5 more coal-fired power plants endorsed

The government has approved installation of five more coal-fired power plants amid widespread criticism over the Rampal Thermal Plant near the Sundarbans.

Rampla

Each unit from these plants, with production capacity between 1,500MW and 2,500 MW, will cost between Tk 6 and 7.

The Cabinet Committee on Government Purchase approved the proposal on Sunday.

Of the five proposed plants to be constructed on Build-Own-Operate (BOO) basis, the Orion Group will construct three and S Alam Group two.

Finance Minister AMA Muhith said the contractors would bear costs for construction, coal import and power production.

The government will buy power from these plants at Tk 6 to 7 per unit.

Backing the decision, he said, “We must produce power using coals as it is the cheapest (raw material). We are trying to utilise it.”

Sunday’s meeting approved tenders to appoint sponsors for setting up these plants.

Coal is being increasingly used for power generation in many countries. The Power Secretary had said nearly 41 percent of power produced in the world came from coal while Bangladesh used it to generate less than one percent of its total power.

The government struck a deal with India to set up the 1,320MW plant at Rampal, 14 kilometres from the Sundarbans.

The foundation stone of the plant will be laid on Oct 22, which the National Committee for Protecting Oil-Gas-Mineral Resources and Power, Ports has vowed to thwart. The BNP has also thrown its weight behind the protesters.

Orion Group will construct two of its plants in Dhaka and another in Chittagong. The two plants of S Alam Group will be constructed in Chittagong and Barisal.

“We approved the plants on BOO basis. The companies will construct the plants and manage coal,” Muhith said of the plants.

Meanwhile, the Cabinet Committee also nodded a proposal to appoint a Russian contractor firm to complete the first phase of the Rooppur Nuclear Power Plant Project.

The contractor will complete the work with $265 million.

Muhith said the government went for the project with Russian funding and technical assistance considering all risks.

Source: bdnews24