Int'l tender for 3 large IPP plants in July

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The caretaker government is likely to invite international tenders in July for setting up three large independent power producer (IPP) plants, each with 450 megawatt (MW) capacity, reports UNB.
The proposed plants, with about 1,350 MW total capacity, are 450 MW Meghnaghat phase-III, 450 MW Sirajganj combined cycle, and 450 MW Bibiana combined cycle.
The plants will be set up in the private sector on Build-Own-Operate basis.
Soon after assuming office, the present caretaker government, which inherited the countrywide nagging power crisis, moved swiftly to implement the projects with support from two donor agencies.
The country is experiencing its worst power crisis having a shortfall of between 1,500-2,000 MW against a demand of more than 5,000 MW.
According to official sources, the Power Cell, a reform-implementing agency of the Power Ministry, will invite international firms for pre-qualification (PQ).
On completion of PQ, the pre-qualified bidders will be asked to submit their technical and financial proposals through a Request for Proposal (RFP) format to be issued by the Power Cell.
The sources said the private sponsors would install the plants at their own cost and the government would purchase electricity from them for a 20-22 years term.
Asian Development Bank (ADB) will provide technical and financial support for the Meghnaghat Phase III and Sirajganj projects while the World Bank will give support for the Bibiana project.
Both ADB and the World Bank have already announced their financial commitment to support the projects to improve the power supply situation in the country.
An official of the Power Cell told UNB that they have already prepared respective pre-qualification documents for the three projects and sent those to the donor agencies for their opinions.
"After getting back the PQ documents with the donors' suggestions we will send those to the Power Ministry for approval… hopefully, we will invite PQ tenders within July 2007," he said.
The previous BNP-led alliance government had invited international tenders thrice for 450 MW Sirajganj project and also finalised formalities to award the 450 MW Meghnaghat phase-III project to a UK-firm based on its unsolicited offer.
But the present caretaker government cancelled the two projects on allegations of irregularities and corruption, and decided to go for fresh international tenders.
As per the plan of the Power Ministry, all the three plants will be implemented within two years and their commercial operation will start by November 2009.