Water kiosks will be placed at various locations in the city of Hyderabad. JOSAB is responsible for the
purification technology and production of water kiosks, while Natures Spring Eco Tap Pvt Ltd handles the
marketing and public authorities as well as the daily operation of the units. Hyderabad city is responsible for
water supply and provides sites with appropriate demographic conditions selected based on the city's internal
statistics of previous consumed volumes of water kiosks and water needs.
The project is based on a so-called BOO (Build Own Operate), where the payment is done via water tariffs, that
is, JOSAB receives part of the revenues for a period of seven years. JOSAB gets paid based on purchased
volume according to an integrated meter in each water kiosk. JOSAB owns the water kiosks throughout the
project and beyond. The price is determined by the state to 1 rupee per liter of water and customers will fill the
water in their own bottles. Bottled water costs 10-20 rupee per liter in stores.
Payment is made with cash or a prepaid cards bought in kiosks.
As a base of the previously announced sales revenues is the signed agreement, together with a volume
assessment by the project partner and the city of Hyderabad. The calculated volume is estimated to be 4 m³ of
water per day and machine, and hence no guarantee.
The technology in water kiosk allows production of 24 m³ of fresh water per day. The city proposes
placement of water kiosks based on the assessed needs in areas where demand is high, such as, for example,
train stations, schools and shopping malls. The cost of, and access to, raw water is carried by the city of
Hyderabad. JOSAB’s share of revenues under 7 years is estimated to be in the range of MSEK 65-100.
JOSAB have been ready to supply the machines starting from December 2016, but delivery of the first
machines have been postponed due to delays by the authorities in Hyderabad. The previously announced
schedule is estimated to be kept, and according to the agreement all equipment will be deployed before the end
of June 2017. Delays due to authority administration are common in India. The inauguration of the first
machines will be done in the presence of a minister and is expected to occur shortly.
JOSAB manufactures water kiosks using a subcontractor based on a long-term cooperation. Production of up
to 250 water kiosks are procured and the units can be delivered within the agreed time schedule.