IDCOL to finance solar project of textile mill

FE Desk | Tuesday, 25 February 2020

The Infrastructure Development Company Limited (IDCOL) signed a facility agreement with Fakhruddin Textile Mills Ltd (FTML), a concern of Urmi Group, on Sunday to finance a rooftop solar project with a capacity of 2037.75 kWp, says a statement.
Electricity to be produced from this project will not only reduce electricity bills of FTML but also reduce the diesel consumption during load shedding.
In addition, FTML can export unutilised electricity to be generated from the project to national grid under the Net Metering Guideline 2018.
Currently, the unit cost of electricity from rooftop solar is below Tk 8.0, which makes the proposed investment very lucrative as the tariff is cheaper than the grid electricity tariff. The project will be implemented with a total project cost of Tk 140.9 million.
Under this facility agreement, IDCOL will provide concessional loan of Tk 112.7 million. IDCOL plans to finance 300 MWp rooftop solar projects by 2022.
Mahmood Malik, Executive Director & CEO, IDCOL, and Asif Ashraf, Managing Director, Fakhruddin Textile Mills Ltd., signed the agreement on behalf of their respective organisations.
Faiaz Rahman, Director, FTML; Md. Enamul Karim Pavel, Head of Renewable Energy, IDCOL; Mohammed Jabed Emran, Chief Risk Officer, IDCOL; Farzana Rahman, Executive Vice President, IDCOL, and other officials from both the organisations were present at the signing ceremony.