IDCOL\\\'s solar home system facing obstacles


FE Team | Published: May 24, 2015 00:00:00 | Updated: November 30, 2026 06:01:00


The state-owned Infrastructure Development Company Limited's (IDCOL's) countrywide solar home system (SHS), which obtained recognition as the world's single largest renewable energy programme for benefitting the highest number of people, is facing obstacles in its expansion, reports UNB.
"The SHS is experiencing impediments mainly from local influential quarters, who install the system, but delay in paying back money or monthly installments," said an official involved in the programme.
Becoming concerned about the situation, IDCOL sought local administration's help for the partner organisations (PO) who execute SHS programme at the field level.
According to official sources, the chairman of the state-owned organisation and Economic Relation Division (ERD) secretary Mohammad Mezbahuddin sought the cooperation through a recent letter to deputy commissioners.
IDCOL is a state-owned special purpose company under the ERD. It was created by the government in 1997 as a non-bank financial institution licensed by Bangladesh Bank.
Under the IDCOL initiative and financing, so far 3.2 million SHSs have been installed across the country, with another 3 million planned for implementation by 2030.
To execute the world's largest single SHS programme, IDCOL has appointed about 47 partners organisation across the country including a number of big NGOs.
With the low cost loans and grants, the SHS has become a very popular scheme in the off-grid rural areas. Even, many on-grid people are also buying solar home systems to ensure uninterrupted green power.
But recently, many POs have started facing a new experience as some locally powerful beneficiaries of the solar home systems are now reluctant to pay back the loans through monthly installments.
The IDCOL chairman, who is also ERD secretary, wrote letters to each of the deputy commissioners (DCs) of 64 districts asking them to cooperate with the POs to realise money from the SHS owners who purchased the system through IDCOL loan.
In the letter, the IDCOL chairman said, "Some 47 partner organisations are engaged in selling the SHS in direct cash or through monthly instalment. They provide post-sales service and collect their monthly instalments. But now they are facing obstacles in expanding their programme and realising their instalments.
He also mentioned that about 3.2 million SHSs have been installed which resulted in ensuring access to electricity to some 14 million people, or 9 percent of the country's total population."The solar home systems have brought improvement to the daily lives and businesses of the beneficiaries. The SHS programme also annually saves about Tk 130 billion by reducing the consumption of kerosene.  It also created about 7 million employment opportunities directly or indirectly."
Meanwhile, many of IDCOL's partner organisations are becoming reluctant to expand their programmes as the huge amounts of money they are spending are ending up stuck due to non-realisation of the monthly instalments

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