Govt taking up two more power distribution line expansion projects

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FHM Humayan Kabir The government is going to take up two more power distribution line expansion schemes in the rural areas investing Tk 31.30 billion amid electricity supply shortfall in the country, officials said Wednesday. The state-owned Rural Electrification Board (REB) has already undertaken another distribution line expansion project across the country costing Tk 55 billion, which is now waiting for approval of the Planning Commission (PC). Power Division officials said they have been looking for funds for the two new projects aimed at installing 4,585 kilometres of distribution lines in Dhaka, Chittagong and Sylhet divisions. "The REB has taken up two distribution projects though it has already undertaken a similar kind of scheme involving Tk 55 billion to connect 1.8 million new consumers amid power supply shortage," a Power Division official told the FE. He wondered why and how the state-owned rural power distributor will implement similar kind of projects with its limited implementation capacity since it is in the process of implementing the largest distribution line expansion project across the country. In addition, the REB is implementing seven such kinds of projects at a total cost of Tk 37.33 billion for expanding 0.175 million km distribution lines to connect nearly 1.5 million consumers which will require a few more years to complete, the official added. Another Power Division official said: "We have requested the Economic Relations Division (ERD) to search for funds from donors for the two new proposed projects." According to a project proposal, the REB has planned to install 1,727 km of distribution lines and set up 37 sub-stations of 3311kv capacity at a cost of Tk 10.97 billion by fiscal year (FY) 2015-16 in Chittagong and Sylhet divisions. In another proposal, it has proposed to install 2,858 km of lines and set up 3311kv capacity 37 substations in Dhaka division at a cost of Tk 20.32 billion by FY 2015-16. The PC has already asked the Power Division not to take up any less important and unjustified project to cut pressure on the government resources at this moment. When contacted a senior PC official said: "Such kinds of distribution line expansion projects are nothing but political ones. The REB undertakes the schemes following pressure from members of parliament (MPs) and political leaders." "Since the government is facing fund crisis, it is difficult for the PC at this moment to approve any less important and unjustified projects," he said requesting anonymity.