BBP signs MoU with FMCL
AMemorandum of Understanding ( MoU) was signed between Bhutan Biogas Project ( BBP), Department of Livestock ( DoL), and Farm Machinery Corporation ( FMCL) on 30 December in Thimphu.
The BBP was started with the objectives to contribute to the national aim of poverty reduction by improving the livelihood and quality of life of rural farmers and to reduce the impact of biomass resource depletion.
Besides, it is to support national goals of food production and livestock department and to improve health and hygiene.
FMCL expects to manufacture and fabricate the biogas appliances and accessories which can be manufactured within and import from abroad which cannot be manufactured.
The MoU states that FMCL will supply to the beneficiaries as per the recommendation of BBP.
BBP expects to support FMCL to provide all the necessary information on the production of appliances and accessories and supply them to the beneficiaries.
It is also to facilitate FMCL with detailed scope of work before starting the manufacture of biogas.
The project is also aimed at providing sustainable energy to reduce dependence on firewood and expensive fossil fuels. The BBP contributes to the achievement of the Mil- lennium Development Goals to end poverty and hunger and to ensure environmental sustainability.
Biogas technology became an important source of energy that has brought major changes in the villages. The director general of DoL, Dr. Tashi Samdup, said the biogas project had been implemented successfully.
The transportation of biogas products till Gewog Livestock Extension Centres is expected to be arranged by FMCL based on the agreed rates between the parties.
BBP and its representatives have the right to inspect and test the biogas products in the manufacturing unit to confirm the agreed specifications and standards provided by BBP. The MoU states, “If any of inspected or tested biogas parts fail to confirm to the specifications, the FMCL shall be responsible to meet the specification and standards as agreed.”
The installation of the biogas plants can be done by biogas construction group formed by the masons trained by the BBP.
The MoU was expected to be effective and remain valid and enforceable from 1 January 2017 to 31 December 2017. FMCL can produce the biogas accessories and spare parts as per BBP’s requirements and standards, prepare and submit the delivery schedule based on the annual work plan of BBP, execute and complete the manufacturing of biogas parts on time.
After- sales services are expected to provided, including necessary support, initial capacity building, specifications, and other necessary requirement.
The cost of the biogas products and parts can be collected by the regional farm machinery corporation representatives prior to the delivery of biogas products and parts from the gewog livestock extension officers concerned.
The maximum retail price of the biogas appliances and accessories can be decided and fixed based on the cost of production and transportation charges. The MoU states that both the parties can be involved in the price fixation.
FMCL in Paro is a state- owned enterprise under the Ministry of Finance.