Coal-based Power Plants Planned in Bangladesh

The government of Bangladesh has decided to go for construction of coal-based power plants from 2014 to phase out costly rental power projects.

This is meant to reduce power generation cost and government subsidy in the sector.

This was disclosed at a meeting of the Parliamentary Standing Committee on public undertakings held at Sangsad Bhaban yesterday with its chief ABM Ghulam Mostafa in the chair.

The committee was informed that the government subsidy in power sector this year is being projected at more than Tk 4,000 crore as the existing power plants use costly imported oil.

The committee recommended ensuring transparency in setting up quick rental power plants and taking effective measures to realise due power bills from government institutions.

According to a presentation of the of Power Development Board, the amount of PDB's due bills from different government institutions exceeds Tk 1,500 crore in the fiscal 2009-2010.The presentation said there will be no load-shedding from 2013 as power generation and its demand will be equably that time.The government has signed agreements to set up 43 power plants in the last two and a half years, and almost all the plants will be set up by 2014.