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An organisation is trying to improve the quality of life of auto drivers
through financial security and greener vehicles.
It seems hard to muster empathy for Bangalore's auto drivers, but Ramesh
Prabhu is doing just that. Three Wheels United (TWU) is a social enterprise
that addresses social and environmental issues in the city's autorickshaw
ecosystem.
TWU, started in 2009, provides loans to drivers for new and cleaner
four-stroke autorickshaws, and offers financial services such as life and
health insurance coverage. They also help out with educational loans for
children and micro credit or emergency loans.
Prabhu has identified the drivers' top six issues as: limited earning
potential; ownership of vehicles cornered by auto mafia; poor access to
finance for drivers; limited social security; behaviour of drivers due to
low self-esteem; and negative impact on environment because of old,
poorly-maintained vehicles.
On completing his MBA from the Indian School of Business in March 2009, he
headed to Noida to set up an equity trading desk for a company. But soon it
was back to Bangalore where he had lived for over 10 years previously. "I
wanted to set up a company which would be a sustainable business model and
have a social impact," he says.
A nine-member team works out of an office on MG Road, partnering with local
NGOs such as Women Health & Development (WHAD), Agricultural Development &
Training (ADATS) and co-operative societies such as Payana & Subhiksha
Co-operative to reach out to drivers at the grassroots. "The drivers
approach NGOs who then come to us," explains Prabhu.
So far, the organisation has bettered the lives of 1,500 drivers through
loans for purchasing green autos. "We rolled out our first financial product
to a driver with Corporation Bank in April 2012. Since then we have
partnered with Canara Bank and cumulatively released 350-plus and lined up
1,000-plus for loans for a green auto. By the end of 2014 we're hoping to
achieve a fleet of 1,500," he says. The company's revenue, Prabhu says,
comes from "daily service fees (Rs 400 per driver) and from advertisements
inside the auto rickshaws (Rs 450 per vehicle per month).
Over the next five years, they hope to reach out to 20,000 drivers in
Bangalore. Their focus for the next two years is limited to Bangalore. TWU
is expected to break even by the end of 2014, after which they plan to
expand to other cities.
Ramesh Prabhu,
Class of 2009
Co-founder of Three Wheels United.