Sunday, 29 April 2012

Huge' water resource exists under Africa


Scientists say the notoriously dry continent of Africa is sitting on a vast reservoir of groundwater.

They argue that the total volume of water in aquifers underground is 100 times the amount found on the surface. The team have produced the most detailed map yet of the scale and potential of this hidden resource.

Writing in the journal Environmental Research Letters, they stress that large scale drilling might not be the best way of increasing water supplies.

Across Africa more than 300 million people are said not to have access to safe drinking water.

Demand for water is set to grow markedly in coming decades due to population growth and the need for irrigation to grow crops.





Freshwater rivers and lakes are subject to seasonal floods and droughts that can limit their availability for people and for agriculture. At present only 5% of arable land is irrigated.
Continue reading the main story

What is ground water?

When water falls as rain or snow, much of it either flows into rivers or is used to provide moisture to plants and crops. What is left over trickles down to the layers of rock that sit beneath the soil.

And just like a giant sponge, this ground water is held in the spaces between the rocks and in the tiny inter-connected spaces between individual grains in a rock like sandstone.

These bodies of wet rock are referred to as aquifers. Ground water does not sit still in the aquifer but is pushed and pulled by gravity and the weight of water above it. The movement of the water through the aquifer removes many impurities and it is often cleaner than water on the surface.

Now scientists have for the first time been able to carry out a continent-wide analysis of the water that is hidden under the surface in aquifers. Researchers from the British Geological Survey and University College London (UCL) have mapped in detail the amount and potential yield of this groundwater resource across the continent.

Helen Bonsor from the BGS is one of the authors of the paper. She says that up until now groundwater was out of sight and out of mind. She hopes the new maps will open people's eyes to the potential.

"Where there's greatest ground water storage is in northern Africa, in the large sedimentary basins, in Libya, Algeria and Chad," she said.

"The amount of storage in those basins is equivalent to 75m thickness of water across that area - it's a huge amount."
Ancient events

Due to changes in climate that have turned the Sahara into a desert over centuries many of the aquifers underneath were last filled with water over 5,000 years ago.

The scientists collated their information from existing hydro-geological maps from national governments as well as 283 aquifer studies.

The researchers say their new maps indicate that many countries currently designated as "water scarce" have substantial groundwater reserves.

However, the scientists are cautious about the best way of accessing these hidden resources. They suggest that widespread drilling of large boreholes might not work.

Dr Alan MacDonald of the BGS, lead author of the study, told the BBC: "High-yielding boreholes should not be developed without a thorough understanding of the local groundwater conditions.

"Appropriately sited and developed boreholes for low yielding rural water supply and hand pumps are likely to be successful."

With many aquifers not being filled due to a lack of rain, the scientists are worried that large-scale borehole developments could rapidly deplete the resource.
Man filling jerry can African water supplies may be more resilient to climate change than was thought

According to Helen Bonsor, sometimes the slower means of extraction can be more efficient.

"Much lower storage aquifers are present across much of sub-Saharan Africa," she explained.

"However, our work shows that with careful exploring and construction, there is sufficient groundwater under Africa to support low yielding water supplies for drinking and community irrigation."

The scientists say that there are sufficient reserves to be able to cope with the vagaries of climate change.

"Even in the lowest storage aquifers in semi arid areas with currently very little rainfall, ground water is indicated to have a residence time in the ground of 20 to 70 years." Dr Bonsor said.

"So at present extraction rates for drinking and small scale irrigation for agriculture groundwater will provide and will continue to provide a buffer to climate variability."

The publication of the new map was welcomed by the UK's secretary of state for international development, Andrew Mitchell.

"This is an important discovery," he said. "This research, which the British Government has funded, could have a profound effect on some of the world's poorest people, helping them become less vulnerable to drought and to adapt to the impact of climate change."

By Matt McGrath Science reporter, BBC World Service

Saturday, 28 April 2012

Tips on how to enter the African market

During a recent webcast Hendrik Malan, operations director for Africa at Frost & Sullivan, shared some practical tips on how to invest in the continent.
1. What is the size of the canvas you are painting on?
“Understanding the market size and structure before you enter the market is absolutely critical to develop an appropriate approach … Let the size of your market guide the options for entry and the amount of resources you are willing to commit to that market.
“It is all about return on investment obviously. You would be surprised by how many companies make entry decisions based on either existing relationships, ie following their clients, or just gut feel or based on a few business trips. Geographic expansion is an expensive exercise, and you need to invest your time and money in the markets which will provide you with the biggest return in the long-run.”
2. Take a longer-term view
“Plan for a slow ramp-up. Given the operational challenges of Africa, gaining access to opportunities typically takes longer than expected. Take this into account when calculating return on investment into your market entry model. Allow your teams to learn, because this takes time in Africa. Also from an evaluation perspective, take a longer-term view to the profitability of operations in Africa. We typically recommend five to ten years. The individual countries can drop off for periods at a time – look at Kenya a few years ago with the disputed election results. It will be business as usual in a couple of years, so don’t pull out, but be prepared to put the business on hold or on maintenance mode for a while.”
3. Get boots on the ground
“Learning purely through third parties takes too long and is not an effective market feedback mechanism. You could be growing at 6% … and the market could be growing at 20%. The lack of market intelligence will make an arm’s length approach very difficult to manage effectively.”
4. Invest in local talent
“Understanding the cultural nuances of managing and selling in foreign markets will remain a challenge for expats. Follow an aggressive plan to skill-up local talent to take over operations within three years.”
5. Work with governments
“If you are a significant market player, government involvement is a given. China has very successfully increased its presence in Africa through careful alignment of its own interests with the challenges African governments face. Governments often play a strong role in large deals. They bring a unique ability to coordinate multiple suppliers across industries, secure financing and strike longer-term deals all at once.”
6. Be flexible with your business model
“Be creative with your business model and entertain non-standard ones for your company and even for your industry. Even though your core value proposition should never change based on the market you enter, your way of delivering will need to change. One size will definitely not fit all. You might have to look up or down the value chain, develop new service models, or address new packaging requirements, etc. to establish a sustainable business model on the continent.”
7. Relationships are everything
“Stress test the strength of potential partners and suppliers relationships before entering into any kind of agreement. The wrong partner selection can cost you three years’ worth of business …
“Also know your deal lifecycle extremely well. Know when, where and by whom the real decisions are made … Map decision makers, influencers and gatekeepers across the deal lifecycle. This will also help guide the activity of senior executives in the region, ie how and with whom to spend their time. Kenya is a very good example. The country is ruled by approximately 50 families. If you do not align yourself with some of these influential families, the chances of landing significant contracts are extremely slim.”

culled from How we made it in Africa