PPP business models in the FSM composting business (India)

Sanitation waste can be viewed both as an environmental challenge and a resource opportunity. Co-compost can be produced from fecal sludge and organic waste to reduce environmental pollution and increase soil and crop quality. The production and sale of co-compost in Ketti and Adigaratti Towns, Nilgiris District, India, is done through a public Private Partnership (PPP)/business model between the public sector (the local government) and the private sector. However, revenues generated from the co-compost business are insufficient to make the business viable. Therefore, this research was motivated by the need to explore and recommend a sustainable business model/PPP for the co-composting business in Nilgiris, by assessing the enabling environment and evaluating the existing business model. The results based on focus group discussions (FDGs), key informants interviews (KIIs), surveys and a review of relevant literature, revealed that stakeholders involved with the co- composting business have the necessary knowledge, experience and resources to perform their functions but at the same time they lack knowledge on PPP. The results also indicated that sources of funding and policies exist to support co-compost business. Furthermore, based on the scoring and ranking of five widely-used PPP models in the sanitation sector, a performance-based management contract was ranked and recommended as the most suitable PPP/business model for the co-composting operations in Nilgiris.