Coal Exploration and Coal Based Power in Bangladesh
42 months have passed since present government of grand alliance assumed state power. Government could just
sign contract with a local first timer company Orion Group for setting up 3 major imported coal based power
plants with a total capacity of 1087MW.With only 18 months left in the current term of the present government
it is highly unlikely that major works of the project can be completed within December 2013. If there is new
government the projects may run into hot waters as there still remains lots of issues and challenges for
imported coal based power plants in Bangladesh. Government would have done much better to start mining of own
high quality sweet coal and advance mine mouth power generation.
Government and power plant developer expect that the power plants at Rampal, Bagerhat and Anowara, Chittagong
will be on stream within 36 months and the plant at Maowa, Munshiganj may be commissioned in 45 months. It has
been told that coal will be imported from Indonesia and Australia and issues related to transportation of coal
to plants and emissions from coal plants have been professionally investigated and addressed.
Dr Tawfique-e-Elahi Chowdhury BB, Prime minister Advisor has termed the signing of the agreements as milestone.
True it is .When something is done for the first time anywhere is a milestone. But we would have acknowledged
and appreciated Dr Tawfiques statement if he would have said this at the inauguration of the power supply from
these plants after 36 months ie June 2015. There are still many issues of challenges of imported coal based
power plant in Bangladesh. It may not be at all easy for an inexperienced developer to successfully implement
such projects.
Import of coal to Bangladesh by sea is a huge challenge for lack of port infrastructure and shallow draft of
port channel. Neither Chittagong, nor Mongla port has required draft for even smallest size of coal carrier to
enter; neither port has coal handling and temporary storage facilities. Moreover most of the river routes of
Bangladesh do not have all season navigability. Handling of self burning coal must not be confused with any
other commodity. Anchoring mother vessels at deep sea and transshipment through ligtherage vessels may not be
feasible as it is thought now. The transshipment of huge amount of coal [10 thousand tons a day] for
interrupted operation of the power plants will require deployment of a large fleet of ligtherage vessels. One
must also think about obvious pollution and fire hazards of coal during transportation. How coal from deep sea
will be continuously transported to Maowa from Chittagong and Mongla?
We hope PDB and Power Ministry has carefully examined the feasibility studies for the imported coal based power
plants and have scrutinized the Environmental Impact Assessment Studies of the initiatives. Mr Obaidul Karim
has talked about advanced “Supercritical Technology” to limit emissions from the power plants. We have seen the
so called Zero emissions power plants at mine mouth of open pit coal mine at Tarong and Swanbank in Queensland
Australia . These however, could not ensure so called “Zero Emissions “as yet .Hence there is no reason to
believe that the Supercritical technology would bring required control over emissions in Bangladesh. The plant
at Rampal, Bagerhat may impact the Sundarban Mangrove forest, the world heritage. We hope PDB and Power
Division of MOEMR took this into consideration .The concept of clean coal technology still remains a myth till
now.
What will be the quality of coal? At what price it will be imported from Indonesia and Australia?
Power Plant Implementation Time Power Tariff
Maowa, Munshiganj 45 Months 5.8497 cents /KWH
Rampal , Bagerhat 36 Months 5.4072cents/ KWH
Anowara , Chittagong 36 Months 5.4214cents/KWH
FOB price of quality coal for supercritical technology, transportation and storage of huge volume of coal,
uninterrupted inland transportation costs may make it very challenging to arrive at the tariff that has been
agreed in the agreement. However, if it happens that will be much better than relying on imported coal based
quick rental plants.
There will be a change in government in 2014. There is no guarantee that present government will be there for
another term. If the investor fail to complete financial closure and start construction before the expiry of
the term the implementation of the projects may become uncertain.
Dr Tawfique mentioned about commencement middle term planning of Government’s mega plan. We welcome that. From
what we have observed about implementation of several large Gas and dual fuel based major power plants awarded
to local Summit Group and GE JV we are not sure about successful implementation of the projects discussed here.
Experts believe that mining own coal and setting up mine mouth based power plants could be much better option.
Perhaps policy makers are caught in the trap of coal mafia syndicate which could successfully confuse policy
makers about myths of mining coal. It is very unfortunate to even imagine that while 150 Million people of
Bangladesh suffers from diabolic energy supply situation Bangladesh can afford the luxury of keeping its black
gold buried below surface.
Dr Tawfique in his last mail exchange with the author talked about underground water management of Bangladesh
coal mining. We have studied it very professionally. We have eye witnessed successful implementation of water
management. There are well proven technology for it. Internationally accredited consultants examined and
evaluated application of technology for Phulabri coal mine.Perhaps Bangladesh never sincerely tried to evaluate
that. Geology, soil condition of overburden, very thick multilayer coal seams makes Barapukuria and Phulbari
mines the most ideal candidates for modern surface mining to recover about 95% coal in place. The affected
mining community can be adequately compensated; relocated and rehabilitated .Their income can be rehabilitated.
At the end of mining most of them may be allowed to return to rehabilitated mined areas. Dr Tawfique is very
smart .There is no reason to believe that he does not understand this and there is no reason that he cannot
convince Prime Minister Hasina about confronting challenges of mining own coal.
We will look forward to how government manages itself in improving power supply situation over the next 18
months. It may become single largest factor of winning or losing the next general election. People of
Bangladesh do not make mistakes . It is not possible to foll all, all the time.
https://www.energybangla.com/2012/06/28/2229.html#.T-2wmpGebiQ