Deal-making gets nod

Bangladesh expects to begin soon importing 40 megawatts of hydroelectricity from Nepal after signing a tripartite deal with India to use its transmission line as a cabinet body Tuesday gave the go-ahead.
The Cabinet Committee on Government Purchase (CCGP) gave the approval for the buy of electricity from Nepal that costs Tk 8.17 per unit, alongside endorsing several other purchases at dollar-denominated prices.
As approved, the import of the electricity during a period of five years will cost Tk 6.5 billion.
Finance Minister Abul Hassan Mahmood Ali chaired the meeting held at the cabinet division.
Briefing reporters after the meeting was over, cabinet division secretary (Coordination and Reform) Mahmudul Hossain Khan said the committee approved a proposal of the Power Division to import the electricity under direct-purchase method.
"As the proposal got approval," he said, "Bangladesh Power Development Board (BPDB) will now sign a tripartite deal with Nepal Electricity Authority (NEA) and NTPC Vidyut Vyapar Nigam Limited (NVVN)."
However, replying to a query, he said date for signing the deal was yet to be fixed.
Mr Khan said the Prime Minister may visit Nepal soon and the power deal may be signed then.
Earlier in December last year, the Cabinet Committee on Economic Affairs approved in principle the import of 40MW electricity from Nepal. Thereafter, the BPDB floated an international tender and Nepal Electricity Authority (NEA) and NTPC Vidyut Vyapar Nigam Limited (NVVN) submitted proposals in this regard.
The government imports electricity from India, too, and buys from private power producers to cater domestic demand. Power-purchase deals with them under a special law involve capacity payment.
In Tuesday's meeting, the CCGP also approved 14 other proposals that include import of fertilisers, lentils and soybean oils.
Under one purchase approved, Bangladesh Chemical Industries Corporation (BCIC) will import 30,000 tonnes of urea fertiliser from Qatar Chemical and Petrochemical Marketing and Distribution Company (Muntajat) with each tonne costing US$311.67.
Also, BCIC has been the all-clear to import 30,000 tonnes of urea fertiliser from Karnaphuli Fertiliser Company Limited (KAFCO) by spending $294.63 per tonne.
Mr Khan said the committee also approved a proposal regarding the procurement of 25,000 tonnes of TSP fertiliser by Bangladesh Agricultural Development Corporation (BADC) from Tunisia. Each tonne will cost $395.25 in this import.
The agricultural corporation has also been authorised to import 40,000 tonnes of MOP fertiliser from Canadian Commercial Corporation-each tonne costing $275.50.
Moreover, it got the go-ahead to import 40,000 tonnes of DAP fertiliser from OCP Morocco at a cost of $478 per tonne.
The Trading Corporation of Bangladesh (TCB) has been given approval for buying 20,000 tonnes of lentils from Nabil Naba Food Products Limited through open-tender method where each kilogram will cost Tk 102.50.
Under yet another purchase approval, the TCB will buy 22 million litres of soybean oil from Super Oil Refinery Limited-per litre costing Tk 150.90--to sell to needy people.

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