Dhaka, Moscow inkN-power plants deal

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FE ReportThe government Wednesday signed an inter-governmental agreement with Russia for construction of the country's two nuclear power plants to generate 1,000 megawatts (mw) of electricity from each of the plants at Rooppur in Pabna. State Minister for Science and Information & Communication Technology Yeafesh Osman and Director General of Russian State Atomic Energy Corporation (Rosatom) Sergey V Kirienko signed the landmark deal in front of Prime Minister Sheikh Hasina at her office Wednesday morning. "This is a landmark deal. It will help eliminate electricity crisis and develop overall economy," Osman said in a joint press briefing after signing the agreement. The move to construct the nuclear power plants is part of the government's mega plan to generate 20,000 mw of electricity by 2021, he said. Country's overall electricity generation is about 5,000 mw against the demand for more than 6,500 mw. Russia will supply necessary fuel for the entire life of the nuclear power plants, Kirienko told newsmen in the press briefing. Spent fuel will be taken back to Russia, he said. Russia will also support developing necessary legislation and cooperate in development of nuclear science and technology in Bangladesh, Kirienko said. Unlike the Fukushima reactors of Japan, the planned nuclear power plants will be earthquake and tsunami-protected, he said. Five key new safety systems will be installed and a state-of-the-art cooling system will be there to divert heat from reactors and generators, said the Rosatom top official. Russia will provide state loan to implement the project, he said. An agreement between the finance ministry of Bangladesh and Russia will be signed in this connection, said Kirienko. Rosatom will act as the competent authority to implement the provisions of the deal for Russia, while Science and Information & Communication Technology Ministry will act as the authority for Bangladesh. Russian joint stock company 'Atomstroyexport' will act as contractor from Russian side, while Bangladesh Atomic Energy Commission will act as commission-contractor from Bangladesh side. The state minister expressed the hope that the construction work of the first nuclear power plant will start by 2012. It will cost around US$1.5 billion-$2.0 billion to build the plant. Construction of the second plant would be started at a later date. Although the capital cost to install the nuclear power plants would be higher, the per unit electricity cost would be less than that of fossil fuel, he said. The electricity to be generated from nuclear power plant would cost one-third of that of coal-fired power plants and one-fifth of gas-fired power plants, he added.