FE Today Logo

Probing Irregularities In Power Plant Deals

A year on, committees yet to submit reports

M AZIZUR RAHMAN | September 03, 2025 00:00:00


Nearly a year after they were formed, two committees -- set up to investigate irregularities in power-plant deals and renegotiate what critics describe as "exorbitant" tariff rates -- have still not submitted their reports to the government.

Neither committee has provided a clear timeframe for completing its work, officials familiar with the process said, raising concerns over transparency in the sector already under scrutiny for inefficiency and inflated costs.

The Power Division under the Ministry of Power, Energy and Mineral Resources formed the committees amid widespread allegations of high capacity payments, excessive tariffs, and questionable operation and maintenance costs.

Most of the contracts under investigation were signed under the "controversial" Quick Enhancement of Electricity and Energy Supply (Special Provision) Act 2010, amended in 2021 and annulled in November 2023. The law had allowed the government to award unsolicited contracts to private firms to quickly expand power generation.

The first committee, formed in September 2024 and widely referred to as the national committee, is headed by retired High Court judge Moinul Islam Chowdhury.

The committee is responsible for scrutinising whether government interests were protected in deals inked under the special law and is empowered to gather information from any source and summon individuals or institutions for hearings.

The second committee, formed in January 2025 and headed by Dr Md Kamrul Ahsan, a retired professor of Bangladesh University of Engineering and Technology (BUET) and distinguished professor at Green University of Bangladesh, was tasked with renegotiating tariff rates. Its aim is to reduce overall power-purchase costs and ease the debt burden of the state-run Bangladesh Power Development Board (BPDB).

Initially, both committees appeared active, requesting necessary data from concerned agencies. However, sources said their activity has slowed significantly over time.

Within months of starting work, the national committee sought detailed information on 11 major power plants, including: Adani's Godda 1,496 MW coal-fired plant (India); Meghnaghat 583 MW dual-fuel plant; Baghabari 200 MW diesel-fired plant; Potuakhali 150 MW HSFO-fired plant; Ashuganj 150 MW HSFO-fired plant; Manikgonj 162 MW HSFO-fired plant; Kodda 300 MW HSFO-fired plant; Mongla 100 MW solar plant; Sundarganj 200 MW solar plant; Lalmonirhat 30 MW solar plant; and Sutiakhali 50 MW solar plant.

The committee also recommended hiring a renowned international legal and investigative firm to assist in evaluating major contracts, but no such firm has yet been engaged.

Despite preliminary data collection, neither committee has submitted its report to the Power

Division.

"We are yet to get any committee report," Power and Energy Adviser Muhammad Fouzul Kabir Khan told The Financial Express on Monday.

He expressed hope that the committees would submit their findings soon.

Until the reports are submitted, potential savings from renegotiating power contracts remain uncertain, while BPDB continues to struggle with rising subsidies and debt.

azizjst@yahoo.com


Share if you like