
Based in Cambodia, ATEC* is a manufacturer and distributor of biodigester systems that provide families with renewable gas for cooking and organic fertilizer for farming. ATEC*’s biodigesters work by converting animal, green and kitchen waste into biogas and 20 tons of organic fertilizer per year. Beyond promoting sustainable energy, families using ATEC* biodigesters will save an average family $521 per year. [2]
ATEC identified three significant changes that resulted from grant funding provided by Frontier Innovators. According to ATEC* CEO Ben Jeffreys, there have been three main changes as a result of Frontier Innovators, “the first is our entry into Bangladesh.”
Funding for market research (they were able to conduct seven market assessments and five scoping trips) under Frontier Innovators has promoted ATEC*’s ability to expand from Cambodia into Bangladesh. ATEC*, with partners Infrastructure Development Company Limited (IDCOL), iDE, Grameen Shakti and SNV Netherlands Development Organisation, has installed their first four biodigester demonstration systems in Bangladesh. “Bangladesh is hugely exciting for ATEC* as it’s one of the largest small-scale markets in the world,” says Jeffreys, “it’s also a floodplain country like Cambodia which our systems are designed for, has fantastic supply chains in place and strong support from the government. We are on track to enter Bangladesh by the end of this year and expect to see rapid growth.”
The other two significant changes, according to Jeffreys, are the introduction of Pay as You Go (paygo) financing and the ability to test digital inbound marketing strategies. With funding from Frontier Innovators, ATEC* designed and developed the world’s first patented paygo hardware for biogas that is integrated with Angaza paygo software. This development will further the company’s plan to bring scalable biodigester solutions to small scale farmers globally and build their case for further investment. Jeffreys notes, “Customer access to effective and scalable payment terms continues to be the biggest barrier for biodigester uptake globally.” The Singapore-based Impact Investment Exchange (IIX)l estimates that “the paygo model will enable 7,500 households to access clean energy, reduce exposure to indoor air pollution, free up over three hours per day per household — primarily for women — from basic cooking and fuel needs, and avoid thousands of 33,000 metric tons of carbon emissions per year.”[3]
Digital inbound marketing is a data-driven approach to attracting customers. In developing country markets, sales are often made through face-to-face interactions which can be labor intensive. However, continued growth of social media and its expansion into rural areas, has created the opportunity to expand ATEC*’s reach. For example, a recent Facebook add reached more than 100,000 individuals within two days.
These changes set ATEC* up to successfully undertake their Series B investment round. In August 2019, ATEC* announced that they had raised debt financing from US-based impact investor Beneficial Returns. IIX facilitated the deal through its Impact Partners platform.