Cabinet body approves extension of power import from India

FE Team | Published: March 14, 2018 23:51:44

Import agreement of 250-MW electricity from Indian open market received extension for another six months as Cabinet Committee on Public Purchase approved a proposal on Wednesday, reports UNB.
The committee also approved proposals to set up 162 MW dual-fuel power plant at Manikganj in private sector and renewal of the government's existing power purchase agreement with 110 MW NEPC power plant at Haripur of Narayanganj.
Some other proposals also received the nod of the committee from its meeting in the city with Finance Minister AMA Muhith in the chair.
Indian firm Power Trading Corporation of India (PTC India) has been supplying 250 MW of electricity from Indian open market to Bangladesh since February 2016 under an existing contract originally signed in November 2013.
On the expiry of that contract in July 2016, it was extended thrice - each time for six months.
The last 6-month extension was made in August 2017 which was expired on January 31 this year.
After the expiry, the PTC India placed its offer to PDB for another extension.
On completion of negotiation between the two sides, the tariff of electricity was fixed at US Cents 0.0764 per kilowatt hour (equivalent to Tk 5.98), down from earlier rate of US Cents 0.774 (equivalent to Tk 6.06).
They said that under the existing understanding between Dhaka and New Delhi, the import of electricity from Indian open market will be on short time basis of maximum six months.
Bangladesh has been importing about 650 MW of electricity of which 250 MW under the government-to-government agreement on a long term basis, 250 MW from Indian open market, mostly by private producers.
This 500 MW is coming from West Bengal through Bheramara Grid Substation while the remaining 160 MW is being imported from Tripura through grid substation at Comilla.
The Cabinet Committee gave approval to a proposal of the Consortium of Chanzhou Hu Tang Coal Power Co. Ltd, China and Icon Enterprise Ltd, Bangladesh and Chase Power Ltd, Bangladesh to set up a 162 MW dual-fuel power plant in Singair of Manikganj.
It was learnt former cricket captain and ruling party lawmaker Naimur Rahman represents the consortium, which would sell electricity to the government at Tk 8.2368 per unit (each kilowatt hour) for net 15 years.
The NEPC Consortium's 110 MW barge mounted power plant received approval for two years extension of its contract with state-owned Power Development Board (PDB) under which it will sell each unit of electricity at Tk 15.44.
The committee gave approval to Local Government Engineering Department (LGED)'s tender proposal to award contract to Navana to construct a 600 meter bridge on Kaliganga river at Tk 1.15 billion (115.4 crore), and Roads and Highway Division's tender proposal to upgrade a local highway from Comilla Tomson Bridge to Noakhali Begumganj at Tk 1.94 billion. Some other contractors won the contracts.
The National Housing Authority's proposal to increase the construction cost of 130 housing flats at Lalmatia to Tk 414.7 million from original cost of Tk 327.7 million got approval.