Foot-dragging on finalisation of coal policy
Friday, 18 November 2011
Bangladesh has at the moment only one coal-fired power plant at Barapukuria. The plant has been set up by a company from the People's Republic of China, the world's largest producer of coal-based power.
Bangladesh has, five coal fields with around 2.55 billion tonnes of proven reserves. But it is unable to extract them until a national coal policy has been finalised.
The previously elected government prepared first a draft of the coal policy. Then the caretaker government held half a dozen open meetings with stakeholders. But the draft policy could not be finalised because of controversy, particularly surrounding the mining method.
A draft coal policy is now being reviewed by the present government. But there has been a great debate whether Bangladesh should pursue open-pit coal mining or underground mining to extract the coal for meeting its requirements in power generation.
Bangladesh has otherwise substantial deposit of quality coal. It is now extracting coal from one coalmine at Barapukuria following the traditional method. The extraction of coal from a large coalmine at Phulbari has remained stalled due to controversy over the method of coal extraction.
In the absence of an official coal policy, experts as well as politicians have been engaged in a heated debate over the methods of coal extraction---open-pit or traditional tunnel systems. The open-pit extraction ensures nearly full exploitation of the coal reserve but not without a cost. It displaces population settlements, destroys arable land and causes other environmental degradation.
It seems that for fear of political fallouts, the government has been dragging its feet on the issue of coal extraction from the Phulbari coalmine. But according to experts, the time is running out fast.
The government has to make a firm decision on the Phulbari coal and should start extracting it as early as possible. This is all the more necessary not for earning foreign currency by exporting coal but for using the same for generating power.
Real experts in the line have for long been suggesting to the government to finalise the coal policy without any further delay through political consensus for setting up of coal-based power plants to address the power crisis.
There is no denying the need on the part of the government to go sooner than later for coal-based power plants, preferably through a political understanding for finalising the coal policy.
Bangladesh may have many options for power generation. But coal should be its best option in the present perspective as the country is still unsure about the prospects for going in full swing for offshore exploration of gas and also about discovering gas reserves there, on a commercially viable basis.
With its over 2.0 billion tonnes of coal reserve, this country can generate 10,000 MW electricity for next 50 years.
The relevant parliamentary standing committees were earlier reported to have recommended that coal from the country's five mines should immediately be extracted for producing energy. They suggested to the ministry concerned to find ways to extract coals at "minimum cost". Unfortunately, such committees have not yet made any mention of the environmental aspects of coal extraction and also did find it expedient (or, convenient) not to make any specific recommendation about which particular mining methods -- open-pit or underground - should be chosen.
Energy-hungry Bangla-desh does, however, need to use coal immediately for power generation, a precondition for development. Despite this, the ministry concerned has been playing a wait-and-see game about making right decisions in right time so far as its finalisation and submission of a report on the proper method of coal extraction from the fields is concerned.
As long as it does so, Bangladesh will have to wait for years to exploit coal in its five readily exploitable coal fields at Barapukuria, Phulbari, Khalashpir, Dighi-para and Jamalganj.