From the Ground Up: Championing Bootstrapped Innovations for Clean Cooking in Tanzania

There has been a notable and encouraging upsurge in awareness regarding the impact of the lack of access to clean cooking energy in Sub-Saharan Africa. The increased attention signifies a growing acknowledgment of the urgent need for sustainable and clean cooking solutions. At COP28 in Dubai, Tanzanian President Samia Suluhu Hassan launched the African Women Clean Cooking Support Program (AWCCSP), rallying fellow African leaders and representatives to accelerate clean cooking solutions in the region.

Domestically, her efforts were emphasized by the government’s pledge to ensure that at least 70% of Tanzanians use clean cooking technologies by 2032. Fortunately, these were not just empty promises. The government set up a National Taskforce with members from the government, private sector, NGOs, and other international partners to create a strategy and a roadmap to achieve our clean energy goals. The government also set up a Clean Cooking Fund to provide research and funding opportunities to organizations and social enterprises to scale and accelerate clean cooking solutions in the country. This is particularly encouraging because research highlights the important role that the private sector plays in clean energy efforts. Remidius Ruhinduka (PhD), a research fellow and lecturer at the University of Dar es Salaam, Department of Economics, affirms that “Until now, many innovations and initiatives for concrete action on clean cooking transition have actually come from the private sector.”

(Photo by Giuseppe CACACE / AFP)

According to the new report from the Clean Cooking Alliance, companies in the clean cooking sector attained record levels of investment and revenues in 2022. The snapshot report identifies that investment exceeded the $200 million mark, and revenue surpassed $100 million - both for the first time. An astounding achievement, that gets dampened when you realize that these figures were achieved by just 29 companies, exposing that the clean cooking private sector throughout Africa is dominated by a few big players. I believe that in order to effectively accelerate clean cooking solutions and achieve our national and sustainable development goals, there needs to be increased support for local, bootstrapped social enterprises bringing innovation into this sector. Creating an environment that supports bootstrapped innovations will increase participation and propel the industry, creating more competition, innovation, and efficiency that ultimately benefits people, especially in rural or low-income households.

Bootstrapping Innovations –

Bootstrapped innovation refers to the process of developing and implementing new ideas, products, or solutions with minimal external resources, funding, or support. In essence, it involves relying on one's own resources, creativity, and ingenuity to bring innovations to fruition, essentially “pulling oneself up by one’s bootstraps.” Bootstrapping is a longstanding practice in the entrepreneurial space. Some of the most successful companies in the world have a bootstrapped origin; Apple, Microsoft, Dell Technologies, GoPro, eBay, etc. Bootstrapped businesses rely more on the strength of the idea and an eagerness to introduce a new innovation to the market that will provide a unique value to the users. It is more idea-driven rather than a resource-driven route in starting a business.

(Image by rawpixel.com on Freepik)

Albeit commendable, bootstrapping is very challenging. Bootstrapped businesses often grapple with limited financial resources, making it challenging to scale operations, invest in marketing, and navigate unforeseen setbacks. Shane McIntyre compares it to building an airplane, taking off, and then mid-flight, the plane runs out of fuel, one windshield breaks, and an engine goes down. The options are to refuel midair and safely land the plane or crash into a mountain. The grit, resourcefulness, and determination that are forged in bootstrapped companies are priceless.

The point is, there needs to be more support for bootstrapped innovations in the clean cooking sector in Tanzania. The government and international institutions have made concerted efforts to fund the private sector through grants, donations, and other forms of cooperation. However, there are some clear barriers to entry that prevent the support from trickling down to bootstrapped social enterprises. Grants are strictly designed to benefit established enterprises. They require companies to be 2 years into operations with a proven track record provided through audited financial statements for at least 2-3 years. These requirements automatically ostracize any new innovation, regardless of its ability to impact the customers.

Bootstrapped innovations are required to “face the fire” and endure all hardships associated with the first few years of business to be eligible for grants, and the reality is that most businesses do not survive this period. This explains the reason funding and revenues in the clean cooking sector in Sub-Saharan Africa revolve around a few big enterprises. Revising such requirements would enable the dedicated government resources to trickle down, ensuring all brilliant innovations get a piece of the pie. Supporting bootstrapping entrepreneurs through this period will encourage and foster innovation amongst young talented African minds. It would be a way to reward the dreamers, creatives, and innovators who are daring enough to bring new ideas and solutions that help people.