Index

Topic: Page No:

1. Commencement of the Project: 02 - 05
1.1 Introduction
1.2 Background
1.3 Feasibility Study of the Project
1.4 Objectives of the Project

2. Methodology 06 – 13
2.1 Action Plan
2.2 Work Breakdown Structure (WBS)
2.3 Linear Responsibility Chart
2.4 Gantt Chart
2.5 Building the Project Network by Critical Path Method (CPM) &
Activity On Node (AON)
2.6 Calculation of Critical Path
2.7 Calculation of Slack
2.8 Crashing Algorithm (Cost/Time Trade-off)
2.9 PERT (Program Evaluation and Review Technique)
2.10 SWOT Analysis
3. Project Palmyra Tree Plantation: 14 – 30
3.1 Action Plan for the Project solar system
3.2 WBS for the Project
3.3 LRC for the Project
3.4 Gantt Chart of the Project
3.5 Activity On Node (AON) of the Project
3.6 Calculation of Critical Path of the Project
3.7 Calculation of Slack Time of The Project
3.8 Crashing Algorithm (Cost/Time Trade-off) of The Project
3.9 PERT of the Project
3.10 SWOT Analysis of the Project
4. Cost Benefit Analysis: 31 – 34
4.1 Financial Cost Benefit of the Project
4.2 Economic Cost Benefit of the Project
4.3 Social Cost Benefit of the Project
5. Conclusion: 35 - 35

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1 Commencement of the Project:
Here, we will initiate our project with its background and its feasibility study.
Afterwards we explain the objectives and benefits of this project.

1.1 Introduction
Bangladesh is a hugely populated country in South Asia. The country produces its
electricity mainly from natural gas followed by liquid fuels. Although the installed
electricity generation capacity of the country has been increased to 15,261 MW, there is
scarcity of electricity in the hot summer season which is a barrier to industrial
development as well as socio-economic development. Combustion of fossil fuels
releases greenhouse gases (GHGs) into the atmosphere which causes global warming.
Bangladesh can be badly affected by greenhouse effect and global warming. These
problems can be mitigated by incorporating renewable energy sources (e.g., solar,
wind, hydro, biomass, etc.) to the country's electricity generation. Solar energy
resources are considered as clean and can serve the electricity demand in the remote
areas where grid connection is not possible. The potential of solar energy and biomass
is enormous in Bangladesh and people have already started to harness energy from
these sources. The government and the policy makers should come forward to
encourage the people of rural areas as well as urban areas to use renewable based
electricity. The government of Bangladesh has set up a plan to generate 10% of the
country's total electricity from solar sources within 2020 and 10% within 2025.
However, within 2020 the country has been able to generate only 3.5% of the total
electricity from renewable sources. This paper presents a thorough review of the
current status and future potentials of renewable energy sector in Bangladesh. In this
paper the updated information is provided for the overall renewable (solar) energy
sector of the country.
Solar energy increases near the equator, as it is closer to the sun. Sun rays fall vertically
on the equatorial region of the earth. In some countries, luckily they are located on the
equator. But there are many countries that are very far away from it.
A reliable, affordable and secure supply of energy is important for socio-economic
development. As a country of acute power crisis Bangladesh is now looking forward to
develop its renewable energy sources in addition to its traditional sources of fossil fuel.
It has very limited non renewable energy sources of its own but it’s endowed with
renewable energy sources like biomass, wind, hydro and solar insulations. The
following research paper is based on the prospects of solar energy from perspective of
Bangladesh. Possible implementations of solar technologies like photovoltaic cells (PV)
and Solar thermal energy (STE) are discussed with their optimum capacity, efficiency,
storage facility and cost per unit power. Some social, economic and environmental
constraints regarding the implementation of solar technology are highlighted and some
possible solutions are offered.

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1.2 Background
Humans have always been fascinated with the power of the sun. Since the 1800s,
scientists have made progress towards harnessing the sun’s power in the form of
electrical energy. Throughout the last two centuries, significant progress has been
made in developing the solar technologies we have today. Many photovoltaic
installations are connected to the power grid, and thus each installation is
accompanied by many regulations. Solar technology has evolved drastically since
humans first became interested in the sun. In the 1800s the photoelectric effect was
discovered, and since then, scientific progress has been made towards harnessing the
sun’s power. Today, there are many types of solar technology, including crystalline
silicon (the traditional method) and newer alternatives such as string ribbon and thin
film technologies.
People all over the world have been using solar energy mainly for drying from the very
beginning of the human race. Use of solar energy more efficiently also started a long time
ago, more recently, concern about the environment and possible shortage of conventional
fuels prompted researcher all over the world to look for sustainable and non-depletable
resources. Solar energy is one of the best among a score of other renewable resources.
Bangladesh is on the verge of facing energy crisis. Now fifty five percent (55%) of
Bangladesh's inhabitants live without electricity and the grid expansion rate to connect rural
areas is threatened by the looming capacity shortage.
By acknowledging the potential of renewable energy technologies (RETs) and associated
energy storage, Bangladesh could possibly meet its unprecedented energy demand, thus
increasing electricity accessibility for all and as well as financial growth. This paper will
represent the role of solar energy in Bangladesh to overcome energy crisis.
Solar PV installation rates in Bangladesh are increasing rapidly. By July 2009, 25 MW of
solar PV had been installed in the forms of Solar Home Systems, Centralized (AC) Systems,
Centralized (AC) market electrification and roof top PV mini-grid system to pump water, for
railway signaling, to power refrigerators, etc. Much of this is being driven by investment
through donor agencies or international aid agencies. The current aim is that by 2012 one
million households will be powered form solar PV panel, producing 50 MW of power.
However, the World Bank notes that the market for SHS may become saturated before the 1
million targets is reached due to their relative upfront expense, and the risk that consumer
confidence in the technology may fall as current SHS equipment wears out, and requires
greater maintained.
The solar constant (1.360 kW/m2) is the rate at which solar energy is received per unit area
of the earth’s atmosphere. Because the cross-sectional area and the total surface area of the
earth differ by a factor of 4, the average flux incident on the earth is one –fourth the solar
constant or 0.340 kW/m2. Of the atmosphere incoming, 49% is absorbed and rerediatated by
the atmosphere. In Bangladesh the average is 0.193kW/m2.

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1.3 What is Solar Energy
Solar energy is all sources of energy, viz; coal, petroleum, natural gas, hydraulic power,
wind etc. with the exception of nuclear power derive energy from the sun. The main
advantages of solar energy are that it is absolutely pollution free, inexhaustible and
especially suitable for deserts and isolated places where other sources are not
available. With the product of suitable low cost collector materials, solar energy can
play a significant role in the future. In our country, solar PV application primarily
concentrates on rural home lighting. Lack of awareness at the ground level and absence
and absence of financing facilitators are the major handing factors against mass
solarization in Bangladesh. Besides, govt. Bureaucracy and detrimental cost
consciousness of some development agencies are also responsible. Solar energy is,
simply, energy provided by the sun. This energy is in the form of solar radiation, which
makes the production of solar electricity possible.
Electricity can be produced directly from photovoltaic, PV, cells. (Photovoltaic literally
means “light” and “electric.”) These cells are made from materials which exhibit the
“photovoltaic effect” i.e. when sunshine hits the PV cell, the photons of light excite the
electrons in the cell and cause them to flow, generating electricity. Solar energy
produces electricity when it is in demand – during the day particularly hot days when
air-conditioners drive up electricity demand. In use, solar energy produces no
emissions. One megawatt hour of solar electricity offsets about 0.75 to 1 tone of CO2.
PV panels are being used increasingly, both in the city and in remote locations, to
produce electricity for households, schools and communities, and to supply power for
equipment such as telecommunication and water pumps. The majority of solar PV
installations in Bangladesh are grid-connected systems.

1.4 Feasibility Study of the Project

We mainly focus on the following feasibility study of the project:

Financial Feasibility
We will sell the sapling of solar panel to people at affordable price so that people at every level
of income can buy it. The sapling is very available and very cost effective. So we can easily
cover our cost by our profit. As the project is eco-friendly and will help the government to
reduce its cost which would be given to the victims of lightning strikes as compensation, so we
can easily collect fund for our project. So the project has highly positive financial feasibility.

Economic Feasibility

As the project will help to reduce the cost of energy and also reduce the burn of natural gas and
crude oil and products so people will buy the sapling willingly and our cash inflow is certain. As
the solar panel is very cheap, so, our cost will be easily minimized. As there is a large interest of
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people and govt. in this project, so we will get tax benefit. So the project has high positive
economic feasibility.

Social Feasibility

A reliable, affordable and secure supply of energy is important for socio-economic

development. As a country of acute power crisis Bangladesh is now looking forward to
develop its renewable energy sources in addition to its traditional sources of fossil fuel.
Solar energy is a clean, abundant and freely available renewable energy sources .IN
Bangladesh 50% of people are deprived from electricity after the mass use of solar
energy people can get easily the light of electricity. As we will promote the benefit of
solar energy and sell the solar panel to people at cheap rate and it involves very low cost and
it is also very environment friendly so the project has positive social feasibility.

Technical Feasibility

Electricity is the prime mover for the advancement of all economic and industrial
activities. However, lack of power security is still the major challenge not only in
Bangladesh but also all over the world.
Electricity generation in Bangladesh is mainly depends on fossil fuel that depleting
hastily. In December 2016, installed generation capacity was about 15264 MW of which
only natural gas contributes almost 64.5%. In addition, emission from this fossil fuel is
another concern to the environmentalists throughout the world. Although, electricity
generation capacity in Bangladesh has been increased significantly during the past few
years, the country has huge crisis due to the increasing demand in almost each and
every sector. As our project mainly focus on the set up solar panel and people are well
known about the solar energy so the project will be easily implemented. As the project is
helpful for the govt. and eco-friendly so we will easily implement the project without any
restriction. We will train volunteers about the project and as the project has high positive
social value so we will easily get volunteers for the project. Overall our project has positive
technical feasibility.

Study Area and Methodology

Two villages, Dashmari and Dharampur of Motihar Thana under Rajshahi district were selected
for this study. Almost 18% of the household and small business enterprise use SHS. Most of
those SHSs are implemented by Grameen Shakti and Srijoni Bangladesh. Six case studies were
analyzed to find out the financial feasibility and social impacts of the SHSs used in the selected
areas. The data were collected through questionnaires, interviews, group discussions and field
observations with user of SHSs. Microsoft excel software has been used to calculate Net
present value (NPV), Simple payback period, Benefit to cost ratio (BCR), and Internal rate of
return (IRR).

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1.5 Specific objectives of the project are listed below
Solar power provides energy security . 

On top of the above reliability benefit, no one can go and buy the sun or turn sunlight into a
monopoly. Combined with the simplicity of solar panels, this also provides the notable solar
power advantage of energy security, something the Bangladesh has pointed out for years, and a
major reason why it is also putting a lot of its money into the development and installation of
solar power systems.

Impact on the Environment

Solar energy has the least negative impact on the environment compared to any other energy
source. It does not produce greenhouse gases and does not pollute the water. It also requires
very little water for its maintenance, unlike nuclear power plants for example, needing 20 times
more water. Solar energy production does not create any noise, which is major benefit, since a
lot of solar installations are in urban areas.

Solar Energy Is Applicable Everywhere

As long as there is sunshine, solar energy can be deployed anywhere. This is particularly useful
for remote regions with no access to any other source of electricity. There is a vast amount of
people around the world with no access to electricity. Independent solar systems could be
deployed in those regions and improve the lives of millions of people. Moreover, solar energy is
also used to power up spacecrafts and boats.

Solar power provides energy independence .

Similar to the energy security boost, solar power provides the great benefit of energy
independence. Again, the “fuel” for solar panels cannot be bought or monopolized. It is free for
all to use. Once you have solar panels on your roof, you have an essentially independent source
of electricity that is all yours. This is important for individuals, but also for cities, counties,
states, countries, and even companies. I was recently in Ukraine touring various cleantech
initiatives and projects. While there, I discovered that Ukraine in recent years has saved
approximately $3 billion in reduced oil and gas imports from Russia thanks to the solar power
plants developed by a single developer.

Solar power saves you money. 

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Putting solar PV panels on your roof is likely to save you tens of thousands of dollars.
The average 20-year savings for Americans who went solar in 2011 were projected to be a little
over 1700,000 tk. In the populous states of Dhaka, Rajshahi, and Khulna, the projected savings
were over 2550,000 tk. In the sunny but expensive paradise known as Rangpur, the projected
savings were nearly 5525,000 tk!

Beyond solar PV panels, it’s worth noting that solar energy can actually save you money in
about a dozen other ways as well — with proper planning and household design choices.

Solar power provides energy reliability.

The rising and setting of the sun is extremely consistent. All across the world, we know exactly
when it will rise and set every day of the year. While clouds may be a bit less predictable, we do
also have fairly good seasonal and daily projections for the amount of sunlight that will be
received in different locations. All in all, this makes solar power an extremely reliable source of
energy.

Reduce the cost of Govt.

Government of Bangladesh has declared huge amount of electricity require from solar panel. It
includes huge amount of cost for the govt. By our project we easily decrease the number of
natural Gas and fossil fuel dependent electricity which ultimately reduces the cost of govt.

Job Creation

Large part of the cost associated with solar systems comes from the installation of the panels. This
contributes to local job creation. Using solar systems boosts the economy and positively affects the
local community.

2. Methodology

Every project requires a methodology to build up. We will use the following methodology for
our project:

1. Action Plan
2. Work Breakdown Structure (WBS)
3. Linear Responsibility Chart
4. Gantt Chart
5. Building the Project Network by Critical Path Method (CPM) & Activity On Node
(AON)

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 6. Calculation of Critical Path
7. Calculation of Slack
8. Crashing Algorithm (Cost/Time Trade-off)
9. PERT (Program Evaluation and Review Technique)
10. SWOT Analysis

All the process is briefly discussed below:

2.1 Action Plan:

Action Plans is a list of all the tasks that are need to be finished to complete a project. It focuses
on the achievement of a single goal by every needed activity to achieve the objectives. So an
action plan is a document that lists what steps must be taken in order to achieve a specific goal.

These are steps of an appropriate action plan:

a) Choose an appropriate goal and clearly define objective.

b) Using a team to create action plan.
c) Choose action steps that are concrete, measurable and attainable. These steps should
be clearly defined, not vague ideas.
d) Identify who is responsible for each action step and who will be supporting them.
Support people are not responsible for the outcome of an action step, but they assist
in the process.
e) Provide a clear schedule for completing action steps.
f) Review and update the action plan as it is implemented.
g) Communicate with key people about the plan’s progress and effects as it is carried
out.

The main purpose of an action plan is to clarify what resources are required to reach the goal,
formulate a timeline for when specific tasks need to be completed and determine what resources
are required. In project management, a well-developed action plan can serve as a blueprint for
the project manager to break a large project down into smaller, more manageable SMART
(Specific, Measurable, Attainable, Realistic and Time-based) goals.

2.2 Work Breakdown Structure (WBS):

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A work breakdown structure (WBS), in Project Management, is the decomposition of a
project into smaller components. A work breakdown structure is a key project deliverable that
organizes the team's work into manageable sections.

The Project Management Body of Knowledge defines the work breakdown structure as a

"A hierarchical decomposition of the total scope of work is

carried out by the project team to accomplish the project
objectives and create the required deliverables."

A work breakdown structure (WBS) is basically a chart in which the critical work elements,
called tasks, of a project are illustrated to portray their relationships to each other and to the
project as a whole.

The graphical nature of the WBS can help a project manager predict outcomes based on various
scenarios, which can ensure that optimum decisions are made about whether or not to adopt
suggested procedures or changes.

Some widely used reasons for creating a WBS include:

a) Assists with accurate project organization

b) Helps with assigning responsibilities
c) Shows the control points and project milestones
d) Allows for more accurate estimation of cost, risk and time
e) Helps explain the project scope to stakeholder

2.3 Linear Responsibility Chart:

A Linear Responsibility Chart (LRC) identifies team participant's clients, and/or line managers
and the degree to which an activity is to be performed or a decision is to be made on the project.
The LRC attempts to clarify the authority and working relationships in the project team. In a
typical linear responsibility chart, rows (or columns) indicate activities, responsibilities, or
functions required which can be all or just a few of the tasks in the work breakdown structure or
elements or data and information within tasks of the WBS. Columns (or rows) identify positions,
titles or people themselves. The symbols indicate the degrees of authority, responsibility or
activity existing between the rows and columns.

Effective project management requires decisions that focus on both “what” and on “who.” After
making “what” decisions about deliverables and project timelines, the last step before starting the

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project is to is to create a linear responsibility chart -- also called a responsibility matrix -- that
identifies who is responsible for core project activities, actions and decisions.

As many different responsibility links or duties can be created in an LRC that is needed or
relevant to a given circumstance. For instance, one can indicate that a few departments or
individuals need to be notified about every task that was carried out during a project, while other
departments will probably need notification only if certain conditions exist (example: delays in
starting an activity). A Linear Responsibility Chart can be made manually or through programs
such as Microsoft Project. So it should not take a long amount of time for anyone to do this part
of the Work Breakdown Structure (WBS).

2.4 Gantt Chart

A Gantt chart is a type of bar chart, devised by Henry Gantt in the 1910s, that illustrates
a project schedule. Gantt charts illustrate the start and finish dates of the terminal elements and
summary elements of a project. Terminal elements and summary elements comprise the work
breakdown structure of the project.

A Gantt chart is commonly used in project management. It is one of the most popular and useful
ways of showing activities (tasks or events) displayed against time.
On the left of the chart there should be a list of the activities and along the top is a suitable time
scale. Each activity is represented by a bar; the position and length of the bar reflects the start
date, duration and end date of the activity. This allows everyone to see at a glance:

a) What the various activities are,

b) When each activity begins and ends,
c) How long each activity is scheduled to last,
d) Where activities overlap with other activities, and by how much,
e) The start and end date of the whole project.

2.5 Building the Project Network by Critical Path Method (CPM) &
Activity on Node (AON)
A Network Diagram is a visual representation of a project’s schedule. Well known complements
to network diagrams include the PERT and Gantt charts. A network diagram in project
management is useful for planning and tracking the project from beginning to finish. It
represents a project’s critical path as well as the scope for the project.

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It’s is a graph or flow chart depicting the sequence in which a project's terminal elements are to
be completed by showing terminal elements and their dependencies. It is always drawn from left
to right to reflect project chronology.

The critical path method (CPM) is a step-by-step project management technique for process

planning that defines critical and non-critical tasks with the goal of preventing time-frame
problems and process bottlenecks. The CPM is ideally suited to projects consisting of numerous
activities that interact in a complex manner.

In applying the CPM, there are several steps that can be summarized as follows:

 Define the required tasks and put them down in an ordered (sequenced) list.
 Create a flowchart or other diagram showing each task in relation to the others.
 Identify the critical and non-critical relationships (paths) among tasks.
 Determine the expected completion or execution time for each task.
 Locate or devise alternatives (backups) for the most critical paths.

The AON is a method that uses the nodes or boxes to represent activities and the arrows to show
the logical dependencies between activities. In the network diagram shown below each node
represents an activity and is labeled with the activity number and the associated completion time.

2.6 Calculation of Critical Path

The longest sequence of activities in a project plan which must be completed on time for the
project to complete on due date. An activity on the critical path cannot be started until its
predecessor activity is complete; if it is delayed for a day, the entire project will be delayed for a
day unless the activity following the delayed activity is completed a day earlier.

Calculating Critical Path is a simple 4-step process.

Step1: Find Activities. Activities for this project are as below (output from Define
Activities process)
Step 2: Build Schedule Network Diagram.
Step 3: Find all Possible Paths.
Step 4: Calculate Duration for Each Path.

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2.7 Calculation of Slack

The amount of slack (or float) associated with each activity is used to denote the free time of
each activity within the ESS and LSS. It denotes the amount of time each activity can be delayed
without violating the entire project duration. The slack of an activity can be calculated as the
difference between its latest start and earliest start time, or alternatively, as the difference
between its latest and earliest finishing time.
 
Activities with zero slack cannot be delayed without affecting the entire project duration and are
called critical activities. The critical path consists of a path of critical activities and is given by
activities A, B, C, D, F, H and I.

Earliest start schedule (ESS)

The earliest start of each activity can be calculated using forward calculations in the project
network and is equal to the maximum of the earliest finishing times of all its predecessor
activities.

Latest start schedule (LSS)

The latest finish of each activity can be calculated in an analogous way, using backward
calculations, starting from the project deadline at the last activity of the project found by the
ESS. It is equal to or less than the latest start of all its successor activities. The latest start of an
activity is defined as its latest finish time decreased by its duration estimate.

Calculation of Slack
That means slack = LST - EST or LFT – EFT. Also we know that the activities which have 0
slack are on critical path.

2.8 Crashing Algorithm: (Cost/Time Trade-off)

Once the expected duration of a project has been determined, it may be necessary or desirable to
shorten its completion time. The completion time of a project can usually be shortened by
allocating additional resources
.

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However, these additional resources usually imply extra costs .To reduce the completion time of
a project, we need to shorten a number of its activities. When we do this, however, we need to
remember that:

1. Not all the activities on the network can be shortened.

2. The activities to be shortened must be on the critical path.

The process of shortening the completion time of a project is known as project crashing. The
duration figures in our project below give the normal time for each activity of the project.

Each activity also has its crash time, which is the least possible time it can take to complete that
activity. Similarly, the cost of an activity under normal circumstances is the activity’s normal
cost and the cost of an activity under crash circumstances is its crash cost.

The main objective of crashing the project is shortened the project’s duration by increasing the
amount of money spent on the project. In the following table I specify the activities of a certain
project.

The cash schedule Incremental cost is calculated as follows:

Crash cost−Normal cost

Incremental cost = │
Crashtime−Normaltime

Crashing is very crucial in project management. It helps to determine the cost and time trade off
and thus helps to determine the actual required time and cost.

2.9 PERT (Program Evaluation and Review Technique)

A PERT chart provides a realistic estimate of the time required to complete a project, identifies
the activities on the critical path, and makes dependencies (precedence relationships) visible. It
can also identify the earliest and latest start and finish dates for a task, and any slack available.

PERT incorporates uncertainty by making it possible to schedule a project while not knowing
precise details and durations of all activities. The time shown for each project activity when
creating the network diagram is the time that the task is expected to take based on a range of
possibilities that can be defined as:

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  The optimistic time - the minimum time required to complete a task
 The pessimistic time - the maximum time required to complete a task
 The most likely time - an estimate of how long the task will actually take

The expected time (the time that will appear on the network diagram) is defined as the average
time the task would require if it were repeated a number of times over a period of time.
There may be in three situations. The notation of those situations is given below:

To= the optimistic time

Tm= the most likely
Tp= the pessimistic time

We know the formula of calculating Mean,

¿+ 4 Tm+Tp
Te=
6
Where,
Te = Expected time
To = Optimistic time
Tm = Most likely
Tp = Pessimistic time

We also know that the formula of Variance,

2 (Tp−¿)2
σ =
36

2.10 SWOT Analysis

A SWOT analysis is a tool to assess the performance of a project, a product or a company. It
originates from business management and it is a strategic planning tool to identify and assess the,
Strengths, Weakness, Opportunities and Threats of the surveyed product, project or corporation.

Strengths and weakness are defined as internal characteristics of the evaluated system while
opportunities and threats are external characteristics of the evaluated system. The results of a
SWOT analysis are generally summarized in a so called SWOT matrix. The general structure of
a SWOT matrix is shown below:

Characteristics SUCCESS FACTORS FAILURE FACTORS

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 Internal STRENGTH WEAKNESS
External OPPORTUNITIES THREATS

It gives four major opportunities:

(a) Helps to capitalize the Strength,

(b) Reduces the effect of Weakness,
(c) Identify Opportunities as they appear,
(d) Acknowledge Threats before they Hit.

This is the basic Methodology for our project. We follow this and prepare our Project Palmyra
Tree Plantation to design the full project and use it for implementation.

Our Next topic will be on the implementation of this methodology in our project

3. Project solar panel energy:

On the basis of our methodology described earlier here we will describe our project technically
as follows:

3.1 Action Plan for Solar Panel Energy Project

For our project proposal, the future action plans will be as follows:

Activity Activity Predecessors Start End Duration Cost

ID Name Time Time (Days) (TK)
A Approval - 01.05.18 05.05.18 5 Days 5000
B Fund A 06.05.18 10.05.18 5 Days 15000
Collection
C Printing B 11.05.18 12.05.18 2 Days 4000
Brochures
D Location B 13.05.18 22.05.18 10 Days 8000
Selection
E Manpower D 15.05.18 22.05.18 8 Days 9000
Selection
F Manpower E 23.05.18 27.05.18 5 Days 15000
Training

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 Program
G Buying Solar B, D 28.05.18 31.05.18 4 Days 12,50000
panel
H Program G 01.06.18 02.06.18 2 Days 5000
Scheduling
&Distribution
I Awareness H 03.06.18 08.06.18 7 Days 175,000
Program &
Solar set up
J Report I 08.06.18 09.06.18 2 Days 6000
&Revenue
Collection
Total 01.05.18 09.06.18 40 days 1,492000

All the activities are described below:

(A) Approval:

We will take the approval for this project from:

(a) Local District Commissioners,
(b) Local Government Authority,
(c) District power board.

(B) Fund Collection:

We need total of 1492,000 taka to implement this project. The amount we will collect fully form
internal sources of financing.

Here we have assumed that:

(a) There will be no Interest Payment

(b) Working Capital Will not be required
(c) There will be only one cash inflow at the end of the project.
(d) Tax and other cost and benefits are not included for the simplification of the project.

(C) Printing Brochures:

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We will print handouts or brochures for our future Awareness Program as well as for training our
manpower how to make common people motivated to buy solar panel and set up them for the
ultimate objective of this project protection from load shedding.

(D) Location Selections:

Two villages, Dashmari and Dharampur of Motihar Thana under Rajshahi district were selected
for this project.

(E) Manpower Selection:

In between the location selection process we will select 5 man powers from each village.
So the total number of manpower would be 10 persons. It will be declared that every manpower
will get 5000 Tk as Honorarium. Every manpower unit will have one leader and one of our
project participants will be there as a supervisor.
(F) Manpower Training Program:

Just after selection we will give our manpower a Short Training about the set up Program to be
held in their villages. And give them the Brochures to be distributed. Further we will instruct
them how to sell the solar panel and collect money and report it back to us right after the
program ends.

(G) Buying Solar Panel:

We will try to buy Solar Panel from Rahim Afroj Company. Our estimated price for Solar Panel
is 25000 Tk per piece. Other accessories price 110000 taka.

(H) Program Scheduling & Distribution:

Prior to the final awareness building program and solar panel selling we will schedule each of the
unit’s activity. Then our panel and some other required materials would be distributed.

(I) Awareness Program & solar panel Sell Over:

This is the main phase. Here our manpower along with their supervisors will promote this
awareness buildup about solar panel energy and continue supply of electricity.

Solar Panel will be sold out throughout the period. And for set up in right place and other related
knowledge will be provided to the customers by them.

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(J) Report & Revenue Collection:

This is the last phase. Here we will collect the reports of the total awareness building program
and set up procedure from our supervisors. And collect all the revenues to be collected. Our
estimated selling price of the solar panel is 27500 Tk per piece.

3.2 WBS of Project Solar Energy:

For our proposed project, the WBS will be as follows:

Solar Panel Energy Project

Approval Fund CollectionPrinting BrochuresLocation Selection

Manpower Selection Manpower Buying Solar Awareness
Panelscheduling
Program Program &
& Distribution Report
Panel&set
Revenue
up Collection
Training

Solar panel Installation

Awareness Program

Local Local District Power Board Supervision Group Leader Revenue Collectio
Report Project
District Commissioner
Govt. Authority

3.3 LRC of Project Solar Energy:

Our LRC will be as follows:

Responsibility Project Asst. Finance Strategic Event Relationship

Activity Manager Manager Manager Manager Manager Manager
Approval 3 2 5 4 4 1
Fund 1 2 2 3 4 2

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 Collection
Printing 6 5 4 3 1 2
Brochures
Location 6 2 5 3 1 2
Selection
Manpower 5 2 4 2 6 1
Selection
Manpower 5 2 4 1 6 2
Training
Program
Buying Solar 1 2 6 3 4 4
Panel
Program 5 2 4 1 6 2
Scheduling
&
Distribution
Installation 1 2 2 2 6 2
of Solar
Panel
Report & 1 2 6 5 2 4
Revenue

Key
1=Primary Responsibility
2=Support/Work
3=Must be consulted
4=May be consulted
5=Review
6=Final Approval

Descriptions of key team members:

Serial Name: Designation

01 Julkur Knine Bahlull Project Manager
02 Rahim Karim Assistant Manager
03 Prapti Saha Relationship Manager
04 Nazmul Hossain Event Manager
05 Md. Raihan Imran Strategic Manager

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 06 Auwal Kabir Joi Event Manager
07 Quddus Kabir Finance Manager
08 Rafiq Mahbub Relationship Manager
09 Md. Ariful Islam Assistant Manager
10 Rojina Khatun Strategic Manager
11 Pakir Alam Event Manager
12 Monira Binte Ahsan Relationship Manager

Project Manager is the main responsible person for the entire project. He will lead the project in
the entire time. But as per Linear Responsibility Chart he will distribute all the responsibility and
further review the whole process.

Assistant Manager’s main responsibility is to make sure all the activities are doing well and
giving support and work for all other managers.

Financial Manager will be the record tracker of all the financial activities of this project. Any
amount of money will in and out from the project by his responsibility. He will be the primary
responsible person for any sorts of financial problem and miss management.

Strategic Manager will play a key role to make decisions about what should be done in different
situation. S/he will provide all sorts technical support to the team.

Event Manager’s main job is to implement the project in the route level. S/he will be responsible
for the on Field programs to be conducted in the selected locations.

Relationship Manager will keep contact will all the stakeholders of this project and collect all
sorts of permissions. S/he will be responsible for the communication of the parties.

All these managers will work together as a team. They will lead and supervise the manpower and
make the project Completed.

3.4 Gantt Chart for the Project

11

14
21

23

25

28
29

31
32

38
39
40
10

12
13

22

24

26
27

30

34
36

Activity Start End Durati

1
2
4
5
6
7
9

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Approval 5 days
Fund 5 days
Collectio
n
Printing 2 days
Brochure
s
Location 10 days
Selection
Manpow 8 days
er
Selection
Manpow 5 days
er
Training
Program
Buying 4 days
Solar
panel
Program 2 days
Schedulin
g&
Distributi
on
Awarene 6 days
ss
Program
& solar
panel
Report & 2 days
Revenue

3.5 Building the Project by Activity On Node (AON)

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3.6 Calculation of Critical Path

Critical Path for our Project would be calculated as:

(i) ABC = 5 + 5 + 2 = 12 Days
(ii) ABGHIJ = 5 + 5+ 4 + 2 + 7 + 2 = 25 Days
(iii) ABDGHIJ = 5 + 5+ 10 + 4 + 2 + 7 + 2 = 35 Days
(iv)ABDEF = 5 + 5 + 10 + 8 + 5 = 33 Days
So, the longest path is ABDGHIJ = 35 Days
So, Critical Path of our Project is ABDGHIJ.

Figure: Critical Path

3.7 Calculation of Slack for the Project

As per the formula of Slack = LST - EST or LFT – EFT, the slack times will be as follows:

Activity Duration LST EST LFT EFT Slack Critical

Path*
A 5 0 0 5 5 0 *
B 5 5 5 10 10 0 *
C 2 33 10 35 12 23 -
D 10 10 10 20 20 0 *
E 8 22 20 30 28 2 -
F 5 30 28 35 33 2 -
G 4 20 20 24 24 0 *
H 2 24 24 26 26 0 *
I 7 26 26 33 33 0 *
J 2 33 33 35 35 0 *

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If the slack times are plotted on AOA with Critical Path it will be as follows:

Figure: AON with Slack Time

3.8 Crashing Algorithm: (Cost Time Trade-off the Project)

Incremental cost is calculated as follows:

Crash cost−Normal cost

Incremental cost = │
Crashtime −Normaltime

Activity Predecessors Normal Crash Incremental

Cost
Time Cost Time Cost
A - 5 4000 4 5000 1000
B A 5 8000 3 10000 2000
C B 2 9000 1 11000 2000
D B 10 15000 7 20000 5000
E D 8 12,50000 6 1340000 90000
F E 5 5000 4 6000 1000
G B, D 4 175,000 3 185000 10000

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 H G 2 6000 1 5000 1000
I H 7 2000 6 5000 3000
J I 2 1000 1 1000 0
Total 50 1495000 36 1588000 93000

Here our normal time is 50 days that costs 1495000 taka and crash time is 36 that cost 1588000
taka in total if all activities are crashed. But our critical path is ABDGHIJ with 35 days.
So we will start from the critical path of ABDGHIJ that requires 35 days of completion.
Network Diagram (Using Crash Time)

Critical Path Calculation with Normal Crash

Figure: AONTime:
with Normal Crashed Time

(i) ABC = 4 + 3 + 1 = 8 Days

(ii) ABGHIJ = 4 + 3 + 3 + 1 + 6 + 1 = 18 Days
(iii) ABDGHIJ = 4 + 3 + 7 + 3 + 1 + 6 + 1 = 25 Days
(iv) ABDEF = 4 + 3 + 7 + 6 + 4 = 24 Days

So the critical path with normal Crash time is ABDGHIJ = 25 days

The project can be committed in anywhere from 35 to 25 days at a cost of Managing from
1,495000 to 1588000.

It is impossible through time cost trade off or crashing.

There are some procedure of the steps which should maintain at the time of crashing.

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In our project, the critical path is ABDGHIJ and the cost of crash by 1 day is 5000 for A, 10000
for B, 11000 for C, 20000 for D, 1340000 for E, 6000 for F, 185000 for G, 5000 for H, 5000 for
I and 1000 for J.

Crashed B by 2 and J by 1 day:

Now crashed D by 3, A by 1 and H by 1 day:

Now critical path is,

(i) ABC = 4 + 3 + 2 = 9 days

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 (ii) ABGHIJ = 4 + 3 + 4 + 1 +7 + 1 = 20 days
(iii) ABDGHIJ = 4 + 3 + 7 + 4 + 1 + 7 + 1 = 27 days
(iv) ABDEF = 4 + 3 + 7 + 8 + 5 = 27 days

So, now ABDGHIJ = ABDEF.= Critical Path

So, more crashing is not possible.

Cost of Normal Schedule plus Total Crashing Cost:

Element Amount
Normal Schedule Cost 1495000
A crashed 1 day at 2000 2000
B crashed 2 days at 1000 2000
D crashed 3 days at 1667 5000
H crashed 1 day at 1000 1000
I crashed 1 day at 3000 3000
Total 1508000

Saving Cost
Element Amount
Normal Crash Schedule 1588000
Minimum Crash Schedule 1508000
Total Savings 80000

3.9 PERT for the Project

For our project, the time estimate under various situations will be as follow. Using the above
formula of mean & variance, the results are as below:

Activity Predecessor Time Estimate Activity Statistics

s Optimistic Most Pessimistic Mean Variance
TO Likely TP TE
TM
A - 2 5 7 4.83 .69
B A 3 5 6 4.83 .25
C B 1 2 3 2 .11
D B 5 10 12 9.5 1.36
E D 6 8 10 8 .44
F E 3 5 7 5 .44
G B, D 2 4 8 4.33 1
H G 1 2 5 2.33 .44

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 I H 5 7 9 7 .44
J I 1 2 4 2.16 .25

Plotting the Mean value we get the Mean Path as follows:

Critical Path Mean:

(i) ABC = 4.83 + 4.83 + 2 = 11.66 Days
(ii) ABGHIJ = 4.83 + 4.83 + 4.33 + 2.33 + 7 + 2.16 = 25.48 Days
(iii) ABDGHIJ = 4.83 + 4.83 + 9.5 + 4.33 + 2.33 + 7 + 2.16 = 34.98
Days
(iv) ABDEF = 4.83 + 4.83 + 9.5 + 8 + 5 = 22.66 Days
So, longest path of mean is ABDGHIJ = 34.98 Days.
So, the Critical Path Mean is ABDGHIJ.

Calculation of Slack & Critical Path in PERT:

Activity Duration LST EST LFT EFT Slack Critical
path*
A 4.83 0 0 4.83 4.83 0 *
B 4.83 4.83 4.83 9.66 9.66 0 *
C 2 32.98 9.66 34.98 11.66 23.32 -
D 9.5 9.66 9.66 19.16 19.16 0 *
E 8 21.98 19.16 29.98 27.16 2.82 -
F 5 29.98 27.16 34.98 32.16 2.82 -
G 4.33 19.16 19.16 23.49 23.49 0 *
H 2.33 23.49 23.49 25.82 25.82 0 *
I 7 25.82 25.82 32.82 32.82 0 *
J 2.16 32.82 32.82 34.98 34.98 0 *

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Variance of the critical path is
õ2 = .69 + .25 + 1.36 + 1 + .44 + .44 + .25
= 4.43
Standard Deviation of Critical Path Time,
S.D. = √4.43 = 2.104
At 5% level of significance, the probability of completing the project within 40 days is,
Z = (Specified Time – Path Mean) / Path S.D.
= (40 -34.98) / 2.104
= 2.38
From Z value table, the probability is 0.9913 or 99.13% that is confidence of completion the
project within 40 days is 99.13%.

3. Cost Benefit Analysis:

Here we will analyze the financial, economic and social cost benefit analysis by various
statements as follows:

4.1 Financial Cost Benefit Analysis:

Estimated Income Statement:

Cash Inflow: Amount (Tk) Amount (Tk)

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 Sales (28500 * 50) 1425000
Total 1425000

Cash Outflow: Amount (Tk) Amount (Tk)

Solar panel Purchase (25000 * 50) 1250000
Wage (Manpower Honorarium) 50000
Advertisement (Printing Brochures) 4000
Transportation Cost 10000
Miscellaneous Expenses 20000
Total 1334000
Net Income 91000

So, the project will generate a profit of 91000 Tk at the end of the project.

Here, these assumptions are taken:

(a) There is no Interest cost. Money will be generated from self financing.
(b) Time value of money is ignored as the project life is very short time.
(c) Project manager’s remuneration has been ignored. As the project managers are the
project owners also. So they will enjoy the profit only.
(d) Tax and Tax benefit bosth have been ignored.

So, the Financial NPV of the Project = Present value of Cash Inflow – Initial Cash Out Flow

= 1425000 – 1250000

= 91000 Tk

So, the project will add value to the project owners by 91000 Tk as soon as the project is
implemented.

4.2 Economic Cost Benefit Analysis:

As our project is based on tree plantation which is both economically and ecologically highly
valuable, we assumed that it will produce high economic value to our economy.

Also Palmyra tree has many economic use which have been written earlier in the economic
feasibility study, we can assume that it will provide a long term economic benefit to it’s
stakeholders.

So though the project is financially ordinary project but economically it’s a highly valuable
project.

Page | 29
Our estimation of economic value of the project is as follows:
Economic Value
Here, Commodity Specific Conversion Factor = CSCFi =
Financial Price

Cash Inflow: CSCF Amount (Tk) Amount (Tk)

Sales (28500 * 50) 2.00 2850000
Total 2850000

Cash Outflow: Amount (Tk) Amount (Tk)

Solar panel Purchase (25000 * 50) 1.2 1530000
Wage (Volunteer Honorarium) 1.5 50000
Advertisement (Printing Brochures) 0 0
Transportation Cost 1.0545 10545
Miscellaneous Expenses 1.6 32000
Total 1622545
Net Cash Flows 1227455

So, the project will generate a net cash flow of 1227455 Tk in the economy.

So, the Economic NPV of the Project = Present value of Cash Inflow – Initial Cash Out Flow

= 2850000– 1530000

= 1227455Tk

So, the project will add value to the economy by 1227455 Tk as soon as the project is
implemented.

4.3 Social Cost Benefit Analysis:

By using UNIDO approach we can calculate the Social Cost Benefit of the Project. As we have
seen before the economic value of the project is much higher than the financial value of the just
because of high economic feasibility of the project, here again we will see that the high social
feasibility of the project it will generate higher SCBA too.

Stage 1: Calculation of Financial Profitability of the project:

Here NPV will be,

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Here,

Vt = Value of outputs at market price at time t

Ct = Value of inputs at market price at time t

K = Discount Rate

T = Lifetime of the project or It’s Product’s Life time

I0 = Initial cost at the start of the project.

The project is viewed as financially feasible if NPV > 0.

Say, Vt = 1425000 Tk

Ct = 1227455 Tk

K = 10%

T = 22 years

I0 = 1250000 Tk

So, the NPV will after calculation = 349767.22 Tk.

Stage 2 : Obtaining The net benefit of the project at Economic (Shadow) price:

Now we will Calculate the benefit of the project from social point of view:

Here ,

Here,

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 Vt = Shadow price of Benefit at time t

Ct = Shadow price of Operating Expenses at time t

K = Social Discount Rate

T = Lifetime of the project

I0 = Initial cost at the start of the project.

So, Vt = 2850000Tk

Ct = 1622545Tk

K = 10%

T = 22 years

I0 = 1250000 Tk

So, after calculation we will get Social benefit or Social NPV = 1507879 Tk.

So, we can say that the project has a ver high social benefit ratio.

5. Conclusion

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Page | 33
3.2 WBS of Project Solar panel energy:

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For our proposed project, the WBS will be as follow:

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Page | 36
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