Power Div to get highest allocation in next ADP
Saturday, 14 May 2011
FE Report
The government is likely to allocate Tk 71.75 billion in fund to the Power Division in the development budget for 2011-12 fiscal, 46 per cent up from the current year's outlay, officials said Wednesday. Planning ministry officials said they have given the highest allocation to the Power Division with an aim to improve the power situation. The state-run Power Division in the current annual development programme (ADP) has received Tk 49.16 billion funds, the second highest outlay after the Local Government Division, for improving the electricity supply. "In the next fiscal year, the Power Division will get the highest allocation in power generation followed by upgrading distribution and transmission systems throughout the country," a planning ministry official told the FE. He said different power generation bodies -- Power Development Board, Electricity Generation Company of Bangladesh, North West Power Generation Company Ltd. and Ashuganj Power Station Company Ltd -- will get Tk 45.95 billion funds. Besides, the state-owned electricity distribution companies will get Tk 17.50 billion allocations and the lone transmission company PGCB will bag Tk 8.30 billion funds for upgrading the supply facilities in the next fiscal. "We've given power development the highest priority in the next development budget as the country needs to generate some 7000-megawatt power by 2012. Simultaneously, the supply facilities will have to be upgraded," the planning commission official said. He said: "We have considered the fund requirements of the Power Division very positively. We hope, the division will utilise the next year's outlay properly." A Power Division official said, "Since Bangladesh needs huge investment for developing the ailing power sector, we have sought Tk 71.75 billion funds in the next year." Out of its Tk 71.75 billion fund demand, the division has requested for Tk 50.76 billion from the government's own resources, Tk 20.40 billion from the external resources and Tk 586 million from the Japan Debt Cancellation Fund (JDCF). The state-owned power generation companies have undertaken dozens of power generation schemes for adding 2046mw additional power to the national grid by 2012. As per government plan, the private sector will also add additional 2375mw of power to the national grid by 2012. Besides, the government-run companies have also undertaken dozens of transmission and distribution-line expansion and upgrading projects to ensure smooth electricity supply to the growing customers. Bangladesh, one of the energy-starved countries in the world, with its eight per cent electricity demand growth per year has supply shortage of over 1000mw electricity a day. The electricity shortage has badly affected the country's industrial and real estate sectors as many investors are waiting for getting electricity connections after their investment. Currently, Bangladesh can supply nearly 4500mw of electricity a day against the demand for over 5500mw.
The government is likely to allocate Tk 71.75 billion in fund to the Power Division in the development budget for 2011-12 fiscal, 46 per cent up from the current year's outlay, officials said Wednesday. Planning ministry officials said they have given the highest allocation to the Power Division with an aim to improve the power situation. The state-run Power Division in the current annual development programme (ADP) has received Tk 49.16 billion funds, the second highest outlay after the Local Government Division, for improving the electricity supply. "In the next fiscal year, the Power Division will get the highest allocation in power generation followed by upgrading distribution and transmission systems throughout the country," a planning ministry official told the FE. He said different power generation bodies -- Power Development Board, Electricity Generation Company of Bangladesh, North West Power Generation Company Ltd. and Ashuganj Power Station Company Ltd -- will get Tk 45.95 billion funds. Besides, the state-owned electricity distribution companies will get Tk 17.50 billion allocations and the lone transmission company PGCB will bag Tk 8.30 billion funds for upgrading the supply facilities in the next fiscal. "We've given power development the highest priority in the next development budget as the country needs to generate some 7000-megawatt power by 2012. Simultaneously, the supply facilities will have to be upgraded," the planning commission official said. He said: "We have considered the fund requirements of the Power Division very positively. We hope, the division will utilise the next year's outlay properly." A Power Division official said, "Since Bangladesh needs huge investment for developing the ailing power sector, we have sought Tk 71.75 billion funds in the next year." Out of its Tk 71.75 billion fund demand, the division has requested for Tk 50.76 billion from the government's own resources, Tk 20.40 billion from the external resources and Tk 586 million from the Japan Debt Cancellation Fund (JDCF). The state-owned power generation companies have undertaken dozens of power generation schemes for adding 2046mw additional power to the national grid by 2012. As per government plan, the private sector will also add additional 2375mw of power to the national grid by 2012. Besides, the government-run companies have also undertaken dozens of transmission and distribution-line expansion and upgrading projects to ensure smooth electricity supply to the growing customers. Bangladesh, one of the energy-starved countries in the world, with its eight per cent electricity demand growth per year has supply shortage of over 1000mw electricity a day. The electricity shortage has badly affected the country's industrial and real estate sectors as many investors are waiting for getting electricity connections after their investment. Currently, Bangladesh can supply nearly 4500mw of electricity a day against the demand for over 5500mw.