IDCOL to get 140.5m euro German loan to boost energy efficiency

The Infrastructure Development Company Limited (IDCOL) will get 140.5 million euro from German Development Bank Kreditanstalt fur Wiederaufbau (KfW), according to two separate deals signed in Dhaka on Sunday.

Of the amount 41 million euro will come for boosting energy efficiency and the rest  99.5 million euro for implementing renewable energy projects.

The loan agreements, under which IDCOL will be acting as the project executing agency to finance companies undertaking energy efficiency and renewable energy measures, were signed at the Westin Dhaka, IDCOL said in a press release.

The fund will be utilised for various purposes, including energy efficiency extensions or replacement of equipment and machinery, with a view to reducing final energy consumption and related carbon dioxide emission by at least 20 per cent.

The renewable energy concentrated fund will be used to finance solar irrigation, solar grid-tied, and biogas (domestic and commercial) projects, the press release said.

"I believe, separate agreement signing ceremony is the beginning of something extraordinary for Bangladesh," said Sharifa Khan, Secretary of the Economic Relations Division and chairman of IDCOL.
"KfW has been a long-term development partner for Idcol in financing renewable energy projects," said IDCOL Executive Director And Chief Executive Officer Alamgir Morshed.





"It is a great pleasure for us to continue the relationship for energy efficiency and renewable energy projects in Bangladesh. We hope to achieve greater things together for a better tomorrow."

"IDCOL has been a key implementing agency for the development of energy efficiency and renewable energy projects in Bangladesh. KfW is looking forward to working with Idcol in future projects," said KfW Bangladesh Director Michael Sumser Hellstern.