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Biogas system for small and medium farms

Opportunity Description: Building biogas units for small (2-3 cattle livestock) and medium (10 to 20 cattle livestock) farms, with low capital requirements.
PRODUCT: Biogas units
Sector: Renewable Energy, Waste Management
Market: Small and Medium Farms
Initial Investment Required: EGP 104,000
Details Available: Opportunity Study
Market Potential: Small and medium size cattle breeders. It an expand to build larger systems for larger farms as well as trade in the digestate/compost.
Supply: Bricks, Pipes, Flames
Process: Anaerobic digestors, construction and plumbing
Human Resources: Technical and Business Development Manager – 1
Operations and Maintenance – 2
Manual Labor for installations - 2
Financial: CAPEX required EGP 10,000
6-month OPEX required EGP 94,000
IRR expected is 55%
Payback period around 2.3 years
Risk: Risk - High technical knowledge is required to perfect systems.
Mitigation – Capacity building needed before operations
Risk - Expanding operations and building team. Mitigation - Outsource activities of marketing and masonry.
Risk – lack of awareness of new technologies and its benefits amongst farmers
Mitigation – proper marketing and awareness campaigns
IMPACT: Environmental - Provides a sustainable source of energy and organic fertilizers.
Social - Increase return on breeding activities and reduce cost of livestock production and agriculture activities.