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Bangladesh Rural Electrification and Renewable Energy Development II (RERED II) Project

(IDA Credit 5158-BD and 5514-BD, USAID TF01503 and TFA3639, BCCRF TF015077,

GPOBA TF019156 and TF019157)

Implementation Support Mission

October 16-20, 2016

Aide Memoire

I. Introduction

1. An implementation support mission for the Rural Electrification and Renewable Energy Development

II (RERED II) was carried out from October 16-20, 2016.1 The mission met with the officials of the Power

Division and Power Cell of the Ministry of Power, Energy and Mineral Resources (MPEMR), Infrastructure

Development Company Ltd. (IDCOL), and Sustainable and Renewable Energy Development Agency

(SREDA). A list of officials met during the mission appears in Annex 1. The team wishes to express its deep

appreciation to the Power Division, Power Cell, IDCOL, SREDA, and others for the productive discussions,

access to information and excellent cooperation during the review mission. The findings of the aide memoire

were agreed in a wrap-up meeting chaired by Secretary, Power Division on October 25, 2016. This Aide

Memoire is classified as a Public document under World Bank’s Access to Information Policy.

II. Key Project Data

Key Dates Project Performance Ratings

IDA Cr. 5158 IDA Cr. 5514 Previous Current

Board Approval Sept 20, 2012 Jun 19, 2014 Achievement of PDO MS S

Signing Oct 23, 2012 Jun 30, 2014 Implementation Progress MS S

Effectiveness Feb 20, 2013 Sept 28, 2014 Financial Management S S

Closing Dec 31, 2018 Dec 31, 2018 Procurement S S

Allocation 102.8 million SDR 50.585 million SDR Environment and Social S S

Disbursed 83.11 million SDR 47.6 million SDR

Disbursed (%) 80.85% 94.9%

MS = Moderately Satisfactory; S = Satisfactory

Grant Funds 2 USAID

(TF015034)

USAID

(TFA3639)

BCCRF

(TF015077)

GPOBA

(TF019156 and

TF019157)

Signing 07/10/2013 10/20/2016 09/30/2013 04/23/2015

Effectiveness 07/28/2013 12/18/2013 07/15/2015

Grant Amount (USD million) 5.997 1.0725 10 15

Disbursed (USD million) 4.3 0 2.81 2.45

Disbursement % 71.7% 0% 28.16% 16.34%

Grant Closing 12/31/2018 12/31/2018 12/31/2016 06/30/2017

1 The mission members were: Messrs. Zubair K M Sadeque (Senior Energy Specialist and Task Team Leader), Anil Cabraal (Lead

Renewable Energy Consultant), Christopher Purcell (Renewable Energy Consultant), Dr. M. Khaliquzzaman (Technical Expert), Md.

Ruhul Quddus (Solar Home System Expert), Ishtiak Siddique (Sr. Procurement Specialist), Mohammed Atikuzzaman (Financial

Management Specialist), Iqbal Ahmed (Environment Specialist), Ferdous Jahan (M&E and Gender Expert), and Md. Tafazzal Hossain

(Program Assistant). 2 Grant financing amounting to USD5.997 million was made available in tranches through TF015034 and USD1.0725 million through

a parallel TFA3639 (out of USD7.565 million commitment) from the US Agency for International Development (USAID) to support

the access to electricity component of the project. An amount of USD10 million is made available from the Bangladesh Climate Change

Resilience Fund (BCCRF) for grant support to the solar irrigation pumps under the access to electricity component. A new fund of

USD15 million from GPOBA is made available to support capital buy-down grants for access to electricity and household energy (biogas

plants) components of the project.

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III. Achievement of Project Development Objectives

2. The project meets or exceeds the PDO of increasing access to clean energy in rural areas through

renewable energy. Against the target of reaching 1.322 million households, farmers, and businesses with access

to clean energy services by June 30, 2016, the project had reached 1.55 million households, farmers and

businesses. The target of reaching 1.664 million households, farmers, and businesses with access to clean

energy services by June 2017 has already been exceeded by September 2016. The mission recommends that

the rating for achievement of the Project Development Objectives be upgraded to Satisfactory from

Moderately Satisfactory. Annex 2 provides the results framework of the project and progress achieved to date.

IV. Current Implementation Status

3. The mission recommends that the Implementation Progress be upgraded to Satisfactory from

Moderately Satisfactory as implementation progress as of June 30, 2016 shows that all key outputs are

meeting or exceeding targets except for minor shortcomings, and doing so with efficiency. The access to

electricity component supports Solar Home Systems (SHS), mini-grids, and solar irrigation pumps (SIPs) while

the household energy component supports Improved Cook Stoves (ICS) and Biogas Digesters. End-of-project

target for SHS of 1.03 million has already been exceeded with 1.18 million supported by September 2016.

Target for ICS of 1 million by the project closing is likely to be met by June 2017. Number of connections

through mini-grids was within 90 percent of the target. SIP installations have also picked up recently with 229

in operation with another 285 under construction with completion scheduled for December 2016. It is only

biogas digester target that is lagging behind. The recent project restructuring reduced the biogas target from

33,000 to 16,000 (10,000 from IDA funds and 6,000 from GPOBA funds). With the newer technology (pre-

fabricated biogas digesters) introduced recently, it is expected that the installation will pick up in the near future.

The quality of the SHS loan portfolio has also improved since April 2016 and collection remains at about 87

percent (slightly below 90 percent target). Annex 2 provides the results framework showing progress in

achieving outputs.

4. Disbursement Progress. The project has disbursed 85% of the two IDA credits combined (USD114.2

million or 80.1% of the original credit disbursed, and USD 47.599 million or 94.1% of the additional financing

credit). The disbursement target for FY16 of USD 41 million was exceeded.

5. Of the grant funds, the project disbursed USD 9.56 million (29.8%) against the allocation of USD

32.0695 million in grant funds (USAID, BCCRF, and GPOBA scale-up funds).

USAID trust fund (TF05134): Against USD 7.069 million available (in two different trust funds)

for access to electricity component, USD 4.3 million has been disbursed providing grant support to

137,144 SHS. Total commitment from USAID is USD 7.565 and the remaining funds will be made

available to IDCOL when funds are made available from USAID. The closing date of the USAID

trust fund has now been extended to December 31, 2018 matching the closing date of the RERED

II project.

BCCRF trust fund (TF015077): An amount of USD 2.8 million has so far been disbursed supporting

171 irrigation pumps. The mission reiterated that the BCCRF fund closes on December 31, 2016

as scheduled and that there is no possibility of a closing date extension. IDCOL confirmed that the

US$10 million allocation will be fully utilized with the construction of another 285 pumps

completing by December 2016. IDCOL is closely monitoring the construction of the remaining

pumps and will require the sponsors to take corrective actions to prevent delays in pump

construction.

GPOBA trust fund for scale-up (TF019156 and TF019157): USD 15 million fund became effective

on July 15, 2015 to support the capital buy-down requirements for the access to electricity

component and the household energy component (biogas). As part of a project restructuring, the

target for biogas digester has been revised downward; and ‘Advance’ has been included as a

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disbursement method, which now allows IDCOL to receive advance funds into a Designated

Account, from which disbursement can be made. The current closing date is June 30, 2017,

which will need to be extended to December 31, 2018, the closing date of the parent REREDII

project for full utilization of the grant. This fund will also require some changes in the

disbursement milestone keeping in line with disbursement arrangement used in the other funds

supporting the mini-grids, irrigation pumps, and biogas digesters. These will require approval from

GPOBA Panel of Experts and the team will pursue with GPOBA for such approval.

6. GAAP Implementation. The major activities to mitigate the risk of inadequate competition that could

result in poor quality and service to SHS customers under the matrix of actions outlined in the GAAP are

continuing (see Annex 3). The SHS market competitiveness survey indicated adequate competition by the POs

in the market. IDCOL continues to focus on strong inspection and monitoring to ensure quality installations.

IDCOL is continuing with call center based customer feedback surveys on a regular basis to gauge customer

satisfaction, usage status of old SHS, and status of battery recycling.

V. Component-wise Implementation Status

7. The project has three main components: i) access to electricity (total cost USD 374 million: IDA USD

128 million from original credit and USD 78.4 million from additional financing); ii) household energy (total

cost USD 46 million: IDA USD 12 million); and iii) sector technical assistance (total cost USD 10 million: IDA

USD 10 million). The following section summarizes the component-wise implementation issues.

Component 1: Access to Electricity

8. The access to electricity component is providing continued support to the solar home systems (SHS)

program and also supporting other renewable energy options (mini-grids, solar irrigation pumps, captive biogas

plants for electricity etc.) implemented by IDCOL.

9. SHS installation target has been exceeded. SHS installation target of 1.03 million by project closing

has already been exceeded with 1.18 million installed as of September 30, 2016. Total MW of photovoltaics

installed under RERED II is 42.96 MW. The project continues to support SHS sales though at a slower than

historical pace of SHS installation. Monthly installations are about 12,000 in September 2016, compared to

27,800 in October 2015. However, part of this slack has been taken by sales under the national social safety net

Kabikha (Food for Work) Program. The slowdown is not unexpected as the pace of providing rural grid

electricity connections by the utilities has accelerated and the remaining market for SHS is becoming saturated.

The continued sales are needed to ensure the Partner Organizations (POs) business continues to be sustainable

that will in turn enable the POs to continue to service debt to IDCOL and allow the SHS users continued access

to service and spare parts (see paras 13 and 14).

10. Cumulative SHS sales under RERED and RERED II have reached 4.07 million and serving about 14

percent of the households in Bangladesh (Figure 1). By any measure, this is a success.

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500,000

1,000,000

1,500,000

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30,000

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70,000

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90,000

100,000Ja

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SHS Installed by IDCOL Partner Organizations in RERED and RERED II Projects

Monthly SHS Sales Cumulative SHS Sales 6 per. Mov. Avg. (Monthly SHS Sales)

Figure 1 SHS Installation Progress

11. SHS prices continue to decline. SHS unit cost continue to be low and declining despite shift to more

expensive LED lamps (Table 1). SHS prices in Bangladesh continue to be among the lowest in the world with

considerably better warranties and service.

12. Table 1 SHS Price Trends

SHS Size #

SHS Installed Cost w/o Subsidy * (USD/Wp)

2013 2014 2015 2016 (June)

20 Wp 9.80 7.66 6.88 6.14

30 Wp 7.59 6.04 5.33 5.23

40 Wp 7.74 5.38 5.44 4.29

50 Wp 7.77 5.14 4.99 4.27

60 Wp 7.13 4.83 4.90 4.46

65 Wp 6.96 4.44 4.72 4.12

75 Wp 6.80 4.74 4.44 3.50

85 Wp 6.60 4.55 4.21 3.76

90 Wp 6.26 4.17 4.48 3.33

100 Wp 6.00 4.35 4.48 3.55

130 Wp 5.77 3.83 3.89 3.18

# In 2014, minimum battery capacity was reduced to 2 days autonomy from 3 days.

* Includes 3 year free maintenance plus 5 year battery and 20 year module warranty

13. Long term sustainability of SHS business must be assured. There are several aspects affecting the long

term sustainability of the off-grid SHS market. It is, by its very nature, a market that will eventually reach

saturation. IDCOL has set an internal SHS target of 6 million by 2025. However, the recent announcement by

REB that 90 percent household electrification will achieved by 2018 may reduce the demand for SHS.3 The

remaining poorer households may need government support to benefit from electricity.

14. IDCOL is proactively addressing the concerns related to the sustainability of SHS business. Specific

actions that IDCOL is taking to ensure sustainability include the following:

3 Electrification coverage has increased to 76 percent of the population with 62 percent of households obtaining grid electricity

and 14 percent off-grid electricity. Bangladesh Rural Electrification Board (BREB) connected more than 3.4 million households to the

grid last FY.

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IDCOL is now managing the SHS sales under the Kabikha (Food for Work) program requiring the

safety net program to be complying with the quality and inspection requirements of IDCOL. IDCOL

designated POs are installing and servicing SHS under the Kabikha program. The mission noted

some initial coordination issues between the Ministry of Disaster Management and Relief, IDCOL,

and the local administrative offices in managing the SHS distributed under the program. The mission

recommends that a high-level coordination committee be formed at the Prime Minister’s Office

with participation of the concerned ministries and IDCOL to ensure close coordination of the

program.

IDCOL is continuing to implement the Collection Efficiency Improvement Program (CEIP). The

collection efficiency is 87 percent, below the target of 90%. To improve collection efficiencies,

IDCOL is also piloting pre-payment meters for SHS with 13 POs in one Upazilla. Based on the

success of the pilot, the mission recommends that IDCOL decides on a cut-off date at the earliest

in consultation with the POs after which only pre-paid systems will be allowed for credit sales.

IDCOL is working with the POs to ensure the loan portfolio quality is improved. Seven PO accounts

have been rescheduled with another 3-4 under review. As a result, substandard and doubtful loans

have dropped from 10.4% in April 2016 to 8% today. The percent of outstanding loan funds classified

as Standard (repayments less than 3 months overdue) has risen to 91 percent, compared to 63% in

April 2016 (Table 2). IDCOL is taking aggressive actions including taking appropriate legal actions

against delinquent POs.

Table 2 Loan Status of SHS POs as of 15 October 2016 Loan

Classi-

fication

Overdue for:

Provisioning

Require-

ments

Number

of POs

Loans

Outstanding

(Millions BDT)

Percent of

Outstanding

Loans

Provisioning

(Millions

BDT)

Standard < 3 months 1% 44 21,257.77 91% 213

SMA > 3 to 6

months 5% 1 259.77 1% 13

Sub-

standard

> 6 to 9

months 20% 3 613.09 3% 123

Doubtful > 9 months to

1 year 50% 2 1,157.35 5% 579

Bad/Loss >1 year 100% - - 0% -

Total 50 23,288 100% 927

15. Mini-grids. Total of 23 solar mini-grids were approved, of which:

7 mini-grids are in operation with a combined capacity of 966 kWp connecting 2,655 households and

businesses,

13 mini-grids are under construction and will be in operation by March 2017 (2,501 kWp),

Construction expected to start in January 2017 for remaining 3 (524 kWp).

16. Of these mini-grids, 14 are financed under RERED II and the balance by JICA. A further 43 mini-grids

(8,200 kWp) are in pipeline, of which 7 (1,573 kWp) are expected to be approved by December 2016. Power

Division has cleared 38 sites as being geographically located within off-grid areas that will not be reached by

grid in the near term.

17. The mission reiterated that the long planning timeframes incorporating the need for detailed customer

uptake analysis, detailed financial feasibility analysis on a case by case basis, and the absolute necessity for

clearances from Power Division with respect to grid encroachment, are all required for the development of mini-

grids and cannot be bypassed. The mission reminded IDCOL that to accommodate the construction time

of about 18 months, loan agreements for all mini-grids to be supported under the credit must be signed

by July 2017 to complete the mini-grids before the project closing of December 2018.

18. It has been observed that uptake of customer connections and energy consumption growth occurs over

time, and therefore design targets may be reached several years after mini-grid is commissioned. IDCOL has

agreed to require sponsors to monitor and report on new connections and demand growth in order to validate

the uptake and load growth assumptions.

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19. Validating mini-grid design assumptions. Presently IDCOL staff visit each mini-grid once per month

and remain on site for a period to observe technical performance (battery fluid specific gravity, battery

in/outflow currents, voltage drops, energy meter readings etc). While this supervision is commendable, IDCOL

should require all sponsors to maintain daily data logs of key performance parameters. This should include

kWh generated by solar and diesel, kWh sold, fuel consumption, outages if any, revenue collection status, etc.,

which can be used to track plant performance. This requirement should be incorporated as part of future loan

agreements with sponsors. IDCOL will prepare the data-collection protocol and log sheet templates for

submission to Bank along with plan for implementation by December 31, 2016.

20. In addition, the remote monitoring systems installed on mini-grids should be upgraded to full

functionality, to capture PV array generation energy, diesel engine kWh and runtime, battery in/outflow and AC

feeder kWh. IDCOL will have the functionality of the monitoring system tested at the UIU mini-grid laboratory

prior to requiring the sponsors to implement it. IDCOL monthly field visits should continue until these are fully

functional. IDCOL may need to recruit a data monitoring expert to advise on setting up of the functionality

tests at UIU. IDCOL will have the functionality tests completed and mini-grid sponsors advised by March

2017.

21. Comparing actual versus assumed mini-grid performance. Once the aforementioned field data is

collected and the on-going baseline consumer survey data is available, IDCOL needs to undertake an analysis

to validate the assumptions made in the project loan applications and in appraisal reports and compare

with actual performance. This validation is important to ensure the sustainability of future projects, and to

confirm that consumers are receiving the anticipated benefits.

22. Solar irrigation pumps (SIPs). Pace of SIPs installations have accelerated (Figure 2). A total of 657

solar irrigation pumps have been approved by IDCOL for financing from different sources including the grant

funds sourced from the World Bank (USAID, GPOBA, and BCCRF). A total of 372 pumps are operating, of

which 229 are supported from REREDII. Another 285 pumps are under construction. IDCOL has received

applications for financing for 450 additional pumps. One loan outstanding is classified as SMA and one as

Substandard.

Figure 2 Solar Irrigation Pumps Progress

23. A BCCRF donor briefing meeting was held during the mission to update the donors on the progress of

the solar irrigation program. BCCRF funds have been disbursed for 171 pumps to date. Another 285 pumps are

under construction with completion by December 2016. Successful completion of installation by December 31,

513 14

175

108

0

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100

150

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350

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2012 2013 2014 2015 2016 to Sept

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f SI

ps

Year

Solar Irrigation Pump Installations

Number of SIPs Cumulative Number of SIPs

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2016 and completion of disbursements by April 30, 2017 is necessary to ensure full utilization of remaining

funds under BCCRF. IDCOL confirmed that the construction of these pumps are at an advanced stage and that

all these pumps will be operational by December 31, 2016.

24. SIP prices have significantly declined. The SIP roll-out has resulted in economies of scale and with

supplier experience, total SIP irrigation scheme prices have decreased from USD 5-7/kWp to below USD

2.2/Wp installed (including borehole drilling, water tanks and irrigation works, which can amount to 50% of

total cost). Despite these encouraging price trends, there remains a need to optimize scheme sizing and review

reasonableness of the water tariffs charged by the sponsors.

25. Comparing actual versus assumed irrigation performance. All sponsors should be required to record

daily water usage and pump run-times on a daily log-sheet to track plant performance and correspondence of

SIP capacity with demand. In addition, data on water table depth, actual acreage irrigated by each pump and

cropping patterns should be noted. IDCOL will prepare data logging sheets and instruct the sponsors to use

them prior to the next irrigation season, beginning in February 2017. Based on this data and data from the on-

going baseline consumer survey, IDCOL will prepare a report comparing the assumptions provided by

sponsors in their loan applications (and used in IDCOL appraisals), with actuals. The report is due within

two months after the end of the next irrigation season in 2017 or the availability of data from the baseline

survey, whichever is later.

26. Irrigation water tariff review. Unlike in the case of SHS, it is not evident whether the lower investment

cost of SIPs has benefited the end-users. IDCOL will investigate how the benefits of investment cost reductions

have passed through to the farmers in terms of lower tariffs or other benefits. If the farmers have not benefitted,

the investigation should identify the reasons and identify who has benefitted. Where appropriate, IDCOL should

recommend better tariff formulations so that there is a fairer sharing of benefits due to lower costs. IDCOL

will propose the study methodology and TOR by December 31, 2016, and have the study completed by

March 2017.

27. Small Scale SIP Scheme. Under an alternative small scale SIP scheme, IDCOL is considering financing

smaller pumps, for example, 1.5 kW, 2.2 kW and 3.75 kW under a pump ownership model, where farmers will

buy pumps from the POs using the same model as the successful SHS program. Quotations from various SIP

suppliers were collected against these three packages. IDCOL-appointed agriculturist is currently evaluating the

other costs (civil works, wells etc.) under each of the packages. Once finalized, the total cost of systems

including equipment, civil and water well costs will be circulated to the sponsors with request for proposals.

IDCOL has assembled a Working Committee of sponsors to advise on different aspects related to ownership,

use of small pumps, down payments requirements from farmers, equity from the POs, security arrangement

between PO and farmers, equipment specifications, etc. Once the cost analysis is completed, Working

Committee will advise IDCOL on the financing modalities. Meanwhile, IDCOL has received proposals from

two sponsors – Navana Renewable Energy Ltd. and PDBF – for financing solar irrigation projects following

the ownership model, which are under review by IDCOL.

28. Mobile SIP Scheme. The mission discussed exploring the options of a SIP scheme that can run on

lithium-ion batteries charged with solar panel. Given the relatively lighter weight, the lithium-ion batteries, once

charged by solar, could be moved around the fields to run the irrigation pumps. The technical feasibility of such

model was tested under a Bank Innovation Fund. IDCOL agreed to test the commercial viability of this through

a small pilot.

29. SIP investment components eligible for financing with RERED II and associated grants. IDCOL

noted that merely providing irrigation water in the absence of other related services will not make agricultural

business a success and that they are considering financing other related agricultural equipment such as tillers

and tractors as part of the SIP financing package. While acknowledging the validity of this assessment, the

mission advised and IDCOL concurred that the other equipment that is not directly associated with the SIP,

would not be eligible for financing either by the grants or by RERED II credits. However, they could be financed

by IDCOL’s own funds or the sponsor’s equity.

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30. Captive biogas and biomass. The access to electricity component is flexible and can support other

options for access to electricity including biogas and biomass based captive plants. As with other sub-projects,

IDCOL carries out due diligence on these proposals on a case-by-case basis before extending financing. To

date, IDCOL has approved 1,060 kW of biogas and biomass generation capacity under this initiative, of which

475 kW is already operational. 210 kW of the total capacity is financed under the Project.

31. Technical Assistance (TA) Progress and Actions. While there is progress in TA activities, delays

related to testing laboratories is of deep concern as the usefulness of the laboratory facilities during RERED II

implementation will be limited. IDCOL has agreed to be more proactive in getting United International

University (UIU) (for the mini-grid testing lab) and Bangladesh University of Engineering and

Technology (BUET) (for PV testing lab) to complete the set-up and begin testing operations.

a. PV Testing Laboratory: The BUET SHS testing laboratory is now expected to be commissioned only

by December 2016. All of the major equipment has been supplied but cannot be installed as building

modifications are awaiting approval by BUET management. The mission regarded the progress towards

these objectives as below satisfactory. Laboratory operation further requires laboratory consultant to

provide the operating manual and relevant test procedures. This delay is of concern as the laboratory

will be of limited use within RERED II timeframes. IEC17025 accreditation is realistically achievable

after some time of full operation of the test lab. IDCOL will have the laboratory consultant begin

work immediately and require BUET to complete their laboratory set up by December 31, 2016.

More details are in Annex 4.

b. 220 V DC Mini-grid Testing Facility: The laboratory at UIU is operational, with functional AC mini-

grid, research and teaching facilities. The specialized facility can be also used to resolve AC mini-grid

technical issues arising as part of IDCOL mini-grid program. However, that primary objective was

towards mainstreaming DC mini-and micro-grids, by demonstrating resolution of outstanding questions

on safety, and thereby recommending standards which are acceptable and comparable with widely

accepted AC safety standards. It is evident from draft report submitted by UIU that much remains to be

done to fulfil these expectations. The mission regarded the progress towards these objectives as below

satisfactory. IDCOL agreed that they will have UIU submit the revised report incorporating

preliminary test results on DC mini-and micro-grid, and appropriate recommendations by

December 31, 2016. More details are in Annex 4.

c. IDCOL Technical Monitoring Facility: This facility will strengthen IDCOL’s technical ability for

monitoring SHS, solar mini-grid and solar irrigation, biogas slurry testing, ICS, and water quality.

Remaining test equipment for biogas, slurry and water quality will be delivered by December 2016.

The facility is expected to be operational only by end January 2017. More details are in Annex 4.

d. SIP Testing Facility: The need to test and verify performance of solar irrigation pumps using standard

procedures and simulated operations conditions will be critical when the IDCOL SIP program reached

the scale-up stage. IDCOL has thus developed a proposal for establishment of such a facility for testing

of pumps. However, the mission informed IDCOL that before supporting further laboratories, the

BUET and UIU laboratories would need to be fully functional.

e. SHS Technical Standards upgrade: This provides for on-going support to the Technical Standards

Committee (TSC), which approves components and products as a continuous process covering all

aspects of SHS, irrigation and other programs. Several specification enhancements especially

addressing LED for SHS have been recommended and adopted, and recommendations made on SIP

standards. Progress is satisfactory. The mission was pleased to note that an independent evaluation by

Lighting Global of IDCOL-approved LED lamps found that these lamps exceeded the Lighting Global

requirements.4

4 See: Asif Hassan, Jeffrey Mosbacher, Arne Jacobson, LED Lamps for Solar Home Systems in Bangladesh, Project

Report by Schatz Energy Research Center for Lighting Global, June 2016. The report noted: “The lumen maintenance test

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f. Training: IDCOL is supporting technical and vocational training institutions to offer certification

courses for technicians in SHS, mini-grids and SIPs, design, installation and maintenance. Other

training initiatives taken by IDCOL include training on larger capacity SHS to be installed in grid areas,

efficient use of water under solar irrigation, solar inverter technology. IDCOL has already conducted

101 training sessions for the beneficiary farmers on agriculture and efficient usage of water through its

agriculturists. IDCOL will also arrange user trainings under solar mini-grid projects currently under

operation. Details are provided in Annex 5.

g. Technical Audits: Technical Audits for SHS are undertaken on a two year basis. IDCOL is undertaking

corrective actions based on Technical Audit conducted by BUET.

h. Impact Evaluation Surveys: The consultant is now on-board and the inception report was submitted.

The first consumer/user surveys are being conducted by BIDS, for mini-grid, SIPs, ICS and biogas.

i. Research and Development (R&D) Funds: Out of the USD6 million of technical assistance funds under

the original credit, USD1 million was set aside for supporting R&D activities for improvement of

existing renewable energy technologies as well as for development of new renewable energy solutions

for Bangladesh. Expression of Interests (EOI) was issued and currently, 13 proposals have been

accepted under the fund, which are at various stages of implementation. The proposals include, among

others, solar powered rickshaw vans and boats, DC nano-grid etc. Annex 6 has the details.

Component 2: Household Energy Component

32. Improved Cook Stoves (ICS): ICS program progress is satisfactory with total ICS sales reaching

825,000 as of September 2016 (financing released for 581,934 as of September 30, 2016), compared to the

target of 1 million by December 2018. IDCOL stopped support for Tier I ICS as of June 30, 2016.5

Consequently, there was a surge in sales in June of 178,684 of largely Tier I ICS. Since July 2016, the sales of

Tier II and above ICS are gradually risen to 25,000 per month in September 2016. Previously ICS sales averaged

approximately 75,000 pm. See Figure 3. The reduced volume of ICS sales at present is partly due to transition

to manufacturing of higher efficiency Tier II. It is likely that the rate will stabilize at around 40,000 per month.

33. With this pace of implementation, the project target of dissemination of one million ICS is likely to be

reached before June, 2017 which is 18 months before the planned date of end 2018. In order to keep the program

going beyond June 2017, considering the slower pace of installation of the biogas digesters for cooking, the

current IDA allocation for biogas digesters can be utilized for supporting ICS. Since both ICS and biogas

digesters are supported under the Household Energy component, no formal reallocation is necessary. The

mission will in the meantime explore other funding options. Beyond 1 million ICS, IDCOL will need to re-

assess the level of subsidy taking into account the fact that the need to support market development activities

will not be at the same level as present with the momentum already achieved in ICS sales.

results indicate that the average IDCOL-approved product had a light output after 2000 hours of use that was 96% of its

original light output, while the average local market product had a light output that as only 62% of its original value after

2000 hours. Moreover, 85% of the IDCOL-approved products achieved the recommended threshold specified in IEC TS

62257-12-1 of at least 90% of the original light output after 2000 hours, while only 32% of the local-market products

achieved this threshold for LED durability. With regard to quality of workmanship, 92% of the IDCOL product models

were evaluated as having good workmanship and 8% had adequate workmanship. Of the local-market LED products, only

63% of the local market LED products were determined to have good workmanship, while 21% had adequate workmanship

and 16% had poor workmanship.” 5

IWA VITA WBT Tiers Tier 0 Tier 1 Tier 2 Tier 3 Tier 4

Thermal Efficiency < 15% ≥ 15% ≥ 25% ≥ 35% ≥ 45%

10

34. The current disbursement ceiling of BDT 50 million for the designated account for household energy

component has created a temporary disbursement backlog due to the high volume of disbursement request for

ICS in June (the ceiling is adequate to support 60,000 ICS per month). The volume is expected to pick up in

next few months. The ceiling will be revised upward once the monthly sales reaches the ceiling amount to ensure

smooth disbursement without backlogs.

Figure 3 ICS Sales

35. In order to improve the performance levels of concrete ICS supported under the project, a R&D contract

was signed with BUET to improve the efficiency and emission of concrete ICS and as well as development of

metallic body ICS with IWA Tier II and higher level performance. BUET has now completed the assignment

and 6 models of higher efficiency (Tier II and III) concrete ICS have been produced. The details of the success

of the program are given in Annex 7. Two metal body ICS also have been developed with Tier-IV level

efficiency. The contract also included a program for the development of biochar pellet. The program was

technically successful but is not economically viable currently.

36. Biogas Plants. A total of 44,572 biogas plant have been installed mainly using mainly KfW finance,

of which 1,453 units were supported under RERED II. Implementation of biogas plants remains slow. Monthly

achievement rate remains at 40% of the planned target (i.e., 198 compared 480). The yearly target achievement

rate is even lower at 36% (i.e., 2652 compared to 7385). Most of the biogas units installed with IDCOL support

has been financed with KfW support (a total of 44,572 biogas units). With the recent introduction of the PBD

(Pre-fabricated Biogas Digester), the installation is expected to pick up in the near future. IDCOL has been

successful in having import duties reduced to 11% from 24% for Prefabricated Biogas digesters (PBD). IDCOL

will continue to pursue with the National Board of Revenue for further reduction of the import duties.

37. Biogas technology improvement. IDCOL has signed a contract for R&D on biogas with a consortium

led by BUA (Bangladesh University of Agriculture). The objective is developing a PBD (Prefabricated Biogas

Digester) model using standard products from local industries which are likely to be both cost effective and

more efficient in terms of conversion of inputs to biogas. IDCOL has also signed a second contract on Biogas

R&D with Shahjalal University of Science and Technology (SUST) with similar objectives but somewhat

different approach. The work is beginning after initial setting up of the laboratories in both the cases. It is hoped

that some definitive indication on the progress will be available by the end of the year. More details are provided

in Annex 7.

76,976 83,178

178,092

13,45124,378 25,120

0

50,000

100,000

150,000

200,000

Apr, 16 May, 16 Jun, 16 Jul, 16 Aug, 16 Sep, 16

ICs

Inst

alla

tio

ns

Months

ICS Installation Trend

11

38. Technical audits of biogas. IDCOL has been regularly conducting Monitoring and Evaluation of the

Biogas Program by independent third parties. UPM GmbH is undertaking the latest round of M&E over the

period June 2015 – June 2017. The scope of work includes technical and agricultural monitoring and support

IDCOL in the implementation of the Action Plan developed during the last M&E assignment. The consultants

will also provide support to the strategic program development by considering design improvements,

dissemination of PBDs, diversification of biogas appliance models, private sector development, value chain

development; and enhanced owner and user training.

Component 3: Sector Technical Assistance

39. The implementation progress of the component is now rated Satisfactory as the different activities are

now going smoothly. Some of the critical activities supported under this component includes: i) Gas Sector

Master Plan (evaluation report under approval at Power Division); ii) Gas Sector Production Sharing Contract

(PSC) review (short-listing to be revisited based on IDA comments); iii) multi-tier framework baseline survey

(consultant appointed and inception report submitted); iv) Feasibility Study for ground-mounted utility scale

solar at Feni and other sites (contract signing expected shortly).

40. The component supports some of the energy efficiency activities with SREDA: (i) Support for

Designing and Implementing an LED Lighting Deployment Program and Incandescent Lamps Phase-out Policy

Development Initiative. Draft report was submitted and Bank provided extensive comments. Revised final

report is expected to be disseminated by December 2016. (ii) Support to SREDA in the area of its Institutional

Strengthening, Capacity Building and Implementation of Action Plan. An international expert on energy

efficiency is now on board; (iii) Supporting an Assessment, Feasibility Analysis and Overall Design of Target-

cum-Incentive based Energy Efficiency Improvement Program in Industries: Bank has been providing support

through an ESMAP trust-fund covering the following three specific activities: (i) Pilot project on Developing

a Centralized EE Data Repository (CEEDR) and Analytics Lab for Textile industry (selected Spinning &

Weaving Mills) with SREDA and Bangladesh Textile Mills Association (BTMA); (ii) Design of a National EE

Measurement & Verification (M&V) Certification/ Accreditation System with SREDA; and (iii) Design and

outlining of a National Waste Heat Utilization Program with SREDA and Dhaka Chamber of Commerce and

Industries (DCCI). The work on all three tasks are at final stage of completion. For the CEEDR activities, the

mission recommended that SREDA and IDCOL work together to incorporate this in the JICA supported energy

efficiency credit line project so that the efficiency improvements of the industries accessing the credit line can

be monitored.

41. ERD request was received recently to allocate SDR 3.3 million (USD4.5 million equivalent at current

dollar terms) of the Un-allocated amount under the original credit (Cr. 5158) to the Sector Technical Assistance

component (disbursement category 5) implemented by Power Cell. An amount of USD5.53 million has been

disbursed leaving about USD3.55 million un-disbursed. Power Cell estimates that USD1.49 million will be

utilized by the on-going activities. With several new activities included recently (Gas sector master plan, gas

sector PSC review, power sector ERP implementation support etc), and with some more planned in the near

future, Power Cell estimates that another USD6.35 million will be needed to support these new activities. A

formal reallocation will be done later when the current allocation under the TA component is exhausted. IDCOL

does not need to draw on the un-allocated category based on current projections. Annex 7 has more details on

the status of current activities by Power Cell under the component.

VI. Fiduciary and Safeguards

Environment Safeguards

42. Solar Home System. IDCOL shared the annual environment health safety compliance status report of

battery suppliers and recyclers On September 18, 2016. In the last one year the IDCOL visited seventeen battery

manufacturing and recycling plants. Eight plants were found satisfactory on environment management,

remaining six were in moderate and three of them are expanding their manufacturing capacity. Annex 7

provides the details. It was also reported that 22 out of 47 POs complied with environment health safety (EHS)

in their regional offices. The mission emphasized the need for complying with environment issues in all batteries

12

plant and the POs offices by July, 2017.

43. The monitoring reports (January 2016 to June 2016) on the status of lead acid batteries indicated that

IDCOL inspected 13,802 SHSs with warranty expired batteries (6 Years old). Out of which, 12,716 (92%)

systems the batteries were not replaced. It was observed during inspection that among the not-replaced batteries

76% (9,588) were functioning well, 18% (2,315) were not in good condition but still functioning and 6% were

not functioning due to the total damage, systems return or systems not found.

44. Mini-Grid, SIPs and biogas plants. The site-specific environment assessment/screening (EA) for 23

mini-grid, 657 solar irrigation pumps (SIP) (372 are operational), eight biogas plants were carried by the

sponsors and duly reviewed by IDCOL. The reports are being uploaded in IDCOL’s website regularly. No major

environment issues (like as depletion of underground water table, impact on habitat, water logging, clogging of

natural drainage patterns etc.) was reported in the site visit reports of IDCOL.

45. Photovoltaics (PV) modules. Utilization of Solar PV has grown at tremendous rates in Bangladesh

since 2004. Given an average panel lifetime of 20 years, large amounts of annual waste are anticipated by the

early 2024. End-of-life management of PV panel will be a challenge and policy action is needed right now to

address the challenges ahead. The IDCOL should take initiative with support from Power Cell to engage

consultant by March 30, 2017 to formulate necessary guideline in this regard.

46. National guidelines for CFL disposal. A meeting of the steering committee headed by DG, Department

of Environment (DoE) and representatives from different relevant organization for adopting the

“Environmentally Safe Disposal and Recycling Guidelines for CFLs”, shall be held by December 30, 2016.

47. CEIA. A cumulative environmental impact assessment (CEIA) Study for Siddhirganj Power Hub

(including Meghnaghat) was carried out Power Cell under the RERED II project. A workshop on CEIA

presentation was held on September 24, 2016. The CEIA showed that the some of the environment parameters

already exceeded the threshold value, contributed by mostly other industries in the area. In the workshop, the

state minister of energy stressed for a planning process that looks at development plans in each sector taking

into account waste, pollution and ecosystems. It was agreed that Power Division will write to the DoE by

December 15, 2016 with a request to enforce strict monitoring of regulatory compliance in the non-power sector

industries that are contributing most to pollution in the area.

Fiduciary

48. The fiduciary performance is rated Satisfactory. The financial monitoring reports (FMRs) are being

submitted on time. The procurement performance of Power Cell (sector technical assistance) and IDCOL (for

technical assistance under access to electricity and household energy components) is satisfactory.

VII. Agreed actions to address issues

49. An agreed list of actions has been agreed and is attached as Annex 8. Below are some of the key actions

agreed:

Power Division to request the Prime Minister’s Office to form a high-level coordination committee

with participation of the concerned ministries and IDCOL to ensure close coordination of the SHS

program.

IDCOL to decide on a cut-off date at the earliest in consultation with the POs for discontinuing

credit sales of SHS without prepaid systems.

Close monitoring and supervision of SIPs installations being financed under BCCRF to ensure full

utilization of funds before December 31, 2016, the fund closing date.

Completion of installation of the testing laboratory at BUET by December 2016, setting up of

testing procedures and operating protocols and beginning testing soon thereafter.

13

Submission of the revised report by UIU on the 220 V DC Mini-grid Testing Facility incorporating

preliminary test results on DC mini-and micro-grid, and appropriate recommendations by

December 31, 2016.

Mini-grid and SIPs data collection, functionality testing protocol, and performance validation work

plan by December 2016. Assessment of water tariff by March 2017 and performance assessment

reports due once baseline survey data is available.

Steering committee meeting to be held by December 30, 2016 for adopting the CFL disposal

guidelines.

VIII. Timing of Next mission

50. The next implementation support mission is planned for April/May 2017.

14

Annex 1

List of Officials Met

Ministry of Power, Energy and Mineral Resources

1. Mr. Monowar Islam, ndc, Secretary, Power Division

2. Mr. Rahamat Ullah Mohd. Dastagir, Additional Secretary (Planning), Power Division

3. Mr. Mohammad Hossain, Director General, Power Cell

4. Mr. Mohammad Alauddin, Joint Secretary (Renewable Energy), Power Division

5. Mr. Sk. Md. Abdul Ahad, Joint Chief (Planning), Power Division

6. Mr. Mokhlesur Rahman, Deputy Chief (Planning), Power Division

Bangladesh Sustainable and Renewable Energy Authority (SREDA)

1. Mr. Siddique Zobair, Member

Infrastructure Development Company Ltd (IDCOL)

1. Mr. Mahmood Malik, Executive Director & CEO

2. Mr. S. M. Monirul Islam, Chief Financial Officer and Head of Operations

3. Mr. Md. Enamul Karim Pavel, Head of Renewable Energy

4. Ms. Farzana Rahman, Unit Head (Investment), Renewable Energy

5. Ms. Mafruda Rahman, Senior Officer, Corporate Affairs

6. Mr. Md. Wahidur Rahman, Unit Head (Technical), Renewable Energy

7. Mr. Md. Serajul Hossain, Assistant VP & Unit Head (SHS Program)

8. Mr. A F M Shahed, Monitoring Officer, ICS

BUET

9. Dr. Sharif. Md. Mominuzzaman

10. Dr. Md. Ziaur Rahman Khan

11. Dr. A.B.M. Harun-ur-Rashid

United International University

12. Prof. Dr. M. Rezwan Khan

13. Mr. Shahriar Ahmed Chowdhury

BCCRF SIP meeting

14. Dr. Patrick Meyer, Climate Adaptation Group Leader, USAID

15. Mr. Shayan Shafi, Project Management Specialist, USAID

16. Dr. Kevin Adkin, Climate Change Adaptation Advisor, USAID

17. Ms. Nafisa Ziauddin, Programme Manager, DFID

18. Mr. Raqibul Islam, Programme Manager, DFID

15

Annex 2

Results Framework for RERED II Project

Project Development Objectives

The proposed project development objective is to increase access to clean energy in rural areas through renewable energy

Project Development Objective Indicators

Indicator Name Core Unit of Measure Baseline

(Dec 2012)

Cumulative Target Values

2013 2014 2015 2016

2017 (as of

September 30,

2016)

2018

Number of households, farmers, and

businesses having access to clean energy services

Number 0 100,200 529,000 935,000 1,322,000 1,663,000 2,069,000

Achievements 183,066 499,529 835,005 1,554,184 1,772,145

Generation Capacity of Renewable

Energy (other than hydropower)

constructed- Solar MW 0 6 20 33 43 49 56

Achievements 6.42 16.73 27.92 41.17 42.96

Direct project beneficiaries

Million 0 0.5 2.4 3.8 4.8 5.3 5.7

Achievements 0.9 2.73 4.11 5.546 5.91

Female beneficiaries

Percentage 0 44 51 50 54 55 59

Achievements 44.73 43.17 47.32 54.21 55.46

People provided with access to electricity

by household connections Million 2.4 3.7 4.5 4.7 4.7

Achievements 2.73 4.05 5.14 5.32

People gained access to more energy-efficient cooking and/or heating facilities

Million 0 0 0 0.1 0.3 0.6 1.0

Achievements 0 0.03 0.407 0.58

16

Intermediate Results Indicators

Cumulative Target Values

Indicator Name Core Unit of Measure Baseline

(Dec 2012) 2013 2014 2015 2016

2017 (as of

September 30,

2016)

2018 2019

(as of Dec 2018)

Number of solar home systems installed

Number 0 100,000 524,000 824,000 1,001,000 1,030,000 1,030,000

Achievements 182,550 497,855 805,390 1,140,485 1,180,966

Number of connections made through

mini-grid systems and captive plants

Number

0 150 250 1,000 2,500 4,500 7,500

Achievements 0 0 256 2,279 2,655

Number of solar irrigation pumps installed

Number 0 30 40 190 440 790 1,250

Achievements 2 9 50 201 229*

Number of improved cook stoves purchased by households

Number 0 0 0 100,000 300,000 600,000 1,000,000

Achievements 0 0 25,136 405,670 581,934

Number of biogas plants installed

Number 0 100 4,400 10,220 18,340 29,700 33,000

Revised Targets 2,453 6,453 12,453 16,000

Achievements 301 1,453 1,453 1,453 1,453

Collection efficiency of the SHS POs

Percentage 90% 90% 90% 90% 90% 90%

Achievements 90% 88% 87% 86.85

Enabling policy for renewable energy

development Text

SREDA not operational

SREDA not operational

SREDA established

SREDA operational with

core staff

appointed

SREDA operational with core staff

appointed

SREDA operational with

core staff

appointed

SREDA operational with

core staff

appointed

Achievements SREDA Chairman

appointed

SREDA

operational with core staff

appointed

SREDA operational SREDA

Operational

* This is the number of pumps supported by the matching grants from USAID (6), GPOBA (28) and BCCRF (171); and credit from IDA (24) (for which matching grant was sourced from kFW). Another 285 pumps are

expected to be completed by December 31, 2016.

17

Annex 3

Matrix of Actions (To be updated)

Governance and Accountability Action Plan

Issues/Risks/

Objective

Actions Agency

responsible

Timeline Early Warning

Indicators to Trigger

Additional Action

Current Status

Service Delivery Risk

Ensure

adequately

competitive

market for

effective service

delivery

Carry out a market assessment to

gauge the extent to which

customers have options in

choosing the service provider

IDCOL

Early in project

implementation

Delays in initiating the

assessment

Earlier assessments indicated

adequate competition. With the

growth of the SHS market

declining, some POs will exit the

market.

Complete impact evaluation study

that includes an assessment of PO

performance

Study

consultant

Early in project

implementation

Delays in report

submission

Study completed. The study did

not indicate any discernible

differences in service delivery

quality across the POs.

Based on the assessments, take

appropriate interventions for

ensuring an adequately

competitive market

IDCOL Early in project

implementation

Delays in implementing

appropriate

interventions

Quality remains a focus of the

IDCOL program.

Conduct Technical audit by an

independent auditor on installation

quality

IDCOL

appointed

auditor

Every year during

project

implementation

Delays in appointing

auditor, non-

cooperation by the POs

Audit completed. Follow-on

actions are being taken.

Ensure

enhanced

reporting and

feedback

Undertake regular reporting by the

implementing agencies on

implementation

IDCOL/

BREB/ Power

Cell

Quarterly Lack of focal point or

frequent replacement

The financial monitoring reports

are submitted timely by the

agencies.

Ensure RTI Designated Officer in

place and proactive information

dissemination conducted

IDCOL/BREB

/Power Cell

Within three

months of

effectiveness

No designated officers

in place; check of

websites reveals lack of

information

Designated officers have been

appointed.

18

Issues/Risks/

Objective

Actions Agency

responsible

Timeline Early Warning

Indicators to Trigger

Additional Action

Current Status

Introduce third party monitoring

system

IDCOL Within the first

year of project

implementation

No initiative by the

implementing agency

A third party monitoring under a

Bank-executed trust fund

indicated 97% satisfaction rate

amongst consumers.

Introduce IT based systems for

reporting installation data and for

collecting customer feedback

IDCOL/POs Within the first

year of project

implementation

No initiative by the

implementing agency,

non-cooperation by the

POs

A small pilot from a Bank-

executed trust fund was

completed. A call center has been

contracted for customer surveys.

Periodic surveys are continuing.

Capacity Risk

Strengthen

institutional

capacity for

effective

implementation

Complete review of the

organization structure of IDCOL

Institutional

Development

Consultant

Early in project

implementation

Delays in

implementation of the

study recommendations

A separate department for

renewable energy is now

adequately staffed.

Appointment of Assistant Director

(Accounts)

Power Cell Before

disbursement of

the component

Delays in initiating

selection process

Appointment completed.

Reduce risk of

corruption in

procurement.

Conduct procurement audit by an

independent auditor on PO

procurement practices

IDCOL

appointed

auditor

Every alternate

year during

implementation

Delays in appointing

auditor, non-

cooperation by the POs

First phase of the procurement

audit completed. As part of the

audit recommendations, a

procurement guideline has been

adopted for the POs and IDCOL

has now a team of auditors

regularly visiting PO offices to

check adherence to the

procurement guidelines.

Appointment of a procurement

consultant and training for

procurement focal point

Power Cell Early in project

implementation

Delays in initiating

selection process

Procurement consultant on board.

19

Annex 4

Testing Laboratories

1. The establishment of a credible laboratory is far more challenging than the acquisition of the

test equipment itself. The mission recognizes that establishment of these laboratories in Bangladesh is

particularly challenging, but also notes that the proposals for the laboratories, and the considerable

resources allocated, were intended to overcome the many constraints of having to conduct tests outside

of the country. These laboratories are intended to be facilities of excellence both within Bangladesh,

and globally.

BUET Testing Laboratory

2. The mission visited the laboratory on 18th October 2016, and met with BUET team led by Prof

Ziaur Kahn, as follow-up to the 17th April 2016 meeting. Discussion resulted in the following

observations.

Laboratory itself is established within the Department of Electrical and Electronic Engineering.

It is physically located on 6th floor in a large open area with requisite space available. It will

be managed by an organized team with functional responsibilities allocated within the

laboratory structure which will facilitate IEC 17025 accreditation.

Initial work for establishment of the laboratory dates back to late 2012 with MoU signed in late

2013. Test equipment procurements took place in late 2014 in several lots. Most of the

equipment was delivered in by April 2016.

As of October 2016, all of the test equipment that was previously delayed at Dhaka customs is

now delivered. All essential equipment is one site, including the PV module testing equipment,

battery testing equipment, and light dome.

Now that the test equipment is on site, the immediate delays in commissioning the equipment

are related to physical infrastructure.

o A large PV testing darkroom must be constructed within the laboratory for the flash

testers – this is not yet done as it requires BUET management approval to relocate a

doorway.

o Light dome requires to be housed within a controlled and dust-free environment. It

would be to same specification as the PV darkroom. This is not yet built.

o Battery testing: BUET proposes to demolish the existing concrete water bath for

temperature control – due to space constraints. The dust from this demolition will

certainly be problematic for the two “dust-free” darkrooms unless this demolition is

completed first and the dust allowed to settle fully.

o Therefore it seems that better planning and co-ordination is needed to ensure that the

test equipment on site is not damaged by dust during these ongoing construction

stages, and to expedite laboratory operation.

o Only after the completion of the building infrastructure will final commission and

training be done. Is it intended that these will be complete by January 2017, with

training shortly thereafter.

The physical infrastructure challenges are not the only delays. After commissioning and before

the laboratory can be fully operational, the laboratory organization staffing, management,

quality assurance approach, need to be finalized. It became clear during discussion that the

proposed test procedures and test methods are not yet finalized and that requisite documents

are not yet with the laboratory.

Accreditation of the laboratory to IEC 17025 will only be possible after some years of

successful operation. It was also mentioned full accreditation is likely not possible via local

20

accreditation agent due to the specific nature of the laboratory tests, and that this would need to

be done using international agents, further adding to time and costs.

In order to reduce impact of further delays, it is necessary to approach the challenges in a

parallel manner. Specifically, IDCOL laboratory consultant should begin his work

immediately, prepare the laboratory management and all test procedure documents for

distribution to the BUET staff, and require laboratory to be set-up before December 2016.

In terms of changes to the original proposals, BUET has already taken consideration of :

o LED lumen maintenance, ascertained by aging LED under controlled conditions to

100hr, 1,000hr and up to 4,000hr to assess quality. The lab had not provided for LED

aging. The lab is adopting procedures and facilities for LED aging at ambient

temperatures, at no additional cost. TSC standards for LED are already updated to

include lumen maintenance requirements, and Lighting Global/ IEC 62257-9-5

procedures are already being considered. LM79, LM80, LM25 procedures and

methods may also be of interest.

o Charge controller and inverter testing will be performed using existing laboratory test

and measurement equipment of BUET. An additional requirement is a temperature

controlled chamber to measure performance, set-points, efficiencies and stability under

elevated ambient temperature conditions. This has not been provided for under the

procurement and is a constraint. IEC test procedures have been shared with BUET by

from other sources.

IDCOL Technical Monitoring Facility and Equipment

3. A meeting was held at IDCOL with Md. Wahidur Rahman on 20th October 2016, with the

following observations. This facility is intended to strengthen IDCOL’s technical ability for monitoring

SHS, solar mini-grid and solar irrigation, biogas slurry testing, ICS, and water quality.

IDCOL facility will be located at another space rented by IDCOL near its head office.

Construction alterations were designed by IDCOL consultant and works are underway to ready

the facility, due for completion in May, 2017.

Equipment procurement for the facility has been undertaken for three lots:

o Lot 1: Successful procurement, with equipment delivery by 28 June 2016 for

monitoring SHS, solar mini-grid and solar irrigation.

o Lot 2: Unsuccessful initial bid. Rebid under a “shopping” procurement process, with

equipment expected to be installed by end November 2016, for equipment for biogas,

slurry and water quality testing.

o Lot 3: Successful procurement, with equipment delivered by 31 June 2016 and training

has been given for improved cookstove and emission measuring equipment.

Equipment and laboratory is expected to be fully operational by December 2016.

IDCOL has appointed a test facility manager to commence on March 2017.

United International University – DC Test Laboratory

4. A visit was conducted to the laboratory on 17th October 2016, and met with UIU team led by

Prof. Rezwan Kahn, and Mr Shahriar Chowdhury, as follow-up to the 17th April 2016 visit. Discussion

resulted in the following observations.

The Laboratory is now established within the UIU, physically located on new building on roof

level, with large PV arrays on the new laboratory roof space.

21

The concept for this facility dates back to early 2012, and the final proposals and agreements

and MoU were signed in late 2014. The building construction was completed in late 2015.

The unique facility is for promotion of DC mini-grids. The laboratory is intended to answer the

questions on whether and how DC mini grids can be implemented, and to compare performance

of DC mini grids with the existing AC mini grids. Facility is designed for assessment and

demonstration of performance, safety, and fine-tuning of both AC and DC mini-grids and their

key components. Primarily, it is intended to address the perceived safety and performance

arguments, together with lack of standards, which are barriers to large scale DC mini-grid and

micro-grid roll-out.

The hardware and components of the AC mini-grid are fully installed and operational as of

April 2016. These include 3 x 48V battery banks, SMA 3 phase bi-directional inverters and

AC coupled inverters with switch gear and safety features.

The facility is intended to be switchable between DC and AC mini-grids. The DC mini-grid

change-over as designed is not complete. Development work is still ongoing on DC mini-grid

development and demonstration. It is not yet possible to demonstrate a DC mini-grid with the

same performance and safety features as the current AC mini-grid installed (refer to boxes 3

and 4 shared in October 2014).

As of October 2016, UIU has submitted a draft final report on the progress of DC mini-grid

component development, which is suited for micro-grid level performance. It seems that this

research work has not utilized at all the specialized mini-grid equipment installed under

laboratory, and might have been possible in an existing electrical or electronics laboratory. Key

questions that must be answered to allow promotion and financing of DC mini-grids, and the

raison d'etre for the facility itself, remain largely unfulfilled. The mission conducted follow-up

meeting with the UIU laboratory director to clarity expectations.

There are other uses and benefits of for the DC/AC mini-grid laboratory:

o The laboratory can be also used to resolve AC mini-grid technical issues arising, under

controlled environment, including:

addressing perceived performance issues relating to AC-coupled component

interactions; including phase-shift fold-back power limiting of grid-tie

inverters and DC charge current limiting of bi-directional inverters using the

same SMA equipment deployed at 95% Bangladesh PV mini-grids.

resolution of remote data-logging issues and remote monitoring deficiencies,

evident at most mini-grids installed under IDCOL programme, including

measurement of parameters that are not currently captured (battery in/out

energy; AC feeder power / energy; diesel engine power/energy).

o General testing of mini-grid add-ons before approval and installation in the field:

testing of data-logging system for non-SMA equipment or for DC mini-grids.

enhancement of central data-capture and data viewers to collect all the

necessary information from all remote mini-grid data-loggers, using SCADA

database or SMA OPC server.

UIU laboratory is intended for the purpose of identifying these types of problems inverter under

controlled environment. Therefore the mission requests the following:

o The AC mini-grid configuration implemented so far is based on minimal 1-day

autonomy battery sizing, and thus requires on-demand operation of the hybrid diesel

generator for reliable plant functioning. Mini-grid sponsors were turning off the diesel

permanently to save money – but these challenges now appear resolved through

awareness raising to the need for generator on-demand operation. However, there are

suggestions that it remains to be proven that the overall solar plant is operating at

22

optimal design efficiency, and is not relying on costly generator operation to sustain

energy supply.

o Further, it has been demonstrated that the remote monitoring systems installed as-is as

inadequate for performing even basic energy balance, or addressing challenges

remotely. Specific needs are in the box 1 below.

o Mission requested UIU in April 2016 to conduct a simple depletion and charge test

using their laboratory to bench mark the AC system charge performance. This has not

been done. The specific procedure is in the box 2 below.

Box 1: Mini-grid power and energy balance metering

SMA STP meters

SMA SI meters

Missing meters

PV Array

+ - + -+ -

kWh

Remote display

kW and kWh meter

Battery

Bi-directional

Inverter

Grid tied Inverter

kWh kWh

kWh

kWh IN

+ -Diesel Generator

kWh OUT

Feeder to

consumers

kWh

PV Array PV Array

23

Box 2: IDCOL mini-grids – AC coupled array charging efficiency

o It has been suggested that the AC-coupled PV arrays in the existing IDCOL mini-

grids may not be charging the batteries at maximum efficiency via the AC-DC bi-

directional inverters supplied, in all cases being SMA Sunny Island (SI) units6.

o The problem, when present, is understood to manifest in and be related to frequency

shift curtailment of the PV-AC inverter by the SI. The result would be that the PV

array is not operating near its maximum power point, which would not ensure

maximum charge to the battery when needed. If this were the case, it has significant

implications for all IDCOL mini-grids, which use SI, and are now all moving

towards 100% AC coupled arrays, with the DC coupled arrays being discontinued.

o The issue, when arising, may be related to firmware, or settings within the inverters,

or transient interactions, configuration issues, or SMA design issues. Or the problem

may not be present within certain SMA batches or serial numbers.

In any case, IDCOL needs to know if there are set-up, design, configuration, or

warranty problems, or not

UIU as owners engineer needs to know the same.

UIU as AC/DC mini-grid experts should be in position to take a lead role in this

investigation.

o The issue is difficult to assess on site under uncontrolled conditions.

o Since this laboratory is specifically and fully equipped and mandated to assess and

make these comparisons, it should be done with urgency.

o The basic procedure to be conducted while measuring all electrical inputs is:

Deplete battery to a state that it will absorb the full array power (say 50% DoD),

Charge battery via PV only, with no grid feed supply.

Measure or asses the actual array MPP

Measure array actual output (Vop, Iop)

Assess whether AC grid tie SMA STP is curtailing the array, or is operating at

MPP

Assess whether SI is curtailing STP AC grid inverter

Under what conditions does this occur / replicate

Quantify the impact, in Ah delivered to battery, to system energy performance,

and to battery life.

Solution – what is the remedy?

Is AC coupled array adequate under these conditions?

o While it is understood that these are Lenders Engineers issues, it is in the interests

of the Owners Engineer to resolve these.

6 Essentially, the issue relates to historical problems with compatibility between SMA STP and Sunny Island as a

result of firmware issues, limiting bi-di battery charger performance of the AC coupled arrays. The problem, once

identified, is known to be very difficult to correct, and requires an SMA technician to attend to it as the most cost effective

solution.

24

Box 3: Suggested AC mini-grid safety tests

Box 4: Suggested DC mini-grid safety tests

DC cablesAC 220V

Faults and safety testsIslanding (unintentional) turn off Main DB, and assess time response for voltage and current at D,E to become zero

DC Ground Fault: short PV Array DC + and then DC- to earth and assess responses. Use other short-circuit resistances.

AC Distribution fault: Short between AC cables L-N at D and then at E to assess time response at B. Use other short-circuit resistances.

AC Earth fault: Short first L-earth and then N-earth at D, and assess time response at B, D and E. Use other short-circuit resistances.

Consumer ELP: Short first L-earth and then N-earth at G, and assess time response at G, F, D, D and E. Use other short-circuit resistances.

Consumer short: Short L-N at G, and assess time response at G, F, D, D and E. Use other short-circuit resistances.

Earthing configurations

Repeat tests with different PV array eathing, distribution earthing options, consumer earthing, battery and AC earthing arrangements

Distribution cables

Repeat tests with different inductance cables

Normal Operation

Confirm function of all DB

Battery charger controllers in bi-di inverter

Full load functionality of system

Overload protection thresholds

Suggested components

Bi-directional inverter/charger Sunny Island 2224 2,2kW inverter, 5.75kW charger

Battery 10,8kWh: 450Ah 24V comprising 18 x 12V 50Ah batteries

Generator 3kW AC output

PV array (option 1) 1.040kW, 275Vmpp, comprising 8 x 130Wp 35V modules

PV array (option 2) Agilent PV array similator E4360A main frame with 2 x E4362A-J04 (see note below)

PV inverter 1 Sunny Boy 1600 TL transformerless

PV inverter 2 Sunny Boy 1700 galvanically isolated

Agilent PV array simulator

Mainframe http://www.home.agilent.com/en/pd-1370006-pn-E4360A/modular-solar-array-simulator-mainframe-1200w?nid=-34612.771280&cc=ZA&lc=eng

modules http://www.home.agilent.com/en/pd-1782626-pn-E4362A/solar-array-simulator-dc-module-170v-38a-596w?nid=-34612.923348&cc=ZA&lc=eng

control tools http://www.home.agilent.com/agilent/software.jspx?cc=ZA&lc=eng&ckey=1419628&nid=-34612.923348&id=1419628

SAS http://www.home.agilent.com/en/pd-1722497/agilent-solar-array-simulation-sas-system?nid=-33869.908483.00&cc=ZA&lc=eng

Battery Generator AC

Bi-directionalinverter/charger

Main DB &kWh meter

PV inverter 1 & kWh meter

Consumer DB, ELP & kWh meter

Consumer DB, ELP & kWh meter

PV inverter 2 & kWh meter

PV Array 1 PV Array 2

Generator DB &kWh meter

AC Load AC Load

inductance inductanceinductanceinductanceA B C

D E

G

F H

I

DC cables

Faults and safety testsIslanding turn off Main DB, and assess time response for voltage and current at D,E to become zeroDC Ground Fault: short PV Array DC + and then DC- to earth and assess responses. Repeat at various other locations and short circuit resistances. DC Distribution fault: Short between DC cables + to - at D and then at E to assess time response at B. Use other short-circuit resistances.

DC earth fault: Short first + to earth and then - to earth at D, and assess time response at B, D and E. Use other short-circuit resistances.

Consumer ELP: Short first + to earth and then - to earth at G, and assess time response at G, F, D, D and E. Use other short-circuit resistances.

Consumer short: Short + to - G, and assess time response at G, F, D, D and E. Use other short-circuit resistances.

Earthing configurations

Repeat tests with different PV array eathing, distribution, consumer earthing, battery and DC earthing arrangements

Distribution cables

Repeat tests with different inductance cables

Normal Operation

Confirm function of all DB

Battery charger controllers and LVD controller

Full load functionality of system

Overload protection thresholds

Suggested components

Battery relay fast response TBA: to auto-disconnect and prevent and meet response requirements

Battery shunt over charge control TBA: dump load to prevent battery overcharge? Series charge controllers may also be tested: TBA

Battery LVD relay controller TBA -

Battery 10,8kWh: 50Ah 216V comprising 18 x 12V 50Ah batteries . 275V equalisation voltage

Generator AC 3kW AC output

Rectifier AC-DC simple bridge rectifier

PV array (option 1) 1.040kW, 275Vmpp, comprising 8 x 130Wp 35V modules , sufficient to equalise battery

PV array (option 2) Agilent PV array similator E4360A main frame with 2 x E4362A-J04 (see notes on AC mini-grid sheet)

PV MPPT1 ,2 if used, TBA, otherwise inject directly into network

PV relay protection TBA: to auto-disconnect PV array in faults and to prevent islanding

TBA To be finalised - the UIU proposal contains some information that these functions would be a performed by a single centralised controller.

Battery Generator AC

Battery Relay protection system / fast response programmeable

Main DB &DC kWh meter

PV MPPT 1

Consumer DB & DC kWh meter

Consumer DB & DC kWh meter

PV MPPT 2

PV Array 1 PV Array 2

Rectifier, DB &kWh meter

DC Load DC Load

inductance inductanceinductanceinductanceA B C

G

F H

I

PV Relay protection / disconnect fast response

PV Relay protection / disconnect fast response

Battery shunt controller /dump load

D E

25

Annex 5

SHS Training Program Status

Type of Training Purpose Arranged by Participants Trained

To-date

Staff Training For capacity development of the field staffs

about SHS technical and field operational

issues

Partner

Organizations

(PO's)

POs Field Staffs 30,197

Customer Training To train the customers about optimum use

and basic maintenance of SHS

Customers 1,565,942

Technician

Training

local technicians of the villages were

trained to provide maintenance support to

the SHS users so that in absence of the POs

staffs

Technical

Institutes i.e.

DUET, KUET,

UIU & PSL

Local people 1,894

Technical Training To train the POs technical staffs about the

technical details of the SHS

POs Technician 1,774

Micro Credit

Management

For better management of Credit under SHS

program

Palli Karma-

Sayahak

Foundation

(PKSF)

Program

Manager

83

Collection

efficiency

Management

For better management of Credit under SHS

program

IDCOL

Regional

Managers

570

Management

Training for the

Branch Managers

For better management of the branch

operation of the POs under SHS program

BM of PO's 655

Management

Training

To train the Program Managers of the POs

about the critical management issues

PO's Officials at

Head Office

202

Training of

Trainers

To build the capacity of the Trainers

regarding SHS technical and operational

issues

PO's Officials 496

Procurement

Management

To train the procurement of the staffs about

the procurement process

PO's Officials 78

Total 1,598,848

On an average about 1,600 customer training programs are conducted by the POs and about 35,000

customers are trained every month about the basic maintenance

About 500 POs staffs are trained in every month through 20 staff training programs

26

Annex 6

Research and Development (R&D) on Renewable Energy in Bangladesh

1. USD1 million was set aside out of the USD6 million of technical assistance fund under the

original credit (Cr. 5158) of the REREDII project to support R&D initiatives. IDCOL invited

Expression of Interest (EoI) from national entities/individuals interested to conduct R&D activities for

improvement of existing renewable energy technologies as well as for development of new renewable

energy solutions for Bangladesh. Till date 13 projects have been awarded to different research teams to

develop different R&D facilities.

2. IDCOL has extended grant support to different research teams of United International

University (UIU) for four different projects. One is to develop a hybrid mini cold storage and to study

the financial feasibility of establishing cold storage while another team is working on the development

of solar PV panel energized boats. Both the projects are mainly designed for the rural remote areas of

the country. Third team is developing a smart solar irrigation monitoring system suitable in the context

of the country.

3. Under the fourth project, UIU and Solshare have developed a robust and affordable Community

based DC Nanogrid for combined household and Productive use. This project has received worldwide

recognition and acclamation from international bodies i.e. 2016 Intersolar Award – “Outstanding Solar

Project” and 2016 UN Momentum for Change Award as the first Bangladeshi institution.

4. BRAC University has developed 15 solar powered electric rickshaw-vans (human hauler,

ambulance, cargo). Torque sensor paddle was used to minimize initial inrush current.

5. A team led by a professor from Dhaka University of Engineering & Technology (DUET) is

conducting research to design & develop a thermal energy storage system using proper Phase Changing

Material (PCM) i.e. water to avoid expensive battery backup system of conventional solar cold storage.

6. Another project to facilitate source segregation and safe disposal of wastes in Bagherhat

municipality was awarded to Practical Action. The objective of this task is to develop a Public-Private-

Partnership (PPP) model for a community based biogas plant considering the municipal solid waste

(MSW). The project activities include design and construction of a treatment plant, supply and storage

of biogas for cooking and running machines etc.

7. Bangladesh Atomic Energy Commission is working to produce dye-sensitized solar cell using

local technology and resources.

8. To find a sustainable alternative source of electricity ‘Solar E Technology’ has developed a

facility having solar powered battery charging booths for electric vehicles i.e. easy bike, electric

rickshaw and electric car. Under a separate project Solar E Technology is also developing a cost

effective and sustainable solar hybrid cold storage systems for rural areas to preserve fresh produce,

fresh milk & medicines.

9. IDCOL extended grant support to Bangladesh University of Engineering & Technology

(BUET) to develop a R&D facility to synthesize and characterize mutiferroic nanoparticles to enhance

their photo-catalytic activity and to produce hydrogen fuel by photo-catalytic decomposition of water.

10. IDCOL has awarded two separate projects to BAU and B. Tech Construction & Consulting to

analyze cow, buffalo dung and microbial community, analyze microbial dynamics during anaerobic

digestion of animal dung, pH and temperature dynamics to increase the efficiency of biogas production

and augmentation of cow dung with other organic feedstock. Both the organizations have the same

objective, although their approach to the problem is different.

27

Summary of the R&D projects are shown in the table below:

S

l. Phase Topic

Principal Investigator

(Organization)

Duration

(months)

Signing

Date

Completi

on Date

Budget

(BDT)

Disbursed

(till date) Progress To Do

1

1

Dye sensitized

solar cell

production with

natural dye

Dr. Mubarak Khan

(Atomic Energy

Commission)

12 2 Aug

2015

2 Aug

2016 11,770,000 1,059,3000

Lab set up completed

Final report will be

submitted shortly

Final report

2 Solar boat Dr. Lutful Kabir (UIU) 12 2 Aug

2015

2 Aug

2016 4,151,400 3,113,550

Development of all 5

samples

Testing ongoing

Test run

Final report

3 DC nano grid Mr. Shahriar (CER,

UIU) 9

2 Aug

2015

2 May

2016 5,584,000 5,304,800 completed -

4 Solar powered

rickshaw van

Dr. Malek Azad

(BRACU) 12

2 Aug

2015

2 Aug

2016 4,900,000 4,410,000 Completed -

5 Solar hydrogen

fuel Dr. Basith (BUET) 18

2 Aug

2015

2 Feb

2017 7,425,600 5,940,480

Lab setup done

Hydrogen production

and data collection

undergoing

Final report by February 2017

6 Solar charging

station

Mr. Naimul Islam (Solar

E tech.) 6

2 Aug

2015

2 Feb

2016 1,765,800 1,412,640 Completed -

7

2

Waste to energy

project

Md. Mahobul Islam

(Practical Action) 18

20 Jan

2016

20 June

2017 6,429,305 2,571,722

3 specialized rickshaw

vans development

Household survey

Construction started

Completion of the construction

MoU with the Municipality

Gas distribution network and

other utility facilities

Record keeping system for

waste collection

8 Solar Hybrid

Cold Storage

Mr. Kamrul Hasan

Khan/ Solar E

Technology

7 20 Jan

2016

20 Aug

2016 3,784,200 3,216,570

Installation of

equipment almost done

Test run & evaluation

Final report

9

Solar PV-Diesel

Hybrid Mini

Cold Storage for

Rural Off-grid

Areas of

Bangladesh

Dr. Intekhab Alam/

Solargaon 10

20 Jan

2016

20 Aug

2016 2,983,500 447,525

Design completed

Procurement of

equipment

Lab set up

Test run & analysis

Final report

1

0

PCM Based

Hybrid Mini

Cold Storage

Dr. Hasan Mohammad

Mostofa Afroz/ DUET 24

22 Feb

2016

22 Feb

2018 9,145,843 914,584

Inception report

completed

Equipment & supplier

finalization

28

Field survey done

Design completed

Integration of the cold storage

Testing & performance

evaluation

Implementation and final report

1

1

Remote

monitoring and

prepaid billing

of Solar

irrigation system

Mr. Shahriar Ahmed

Choudhury/ UIU 9

22 Feb

2016

22 Nov

2016 7,986,600 3,194,640

Prepaid billing &

monitoring software

development ongoing

Conceptual control

circuit

Equipment

procurement for

prototype

Demo and main Lab set-up

Completion of billing and

monitoring software

Demo project testing &

performance assessment

Final report

1

2

3

Development of

a Sustainable

Biofilm

Mediated

System

Dr. Engr. Salma Akhter

(SUST) 6

22 Feb

2016

22 July

2017 2,500,000 250,000

Sample and materials

collection, screening

microbial consortia,

literature review

Isolation of HPM and

screening of potential

biofilm developers for

biogas production

Characterization of biofilm

properties

Development of immobilization

method for hydrolysis of

feedstock

Batch experiment on hydrolysis

and biogas production

Design, fabrication, assembling

and operation of a two-stage

reactor for biogas production

Development of slurry into

value added products

Final report

1

3

Production

Efficiency of

Biogas in

Bangladesh

Prof. Dr. Alimul Islam 18 22 Feb

2016

22

August

2017

7,500,265 5,614,784

Analysis of cowdung,

chicken droppings,

kitchen waste

Microbial community

analysis

Augmentation of cow

dung with other organic

feedstock

sample collection,

equipment installation

and use of laboratory

Analysis of Microbial Dynamics

during Anaerobic Digestion of

Animal Dung

pH and temperature dynamics

during biogas production,

Operational improvements,

towards upgrade of the field

test area, and use of required

field test equipment

Final report

29

Annex 7

Household Energy Component

1. Improved Cook Stoves

(i) ICS Implementation Progress: The program was started with IWA Tier-1 efficiency7 ICS

dissemination which were available at the time. R&D on the development of higher tier of the

low cost ICS was started early in the project which has now succeeded in developing Tier-II

and higher specification ICS. From July, 2016 Tier-1 ICS are no longer disseminated. With this

transition higher efficiency ICS, the dissemination dropped drastically in July (Fig.1) but rate

has started recovering. It is likely that the rate will stabilize at around 40,000 per month. With

this pace of implementation, the project target of dissemination of one million ICS is likely to

be reached before June, 2017 which is 18 months before the planned date of end 2018. In order

to keep the program going until the end of 2018 which is the project closing date, more

resources will be needed for the incentives for POs.

Fig. 1: Rate of ICS installation per month (Transition to Tier-II ICS lead to drastic fall in

July, 2016)

(ii) R&D on Higher Efficiency (Tier) ICS

The ICS program was initially started using concrete ICS of Tier-1 performance level for which designs

were available. In order to improve the performance levels of the concrete ICS, a R&D contract was

signed with to improve the efficiency and emission of concrete ICS and as well as development of

metallic body ICS with IWA Tier II& higher level performance. BUET has now completed the

assignment and 6 models of better performance concrete ICS have been produced. The comparison of

the performance of these models with base models originally adopted by IDCOL are shown in table-1.

The emission levels are also lower for these improved models. These model are being progressively

introduced for dissemination as reported above.

7 IWA (International Workshop Agreement) is an interim standards for ICS agreed in 2012 which is to be

followed by a future ISO standard.

45,408

14,042

15,090

14,695

24,668

33,073

38,646

47,560

63,200

78,670

59,417

60,479

76,762

83,183

178,684

14,677

24,378

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000

200,000

Monthly Installation Numbers

30

Table 1: Comparison of Performance of New Models with Base Models Originally Adopted by

IDCOL

Concrete ICS High Power Thermal

Efficiency (%)

%

Increase in

Efficiency

IWA Tier Level of

the Improved ICS

Base

Models

Improved

Models

10-9” chimney stove 22.0 40.5 84.0 Tier-III

9-8” chimney stove 22.0 36.3 65.0 Tier-III

10” chimney stove 18.7 30.4 62.4 Tier-II

9” chimney stove 17.8 28.1 58.4 Tier-II

8” portable chimney

stove

15.36 23.7

54.0

Tier-II

8” portable stove 24.66 35.2 42.8 Tier-III (Marginal)

BUET team also developed two highly efficient models of portable metal body stoves. Thermal

efficiencies of both models are of Tier-4 level. Both the metal stoves are of Tier-4 level in terms of

emission but one model belongs to Tier-4 and the other one belongs to Tier-3 with respect to indoor

emissions. CCT results of these metal stoves are very encouraging. These can save fuel wood around

70% compared to the traditional stoves. These two metal stoves have good future prospects in metal

stove market in Bangladesh.

Table 2: Thermal, emission performances and safety ranking of portable metal stoves and

traditional stove

Parameters 6-9” Portable

Metal Stove

6-4” Portable

Metal Stove

Traditional

Stove

High power thermal efficiency (%) 46.32±0.95 50.65±1.00 12.27±1.25

Tier-4 Tier-4 Tier-0

Low power Specific Energy

consumption (MJ/min.L)

0.046±0.002 0.047±0.003 0.187±0.01

Tier-1 Tier-1 Tier-0

Emissions

High power CO (g/MJd) 1.1±0.14 0.9±0.13 6.9±0.71

Tier-4 Tier-4 Tier-4

Low power CO (g/min/L) 0.027±0.002 0.025±0.002 0.193±0.01

Tier-4 Tier-4 Tier-1

High power PM2.5 (g/MJd) 44±4.29 20±1.89 299±37.77

Tier-3 Tier-4 Tier-2

Low power PM2.5

(mg/min/L)

0.5±0.11 0.2±0.06 5.90±0.5

Tier-4 Tier-4 Tier-1

Indoor

Emissions

Indoor emissions CO

(g/min)

0.067±0.001 0.07±0.01 0.411±0.005

Tier-4 Tier-4 Tier-4

Indoor emissions PM2.5

(mg/min)

2.8 ±0.42 1.5±0.25 17.9±0.21

Tier-3 Tier-4 Tier-1

Safety 10 weighted safety

parameters (points)

89.0 87.5 Not done

Tier-3 Tier-2 Not done

(iii) Bio-char Development: The R&D contract on ICS included a bio-char development

component. The idea was to conversion agricultural waste and other easily available biomass into

densified bio-char which can be transported and traded. Retort for biochar production and palletization

tool have been developed in the program. Field testing for marketing of the fuel pellets produced has

shown that that the process is still not currently economically viable. The process does not provide

comparable return for a worker with average daily wage of an agricultural labor (i.e., Tk 35. vs 400.).

31

2. Biogas Plants

(i) Implementation Challenges: Implementation of Biogas plants still remains slow. Monthly

achievement rate remains at 40% of the planned target (i.e., 198 compared 480). The yearly target

achievement rate is even lower at 36% (i.e., 2652 compared to 7385).

(ii) R&D on Biogas: IDCOL has taken up a R&D program on biogas with a consortium led by

BAU (Bangladesh University of Agriculture). A crush program has been taken up by the BAU to

develop a PBD (Prefabricated Biogas Digester) model using standard products from local industries

which are likely to be both cost effective and more efficient in terms conversion of inputs to biogas.

After initial gestation period involving setting up of the laboratory, the work is now progressing at

reasonable pace. IDCOL has also a 2nd contract with SUST (Shahjalal University of Science and

Technology). Although, the aims are roughly similar, the approach by this group is somewhat different.

The work in this group is also in the takeoff stage.

32

Annex 7

Status of On-going Activities of Power Cell under Sector TA Component

Sl.

No

Package

No Package Title Present Status

1 S-54

Development and Implementation Support for

Bangladesh Efficient Lighting Transformation Program

● Contract signed on 15.02.2016

● Interim Report Submitted by the Consultant

2 S-89

Feasibility Study for Development of Utility-Scale Solar

PV and Wind Project in Bangladesh

● Combined Evaluation has been approved on 09.10.2016

● Invitation has been sent to 1st responsive consultant for negotiation on

Draft Contract.

3 S-90

Monitoring the Implementation of Computerized

Integrated Financial Management Information System

(IFMIS) of BREB

● Contract signed on 14.07.2016

● Inception Report Submitted by the Consultant

4 S-59.1 ICT Road Map for Bangladesh Energy Sector ● Contract Signed on 15.02.2016

5 S-75

Consulting Services for update of Gas Sector Master Plan

(GSMP)

● Combined Evaluation has been approved on 28.07.2016

● Sent to Ministry for Approval on Draft

Negotiated Contract dated 24.08.2016

6 S-80 International LNG Legal Expert for Construction of

FSRU

Project, LNG Project Team (LNG Cell) of Petrobangla

● Contract signed on 02.12.2015

● Working under supervision of Petrobangla

7 S-81 International Procurement Expert for Evaluation

Committee to Select Owner’s Engineer of Ghorashal

Unit#4 Repowering Project

● Contract signed on 10.09.2015

● Working under supervision of BPDB

8 S-85 Consulting Services on Upgradation of Technical and

Fiscal Terms of the Model Production Sharing Contract

(PSC) for Oil & Gas Exploration in Bangladesh

● EOI Evaluation Report and Draft RFP sent to the World bank on

24.08.2016 for Clearance .

33

Sl.

No

Package

No Package Title Present Status

9 S-86 Feasibility Study of Enhancement & Strengthening of

Power Network in Eastern Region of PGCB

● Contract signed on 10.08.2016

● Inception Report Submitted by the Consultant

10 S-88 Consultancy services for detailed Residual Life

Assessment (RLA) of Ghorashal Unit No. 6, BPDB

● Contract Signed on 20.10.2016 for 30 days

11 S-96 International LNG Expert/Consultant for LNG Import and

TOP Supervision of Construction of FSRU Project, LNG

Project Team (LNG Cell), Petrobangla

● Contract signed on 04.09.2016

● Working under supervision of Petrobangla

12 S-84 Appoinment of Individual Consultant for BPMI ● Contract signed on 09.02.2016

● Draft MOA and Rules & Regulations submitted by Consultant

13 S-87 Baseline Survey for Global Multi-Tier-Measurement for

Access to Energy

● Contract signed on 16.08.2016

● Inception Report Submitted by the Consultant

14 S-98 Consulting Services for Assessment of compensation and

preparation of Resettelement Action Plan (RAP) for

Transmission Lines in ECGSTLP for T&D Project of

PGCB

● Proposal Submitted by consultant on 05.09.2016

● Evaluation process is on going

15 S-18 Digitalization of Sustainable and Renewable Energy

Development Authority (SREDA)

● Contract signed on 30.09.2015

● Progress Report of Software Development Submitted by the Consultant

16 S-19.01 Individual Consultant for Accounting & Financial

Consultant for BERC

● Contract signed on 30.11.2013

● Working under supervision of BERC

17 S-19.03 Individual Consultant for Consultancy Support for BERC

(Petroleum)

● Contract signed on 30.11.2013

● Working under supervision of BERC

18 S-41 Local Leagel Individual Consultant ● Contract signed on 24.09.2013

● Working under supervision of Power Cell

34

Sl.

No

Package

No Package Title Present Status

19 S-42 Individual Technical Consultant to assit Power Cell

(Local)

● Contract signed on 31.12.2015

● Working under supervision of Power Cell

20 S-70 Individual Consultant for Energy Efficiency &

Conservation Expert for SREDA

● Contract signed on 31.12.2015

● Working under supervision of SREDA

21 S-78 Individual Consultant for Research Associates for Power

Cell

● Contract signed on 25.08.2015

● Working under supervision of Power Cell

35

Annex 8

Status of EMS and OHSAs Compliance: Manufacturing & Recycling Battery Plant

Battery Suppliers

and recyclers

Application

of PPE

Status of

houseke

eping

Status of

EMS and

OHS

Availability of

trained

professional &

documentation

Medical

facilities

Operation of

ETP /ATP

and QC

report

Status of

storage

facilities

Arrangement

of fire

fighting

Score

NAVANA Bat. MS S S S S S S S 23

RIMSO Bat. S S S S S S MS S 23

Rahimafrooz Ac.

Ltd.

MS S S S S S S S 23

Confidence MS S S S S S S S 23

Panna Ltd. MS S S S S S S S 23

RANGS Bat. S S S MS MS S S S 22

ECO Bat. MS S MS S S S S S 22

EURO Bat. MS S S MS S S MS S 21

A & P Bat Manufacturing capacity expansion (From 7000 to 30000 pieces battery)

Silicon Power MS S S S S MS NIP MS 19

JCo Manufacturing capacity expansion (From 7000 to 30000 pieces battery)

Voltex Bat. S S S MS MS MS MS MS 19

Electro Bat. S S MS S S NIP MS S 19

Tanim Bat. MS NIP NIP NIP NIP 0 MS MS 10

GelTec Bat. Shifting premises to own land

[S=Satisfactory (3), MS= moderately satisfactory (2), NIP=Need improvement (1)

36

Annex 9

List of Agreed Actions

N Actions Responsibility Agreed Date Revised Date Status as of September

2016

1. Update installation

targets and financial

requirements

projections for all

investment and TA

components

IDCOL November 30,

2016 and

quarterly

thereafter

NEW

Access to Electricity Component

1. SHS Technical audit IDCOL July 1, 2013 December 2015 Final report submitted.

Actions based on report

findings are being

undertaken.

2. Six-monthly

monitoring report of

expired battery

collection of SHS

IDCOL June 30, 2012 Every six months IDCOL is collecting

reports through its

regional offices on

monthly basis and

sharing those in each OC

meeting.

3. Half-yearly

monitoring report on

working condition of

battery recycling

plant

IDCOL March 15,

2012

Every six months Reports are submitted.

4. Performance

validation and tariff

justification for mini-

grids and SIPs

IDCOL March 2017 NEW

5. Plan and approach for

introducing small SIP

IDCOL July 2016 and

regular

updates

December 2016 Proposals received and

under consideration.

6. Collection efficiency

improvement

IDCOL Ongoing Results awaited.

7. SHS loan portfolio

quality improvement

IDCOL Ongoing Improvements observed.

8. Scale up of SHS pre-

payment meters

IDCOL Early 2017

decision

Piloting with 13 POs in

one upazilla. underway.

Household Energy Component

1. Monitoring and

Evaluation of the

Biogas Program by

UPM GmbH

IDCOL June 2017 Work underway

Technical Assistance to Access to Electricity Component

1. SHS Testing

Laboratory equipment

procurement,

installation and

training

BUET Nov 2012 December 2016 Laboratory consultant to

begin work immediately

with documents ready by

Dec ’16 and training

soon thereafter.

All equipment is on site

awaiting renovation for

installation.

37

N Actions Responsibility Agreed Date Revised Date Status as of September

2016

2. 220 V DC Mini-grid

testing facility

IDCOL June 30, 2013 Revised report due by

Nov 30, 2016

December 2016

(Progress report)

AC lab operational.

Limited work on DC lab.

Draft report revisions

required.

3. Impact evaluation

baseline survey for all

except SHS

IDCOL June 30, 2013 June 2017 Inception Report

submitted.

4. Revision to SHS

specification and

inclusion of lumen

retention spec.

TSC and

BUET

June 30, 2016 COMPLETED.

5. DCOL Technical

Monitoring Facility

IDCOL September

2016

Remaining test

equipment delivered

by Dec 2016. Facility

operational by

Jan 31, 2017

Some equipment

delivered.

6. Solar Pump Testing

Plan and Proposal

IDCOL June 30, 2016

or sooner

To begin only after

satisfactory completion

of BUET and UIU labs

Efficient Lighting Component

1. Development of

national guideline for

safe disposal of CFLs

Power Cell June 15, 2012 December 30, 2016 Steering committee

meeting to be held in

Dec 2016

2. Follow-on actions on

the Cumulative

Environmental

Impact Assessment

(CEIA) at Siddhirganj

Power

Cell/DoE

December 15,

2016

Power Division to write

to DoE to request

monitoring of regulatory

compliance of various

industries