Summary:

The government recently gave the green light for the establishment of two solar power plants and the import of 40 megawatts of power from Nepal through the Indian grid, using the direct purchase method. These decisions were made in separate meetings of the Cabinet Committee on Economic Affairs and the Cabinet Committee on National Purchase, both of which were presided over by Finance Minister AHM Mustafa Kamal virtually. Additionally, procurement proposals for liquefied natural gas, fertilizer, and soya bean oils were also approved.

Content:

During an online briefing, Mr. Sayeed Mahbub Khan, Additional Secretary of the Cabinet Division, announced that two solar power plants will be established in Bangladesh. The first plant will be built jointly by Renewable Energy UK Ltd, Badal Construction Ltd and G-Tech Solution Ltd in Basail, Tangail. This plant will sell each unit of electricity to the government for Tk 10.99, and the agreement will last for 20 years. The second proposed solar power plant will be built by KAI Bangladesh Aluminium Ltd and Altech Aluminium Industries Ltd in Sadar Upazila, Cox’s Bazar. This plant will generate 100MW of power and sell each unit of electricity to the government for Tk 10.98 for 20 years. 

The establishment of a waste-based and a solar-based power plant has been approved by the government in the past week. To increase the generation of power from renewable sources, the government has given approval for the establishment of five solar power plants and three waste power plants since 2021, with the first approval granted in September 2023. The country’s average power generation capacity is 12,000 megawatts, but currently, only 87MG of power are being added to the national grid daily, which is less than 0.7 per cent. Mr.  Mahbub Khan announced that Bangladesh would import power from Nepal via India’s electricity grid, making it the third country in the power purchase agreement to be made under the direct purchase method. The cabinet committee on purchases has approved separate proposals for the procurement of 33.60 lakh MMBtu LNG, 2.40 lakh metric tonnes of fertilizer, and 2.2 crore litres of soya bean oils. 

Petrobangla has agreed to purchase liquefied natural gas (LNG) from M/S Total Energies Gas and Power Ltd of Switzerland at a cost of Tk 691.73 crore. The Bangladesh Agricultural Development Corporation and the Bangladesh Chemical Industries Corporation will procure fertilizers from Qatar, Saudi Arabia, the UAE, and Morocco. Soya bean oil will be supplied by a Romanian company at a cost of Tk 155, and the Trading Corporation of Bangladesh will sell the edible oil at a subsidized price for low-income groups. The cabinet committee on purchase has also approved the proposed Terminal Use Agreement between Petrobangla and Summit Oil and Shipping Company Ltd. The agreement entails a daily fee of $3 lakh from the government to the company for setting up the third floating LNG terminal at Maheskhali in Cox’s Bazar, which will have a daily capacity of 600 MMCF. 

Picture and Article Sources: The New Age Bangladesh