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2 more rental power plants get nod for 5-yr extension

Monday, 3 March 2014


The Cabinet Purchase Committee approved on Sunday proposals of the Power Division to extend contracts with two more rental power plants to purchase electricity for next five (5) years, reports UNB.
These two power projects are Max Power Ltd's 78.5 MW plant at Ghorasal in Narsingdi and DPA Power Generation's 50 MW plant at Pagla in Narayanganj.
After the cabinet body's nod, the government will need to pay a total of Tk 44.08 billion to the two private power companies in next five years of which the DPA Power will get Tk 35.02 billion while the Max Power will get Tk 9.06 billion for sale of electricity at 80 per cent plant factor.
Under the approved proposal, the DPA Power's tariff was raised to Tk 19.99 per unit from the existing Tk 13.96 per unit while Max Power's tariff was lowered to Tk 3.29 per unit, a 39.15 per cent cut over the existing tariff.
At present, the state-owned PDB purchase each unit of electricity from the Max Power's gas-fired 78.5 MW plant at Tk 5.41 per unit while at Tk 13.96 per unit from the Bangladesh Army-operated DPA's diesel-fired 50 MW plant.
Earlier, the government extended the agreement of a number of rental and quick rental power plants last year, which drew strong criticism from the power sector experts who blamed the rental plants as the main reason for rising power tariff.
On Sunday, the Cabinet Purchase Committee approved nine proposals including appointment of a South Korean contractor to implement a mega project for water supply in Khulna city.
The South Korean firm, Hyosung Goodsprings will increase the water supply and treatment capacity of Khulna Water Supply and Sewerage (KWASA) by another 110 million litres a day, installing pumps at a cost of Tk 521.34 crore.
At present, KWASA could hardly supply 30 million litres of water per day through pipeline connections by 32 large pump stations and 42 mini pumps. Another 90 million litres of water is also supplied by its 10,000 hand tube-wells.
Under the project, an impounding reservoir would be built to preserve 775,200 cubic metres of water during the dry season.
According to official sources, now KCC's only 37 percent areas out of 45.60 sq km are covered by the Khulna Water Supply and Sewerage Authority (KWASA), depriving huge population of one of the old and major cities of the country of safe drinking water facility.
The other proposals approved by the Cabinet Purchase body include procurement of 35 transformers for Rural Electrification Board (REB); appointment of consultant for Upazila ICT and Training Centre project; construction of a 950-metre girder bridge over the Dharala River in Kurigram district and capital dredging on Barisal-Barguna-Patharghata river route.