Renewable Energy Programme Renewable Energy Programme Of Of Of Of 

TMSSTMSS

Brief Information about the MFI Brief Information about the MFI  N   f th  MFI TMSS Name of the MFI‐ TMSS Year of establishment‐ 1964.  Ongoing programmes‐ TMSS has 54 Nos Ongoing programmes.  

A. Climate Change, Disaster Preparedness and Environment Department:A. Climate Change, Disaster Preparedness and Environment Department:1.TMSS Renewable Energy Program (TREP)2.Bandhu Chula3.Social Forestry Programme (Road side tree plantation)4.Tree Deposit Scheme (TDS)5.TMSS Nursery Project

B. Microfinance Department:1.General Microfinance2.Islamic Microfinance3.Foreign Remittance Payment Programme (FRPP)4.Post-Literacy & Continuing Education for Human Development Project (PLCEHD)-25 Reaching Out of School Children (ROSC)5.Reaching Out of School Children (ROSC)6.Day Care Center (DCC)7.TMSS Kinder Garten School (TKGS)8.Khatemon Ideal Junior High School9.TMSS PUBLIC SCHOOL AND COLLEGE (TPSC)10.Thengamara Yeatimkhana & Hafizia MadrashaTMSS Cadet Madrasha (TCM)TMSS Cadet Madrasha (TCM)11.TMSS Medical College (TMC)12.TMSS Nursing College (TNC)13.TMSS Medical Assistant Training School (TMATS)14.TMSS Medical Technology Institute ( TMTI)15.TMSS Medical Institute of Research & Technology (TMIRT)16 TMSS C it P di I tit t (TCPI)16.TMSS Community Paramedic Institute (TCPI)17.Rangpur Community Paramedic Institu te (RCPI)18.TMSS Technical institute (TTI)19.TMSS Textile Engineering institute (TTEI)20.TMSS Multilateral Agriculture Technology Institute (TMATI)21.TMSS Travels & Tourism Training Institute (TTTTI)

Ongoing programmes (Cont.)‐

C. Health Department: 22. TMSS Health Care Centre (THCC)23.Rafatullh Community Hospital (RCH)24 TMSS Masuda Maternity Hospital (TMMH)

E. Human Rights and Women Development Department:39. Assistance Programme on Counter Trafficking (APCT)40.Human Rights and Gender (HR&G)41 Law & Litigation Section

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24.TMSS Masuda Maternity Hospital (TMMH)25.Smile Train Rafatullah Community Hospital (RCH) Cleft ProjectTuberculosis Control Programme, Round-10, GFATM26.Towards Sustainable Quality Healthcare Delivery at Grassroots level through Active Participation of Civil 27 Urban Component of Sanitation Hygiene Education & Water

41.Law & Litigation Section

F. Human Resource Development Department:42. Training Department43.Livelihood Skill Training (LST)44.Community Development Program (CDP)

27.Urban Component of Sanitation, Hygiene Education & Water Supply (SHEAWS) Project28.Infant Young Child Feeding(IYCF) Programme

D. Food Security & Livelihood Department:29. Women in Seed Entrepreneurship(WISE)30 TMSS Barkat Seed Sector(TBSS)

G. Social Enterprise Department:45. TMSS Handicraft (TH)46.TMSS Women Market (TWM)47.TMSS Utpadon Food (TUF)48.TMSS CNG Ltd. (TCNG)49 TMSS P i ti P (TPP)30.TMSS Barkat Seed Sector(TBSS)

31.TMSS Fisheries Project (TFP)32.Cereal Systems Initiative for South Asia-(CSISA)33.Health Education and Livelihoods Supports for the Ultra Poor(HELP-UP)34.Development Support Services to VGD Women35 TMSS A i lt P j t

49.TMSS Printing Press (TPP)50.TMSS Northern Recruiting Agency (TNRA) Ltd.51.TMSS Travels & Tourism Ltd. (TTTL)52.TMSS Saw mill and Furniture production53.Building Construction Limited (BCL)54.TMSS Courier Service (TCS).

35.TMSS Agriculture Project36.Land and Land Development37.Barrind Irrigation Project (BIP)38.Labor Contracting Society (LCS)

Information about Information about MicrofinanceMicrofinance programme programme p gp g

Member 7,76,795 (0.77 Million)

Report up to MayReport up to May‐‐20132013

Member 7,7 ,795 ( 77 )

Borrower 6,50,913 (0.65 Million)

Savings Balance 282,40,28,665 (2,824 Million)

Loan Portfolio 775,91,21,111 (7,759 Million)

Recovery Rate 99.59 % FSS 139 %

Loan & Savings ProductsLoan & Savings ProductsPrincipal Loan Products Savings Products

Rural Micro Credit (RMC)

General Savings Special Savings Monthly Savings

Urban Micro Credit (UMC ) Micro Credit for the Hard Core PoorMicro Enterprise & SME ProgramAgriculture Development Program  Agribusiness Development Program  Monthly SavingsAgribusiness Development Program Livestock Development ProgramSeasonal Loan ProgramDisaster Management Loan Program

TMSSTMSS Renewable Energy Renewable Energy programmeprogrammeInformation Information Up to MayUp to May‐‐20132013

Year of starting Year of starting programmeprogramme‐‐ 2003 2003  Number of clients coveredNumber of clients covered‐‐ 2578625786 Renewable energy products Renewable energy products ––Re ewab e e e gy p oductsRe ewab e e e gy p oducts

TMSSTMSS provides two types of Renewable energy products provides two types of Renewable energy products ‐‐ii) Solar Home System and ) Solar Home System and ii) S l  I i i  P  ii) S l  I i i  P  ii) Solar Irrigation Pump ii) Solar Irrigation Pump 

ii)) SolarSolar HomeHome SystemSystem‐‐ ToTo makemake thethe renewablerenewable energyenergy popularpopular andand availableavailable

Renewable energy products Renewable energy products –

ii)) SolarSolar HomeHome SystemSystem ToTo makemake thethe renewablerenewable energyenergy popularpopular andand available,available,TMSSTMSS deliversdelivers wattwatt pickpick basedbased packagespackages.. TMSSTMSS offersoffers thethe followingfollowing facilitiesfacilities toto thethebuyersbuyers‐‐

a)a) CashCash purchasepurchaseb) Credit purchaseb) Credit purchaseb) Credit purchaseb) Credit purchasec) Credit purchase without Service Charge. c) Credit purchase without Service Charge. 

a)a) Cash purchase :Cash purchase :–– CCustomer  can purchase in cash price and get discount facility  The warranty products ustomer  can purchase in cash price and get discount facility  The warranty products  CCustomer  can purchase in cash price and get discount facility. The warranty products ustomer  can purchase in cash price and get discount facility. The warranty products are ensured services are ensured services uptoupto their warranty periods as well.    their warranty periods as well.    

b)b) CreditCredit purchasepurchase::‐‐SHSSHS packagespackages areare soldsold inin installmentsinstallments toto thethe CustomersCustomers inin creditcreditSHSSHS packagespackages areare soldsold inin installmentsinstallments toto thethe CustomersCustomers inin creditcredit..LargeLarge packagespackages ((3030wpwp‐‐125125wpwp)) havehave 1515%% downdown paymentpayment facilitiesfacilities..LowLow incomeincome peoplepeople cancan purchasepurchase 2020wpwp SHSSHS withwith 1010%% DownDown paymentpayment..IfIf anyany customercustomer wantswants fewerfewer accessories,accessories, thenthen thethe priceprice ofof thatthat itemitem isis deducteddeducted fromfromthethe packagepackage pricepricethethe packagepackage priceprice..

GenerallyGenerally thethe repaymentrepayment periodperiod rangesranges fromfrom 9090 daysdays toto 3636 monthsmonths andand thethe installmentsinstallmentsareare paidpaid monthlymonthly basisbasis..

c)c) CreditCredit purchasepurchase withoutwithout ServiceService ChargeCharge‐‐ IfIf anyany customercustomer plansplans toto repayrepay withinwithin threethreec)c) CreditCredit purchasepurchase withoutwithout ServiceService ChargeCharge‐‐ IfIf anyany customercustomer plansplans toto repayrepay withinwithin threethree((0303)) monthsmonths thenthen serviceservice chargecharge isis exemptedexempted..

ii) Solar Irrigation System:  ii) Solar Irrigation System:  TMSSTMSS provides financial and technical support to Solar provides financial and technical support to Solar Irrigation Irrigation system. Here, two types of services are providedsystem. Here, two types of services are provided‐‐

a)a) Solar Irrigation System provideSolar Irrigation System provide‐‐g y pg y pAnybody individual/ group of farmers Anybody individual/ group of farmers can purchase the Solar can purchase the Solar Irrigation system Irrigation system in in installments with 30% down payment. installments with 30% down payment. Maximum repayment period is Maximum repayment period is uptoupto 5 years.  5 years.  Installments are monthly or contractual (season base).Installments are monthly or contractual (season base).Interest rate 8%.   Interest rate 8%.   

b) Water supplyb) Water supply‐‐pp ypp yFarmers Farmers can purchase water from Solar can purchase water from Solar irrigation system irrigation system established by established by TMSSTMSS at at very small amount of charges.       very small amount of charges.       

Renewable Energy financing mechanismRenewable Energy financing mechanism

The The SHSsSHSs are installed in customer’s houses at free of charges.are installed in customer’s houses at free of charges. Th   i  Ch  i  8%  Th   i   h  i   li bl   l  f  th   t  i d  Th   i  Ch  i  8%  Th   i   h  i   li bl   l  f  th   t  i d  

Renewable Energy financing mechanismRenewable Energy financing mechanism

The service Charge is 8%. The service charge is applicable only for the repayment period. The service Charge is 8%. The service charge is applicable only for the repayment period.  The monthly installments are  collected from customers houses/ business places. The monthly installments are  collected from customers houses/ business places.  TMSSTMSS provides provides SHSsSHSs ranging from 11,900/= (20 ranging from 11,900/= (20 wattpickwattpick package) to 67,300/= (135 package) to 67,300/= (135 wattpickwattpick). ).  In credit sales, Loan amount is measured after deducting the Down payment. In credit sales, Loan amount is measured after deducting the Down payment. , g p y, g p y Educational Institute, Religious places Educational Institute, Religious places e.ge.g Mosques/Temples/Church get Mosques/Temples/Church get 

o1o1 year service charge free repayment period. year service charge free repayment period.  The warranty periods are The warranty periods are ii) Panel= 20 years, ii) Charge Controller= 3 years, iii)Batteries= 5 ) Panel= 20 years, ii) Charge Controller= 3 years, iii)Batteries= 5 

  d i ) LED li h        d i ) LED li h      years and iv) LED light= 2 years. years and iv) LED light= 2 years.  AccordingAccording toto agreementagreement betweenbetween TMSSTMSS andand thethe customer,customer, IfIf anyany problemproblem occursoccurs inin SHSSHS

withinwithin thethe warrantywarranty period,period, TMSSTMSS maintenancemaintenance themthem atat freefree ofof costcost.. AfterAfter thethe agreementagreement time,time, aa renewalrenewal forfor maintenancemaintenance && serviceservice withwith aa minimalminimal costcost isisgg ,,

conductedconducted.. TMSSTMSS staffstaff regularlyregularly visitsvisits thethe customercustomer householdshouseholds andand provideprovide necessarynecessary maintenancesmaintenances.. IfIf anyany customercustomer getsgets GridlineGridline connectionconnection andand decidesdecides toto discontinuediscontinue thethe service,service, thethe SHSSHS isis

returnedreturned byby “Buy“Buy Back”Back” systemsystem InIn BuyBuy BackBack systemsystem aa depreciationdepreciation andand thethe serviceservice chargecharge ofofreturnedreturned byby BuyBuy BackBack systemsystem.. InIn BuyBuy BackBack system,system, aa depreciationdepreciation andand thethe serviceservice chargecharge ofofthethe usageusage periodperiod isis consideredconsidered inin valuationvaluation ofof thethe SHSSHS setset..

Renewable Energy financing mechanism (cont.)Renewable Energy financing mechanism (cont.)

••TMSSTMSS provideprovide wattpickwattpick basedbased packagespackages consideringconsidering thethe potentialpotential

Renewable Energy financing mechanism (cont.)Renewable Energy financing mechanism (cont.)

TMSSTMSS provideprovide wattpickwattpick basedbased packagespackages consideringconsidering thethe potentialpotentialcustomer’scustomer’s incomeincome levellevel andand capacitycapacity toto paypay thethe installmentsinstallments.. ThatThat means,means,SolarSolar HomeHome SystemSystem doesdoes notnot generategenerate anyany IncomeIncome directlydirectly.. RatherRathersometimessometimes itit contributescontributes toto increaseincrease thethe income,income,

••SolarSolar HomeHome SystemSystem helpshelps toto inin HomeHome lighting,lighting, Education,Education, EntertainmentEntertainmentandand sometimessometimes inin incomeincome generatinggenerating activitiesactivities.. ItIt alsoalso helpshelps inin reducingreducingh l hh l h h dh dhealthhealth hazards,hazards,

••LoanLoan repaymentrepayment periodperiod isis determineddetermined asas perper customerscustomers desiredesire.. ThisThis cancanbebe uptoupto 55 yearsyears PaymentPayment scheduleschedule isis MonthlyMonthlybebe uptoupto 55 yearsyears.. PaymentPayment scheduleschedule isis Monthly,Monthly,

••IfIf anyany customercustomer wantswants toto completecomplete thethe paymentpayment earlierearlier thanthan thenthen thethe limitlimittimetime thenthen thethe serviceservice chargecharge isis applicableapplicable onlyonly onon thatthat periodperiodtime,time, thenthen thethe serviceservice chargecharge isis applicableapplicable onlyonly onon thatthat periodperiod..

The source of fund forThe source of fund for TMSSTMSS Renewable EnergyRenewable EnergyThe source of fund for The source of fund for TMSSTMSS Renewable Energy   Renewable Energy   

Own fund and Own fund and Own fund and Own fund and  Loan from Loan from IDCOLIDCOL

How Renewable Energy How Renewable Energy programmeprogramme fits with fits with Microfinance? Microfinance? 

TheThe MicrofinanceMicrofinance hashas aa hugehuge impactimpact onon RenewableRenewable EnergyEnergy programprogram managementmanagement.. TheThe SolarSolar HomeHomeSystemSystem withwith CreditCredit facilityfacility inin BangladeshBangladesh isis WorldWorld famousfamous nownow asas wellwell asas MicrofinanceMicrofinance ..

WeWe know,know, normallynormally thethe activityactivity processesprocesses ofof MicroMicro financefinance isis--•• AssessmentAssessment ofof thethe potentialpotential customerscustomers investmentinvestment // utilizationutilization planningplanning withwith thethe LoanLoan•• LoanLoan SanctionSanction•• TheThe customercustomer investinvest thethe amountamount generategenerate incomeincome andand thenthenTheThe customercustomer investinvest thethe amount,amount, generategenerate incomeincome andand thenthen•• RepaymentRepayment ofof thethe loanloan..

AndAnd InIn RenewableRenewable EnergyEnergy programmeprogramme--•• PrimaryPrimary areaarea selectionselection

AA i ii i•• AwarenessAwareness raisingraising•• AssesAsses thethe customer’scustomer’s demanddemand•• AssessingAssessing thethe presentpresent financialfinancial conditioncondition ofof thethe customercustomer toto paypay thethe loanloan•• SetupSetup thethe SHSSHS atat thethe customerscustomers househouse•• TrainingTraining toto customercustomer andand hishis familyfamily membermember aboutabout thethe operatingoperating andand regularregular maintenancemaintenance ofofgg yy p gp g gg

systemsystem•• ServiceService && MaintenanceMaintenance onon callcall•• RegularRegular visitvisit andand•• CollectCollect monthlymonthly installmentsinstallments..

How Renewable Energy How Renewable Energy programmeprogramme fits with fits with gygy p gp gMicrofinance? (cont.) Microfinance? (cont.) Considering all these factors, it can be said thatConsidering all these factors, it can be said that--

Microfinance and Renewable Energy have many differences except Microfinance and Renewable Energy have many differences except collecting installments. collecting installments.

Microfinance is a very sensitive issue. The staffs and officials of the MF Microfinance is a very sensitive issue. The staffs and officials of the MF yyprogrammeprogramme always concentrate on the installment collection always concentrate on the installment collection i.ei.e loan loan recovery. recovery.

It is very much difficult for them to concentrate on Technical aspects, It is very much difficult for them to concentrate on Technical aspects, Marketing, service & Maintenance of Renewable Energy systems. Marketing, service & Maintenance of Renewable Energy systems.

ToTo putput itit inin aa nutshell,nutshell, ifif RenewableRenewable EnergyEnergy ProgrammeProgramme isis operatedoperatedindependently,independently, thenthen Marketing,Marketing, Sales,Sales, TechnicalTechnical ServiceService && Maintenance,Maintenance,MicrocreditMicrocredit allall areare bindbind inin samesame stringstring.. FromFrom thethe experienceexperience fromfromgg ppMicrofinanceMicrofinance && RenewableRenewable EnergyEnergy programmeprogramme,, itit cancan bebe saidsaid that,that,RenewableRenewable EnergyEnergy programmeprogramme cancan bebe moremore successfulsuccessful ifif operatedoperatedindependentlyindependently withwith thethe helphelp ofof MicrofinanceMicrofinance managementmanagement..

SWOTSWOT Analysis of Renewable EnergyAnalysis of Renewable Energy programmeprogrammeSWOTSWOT Analysis of Renewable Energy Analysis of Renewable Energy programmeprogramme Strength: Strength:  TMSSTMSS gets refinance from gets refinance from IDCOLIDCOL sufficiently and regular basis   sufficiently and regular basis    TMSSTMSS gets refinance from gets refinance from IDCOLIDCOL sufficiently and regular basis.  sufficiently and regular basis.  Besides, Besides, TMSSTMSS can manage own fund to continue the can manage own fund to continue the programmeprogrammeuninterruptedly. uninterruptedly.  TMSSTMSS is operating the is operating the programmeprogramme in remote areas and have already in remote areas and have already  TMSSTMSS is operating the is operating the programmeprogramme in remote areas and have already in remote areas and have already established a large network of itself. established a large network of itself.  TMSSTMSS has also developed a large Human resource who are skilled has also developed a large Human resource who are skilled and experienced in Renewable energy sector  and experienced in Renewable energy sector  and experienced in Renewable energy sector. and experienced in Renewable energy sector. TMSSTMSS collects quality products/ accessories from local and collects quality products/ accessories from local and international suppliers and sale to the customers. And also provide international suppliers and sale to the customers. And also provide declared warranty service  declared warranty service  declared warranty service. declared warranty service. 

StrengthStrength (cont(cont..))::TMSSTMSS hashas skilledskilled manpowermanpower andand largelarge networknetwork forfor SelectionSelection ofofpotentialpotential areas,areas, publicity,publicity, publication,publication, motivation,motivation, selectionselection ofofpotentialpotential customers,customers, communicatingcommunicating withwith them,them, arrangingarranging specialspecialmeetingmeeting forfor smoothsmooth operationoperation ofof thethe programmeprogramme,,TMSSTMSS isis competingcompeting withwith thethe otherother competitorcompetitor byby QualityQuality productproductinstallationinstallation andand properproper && timelytimely serviceservice provideprovide..p pp p yy pp AsAs aa resultresult ofof rightright selectionselection ofof customerscustomers andand providingproviding betterbetterservices,services, thethe raterate ofof recoveryrecovery forfor TMSSTMSS isis appreciableappreciable..

Weakness:Weakness:‐‐RenewableRenewable EnergyEnergy ProgrammeProgramme isis relatedrelated toto physicalphysical laborlabor..gygy gg p yp yMoreover,Moreover, itit isis operatedoperated inin veryvery remoteremote placesplaces.. AsAs aa result,result, thetheDropDrop outout raterate ofof staffsstaffs areare higherhigher thanthan otherother programmeprogramme..

OpportunityOpportunity::‐‐pp ypp y TheThe GovernmentGovernment isis yetyet toto provideprovide GridlineGridline connectionconnection inin

largelarge numbernumber ofof areasareas.. Moreover,Moreover, thethe electricityelectricity productionproductionisis notnot sufficientsufficient forfor thethe demanddemand whichwhich isis responsibleresponsible forforL dL d h ddih ddi AA hihi ii d dd d ff S lS lLoadLoad‐‐sheddingshedding.. AtAt thisthis circumstances,circumstances, demanddemand forfor SolarSolarElectrificationElectrification isis increasingincreasing dayday byby dayday whichwhich isis aa goodgoodopportunityopportunity forfor RenewableRenewable EnergyEnergy programmeprogramme,,

TMSSTMSS hashas alreadyalready establishedestablished goodgood networknetwork andand TMSSTMSS hashas alreadyalready establishedestablished goodgood networknetwork andandunderstandingunderstanding withwith thethe accessoriesaccessories andand materialsmaterialsmanufacturersmanufacturers && supplierssuppliers asas perper demand,demand,

TheThe GovernmentGovernment andand manymany AutonomousAutonomous bodiesbodies areareyyinterestedinterested toto promotepromote thethe RERE programmeprogramme,,

DifferentDifferent DonorsDonors andand organizationsorganizations areare interestedinterested toto workworkforfor RERE programmeprogramme,,

TMSSTMSS Mi fiMi fi kk // didi S lS l HH TMSSTMSS MicrofinanceMicrofinance networknetwork promote/promote/ discussdiscuss SolarSolar HomeHomeSystemSystem inin thethe regularregular GroupGroup meetingmeeting && assistassist toto identifyidentifypotentialpotential clientsclients..

Threat:Threat:Threat:Threat:‐‐

Some Politicians electoral declaration for providing Gridline Some Politicians electoral declaration for providing Gridline l i i   k   l   i d     l i i   k   l   i d     SHSSHS     electricity make people uninterested to get electricity make people uninterested to get SHSSHS,  ,  

Natural Disasters damages the Natural Disasters damages the SHSSHS sets of customers.sets of customers. The Government gives subsidy on Gridline electricity make it less The Government gives subsidy on Gridline electricity make it less 

expensive than expensive than SHSSHS, ,  Solar Panels are Tax Vat Exempted, however other materials like Solar Panels are Tax Vat Exempted, however other materials like 

Batteries, LED light, Cables are not which causes high price of Batteries, LED light, Cables are not which causes high price of Solar Home System. Solar Home System. 

IDCOLIDCOL has stopped Grant on Large has stopped Grant on Large SHSSHS ((30wp30wp+), the costing of +), the costing of these sets are increased;these sets are increased;

TMSSTMSS makes Packages as per makes Packages as per IDCOLIDCOL approved design where approved design where quality products are ensured. As example, high quality Batteries quality products are ensured. As example, high quality Batteries with three (03) days backup are used. Whereas, many with three (03) days backup are used. Whereas, many organizations other than POs provide very low price package organizations other than POs provide very low price package using batteries with one (01) day backup and cheap accessories. using batteries with one (01) day backup and cheap accessories. As a result, customers get confused.   As a result, customers get confused.   

THANK YOUTHANK YOUFrom From From From 

TMSSTMSS