Int'l group keen to invest $2-3b in power sector
Friday, 16 July 2010
FE Report
International Technical Consultant Consortium (ITC Consortium), a multi-country joint venture (JV), has proposed to invest US$ 2.0-3.0 billion in the country's power sector to build plants having the total generation capacity of 2,000 megawatts (mw).
The ITC Consortium, consisting funds from the US, China, Germany, Denmark and Czech Republic, has intended to build two 500-mw capacity coal-based power plants in Chittagong and Meghnaghat, 400-mw windmills and 600-mw solar power generation systems on turnkey basis.
The windmills totalling 200 units, having the generation capacity of 2.0-mw each, would be built at Patenga in Chittagong, ITC stated in its investment proposal.
In a letter to the Board of Investment (BoI), the consortium has recently shown keen interest to execute the projects jointly with the Bangladesh Power Development Board (BPDB).
It has offered 15 per cent stakes to the BPDB and expressed readiness to implement the projects within 3-4 years of signing the necessary agreements. The consumers would get electricity at affordable rates from the projects, ITC stated in its proposal.
The consortium also proposed to modernise the existing infrastructure and the age-old BPDB power plants.
Against their investment in the country the consortium sought similar facilities and incentive packages the independent power producers (IPP) are now enjoying. It also sought permission to buy or import construction materials and equipment irrespective of any source or country.
The BPDB should coordinate effectively with all the relevant agencies of Bangladesh, the consortium demanded.
"We have already sent the consortium's proposal to the energy ministry and the BPDB," said a senior BoI official. Neither the ministry nor the BPDB is yet to come up with the ITC's investment proposal, he added.
Bangladesh is now reeling under acute electricity crisis with the generation hovering around 3,800-mw against the demand for over 5,500-mw.
BPDB has estimated the country would require around $13 billion to generate around 10,000-mw of electricity by public and private sector within 2015.
International Technical Consultant Consortium (ITC Consortium), a multi-country joint venture (JV), has proposed to invest US$ 2.0-3.0 billion in the country's power sector to build plants having the total generation capacity of 2,000 megawatts (mw).
The ITC Consortium, consisting funds from the US, China, Germany, Denmark and Czech Republic, has intended to build two 500-mw capacity coal-based power plants in Chittagong and Meghnaghat, 400-mw windmills and 600-mw solar power generation systems on turnkey basis.
The windmills totalling 200 units, having the generation capacity of 2.0-mw each, would be built at Patenga in Chittagong, ITC stated in its investment proposal.
In a letter to the Board of Investment (BoI), the consortium has recently shown keen interest to execute the projects jointly with the Bangladesh Power Development Board (BPDB).
It has offered 15 per cent stakes to the BPDB and expressed readiness to implement the projects within 3-4 years of signing the necessary agreements. The consumers would get electricity at affordable rates from the projects, ITC stated in its proposal.
The consortium also proposed to modernise the existing infrastructure and the age-old BPDB power plants.
Against their investment in the country the consortium sought similar facilities and incentive packages the independent power producers (IPP) are now enjoying. It also sought permission to buy or import construction materials and equipment irrespective of any source or country.
The BPDB should coordinate effectively with all the relevant agencies of Bangladesh, the consortium demanded.
"We have already sent the consortium's proposal to the energy ministry and the BPDB," said a senior BoI official. Neither the ministry nor the BPDB is yet to come up with the ITC's investment proposal, he added.
Bangladesh is now reeling under acute electricity crisis with the generation hovering around 3,800-mw against the demand for over 5,500-mw.
BPDB has estimated the country would require around $13 billion to generate around 10,000-mw of electricity by public and private sector within 2015.