Imperative for taking early decision on extracting local coal

M Nurul Haque | Published: April 09, 2011 00:00:00 | Updated: February 01, 2018 00:00:00

M Nurul Haque
Bangladesh has five coal fields with around 2.55 billion tonnes of reserves but is unable to extract them until a national coal policy is put in place. Its major coal mines are in its northern region, having a total deposit of 2.5 billion tonnes of coal that have been estimated about the reserve in five such mines. A draft coal policy has been under review by the government for a pretty long time. Meanwhile, there has been a great debate whether Bangladesh should pursue open-pit coal mining or underground mining to extract the coal for meeting its requirements in power generation. But any further wastage of time on the coal extraction issue has no sound rationale. Extracting coal from Phulbari and making arrangements for setting up coal-based power plants are long overdue. Many private entrepreneurs will be interested in setting up the same. At present, there is only one coal-fired power plant at Barapukuria. The plant has been set up by a company from the People's Republic of China, the world's largest producer of coal-based power. Meanwhile, it has been stated by some important functionaries of the government that that Prime Minister Sheikh Hasina had directed to finalize the coal policy as early as possible, as the country needs alternative energy sources to produce electricity. An open discussion on the draft coal policy was earlier expected to take place, involving different stakeholders for finalizing the policy on a priority basis. The controversy has been raging over the coal policy for the past several years. Why is then the need afresh for holding another meeting with stakeholders? It is true every government has its own policy and philosophy. The investment issues, local people's concern and electricity generation have to be taken into consideration while finalizing the coal policy. The previous Bangladesh Nationalist Party (BNP)-led government had prepared first a draft of the coal policy and then the caretaker government held half a dozen open-meetings with stakeholders but could not finalize the draft because of controversy surrounding the mining method and fixation of royalty. It remains hardly contestable that the only feasible option left before the country is the setting up of coal-based power plants. In this context, it is different to understand what purpose would be served by holding yet another round of discussions with the stakeholders on the draft coal policy. Bangladesh has substantial deposits of quality coal. It is now extracting coal from one coalmine at Barapukuria through the traditional method. The extraction of coal from another large coalmine at Phulbari has, however, been put on hold due to the controversy over the method of coal extraction. In the absence of an official coal policy, experts as well as politicians are now engaged in a heated debate over the methods of coal extraction -- open-pit or traditional tunnel systems. The open-pit extraction ensures nearly full exploitation of the coal reserve but not without a cost. It displaces population settlements, destroys arable land and causes other environmental degradation. For fear of political fallouts, the government has understandably been dragging its feet on the issue of coal extraction from the Phulbari coalmine. But, according to experts, time is running out fast. The government has to make a firm decision on the Phulbari coal and start extracting the same as early as possible. This is all the more necessary not to earn foreign currency by exporting coal but to start using the same for generating power. It may be recalled here that different speakers at a recent roundtable in the city, suggested the government to finalize the coal policy immediately through political consensus for setting up of coal-based power plants to address the power crisis. A broad consensus that emerged out of deliberations by experts at their round-table has been in favour of going for coal-based power plants through a political understanding for finalizing coal policy. All concerned do need to appreciate the logic in the context of stark realities in the country's energy sector and should refrain themselves from any action in the name of a movement to resist extraction of coal, in the so-called 'interest of the country'. The government's activities for fixing the problems in the country's energy sector must not be obstructed on any illogical ground. Bangladesh might have many options for power generation, but coal should be its best option in the present perspective, because it is not in a position at this stage to go for offshore exploration of gas immediately. The country with its over 2.0 billion tonnes of coal reserve can generate 10,000 MW electricity for next 50 years, according to some relevant experts. Immediate extraction of coal from the five mines, specially from the much-talked-about Phulbari coal field, will hardly cause any serious damage. Rather, it will help augment energy supplies which the country needs now on a priority basis for its sustained socio-economic growth. Meanwhile, efforts can be made to find appropriate ways for extracting coal at "minimum cost". Energy-hungry Bangladesh does, no doubt, need coal immediately for power generation, a precondition for development.