallIndustryoffice,DistrictDevelopmentCommitteehaveondemandandyearlyplannedactivitiesinpromotingenterprises.Similarly,differentnon‐governmentagenciesalsohavedifferentprogramsinpromotingenterprises.



7.9SampleActionPlanTheActionPlanispreparedforfacilitatingRegionalServiceCentersandAEPCteamtocarryoutBDSlinkagesactivitiesincomingtimes.Thisactionplanisjustasamplewhichisderivedfromtherecommendationprovidedinthisreport.AEPC/NRREP/PEUcandissecttherecommendationprovidedinreportandcomeoutwithsimilaractionplanforfurtherimplementation.

S.No Activities Mainobjective TimeLine10

Responsibleorganization11

1. ParticipatoryMarketChainAppraisalbetweenstake‐holdersinvolvedinspecificBusinessServiceProvision

ToformulateamodelforbusinessservicedeliverythroughAMCorLRPap‐proach

2. Capacitydevelopmenttrain‐ingofidentifiedLRPinspe‐cificbusinessservicedeliv‐ery

TodevelopLRPasser‐viceprovidersatlocallevelinpartnershipwithBDSprovidersatdistrictHq.

3. Networkingeventbetweengovernmentserviceprovid‐ersandenterprisesatlocallevel

Toestablishnetworkbe‐tweengovernmentser‐viceproviders(DoA,DLSOetc.)

4. Interactionbetweenstake‐holdersforregistrationoffurniture(forestbased)andotherenterprise

Toensureregistrationofenterprisesthroughcom‐monunderstandingofenterprises

5. Provideonthejobtrainingtoenterprisesfocusingonqualityimprovement

Toensurequalitystand‐ardsandimprovedtech‐nologytransferforenter‐prises

6. ActivityplanningandMoUwithorganizationlikeMiDASandOLENepalforproductdiversification

Toensureeducationre‐latedbusinessopportuni‐tiesatremotelevel

10 To be based on AEPC/ NRREP/ PEU time schedule planning 11 To be based on AEPC/ NRREP/ PEU and stakeholders priority



7. Facilitateinteractionpro‐gramforgroupinternetser‐vicefromNTC,NCELLetc.

ToensureICTserviceproviderwithcontinuousandlowcostsupplyofin‐ternet

8. Supportinmakingelectricappliancemanualsforpowerconsumptionsectorwise

Toinformandconvincehotelenterprisesformoreusageofelectricalappliances

9. Actionresearchonsinglewindowbusinessserviceprovision

Todeviseappropriatemodelforsinglewindowbusinessserviceprovi‐sion

Etc.



8. ConclusionThestudyconcludesthatthereisexistingserviceprovisionmechanismatdistrictHq.buttheseservicesarenotabletoreachlocallevel.Innovationhastobecarriedoutbybusinessserviceprovidersatdistricthq.toreachremoteareas.TherehasbeenincreasingmarketsizeofenterpriseswhichcansummonprivatesectorsforusinglocalresourcepersonsandAMCmethodstoreachremotesareas.Businessdeliveryshouldbebasedonallpossiblemodeofpaymentandrecommendationwisemodeofpaymentisdepictedas:

Recommendation Modeofpayment

AMC Payforservices

SingleWindowserviceprovision ALL

Specificservices Asperdemand

PartnershipwithGovt.Services Subsidized

PartnershipwithINGOs/NGOs Subsidizedandpayforservices

Accesstofinance Payforservices

Finally,studyconcludesfurtherassessmentmainlyregardingpossibilityofSinglewindowbusinessserviceprovisionatvicinityofMHPs.


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pagei

ANNEXIBDSprovidersinBaglung

S.N. BDSProviders ContactPerson Address ContactNumber

1 DCRDC Mr.BalaramGautam Upallachaur,Baglung

9857623225

2 Baglung Chamber of Com‐merceandIndustries

MrJayaramBhari Baglung 9857621197

3 PrabhuVikasbank Mr Uttam RajBhandary

Baglung 068‐522630,9857620124

4 District Livestock ServiceOffice

MrNilkanthaSharma Baglung 9746700573

5 SANGAM,Balgung MrRamCSubedi Baglung 9847621625

6 GreenDevelopmentBank Mr. PrakashShrestha,CEO

BaglungBazar 068‐ 522865,52266

7 PangaliMachineries Mr.Ram BaglungBazar 9857620384

8 Baral Veterinary andAgrovetSuppliers

Mr.BhawanRajBaral BaglungBazar 068‐520080

9 BaglungVeterinary Mr. Atma RamSharma

Hatiya,Galkot 9747600598

10 Poudelveterinary Mr.BaburamPoudel BaglungBazar 9857622339

11 Dhaulagiri Civil ElectricalMechanical EngineeringPvt.Ltd.

Mr.BalBahadurKC BaglungBazar 068–5202221

12 ShankarElectricWorks Mr.ShankarShrestha Baglungbazar 9847671211

13 DepartmentofCottageandSmallIndustries

Mr.PushkarJoshi BaglungBazzar

068‐520123


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pageii

AnnexIIBusinessServiceprovidersinMyagdi

My‐agdi

ToolsandMachinery

S.N NameofBDSProvider Address Contact ContactPerson1 Myagdi General and Hardware

StoreBeni, my‐agdi

069‐520205

YajjanLalShakya

2 Dhaulagiri Hardware and Suppli‐ers

Beni, My‐agdi

9857640186

SaritaSherchan

3 ShresthaGrillandSteelFurnitureUdhyog

Beni, My‐agdi

SadhanaShrestha

4 TrainingandSkillDevelopment S.N NameofBDSProvider Address Contact ContactPerson1 2 NilgiriCowFarmingCommittee Shikha, My‐

agdi9846102877

Mr GovindaKhadka

3 SANGAM Beni, My‐agdi

9858025256

Mr Ganesh Dha‐kal

4 NewDhaulagiriKrishiSewa Beni, My‐agdi

069‐520758

MrYamBdrKC

5 BeniPoultrySuppliers Beni, My‐agdi

9857640495

MrRameshKha‐nal

6 MyagdiChamberofCommerceandIndustries

Beni, My‐agdi

9847624446

Mr.DilipPun

7 DCRDC Beni, My‐agdi

069‐520519

Mr. YamnathSharma

8 District Energy and EnvironmentUnit

Beni, My‐agdi

9841729913

MrRanjan

9 DistrictLivestockServiceOffice Beni, My‐agdi

Mr DayadattaChapagain

11 DistrictForestOffice Beni, My‐agdi

9867609892

MrNepaliShah

12 DhaulagiriTechnicalSchool Lete, Mus‐tang

9846582010

Mr.ArjunKhatri

RepairandMaintenance


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pageiii

S.N NameofBDSProvider Address Contact ContactPerson1 Khatri Electric and Electronics

workshopBeni, My‐agdi

9857640398

KrishnaBahadurKhatri

2 GlobalComputerPoint Beni, My‐agdi

HariKC

Sector PoultryandAgrovet S.N NameofBDSProvider Address Contact ContactPerson1 SapkotaVeterinaryMedicineSup‐

pliersBeni, My‐agdi

9847642921

Tek Prasad sap‐kota

2 MyagdikaliPoultryhouse Beni, My‐agdi

9847642921

Tek Prasad sap‐kota


9857640072

RamhariK.C.

4 BeniPoultrySuppliers(2) Beni, My‐agdi

9857640495

MrRameshKha‐nal

Sector Generic S.N NameofBDSProvider Address Contact ContactPerson1 NewNarayaniSuppliers Beni, My‐

agdi‐ Dhirendra

Shrestha

2 Myagdi General and HardwareStore

Beni, My‐agdi

069‐520205

YajjanLalShakya

3 Dhaulagiri Hardware and Suppli‐ers

Beni, My‐agdi

9857640186

SaritaSherchan

4 GraphicsComputerCentre Beni, My‐agdi

069‐520433

Mohan Bahadurkhatri

5 ChandaniMetalUdhyog Beni, My‐agdi

9857640062

RajkumarShrestha

6 Mount Dhaulagiri ConstructionandCrusherUdhyog

Beni, My‐agdi

‐

7 B‐TechComputerHousePvt.Ltd. Beni, My‐agdi

069‐520726

DhrubaKarki


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pageiv


9857640072

RamhariK.C.

9 SectorComputerCentre Beni, My‐agdi

‐ Devi PrasadSharma

10 DhunganaElectronicsCentre Beni, My‐agdi

069‐520496

YamKumariKC

11 Myagdi Kali Sanchar SahakariSansthaLtd.

Beni, My‐agdi

9847651782

DhrubaSubedi

12 SangamElectronics Beni, My‐agdi

069‐520232

SuyogShrestha

13 TridevMetalUdhyog Beni, My‐agdi

9857640061

LaxmikumariKC

14 Global Computer Point (repairingtoo)

Beni, My‐agdi

‐ HariKC

15 BalchandraFurnitureUdhyog Beni, My‐agdi

069‐520617

Balkrishna Sub‐edi

16 Khatri Electric and Electronicsworkshop

Beni, My‐agdi

9857640398

KrishnaBahadurKhatri

17 ShresthaGrillandSteelFurnitureUdhyog

Beni, My‐agdi

069‐520255

SadhanaShrestha

18 CSIDB Myadgi 9849442919

PraveenBasnet


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pagev

AnnexIIIBusinessServiceProvidersinKaskiDistricts

Sector ToolsandMachinery Sn NameofBDSProvider Address Contact ContactPerson1 BhanuMachinery Sabha Griha

Chowk061‐551255,534934

PushpaRajKoirala

2 MachhapuchhreMetalandMachineryPvt.Ltd.

ShrijanaChwok

061‐520605,530606

3 Shuv Pokhara MachineryTools

Sabha GrihaChowk

061‐530252

4 GautamMachineryTools 061‐522245,525673

Sector TrainingandSkillDevel‐

opment

Sn NameofBDSProvider Address Contact ContactPerson1 CottageandSmallScaleIn‐

dustryShahidChowk

9846050196

Nandalal Paudel,industryOfficer

2 Pokhara Chmber of Com‐merceandIndustry

GairaPatan 061‐520264,522264

Narayan Koirala,sec.gen.

3 LIBIRD GairaPatan 061‐535357,526834

Programme Direc‐tor

4 MEDEP PrithviChowk

9847631165

Ms Dhan MayaKisan

5 Pokhara Engineering Col‐lege

Phirke 061‐528530

6 PokharaIndustrialDistict 061‐540285 7 Pokhara Technical Train‐

ingCenterRanipauwa 061‐

527930,530990

8 Regional Agricultural Re‐searchCenter

Lumle,Kaski 061‐622174 R.C.Adhikari

9 District Energy and Envi‐ronmentOffice,Kaski

ShahidChowk,Pokhara

9846128094

Mr. Arjun B.Neupane

RepairandMaintenance


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pagevi

Sn NameofBDSProvider Address Contact ContactPerson1 Multiservices Matepani 985603203

6NarayanAdhikari

2 BishwakarmaElectricals NewRoad Sector PoultryandAgrovet Sn NameofBDSProvider Address Contact ContactPerson1 BaralFeedIndustries pardi 061‐

521024,535545

2 Bhagat Feed Industriesand Panchakanya Hatch‐ery

061‐525992

3 BigyanFeedIndustries 061‐521664 4 SundarFeedandHatchery 061‐

520552,520553

Sector Internet S.N NameofBDSProvider Address Contact ContactPerson1 CyberWorld Lakeside 061‐524618 2 FewaNetPvt.Ltd MahendraPul 061‐

536090,531548

3 PokharaInternetPvt.Ltd. GairaPatan 061‐540188


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pagevii

AnnexIVBusinessServiceprovidersinGorkhaDistricts

District:Gorkha

ToolsandMachinery

S.N NameofBDSProvider Address Contact ContactPerson

1 ManakamanaMotorPartsandMillMachinery

Haramtari‐3 064‐420598,9846158508

RamBasnet

2 GorakhnathMetalWorks Haramtari‐3 064‐420449 Shiva KumarShrestha

3 HimaliEngineeringandMetalSuppliers

Haramtari 064‐420265 Ram SwaroopShrestha

4 District Cooperative Associa‐tion

Haramtari‐3 9846127622 BaburamKoirala

Agriculture

S.N NameofBDSProvider Address Contact ContactPerson

1 ShivaKiranapasalandmasalamill

Nayabazar‐1 9846475165 ShivaGupta

Others

S.N NameofBDSProvider Address Contact Contactperson

1 KattelElectronics Buspark‐1 064‐420581 RishiramKattel2 SitaramBagFactory Haramtari‐3 9846255507 SitaramNepali3 RubiprintingPress Haramtari‐3 9856027375 RusBabuJoshi4 SolarPasal Haramtari‐3 9846125900 Shravan Kumar

Shrestha


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pageviii

AnnexVEnterpriseListing1. EnterprisesListedbyDCRDCoffice

SN EnterpriseType 1 Huller/Grinder/expeller/Seller 62 Huller/grinder 1153 Grinder 254 Grinder/mechanical 45 FurnitureUdhyog 276 PoultryForms 997 HandmadePaperUdhyog 28 ComputerTrainingCentres 99 BlockUdhyog 310 BakeryUdhyog 611 PhotocopyCentre 112 GrillUdhyog 613 HighvisionHall 214 OffsetPress 115 CableNetwork 716 TelephoneTower 517 MilkDiary 218 ImprovingAaranUdyog 119 CommunityRadio 320 JadibutiCollection 121 PhotoStudio/ColourLab 322 Hotel/Lodge 6623 TileUdhyog 124 Freshhouse 225 CrosserUdhyog 126 HerbalchiurisoapUdhyog 127 MahuriGharUdhyog 128 Chowmein 329 CopyUdhyog 130 MasalaUdhyog 131 Electronicsrepaircentre 1 Total 406

Additional,Gulmi–8,Palpa–24,Syangja–21;Subtotal=53


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pageix

2. EnterpriseListedinGorkhabyRESDTN,TanahunOffice

S.N Name ofProject

ProjectLocation

ExistingEnduse

VDC1 Aarkhet

kholaIIAarubang Agro‐processingmill(2)

2 Sahakhola

Saurpani PoultryFarm(2),Agroprocessingmill

3 Helmekhola

Simjung Agroprocessingmill

4 GhattekholaIII

Barpak PoultryFarm(6),Agroprocessingmill(5),Bakery,sawmill(2),Radio‐repairingcentre,Highvisionhall(2),Metalworkshop(2),Mobile repairing centre, Photo Studio, stone Cutting Ma‐chine(3),Cablenetwork,TelecomeTower,Computercyber,

5 HundiREHAB

Takukot Oil expeller, Agro‐processingmill (2), Photocopymachine,HealthCentre(X‐ray),Poultryfarm

6 Sotakhola

Muchowk Agro‐processingmill(2),Hospital,IME,Bank(2),ComputerInstitute(2),MasalaUdhyog,Furniture

7 JhyallakholaII

Muchowk Agro‐processingmill(4),Saw‐mill

8 Chottekhola

Manbu Agro‐processingmill(3),Furniture(2),Computer

9 Sumkhola

Ghyachowk

Furniture,Grinder(2),Agro‐processingmill

10 Andharikhola

Kharibot Noenduses

11 Lillikhola

Kharibot Agro‐processingmill(4),Furnitureudhyog

12 SandhiKhola

Ghyachowk

Noenduses

13 Jhyallakhola

Muchowk Furnitureudhyog(4),Agro‐processingmill(3),Poultryfarm(4),School

14 Andherikhola

Hamsa‐pur

Agro‐processingmill(2)

15 Kaprekhola

Hamsa‐pur

Agro‐processingmill(2)


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pagex

16 AndhariKholaDD

Simjung Furniture , Computer institute (2), Poultry farm (2), Elec‐tronicsshop

17 Kolkhola

Aruarbang

Noenduses

18 Samdokhola

Sama‐gaun

NoEnduse

19 Singlakhola

Gumda NoEnduse

20 Chha‐harekhola

Saurpani Agro‐processingmill,Furnitureindustry

21 Bairangkhola

Lho Scarcityofpower

22 Nanko‐hangKhola

Laprak Interested

23 AndhariKholaI

Hansapur Agro‐processingmill,Furnitureindustry

*InformationreceivedfromRESDTN,TanahunOffice.

3. EnterpriseListinginKaski

1.MicrohydroInstallationbyFinancialSupportfromACAPandCommunityMo‐bilization,BeneficiariesandEnterprises.

S.N Location Nos. Capac‐ity

In‐stalledYear

Beneficiaries

1 GhandrukVillageWardNo3 1 50 kWatt

1992 300 Hhs and 30Hotels

2 GhandrukWardNo9Chhomorng 1 30 kWatt


3 Dangshing VDC Ward no 9TikhedungaIPhase

1 40 kWatt


4 Dangshing VDC Ward no 9Tikhedunga II Phase (ulleri Microhudro)

1 40 kWatt



AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pagexi

5 LumleVDCWardno6.Landruk 1 35 kWatt

2001 105 Hhs 12 Ho‐tels and 1 hullermill

6 Sardikhola VDC Ward no .. Ghal‐ekharka

1 18 kWatt


7 ParcheVDCWardno9sikles 1 100 kWatt

1994 55Hhs ,3Hotelsand 4 Hullersmills

8 ParchaVDCwardno1soudha 1 15.3 kWatt

2007 52Hhs

9 NamarjungVDCwardno ‐7Tang‐ting

1 27 kWatt

1996 200Hhs

Total

9 355.3kWatt

1653Hhsand68Hotels,5Mills

2.MicrohydroInstallationbyCommunitywithFinancialSupportfromACAPandAEPC,

S.N Location No Capac‐ity

In‐stalledYear

Beneficiaries

1. Ghandruk VDC Ward No 9Chhomorng(GhatteKholaII)

1 15 kWatt

B.S059

90HHsand5Ho‐tels

2 Ghandruk VDC Ward No 9Chhomorng(GhatteKholaIII)

1 25 kWatt

B.S062

110 HHs and 7Hotels

3 LumleVDCWardno7.Bhichuk 1 15 kWatt

B.s062 115HHs

4 RivanVDCwardno….Saidighatta 1 44 kWatt

B.s062

Total

4 99 kWatt

3.MicrohydroInstallationbyCommunitywithFinancialSupportfromACAPandEndUse

S.N Location Nos Capacity In‐stalledYear

Beneficiaries

1. GhandrukVDCWardNo8melache 1 7kWatt B.S057

115Hhs and 10Hotels

2. GhandrukVDCWardNo9Ghurjung

1 6kWatt B.S058

Notavailable


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pagexii

3. GhandrukVDCWardNo1TikhyanChhomorng(GhatteKholaII)

1 5kWatt B.S059

Notavailable

Total 3 18kW Grandtotal 16

472.3KW 2083Hhs,90ho‐

tels&5mills

4. EnterprisesListedbyDEEUMyagdi

ThefollowingEnterprisesarerunningontheSchemeofMyagdi:‐ S.n MH

Scheme

Enterprisename

Enterpre‐neure

VDC Totalcost

Situa‐tion

Remarks

1 DaraKholall

Photo stu‐dio

Gyan Baha‐durPaija

Lulang‐5,Lamsung

10,000

NotRun‐ning

MHisunderrehab

2 DaraKholall

SawMill Som Baha‐durBK

Lulang‐5,Lamsung

50000

NotRun‐ning

MHisunderrehab

3 Da‐jungKhola

Generalstore

KrishnaDeviKandel

Okharbot‐9Losaribang

10000

Run‐ning

4 Da‐jungKhola

Generalstore

DadhilalKandel

Okharbot‐9Losaribang

10000

Run‐ning

5 Da‐jungKhola

Electricshop

Tam BdrGhartiMagar

Okharbot‐3Chiuribot

10,000

Run‐ning

6 Da‐jungKhola

Goat farm‐ing

KabirajGhartiMagar

Okharbot‐3Chiuribot

10000

Run‐ning

7 Da‐jungKhola

BakeryUdhyog

JhakendraPun

Okharbot‐4 65,000

Run‐ning

8 SanimKhola

Internet forschool

KisaniHigherSecon.

Bima Run‐ning

9 BagarKhola

BakeryUdhyog

Chini mayaPun

Chimkhola Run‐ning

10 BagarKhola

Bamboocraft

Run‐ning


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pagexiii

11 BagarKhola

Agro‐pro‐cessingmill

Run‐ning

12 BagarKhola

Photo stu‐dio

Run‐ning

13 DaraKholal

Poultryfarm

Dhan BdrBhandari

Muna‐1,Fali‐yagaun

25000

Run‐ning

14 DaraKholal


ReshamBhandari


70000

Run‐ning

15 DaraKholal

BakeryUdhyog

Krishna BdrPun


20,000

Run‐ning

ThefollowingEnterprisesarerunningontheSchemeofRumaKholaMHVEP(51Kw),Myagdi:‐

S.n MH

Scheme

Enter‐prisename

Enter‐preneure

VDC Selfin‐vest

other

To‐talcost

Situ‐ation

Re‐marks

1 RumakholaMHVEP


Kul Bd.Buda

Ruma‐9Dada

30,000

50,000

80,000

Run‐ning

2 RumakholaMHVEP

SholeHerbPvt.Ltd.(Nepali Pa‐perUdyog)

Hom LalPun

Ruma‐9Adhimara

5,00,000

5,00,000

Run‐ning

Run‐ninginShare

3 RumakholaMHVEP

FurnitureUdyog

BharatLalDagami

Okharbot‐1Phulbari

4,00,000

4,00,000

Run‐ning

Run‐ninginShare

4 RumakholaMHVEP

KaliCable LaxmiDagami


3,90,000

3,90,000

Run‐ning

Run‐ninginShare


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pagexiv

5 RumakholaMHVEP

Poultryfarming

Lal manB.K.


30,000

5,000

35,000

Run‐ning

6 RumakholaMHVEP


BhairavBd.Pun

Niskot‐2Basbot

1,10,000

1,10,000

Run‐ning

7 RumakholaMHVEP


Ganga Bd.Pun

Niskot‐9Gaun

70,000

70,000

Run‐ning

8 RumakholaMHVEP

FurnitureUdyog

Yam Bd.Patel

Niskot‐2Basbot

2,00,000

1,00,000

3,00,000

Run‐ning

9 RumakholaMHVEP

BakaryUdyog

Dev Bd.Buda

De‐visthan‐9Thapa‐chaur

60,000

60,000

Run‐ning

10 RumakholaMHVEP

BakaryUdyog

Om Bd.Pun

Darbang‐1Darbang

1,00,000

50,000

1,50,000

Run‐ning

11 RumakholaMHVEP

DarbangCable

BikalKarki

Darbang‐1Darbang

2,90,000

2,90,000

Run‐ning

Run‐ninginShare

12 RumakholaMHVEP

ComputerCenter

LaxmiSubedi

Darbang‐1Darbang

2,00,000

2,00,000

Run‐ning

13 RumakholaMHVEP

MilkDairy KrishnaAcharya

Darbang‐1Darbang

3,00,000

3,00,000

Run‐ning

14 RumakholaMHVEP

ComputerCenter

KisanBuda

Darbang‐1Darbang

1,00,000

50,000

1,50,000

Run‐ning

15 RumakholaMHVEP

Com‐puter,Phone,Fax

Nilgiri Bi‐kasBank

Darbang‐1Darbang

90,000

90,000

Run‐ning

Run‐ninginShare


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pagexv

16 RumakholaMHVEP


WesternMyagdiCo‐opera‐tive Insti‐tutionLtd.

Darbang‐1Darbang

1,10,000

1,10,000

Run‐ning

Run‐ninginShare

17 RumakholaMHVEP

BlockUdyog

KisanB.K. Darbang‐1Darbang

2,00,000

70,000

2,70,000

Run‐ning

18 RumakholaMHVEP


DarbangCo‐opera‐tive Insti‐tutionLtd.

Darbang‐1Darbang

90,000

90,000

Run‐ning

Run‐ninginShare

19 RumakholaMHVEP

FurnitureUdyog

Shom Bd.B.K

Darbang‐1Darbang

3,00,000

1,00,000

4,00,000

Run‐ning

20 RumakholaMHVEP


ShreePurkhaBuda

Darbang‐1Darbang

1,50,000

1,50,000

Run‐ning

21 RumakholaMHVEP

High Vi‐sionHall

PremBd.Buda

Darbang‐1Darbang

2,00,000

3,00,000

5,00,000

Run‐ning

22 RumakholaMHVEP

Poultryfarming

Khim Bd.Khatri

Darbang‐2 2,00,000

50,000

2,50,000

Run‐ning

23 RumakholaMHVEP

BlockUdyog

JayashowarSubedi

Darbang‐2 2,00,000

50,000

2,50,000

Run‐ning

24 RumakholaMHVEP

GrillUdyog

Bil Bd.Gharti

Darbang‐1Darbang

2,00,000

1,50,000

3,50,000

Run‐ning

25 RumakholaMHVEP

Computercenter

K.B.Acad‐emySchool

Darbang‐2 1,60,000

1,60,000

Run‐ning

Run‐ninginShare

26 RumakholaMHVEP

Computercenter

DarbangBoardingSchool

Darbang‐1Darbang

90,000

90,000

Run‐ning


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pagexvi

27 RumakholaMHVEP

Iron forclothes

Iron Tai‐loringCenter

Darbang‐1Darbang

60,000

60,000

Run‐ning

28 RumakholaMHVEP

Freeze 26HHs Darbang‐1and2

5,20,000

5,20,000

Run‐ning

26inno.and20,000/freeze

29 RumakholaMHVEP

Photo Stu‐dio

KhadgaBd. Chan‐tyal

Phulbari‐1 70,000

70,000

Run‐ning

30 RumakholaMHVEP

Computercenter

KisanB.K. Darbang‐2 1,50,000

1,50,000

Run‐ning


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pagexvii

ANNEXVINameofthestakeholders/organizationsvisitedNameofthestakeholders/organizationsvisited

S.N Nameofthestakeholders ContactPerson Address ContactNo

1 Nilgiri Cow Farming Com‐mittee

Mr GovindaKhadka

Ghaara, My‐agdi

9846102877

2. SANGAM Mr Ganesh Dha‐kal

Myagdi 9858025256

3 NewDhaulagiriKrishiSewa MrYamBdrKC Beni,Myagdi 069‐520758

4 BeniPoultrySuppliers Mr Ramesh Kha‐nal

Beni,Myagdi 9857640495

5 Myagdi Chamber of Com‐merceandIndustries

Mr.DilipPun Beni,Myagdi 9847624446

6 DCRDCofficeMyagdi Mr. YamnathSharma

Beni,Myagdi 069‐520519

7 DistrictEnergyandEnviron‐mentUnit

MrRanjan Beni,Myagdi 9841729913

8 DistrictLivestockServiceOf‐fice

Mr DayadattaChapagain

Beni,Myagdi

9 DistrictForestOffice MrNepaliShah Beni,Myagdi 9867609892

10 SapkotaVetSuppliers Mr.GaneshG.C Beni,Myagdi 9847642921

11 NilgiriBikashBank Mr. KamalDhangana


12 DhunganaElectricals Mr.DineshDhun‐gana


13 DCRDCofficeBaglung Mr.BalaramGau‐tam

Upallachaur,Baglung

9857623225


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pagexviii

14 Baglung Chamber of Com‐merceandIndustries

MrJayaramBhari Beni, Bag‐lung

9857621197

15 PrabhuVikasbank Mr Uttam RajBhandary

Baglung

16 DistrictLivestockServiceOf‐fice

Mr NilkanthaSharma

Baglung 9746700573

17 SANGAM,Balgung MrRamCSubedi Baglung 9847621625

18 Pokhara Chamber of Com‐merceandIndustries

Narayan Koirala,sec.gen.

Pokhara 061‐520264,522264

19 LI‐BIRD Dr. PursottamChaudhary

Pokhara 061‐535357,526834

20 MEDEP,APSOKaski Ms Dhan MayaKisan

Pokhara 9847631165

21 DistrictEnergyandEnviron‐mentOffice,Kaski

Mr. Arjun B.Neupane

Pokhara 9846128094

22 BhanuMachinery Mr. Pushpa RajKoirala

ShabhagrihaChowk,Pokhara

061‐551255,534934

23 CottageandSmallIndustriesOffice

Mr. Ramesh RajRegmi

Mangala‐ghat,Myagdi

24 GreenDevelopmentBank Mr. PrakashShrestha,CEO

Baglung Ba‐zar

068‐ 522865,52266

25 Himali Engineering andMetalSuppliers

Mr.RamSworupShrestha

Haramtari‐3,Gorkha

064‐420265

26 DEEUGorkha Mr. MahabharatByasShrestha

Haramtari,Gorkha

064‐421412


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pagexix

27 GorkhaAyurvedicPvt.Ltd. Mr.ArjunAryal Haramtari,Gorkha

064‐420170

28 Manakamana Motor PartsandMillMachinery

Mr.RamBasnet Haramtari‐3

064‐420598,9846158508

29 GorakhnathMetalWorks Mr. Shiva KumarShrestha

Haramtari,Gorkha

064‐420449


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pagexx

ANNEXVII:FieldVisitDetailsFieldLocation:GorkhaDistrict

TravelDetails

Day From To AgencyVisited Remarks

Day1 Kathmandu Gorkha Himali Engineering,GorkhaAyurved,etc

Travelandfieldvisit

Day2 Gorkha Bhaluswara,Chanaute Travelonly FieldVisit

Day3 Chanaute Dhodeni Swara juice mill,ricemill,hydropower

FieldVisit

Day4 Swara Sourpani Rice mill,electricshop,andsoon

FieldVisit

Day5 Baluwa Dhodeni,Gorkha TravelOnly Travel

Day6 Gorkha Gorkha GCCIandothers FieldVisit

Day7 Gorkha Kathmandu Travelonly Travel

FieldLocation:Baglung,Kharbang,Burtibang

TravelDetails


Day1 Kathmandu pokhara Travelonly Travelonly

Day2 Pokhara Baglung DCRDCvisit FieldVisit

Day3 Baglung kharbang Travelonly Travelonly

Day4 Kharbang Kharbang visit enterprises and BDS pro‐vider

FieldVisit


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pagexxi

Day5 Kharbang Kharbang Visit enterprises and BDS pro‐vider

FieldVisit

Day6 kharbang Burtibang BDSprovider/enterprises FieldVisit

Day7 Burtibang Burtibang Visit enterprises and BDS pro‐vider

Travel

Day8 Burtibang Burtibang visit enterprises and BDS pro‐vider

FieldVisit

Day9 Burtibang Baglung Ghareluudhyog,BDSprovider Travel

Day10 Baglung Kath‐mandu

Travel Travel

FieldLocation:MyagdiandPokhara


Day1 Baglung Beni Gharelu udhyog, BCCI andenergyoffice

FieldVisit

Day2 Beni Durbang Travelonly

Day3 Durbang Ruma kholamycroHydrostation

visit micro hydro and otherenterprises

Fieldvisit

Day4 Durbang Beni BDSprovider FieldVisit

Day5 Beni Pokhara Travel Travel


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pagexxii

Day6 Pokhara Pokhara Gharelu tatha sana udhyogoffice, Muncipility office,Udhyogbanigyasangoffice

Fieldvisit

Day7 Pokhara Pokhara visited various industries indifferent places in pokharacity

FieldVisit

Day8 Pokhara Kathmandu Travel Travelonly

ExpertFieldVisit:ForStakeholderMeeting

FieldLocation:Baglung,Myagdi,Pokhara

Day TravelDate

from to Agency Vis‐ited

Remarks

1 7/10/2070 ktm pokhara Travel Team Meet‐ing

2 7/11/2070 pokhara Beni Travel Travel

3 7/12/2070 Beni Baglung SANGAM,

MCCI, andothers

BDS pro‐vidervisit

4 7/13/2070 Baglung pokhara DCRDC, andothers

BDS Pro‐vidervisit

5 7/14/2070 pokhara pokhara Travel Travel

6 7/15/2070 pokhara pokhara LIBIRD, PCCIandothers

BDS pro‐vidervisit

7 7/16/2070 pokhara ktm Travel Travel


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pagexxiii

ANNEXVIIIAssessmentFormat(SurveyQuestionnaire)

GeneralfactualinformationofBusinessDevelopmentServiceProviders

Nameoftheinterviewer:

NameoftheOrganization:

Contactperson in theorganiza‐tion:

Address:

Telephonenumber:

Email:

Typeoforganization: Government()

PrivateSector

(includingprodu‐cer organizati‐ons)

Civil Society (in‐cludingNGOs)()

Micro() Meso() Macro()BDSProvider?YES()NO()

Impactareatowhichtheorgani‐zationcontributes:

AIM 1: BDS for Microhydro installation,maintanance and men‐toring()

AIM2:BDSforProductiveEndUse/MSMEs()


AReportforAEPC/NRREP/PEUbyAasthaNetworkPvt.Ltd. Pagexxiv

Basicservice/valuechain

PreviouscontactswithAEPC

MentionAEPCteammemberwhohavehadcontactwiththeorganizationbeforeandconcerningwhichthesubjectareas

BDSAssessmentDemandSide(Clientreference)andSupplySide(BDSProviderreference)

DemandAssessment/hypothe‐sis: (This provides the infor‐mationondemandaspectofBDSservicesthatserviceproviderisproviding,eg.Responseoffarm‐ers/groups/MSMEsonservicedeliveryetc.)

GenericQuestionnairecanbe:

Whatservicesdoenterprisesdemand? Whichtypesofenterprisesdemandwhatkindof

services? Whatiscapacityofserviceproviderstoprovide

theservices? WhatproblemsareconstrainingforvariousBDS

market? Whatistheavailabilityoftheserviceprovidersin

market? Howcanbetheservicesavailableinthesustain‐

able/commercialway? Whatistheattitudeoftheentrepreneurstowards

BDS providers/stakeholders (subsidized/ feebased/embedded)?

Alongwiththisquestionnairefordiscussionwithenter‐prisesandfarmersgroupswillalsobediscussed:

SupplyAssessment/hypothesis

(Thisprovides the informationon what are the constraints ofBusiness Service providerswhileprovidingtheservices)

Genericquestionnairecanbe:

Towhomyouprovidetheservices? Whattypesofservicesdoyouprovidetoyourcli‐

ents? Howoftenyourclientsseekyourservice? What constraints do you face in providing ser‐

vices?


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Whatarethemeasuresneededtomitigatethoseconstraints?

Have you received any trainings/support to up‐gradeyourcapacity?

Whattypeofsupportdoyouneedtodevelopyourcapacity?

Howdoyouforeseethisbusinessintermsofsus‐tainability?

Doyouthinkmoreservicesareneededtobepro‐videdforsustainabilityandalsodoyouthinkyouhavetosaleproductsalong?

How do you cover your costs of providing ser‐vicesfromyourclients?

How many other service providers (private,GO/NGOs to provide the services) are thereprovidingsimilarservices?Getcontactinfo

Howdoyousearchnewclients? Whatwillyoudoiftheclientsisnotabletopayfor

theservices? Howdoyougetinformationonwhatclientswant?

Ownership and change forProviding Commercial businessservices

Doyougetthe impressionthatthere isastrongsenseofownershipandapotentialandwillingness tochange forprovidingcommercialbusinessservices?

Commitment Istheorganizationcommittedtodevelopitscapacityde‐velopmentinordertocontributetoimpact?Aretheywill‐ingtocontributeinkind,financiallyorotherwise?

AEPC/NRREP/PEUownabilitytoaddvalue

IsAEPC/NRREP/PEUinapositionandabletomakeadif‐ferenceforthisorganizationeitherthroughprovidingca‐pacityDevelopment?


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Issuesrelatedtocapacitydevelopment

Quantitativeinformation:

‐Approximateannualbudget

‐Approximatenumberofstaff

‐Approximatenumberofmem‐bers

Aroughestimateissufficient.Thereisnoneedtoembar‐rasstheorganizationbyrequiringdetailsof its financialposition.

Other development organiza‐tions (international and na‐tional)supportingtheactor:

Presentperformancelevelqual‐ity, efficiency and relevance oftheirmost importantproducts/services)

Ageneralimpression

Potentialimprovementareas

Capacitiesthatneedtobedevel‐oped to enhance performanceandachievegreaterimpact)

WhatarethepotentialareasforcapacitybuildingofBDSProviders

Conclusion

Feedback

20140123032409_Exploring local and district level BDS providers for providing BDS services for MSMES

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