Power infrastructure projects in Bangladesh

[Maisson]

Govt to set up 16 power plants having 19,100MW capacity

Independent Online /BSS

In a major boost to power sector, thegovernment has undertaken a scheme for setting up 16 power plants having19,100 megawatt (MW) electricity generation capacity in the country.

“Plan is underway to install 16 power plants having 19,100 MW generation capacity …Construction of the plants will start in phases,” State Minister
for Power, Energy and Mineral Resources Nasrul Hamid told BSS here on Wednesday.

Currently, the country’s power generation capacity reaches 22,787 MW while private sector installed power plants having 8,730MW electricity generation
capacity, he said, adding, “We are working for sustainable and uninterrupted power supply with affordable price.”
Nasrul said since assuming to power in 2009, the Awami League led government has constructed 124 new power plants having capacity of 14,986 MW
after taking time-befitting, realistic and sustainable steps.

“Currently about 95 percent people of the country were brought under power coverage. And this has been possible due to bold and dynamic leadership of
Prime Minister Sheikh Hasina,” Nasrul said. According to the power ministry officials, the government is importing electricity from India since 2013 and 1,160 MW electricity is being importeddaily. The government augmented generation of power, expanded transmission
lines, distribution lines and improved capacity of other sectors to further raise the economic growth up to Bangladesh’s becoming a middle income country
by 2021.

He said the government has been implementing a master-plan to generate 24,000-MW electricity by 2021, 40,000-MW by 2030 and 60,000-MW by 2041, to
improve the livelihood of all sections of the people, particularly the poor and vulnerable communities.
“The power and energy ministry has been working relentlessly for building “Sonar Bangla” as dreamt by Father of the Nation Bangabandhu Sheikh Mujibur
Rahman and Prime Minister Sheikh Hasina is pledge-bound to make “Digital Bangladesh” by ensuring access to power for all citizens by 2021,” the state
minister said.

Earlier, only 27 power plants with a mere 4,942 MW capacity were in the country when Prime Minister Sheikh Hasina took office in 2009.
Currently the number of power consumers rose to 3.60 crore and per capita electricity generation is now 510 kWh and the annual development programme
allocation Taka 28,862 crore in 2019-20 for power sector development. The government successfully brought down system loss to 9.35 percent from 14.33 percent.

[TigerShark]

Should we be really building coal based powerplant at a time when many nations are abandoning this power technology?

[sibghat_99]

20 minutes ago, TigerShark said:

Should we be really building coal based powerplant at a time when many nations are abandoning this power technology?

We don't really have a choice at this stage.

[AntiDalal]

On 1/24/2020 at 4:11 PM, TigerShark said:

Should we be really building coal based powerplant at a time when many nations are abandoning this power technology?

While I agree that building more of such coal fired powerplants will be detrimental to the environment and won't help with improving air quality, one has to think about it with a realistic mindset.... Bangladesh alongside many other countries of the world haven't yet reached that level of advancement and development that they can write off cheap and effective methods of power generation such as coal fired powerplants.

However, I must say they should build these only after assessing the potential ecological damage and I completely disagree with building the powerplants near Sundarbans.

[Dark Carnage]

Instead of investing so much in power generation, I think its time we start investing in power transmission and distribution sector. Currently, Bangladesh has a total generation capacity of around 19GW while our distribution capacity is around 13GW. So, I think investing more in power generation now is unnecessary now.

[Darth Nihilus]

6 hours ago, Dark Carnage said:

Instead of investing so much in power generation, I think its time we start investing in power transmission and distribution sector. Currently, Bangladesh has a total generation capacity of around 19GW while our distribution capacity is around 13GW. So, I think investing more in power generation now is unnecessary now.

As far as reports say, power transmission projects are going side by side with power generation projects. It takes time to build powerplants and comparatively no time to build transmission lines. The gap needs to be there to account for especially higher rates of power consumption (ex: summertime compared to winter). Safe to say the numbers are for estimating total capacity and not that Bangladesh churns out that many watts everyday.

[Dark Carnage]

13 minutes ago, Darth Nihilus said:

As far as reports say, power transmission projects are going side by side with power generation projects.

But they are already behind.

 

14 minutes ago, Darth Nihilus said:

The gap needs to be there to account for especially higher rates of power consumption (ex: summertime compared to winter).

When the total transmission capacity  is 13GW, how will they sustain the higher consumption than that.

 

15 minutes ago, Darth Nihilus said:

Safe to say the numbers are for estimating total capacity and not that Bangladesh churns out that many watts everyday

Yes, the 19GW is the total generation capacity where the maximum production so far is around 12.5GW. And the main reason we do not produce more is we do not have the capacity to take that much electricity to the consumers. But demand is there. The only reason villages are still suffering from load-shedding is the poor condition of distribution network.       

[Darth Nihilus]

1 minute ago, Dark Carnage said:

But they are already behind.

 

When the total transmission capacity  is 13GW, how will they sustain the higher consumption than that.

 

Yes, the 19GW is the total generation capacity where the maximum production so far is around 12.5GW. And the main reason we do not produce more is we do not have the capacity to take that much electricity to the consumers. But demand is there. The only reason villages are still suffering from load-shedding is the poor condition of distribution network.       

I'm sure you know about the state of the power distribution board. eventually they are gonna reach everyone, it is just going to take time. 

[Dark Carnage]

My point is, when they are not being able to transmit and distribute the current electricity available, what is point of further investment in generation?

[Dark Carnage]

@Darth Nihilus see why I am against the construction of any new power plant-

পায়রা পুরোদমে চালু হলে বন্ধ রাখতে হবে ছোট বিদ্যুৎকেন্দ্রগুলো

পটুয়াখালীতে এবছরই পুরোদমে চালু হবে দেশের সবচেয়ে বড় পায়রা বিদ্যুৎকেন্দ্র। দু’টি ইউনিটের মধ্যে এরই মধ্যে একটি ইউনিট পরীক্ষামূলক উৎপাদন শুরু করেছে। দ্বিতীয় ইউনিট উৎপাদনে আসার কথা চার মাস পর। সব মিলিয়ে বিদ্যুৎকেন্দ্রটির উৎপাদনক্ষমতা দাঁড়াবে ১৩২০ মেগাওয়াট। পুরোদমে কেন্দ্রটি চালু হলে খুলনা ও বরিশালের সব বিদ্যুৎকেন্দ্র বন্ধ রাখতে হবে বলে সংশ্লিষ্ট সূত্রে জানা গেছে।

পিডিবি সূত্রে জানা গেছে, খুলনা ও বরিশালে এখন মোট বিদ্যুৎকেন্দ্র রয়েছে ১৬টি। এর মধ্যে খুলনায় ১০টি, বরিশালে ছয়টি। এছাড়া কুষ্টিয়ার ভেড়ামারা দিয়ে প্রতিদিন এক হাজার মেগাওয়াট বিদ্যুৎ ভারত থেকে আমদানি করা হচ্ছে। এর বাইরে বাগেরহাটের রামপালে নির্মাণাধীন বিদ্যুৎকেন্দ্রের প্রথম ইউনিট আগামী ডিসেম্বরে উৎপাদনে আসার কথা রয়েছে।

প্রসঙ্গত, করোনা ভাইরাসের জন্য পায়রা বিদ্যুৎকেন্দ্রে কাজ করা চীনের প্রকৌশলীরা বাংলাদেশে এখনও আসতে পারেননি। তারা কবে আসতে পারবেন তাও জানা যায়নি। এ কারণেই দ্বিতীয় ইউনিটের উৎপাদন শুরু করা যায়নি।

খুলনা জোনে মোট ১০ বিদ্যুৎকেন্দ্রের মধ্যে ভেড়ামারায় ৬০ ও ৪১০ মেগাওয়াট, ফরিদপুরে ৫০ মেগাওয়াট, গোপালগঞ্জে ১০০ মেগাওয়াট, খুলনায় ২২৫ ও ১১৫ মেগাওয়াট, নোয়াপাড়ায় ১০০ মেগাওয়াট, রূপসায় ১০৫ মেগাওয়াট, মধুমতিতে ১০৫ মেগাওয়াট ক্ষমতাসম্পন্ন বিদ্যুৎকেন্দ্র রয়েছে। এসব কেন্দ্র ছাড়াও ভেড়ামারা সাবস্টেশন দিয়ে ভারত থেকে আসছে ১০০০ মেগাওয়াট। ফলে এই জোনের বিদ্যুৎকেন্দ্রগুলোর উৎপাদনক্ষমতা ২ হাজার ৩২৮ হলেও এখন বিদ্যুৎ উৎপাদনক্ষমতা ২ হাজার ৩১৪ মেগাওয়াট। যদিও এখন সেখান থেকে চাহিদা অনুযায়ী মাত্র ১ হাজার ৪৩৯ মেগাওয়াট বিদ্যুৎ সরবরাহ করা হচ্ছে। ফলে ৮৯৫ মেগাওয়াট বিদ্যুৎ অলস পড়ে আছে।

বরিশাল জোনের ছয়টি বিদ্যুৎকেন্দ্রের মধ্যে আছে বরিশালে ৪০ ও ১১০ মেগাওয়াট, ভোলায় ৩৩, ২২৫ ও ৯৫ মেগাওয়াট। এই কেন্দ্রগুলোর বর্তমান উৎপাদনক্ষমতা ৪৬২ মেগাওয়াট। কিন্তু গ্রিডে দেওয়া হয় মাত্র ২৫০ মেগাওয়াট। অর্থাৎ এখনই বিদ্যুৎ পড়ে থাকে ২১২ মেগাওয়াট।

পিডিবির প্রতিদিনের চাহিদার হিসাব অনুযায়ী খুলনা ও বরিশাল জোনের বিদ্যুতের চাহিদা যথাক্রমে ১ হাজার ১০৩ এবং ২৩৯ মেগাওয়াট। ফলে সবমিলিয়ে দুই জোনের ১৬টি বিদ্যুৎকেন্দ্রের উৎপাদনক্ষমতা এখন ২ হাজার ৭৭৬ মেগাওয়াট। এর বিপরীতে মোট চাহিদা ১ হাজার ৩৪২ মেগাওয়াট। এই অবস্থায় পায়রা বিদ্যুৎকেন্দ্রের দু’টি ই্উনিট চালু হলে এই বাড়তি বিদ্যুৎ যদি অন্য এলাকা সরবরাহ করা না যায় তাহলে হয় পায়রা বিদ্যুৎকেন্দ্র বন্ধ রাখতে হবে নইলে ওই এলাকার প্রায় সব বিদ্যুৎকেন্দ্র বন্ধ রাখার মতো পরিস্থিতি তৈরি হবে।

এ বিষয়ে জানতে চাইলে পাওয়ার সেলের মহাপরিচালক মোহম্মদ হোসেইন বলেন, ‘পায়রা চালু হলে ছোট ছোট বিদ্যুৎকেন্দ্র বন্ধ করে দেওয়া হবে। যেহেতু সে এলাকায় চাহিদা কম সেহেতু একটি বড় কেন্দ্র চালু হলে ছোট কেন্দ্রগুলোর আর প্রয়োজন হবে না।’

পায়রার বিদ্যুৎ সঞ্চালনে দু’টি সঞ্চালন লাইন করা হচ্ছে। একটি পটুয়াখালী (পায়রা) থেকে গোপালগঞ্জ পর্যন্ত ১৬০ কিলোমিটারের ৪০০ কেভির ডাবল সার্কিট লাইন। অন্যটি পায়রা-পটুয়াখালী ২৩০ কিলোভোল্টের (কেভি) ৪৭ কিলোমিটারের লাইন। এর মধ্যে গোপালগঞ্জ পর্যন্ত লাইনটি চালু হয়েছে। এই লাইনের মাধ্যমে পায়রা হতে পটুয়াখালী সদর-বরগুনা-ঝালকাঠি-বরিশাল-মাদারীপুর হয়ে গোপালগঞ্জ জেলার মুকসুদপুর উপজেলায় নবনির্মিত ৪০০/২৩০ কেভি গ্রিড উপকেন্দ্রে সংযুক্ত হয়েছে। কিন্তু এই দুই সঞ্চালন লাইনের মাধ্যমে দেশের দক্ষিণ পশ্চিমাঞ্চলেই বিদ্যুৎ দেওয়া যাবে। এর বাইরে দিতে হলে আলাদা সঞ্চালন লাইন করতে হবে বলে সংশ্লিষ্টরা জানান।

[Rezwan12]

Payra power plant set to become economic burden on Bangladesh

Emran Hossain | Published: 00:06, Mar 14,2020 | Updated: 00:47, Mar 14,2020

The country’s largest Payra 1320 MW Thermal Power Plant is likely to become an economic burden as it nears commercial operation with transmission facilities still not in place.

Bangladesh will need to pay about Tk 160 crore in capacity charge every month as half of the generation capacity of the plant will remain unused until the installation of the transmission line, Payra power plant project officials said.

The installation of the 84 km 400 kv double-circuit transmission line connecting the power plant to Aminbazar in Dhaka is scheduled to be completed in June 2021, they said.

The first unit of the power plant with 660 MW generation capacity began its test run in January 2020. The 660 MW second unit is scheduled to follow suit in March.

The Payra power plant project, launched in March 2016 following a Bangladesh-China joint venture, will end in June 2020, following which the commercial operation will begin.

The first one of the 23 half-yearly instalments of $1.98 billion loan is due in six months after the commercial operation begins.

‘We are in a very bad situation,’ said Payra project director Shah Abdul Moula.

‘We are not only unable to contribute to the national grid and run at full capacity due to lack of transmission line but also the existence of power plant itself is at stake,’ he said, sharing the experience of the test run of the first unit.

Test operation usually runs for three months to synchronise a power plant with the national grid before commercial operation was started.

In the test run, the first unit of the plant could never reach its full generation  capacity because of low capacity transmission line, said the project director.

The transmission line built by Power Grid Company of Bangladesh for transmission of electricity from the Payra power plants tripped at least thrice, the recent one being on February 9.

The unit’s highest generation was 530 MW but it largely fluctuated between 200 MW and 400 MW.

The coal-based Payra power plant is a baseload power plant and was built to operate over a long period of time without any interruption, Shah Abdul Moula said.

‘Unlike peaking power plants, baseload power plants take a while to pick up its generation and cannot be stopped all of a sudden,’ he said.

Tripped electrical line results in sudden fluctuation of electrical frequency which may hurt the turbine and the boiler of the baseload power plant, he explained.

The first unit of the power plant had already suffered damage because of tripped transmission line, he said.

The 400 kv transmission line installed for the transmission of power from Payra was originally designed to be double circuit to tackle tripping and ensure reliable power supply.

In the first phase, the Power Grid Company of Bangladesh constructed 168 km double circuit power transmission line from Payra to Gopalganj but could use only one of the two circuits.

Power grid company officials said that their Gopalganj substation, meant to distribute a part of the electricity generated by the Payra power plant among some north-western areas such as Gopalganj, Madaripur and Fairdpur, was not yet prepared to handle double circuit line.

The 132 kv distribution lines running from the Gopalganj substation are old lines and highly susceptible to tripping, said Power Development Board officials.

Bangladesh-China Power Company managing director AM Khurshedul Alam said that half of their capacity would remain unused until the transmission line was fully prepared.

‘We were aware of it from the very beginning and planned accordingly, but delayed construction of transmission line continued holding us back,’ he said.

The Power Grid Company of Bangladesh still needs to build 84 km double-circuit 400 kv transmission line from Gopalganj to connect the Payra power plant to Aminbazar in Dhaka.

Power grid company managing director Golam Kibria said that they would not be able to complete the task until April 2021.

‘We are already late. But we are working hard to minimise further losses of the government,’ he said.

The Power Grid Company officials involved in transmission line construction projects said that they had had a 14-month late start of their fast phase of work because of lack of fund.

They said that for a long time they could secure foreign investment for commencing first phase of work and the government refused to invest.

The government eventually invested but only after much delay, they said.

The first phase of the project built transmission line from Payra to Gopalganj and ended seven months behind the schedule.

The Power Grid Company took the excuses of difficulty in reaching remote areas with heavy electric equipment and stretching lines across rivers in justifying the delay.

In the second phase, the Power Grid Company would need to build 7.5KM line across the river Padma for which they are completely relying on the Padma Bridge Authorities.

The Payra power plant is a joint venture between the state-owned North-West Power Generation Company and China National Machinery Import and Export Corporation.

The Bangladesh-China Power Company was formed to implement the $2.48-billion project. The Bangladesh-China Power Company got 80 per cent of the investment as loan from the Chinese Export Import Bank at 2.98 per cent interest.

Power Development Board chairman Mohammad Belayet Hossain said that being the lone buyer of power they were surely headed for a bad time if Power Grid Company of Bangladesh failed to build transmission line before commercial operation of the power plant was under way.

‘In that case the Payra power plant is going to be a burden and would only increase the government’s power subsidy,’ said Belayet Hossain.

 

https://www.newagebd.net/article/102134/payra-power-plant-set-to-become-economic-burden-on-bangladesh

[Kamikaze]

Bangladesh’s power sector set to face financial crisis

The complications will arise due to overcapacity of coal- and LNG-based production, says a study

Bangladesh’s plan for significant coal- and LNG-fired power plant additions will lock the nation into substantial overcapacity, with major financial implications, says a study.

The Sydney-based study, which predicted this, was released by the Institute for Energy Economics and Financial Analysis (IEEFA) on Monday.

The ongoing Covid-19 crisis will also make the situation worse as it is lowering power demand significantly, said the study.

Bangladesh already recorded excess power generation with only 43% capacity utilization in 2018-19 financial year.

This pre-Covid-19 low usage rate had resulted in Tk900 crore capacity payments for power plants sitting idle, necessitating both government subsidies and electricity price hikes for consumers, the study found.

It warned that the Covid-19 pandemic’s impact will also mean long term power demand will be lower than the forecast, making overcapacity by 2030 worse if the current plan for coal- and LNG-based power capacity additions is continued.

“Based on our own forecast of power demand growth, which takes the economic impact of Covid-19 into account, we calculate that Bangladesh is on course to have capacity that can generate 58% more power than the nation needs by 2030,” said Simon Nicholas of IEEFA, the lead author of the study.

“A long-term switch from cheap domestic gas towards more expensive imported coal and LNG, combined with the severe, long term overcapacity Bangladesh is on course for is likely to see subsidies continue to rise,” he said.

The study also found that the power tariffs for consumers can also be expected to go up.

It drew stunning similarities to the rapidly escalating financial crisis of the Bangladesh Power Development Board (BPDB), resulting from existing overcapacity whilst pushing forward with completion of the coal-fire Payra thermal power plant.

Half the capacity of Payra plant will sit idle forcing the BPDB to make additional payments of Tk160 crore (or $19 million) per month, said the study.

The research suggested that it was high time for Bangladesh to consider more appropriate, modular renewable energy (without capacity payments) and grid investments to meet lower demand growth, and reduce the overall system cost, while improving domestic energy security and resilience.

It also found that the country had suitable amount of land for renewables. The Covid-19 induced delay to coal-fired power projects is giving Bangladesh an opportunity to reset its energy development policy to enable the realization of “Vision 2041.”

[Kamikaze]

Idle power plants paid Tk 90b: study

Only 43pc output used

Emran Hossain | Published: 00:05, May 19,2020

A new study released on Monday by the US-based Institute for Energy Economics and Financial Analysis said that Bangladesh paid idle power plants Tk 90 billion in 2018–19 for it could use only 43 per cent of the generation capacity.

The economic downturn due to the COVID-19 crisis will cause a fall in the power demand pushing the already subsidised state-owned Power Development Board winto even deeper financial crisis, said the study.

‘Based on our own forecast of power demand growth, which takes the economic impact of COVID-19 into account, we calculate that Bangladesh is on course to have capacity that can generate 58% more power than the nation needs by 2030,’ said a press release quoting Simon Nicholas of IEEFA, the lead author of the study report.

The report published online misforecasts from Bangladesh’s power sector master plan that aimed at developing power capacity-based expensive fuels such as imported coal and LNG responsible for throwing the country into such a situation.

The state minister for power, energy and mineral resources Nasrul Hamid said that Bangladesh’s generation capacity was greater than required due to technical reasons.

‘The power demand changes cosiderably because of high seasonal variation in the country,’ said Nasrul.

He said that it is normal to have the capacity to generate 22,000 MW when the demand is about 12,000 MW.

He also said that Bangladesh could not afford to switch to renewable energy because of establishment costs and lack of available land needed for running solar power plants.

The report said that Indonesia followed a similar power sector development plan and saw a 75 per cent increase in subsidy that rose to $5 billion in 2018.

The IEEFA predicted that the Indonesian government’s subsidy would likely rise to $7.2 billion next year.

The study said that if Bangladesh continued pursuing the misleading power sector development plan with the establishment of all the planned coal-based power plants the resulting overcapacity would require the government and the consumers spend more on power.

The study said that a part of the impending power sector disorder already got manifested in the 1,320 MW Payra Power Plant, which is set to count Tk 160 crore a month as capacity payment for half its capacity not used.

The ideal reserve power margin is 10 to 20 per cent but the power sector master plan of Bangladesh has decided to keep it at 25 per cent, the study added.

Still, the master plan said, the reserve power margin would reach as high as 69 per cent in 2020, noted the study.

The study said that Bangladesh failed to achieve the power growth as forecasted in the power sector master plan and the coronavirus crisis only worsened the situation by slowing down the economic growth.

The state-owned power company of Indonesia, PLN, already predicted a 15 per cent fall in its annual revenue income because of the coronavirus crisis while Bangladesh is also faced with revenue crisis, said the study.

The IEEFA study said that in 2015–16 the power sector subsidy stood at $28 billion in Bangladesh and it kept rising ever since.

The PDB estimated that it would lose Tk 90 billion in 2020–21. Bangladesh increased power tariff eight times in last decade.

The IEEFA said that the coronavirus crisis slowing down the construction of coal-based power plants offered Bangladesh an opportunity to look back at its power policy and re-evaluate it.

It said that overcapacity became a problem in countries such as Pakistan, India, Indonesia and Egypt where the governments were showing growing interest in clean energy.

‘The COVID-19 induced delay to coal power projects gives Bangladesh an opportunity to reset energy development policy and redirect resources to support economic fundamentals and energy price stability to enable the realization of ‘Vision 2041’, said the study.

[Dark Carnage]

The quick rentals and all other oil-base plants needed to be shut down ASAP. Within next three years, all big power plants (Rooppur, Rampal, Matarbari etc) will be active so all the private plants with the capacity less than 200MW should be shut down gradually.

At the same time, a lot of money should be spent on the transmission and distribution network upgradation projects. 

[sibghat_99]

1 hour ago, Kamikaze said:

Idle power plants paid Tk 90b: study

Only 43pc output used

Emran Hossain | Published: 00:05, May 19,2020

A new study released on Monday by the US-based Institute for Energy Economics and Financial Analysis said that Bangladesh paid idle power plants Tk 90 billion in 2018–19 for it could use only 43 per cent of the generation capacity.

The economic downturn due to the COVID-19 crisis will cause a fall in the power demand pushing the already subsidised state-owned Power Development Board winto even deeper financial crisis, said the study.

‘Based on our own forecast of power demand growth, which takes the economic impact of COVID-19 into account, we calculate that Bangladesh is on course to have capacity that can generate 58% more power than the nation needs by 2030,’ said a press release quoting Simon Nicholas of IEEFA, the lead author of the study report.

The report published online misforecasts from Bangladesh’s power sector master plan that aimed at developing power capacity-based expensive fuels such as imported coal and LNG responsible for throwing the country into such a situation.

The state minister for power, energy and mineral resources Nasrul Hamid said that Bangladesh’s generation capacity was greater than required due to technical reasons.

‘The power demand changes cosiderably because of high seasonal variation in the country,’ said Nasrul.

He said that it is normal to have the capacity to generate 22,000 MW when the demand is about 12,000 MW.

He also said that Bangladesh could not afford to switch to renewable energy because of establishment costs and lack of available land needed for running solar power plants.

The report said that Indonesia followed a similar power sector development plan and saw a 75 per cent increase in subsidy that rose to $5 billion in 2018.

The IEEFA predicted that the Indonesian government’s subsidy would likely rise to $7.2 billion next year.

The study said that if Bangladesh continued pursuing the misleading power sector development plan with the establishment of all the planned coal-based power plants the resulting overcapacity would require the government and the consumers spend more on power.

The study said that a part of the impending power sector disorder already got manifested in the 1,320 MW Payra Power Plant, which is set to count Tk 160 crore a month as capacity payment for half its capacity not used.

The ideal reserve power margin is 10 to 20 per cent but the power sector master plan of Bangladesh has decided to keep it at 25 per cent, the study added.

Still, the master plan said, the reserve power margin would reach as high as 69 per cent in 2020, noted the study.

The study said that Bangladesh failed to achieve the power growth as forecasted in the power sector master plan and the coronavirus crisis only worsened the situation by slowing down the economic growth.

The state-owned power company of Indonesia, PLN, already predicted a 15 per cent fall in its annual revenue income because of the coronavirus crisis while Bangladesh is also faced with revenue crisis, said the study.

The IEEFA study said that in 2015–16 the power sector subsidy stood at $28 billion in Bangladesh and it kept rising ever since.

The PDB estimated that it would lose Tk 90 billion in 2020–21. Bangladesh increased power tariff eight times in last decade.

The IEEFA said that the coronavirus crisis slowing down the construction of coal-based power plants offered Bangladesh an opportunity to look back at its power policy and re-evaluate it.

It said that overcapacity became a problem in countries such as Pakistan, India, Indonesia and Egypt where the governments were showing growing interest in clean energy.

‘The COVID-19 induced delay to coal power projects gives Bangladesh an opportunity to reset energy development policy and redirect resources to support economic fundamentals and energy price stability to enable the realization of ‘Vision 2041’, said the study.

The claims from this particular article was given quite a detailed refutation on YPF. Here's the copy paste version: 
This is a misleading report and does not really capture the nuances of the power sector. For starters, IEEFA (the institute that conducted the study this news article refers to) is know to be a proponent of renewable energy and often manipulates their analysis to make conventional power generation look bad. Consider this quote from Simon Nicholas, the author of the study. "A long-term switch from cheap domestic gas towards more expensive imported coal and liquefied natural gas (LNG), combined with the severe, long-term power overcapacity Bangladesh is on course for, is likely to see government subsidies continue to rise”. He conveniently fails to mention that the switch to imported LNG is purely driven by depleting natural gas reserves. The report similarly fails to mention this fact as well. Past reports have also done a shoddy analysis of the sector in order to promote their renewable energy agenda. While promoting renewable energy is definitely appreciated, one should also take into consideration the market realities and cost implications. Conventional power will thus remain part of the energy mix, whether one likes it or not.

Now coming back to the point of 'unused capacity'. It is true that total installed capacity is higher than available demand at present. However, this is not the full picture. Most of the BPDB owned power plants, run by gas, are not modernized. Their average efficiency is around 30%. So even though their installed capacity is high on paper, they are able to churn out far less. BPDB has thus undertaken several projects, known as repowering projects, to equip these plants with modern engines to improve their efficiency and capacity. Fuel shortages are also another reason why many plants are not utilized to full capacity. The low efficiency of the power plants is why the sector uses the term 'available generation capacity', as opposed to total capacity. Available installed capacity remains below actual demand. So it would make sense to invest in adding to the generation capacity either through repowering projects or through new power plants.

[Dark Carnage]

25 minutes ago, sibghat_99 said:

Most of the BPDB owned power plants, run by gas, are not modernized. Their average efficiency is around 30%.

This is not true. Yes, some plants are running at a lower capacity but it is never 30%. Even at worst case, the efficiency is around 60-65%. And this case true for the plants which were commissioned before 2010. So this small amount does not affect the total generation capacity so much. According to the BPDB website, as of today, total generation capacity is 19630 MW and derated capacity is 19107 MW which is only 3% less.

 

36 minutes ago, sibghat_99 said:

Available installed capacity remains below actual demand. So it would make sense to invest in adding to the generation capacity either through repowering projects or through new power plants.

Event "available capacity" surpassed thetotal demand around 4-5 years ago. The only reason of loadshedding is the poor quality and inability of the transmission and distribution lines. For a long period, power transmission and distribution network was ngelected. Recently, a lot of distribution projects have been taken but most of them will be complete post 2025. No significant plans have been made for the power transmission lines still now. This is creating a bottleneck in the power system. Most of the plants are running at a lower capacity because the transmission and distribution network wouldnot be able to carry so much power. As a result, loadsheddings are still present in the country.

[Rezwan12]

মাতারবাড়ী বিদ্যুৎ কেন্দ্রের নিরাপত্তা নিশ্চিতে যৌথ মহড়া

সিনিয়র করেসপন্ডেন্ট | বাংলানিউজটোয়েন্টিফোর.কম

আপডেট: ১৯১১ ঘণ্টা, ডিসেম্বর ১৩, ২০২০

মাতারবাড়ী বিদ্যুৎ কেন্দ্রের নিরাপত্তা নিশ্চিতে যৌথ মহড়া

 

ঢাকা: কক্সবাজার জেলার মহেশখালী উপজেলায় মাতারবাড়ী ১২’শ মেগাওয়াট কয়লাভিত্তিক বিদ্যুৎ কেন্দ্রে নিয়োজিত দেশি-বিদেশি ব্যক্তিদের নিরাপত্তা নিশ্চিতে সশস্ত্র বাহিনী ও সংশ্লিষ্ট প্রতিষ্ঠানের সদস্যরা যৌথ মহড়া করেছেন। সেনাবাহিনীর তত্ত্ববধানে এই যৌথ অনুশীলন অনুষ্ঠিত হয়।

রোববার (১৩ ডিসেম্বর) আন্তঃবাহিনী জনসংযোগ পরিদপ্তরের (আইএসপিআর) সহকারী পরিচালক রাশেদুল আলম খান স্বাক্ষরিত এক সংবাদ বিজ্ঞপ্তিতে এ তথ্য জানানো হয়।  

বিজ্ঞপ্তিতে বলা হয়, মাতারবাড়ী ১২০০ মেগাওয়াট কয়লাভিত্তিক বিদ্যুৎ কেন্দ্রে নিয়োজিত দেশি-বিদেশি ব্যক্তিদের মধ্যে বিদ্যমান নিরাপত্তা ব্যবস্থার ওপর আস্থা তৈরি, নিজস্ব পূর্ব প্রস্তুতি ও নিরাপত্তা ব্যবস্থা বাস্তবায়নের লক্ষ্যে বাংলাদেশ সেনাবাহিনীর তত্ত্বাবধানে সশস্ত্র বাহিনী ও সংশ্লিষ্ট প্রতিষ্ঠানের সদস্য কর্তৃক একটি যৌথ অনুশীলন অনুষ্ঠিত হয়েছে।

অনুশীলনে সেনাবাহিনীর পাশাপাশি নৌ বাহিনী, বিমান বাহিনী, কোস্ট গার্ড, পুলিশ, আনসার, ফায়ার সার্ভিসসহ বিভিন্ন গোয়েন্দা সংস্থার প্রতিনিধিরা অংশ নেন। সেনাসদরের সার্বিক তত্ত্বাবধানে ১০ পদাতিক ডিভিশন এ অনুশীলনের আয়োজন করে।

অনুষ্ঠানে প্রধান অতিথি হিসেবে উপস্থিত ছিলেন সেনাবাহিনীর ১০ পদাতিক ডিভিশনের জিওসি এবং এরিয়া কমান্ডার, কক্সবাজার এরিয়া মেজর জেনারেল আহমেদ তাবরেজ শামস চৌধুরী।

বিজ্ঞপ্তিতে আরও বলা হয়, মাতারবাড়ী বিদ্যুৎ প্রকল্পটি বর্তমান সরকারের একটি মেগা প্রকল্প হিসেবে বিবেচিত। উক্ত প্রকল্পটি কোল পাওয়ার জেনারেশন কোম্পানির ব্যবস্থাপনায় প্রায় ১৬০০ একর জমির উপর নির্মাণাধীন রয়েছে। প্রকল্পটিতে এলাকার স্থানীয় কর্মকর্তা ও কর্মচারী ছাড়াও দেশি-বিদেশি নাগরিক কর্মরত রয়েছেন।

যেকোনো অনাকাঙ্খিত পরিস্থিতি যেমন অগ্নি দুর্ঘটনা, শ্রমিক অসন্তোষ, সন্ত্রাসী কার্যক্রম ইত্যাদির ক্ষেত্রে সামগ্রিক নিরাপত্তার স্বার্থে প্রকল্পে নিয়োজিত দেশি-বিদেশি ব্যক্তিদের উদ্ধার, স্থানান্তর করা এবং জরুরি পরিস্থিতিতে প্রকল্প এলাকার নিরাপত্তা নিশ্চিত করার প্রয়োজনীয়তা রয়েছে। এ লক্ষ্যে প্রকল্পের সার্বিক নিরাপত্তা ঝুঁকি বিবেচনা করে সশস্ত্র বাহিনী ও সংশ্লিষ্ট সংস্থাগুলোর পূর্ব প্রস্তুতির অংশ হিসেবে এই যৌথ অনুশীলনের আয়োজন করা হয়।

বাংলাদেশ সেনাবাহিনী তথা সশস্ত্র বাহিনী যেকোনো অনাকাঙ্খিত পরিস্থিতিতে মাতারবাড়ী প্রকল্প এবং এর সঙ্গে সংশ্লিষ্ট সব দেশি/বিদেশি ব্যক্তির নিরাপত্তা দিতে সবসময় প্রস্তুত। আজকের এই অনুশীলনের মাধ্যমে নিরাপত্তা নিশ্চিতকল্পে প্রকল্পের সঙ্গে সংশ্লিষ্ট সশস্ত্র বাহিনী ও অন্যান্য আইন শৃংখলা রক্ষাকারী বাহিনীর মধ্যে প্রয়োজনীয় সমন্বয় করা হলো, যা ভবিষ্যতেও চলমান থাকবে।

সশস্ত্র বাহিনী ও অসামরিক প্রশাসনের ঊর্ধ্বতন কর্মকর্তারা এই যৌথ অনুশীলন প্রত্যক্ষ করেন।

 

https://www.banglanews24.com/national/news/bd/829217.details

[Kamikaze]

Bangladesh's largest solar power plant connected to national grid

The country's largest solar power plant at Mymensingh has been connected to the national grid.

The plant has the capacity to generate 73 MW of electricity, which will help meet the government’s target of generating 10% of the country’s total electricity through using renewable energy by 2021.

The project is located on the banks of the Brahmaputra River at Gauripur in Mymensingh.

With a 173K solar panel and 332 inverters, the solar power plant was fully installed with Huawei Smart photovoltaic (PV) solution to connect to the national grid, said a media statement on Tuesday.

A photovoltaic system, also PV system or solar power system, is a power system designed to supply usable solar power by means of photovoltaics.

It consists of an arrangement of several components, including solar panels to absorb and convert sunlight into electricity, a solar inverter to convert the output from direct to alternating current, as well as mounting, cabling and other electrical accessories to set up a working system.

According to Huawei, Bangladesh is a South Asian country that enjoys up to 2,500 hours of sunshine per year but with a humid and hot climate.

With this in mind, the Huawei SUN2000-185KTL Smart PV String Inverter with IP66 high level protection and anti-PID technology was used to safeguard the smooth running of the plant with the highest yields possible. 

Yang Guobing, president of Enterprise Business Group of Huawei Technologies (Bangladesh) Limited, said: “Bangladesh as a rapidly digitizing nation is a very important market for us, and therefore we are very pleased to have worked with our partners in this 73 MW project. We look forward to contributing further in digitizing and transforming the energy sector in Bangladesh using our innovation and expertise.”

[Joel Ahmed]

Bangladesh must focus on 120 Renewable Energy projects which is pending now. 

[Joel Ahmed]

https://www.tbsnews.net/bangladesh/energy/chinese-longi-supply-solar-modules-orions-134mw-power-plant-258955#.YMI6ofdygBo.facebook

TBS Report

10 June, 2021, 10:05 pm

Last modified: 10 June, 2021, 10:12 pm

Chinese Longi to supply solar modules to Orion’s 134MW power plant

 

Scheduled to be completed by August this year, it will become Bangladesh's largest solar power generation facility

 

Chinese photovoltaics manufacturer Longi Solar will supply high efficiency modules to a 134MW solar power project in Khulna.

In a press release, the world's leading solar technology company disclosed that it had received an order from industrial conglomerate Orion Group to supply solar modules.

Energon Renewables (BD) Ltd, a subsidiary of Orion Group, is implementing the project.

LONGi's Hi-MO 5 series has been chosen, given its high efficiency and technologies to minimize land usage and safeguard smooth running of the plant, reads the press release.

"Keeping in mind the importance of renewable energy to meet the growing energy demand, we are implementing a solar-based power project in our country. We and our valued partners are working together to make this a sustainable, ecologically sound & environmentally friendly renewable energy project. We are positive that we will be able to successfully achieve this major milestone by working together with LONGi Solar," said Salman Obaidul Karim, managing director of Orion Group.

Scheduled to be completed by August this year, the plant will become Bangladesh's largest solar power generation facility. The power it will generate will be sold to Bangladesh Power Development Board under a power purchase agreement.

According to Longi Solar's Senior Vice President Dennis She, the partnership between the two companies will help Bangladesh fulfil its 10% renewable energy target by 2021.

Orion Power has four fuel-based power plants and another is set to be commissioned next year. It is also setting up two 700MW coal-based power projects.

[Joel Ahmed]

https://www.newagebd.net/article/133283/contracts-for-chandpur-inani-wind-power-projects-likely-soon

Contracts for Chandpur, Inani wind power projects likely soon

United News of Bangladesh . Dhaka | Published: 23:18, Mar 20,2021

Contracts for two more wind power plants — one in Chandpur and another at Inani Beach, Cox’s Bazar — are likely to be awarded soon as the government wants wind energy to be poured into the national grid power to ensure a better power supply in the country.

The Bangladesh Power Development Board has already started evaluating a number of bids submitted by aspiring bidders, according to official sources.

They said that the proposed two plants were to be set up at Kachin in Chandpur and at Inani Beach in Cox’s Bazar on build-own-operatebasis in private sector.

‘Each of the two projects will have 50-MW generation capacity,’ said a source adding that the BPDB received bids for the two projects through a re-tender process in December 2020.

Earlier, the BPDB had moved to set up three wind power plants, including the above two and another at Mongla.

After floating of tenders, only one responsive bidder was found for Mongla plant  and no one found for the Chandpur and Inani Beach projects, the official said.

‘In the re-tender, we’ve received three bids for Inani Beach and two for Chandpur location,’ said Zahir Ahmed, head of BPDB’s Renewable Energy Cell.

He said that he was hopeful that this time BPDB can pick responsive bidders for the two projects as they look good in the preliminary assessment.

 ‘We’re hopeful that we can complete the evaluation of the bids within a month and award the contracts within the first half of the current year,’ he said.

 The BPDB awarded contract for the Mongla (Bagerhat) project in December to a Chinese-Bangladeshi joint venture- the Consortium of Envision Energy, (Jiangsu) Co Ltd, China, SQ Trading and Engineering, Bangladesh and Envision Renewable Energy Limited, Hong Kong.

 State-owned BPDB will purchase electricity from the plant at a levelised tariff of $13.20 cents, equivalent to Tk 10.56 per kilowatt hour (each unit) over the period of 20 years.

 Zahir Ahmed said that the consortium had already started construction work on the project.

 The government will pay a total of Tk 2035.12 crore for the entire contract period against its purchase of electricity from the maiden private wind power project, said the officials.

 BPDB officials said works on two more wind power projects are going on in full swing-one having 60 MW capacity in Cox’s Bazar and another 30 MW capacity plant in Feni in private sector.

 Under a power purchase agreement signed with BPDB in March 2015, the US-DK Green Energy (BD), a joint venture between Taylor Engineering Group of USA, ph-consulting group of Denmark and Multiplex Green Energy of Bangladesh, is setting up the 60 MW plant at Kurushkul, the southeast of the Moheshkhali River in Cox’s Bazar while Indian firm Wind Energy Limited is constructing the 30 MW plant in Feni.

 According to the Sustainable and Renewable Energy Development Authority (SREDA), only three small wind energy plants, with a total capacity of 2.9 MW, have been installed by the BPDB so far against its target of setting up wind power projects having total capacity of 1152 MW by 2020.

 SREDA chairman Mohammad Alauddin also said that this time, the government was very serious to expedite the process for awarding contracts to Chandpur and Inani Beach projects.

 Officials at SREDA and the BPDB said that a number of studies were conducted in collaboration with international donor agencies to assess the wind energy potentials across the country.

 The latest one was conducted by National Renewable Energy Laboratory (NREL), with financial support from the U.S. Agency for International Development (USAID), which identified nine locations, having the wind energy potential across the country.

 The locations, having average wind speed between 5-6 metre per second at a height of over 60-80 metre, are Lalpur of Natore in Rajshahi, Chandpur, Sitakundu and Parkay Beach in Chattogram, Gouripur in Mymensingh, Madhupur Tea Estate in Habiganj, Dacop in Khulna near Mongla port, Inani Beach in Cox’s Bazar and Badarganj in Rangpur.

[Joel Ahmed]

 

https://www.tbsnews.net/bangladesh/energy/half-done-payra-transmission-line-makes-pdb-pay-tk115cr-monthly-penalty-259450#.YMOW3OjS83c.facebook

 

[Joel Ahmed]

https://thefinancialexpress.com.bd/national/rampal-power-plant-will-not-use-indian-coal-as-fuel-authorities-say-1625327432

Rampal power plant will not use Indian coal as fuel, authorities say

Published:  July 03, 2021 21:50:32

The coal imported from India will not be used as fuel for the thermal power plant in Bagerhat’s Rampal, the authorities have said.

The consignment of 3,800 tonnes of coal will be used for the construction of one of four stockyard floors, Bangladesh-India Friendship Power Company Ltd said in a statement on Saturday, reports bdnews24.com.

The company will never import coal from India to fuel the plant. It is sourcing the coal for fuel from Indonesia, Australia or South Africa. A tender has been called for the procurement of the coal for fuel as well, according to the statement. 

The consignment of Indian coal left the Syama Prasad Mookerjee Port of Kolkata for Bangladesh on Friday, The Hindu Business Line reported.

The exporter of coal is Godavari Commodities and it is handled end to end by ZS logistics, the company said in a statement

It expects 20,000 tonnes of Indian coal to be sourced from SMP Kolkata to Bangladesh every month.

The Bangladesh government has recently cancelled 10 planned coal-based power plants after taking their environmental impact into consideration.

The power plants were part of the 2010-2011 electricity masterplan but were not implemented in time. There was a discussion about scrapping the projects at the time.

In addition, Bangladesh’s signing of the Paris Agreement and Prime Minister Sheikh Hasina’s role as the chair of the Climate Vulnerable Forum have made it “essential for us to generate electricity through more environmentally friendly means”, said State Minister for Power, Energy and Mineral Resources Nasrul Hamid Bipu.

Since 2008, Bangladesh had approved the construction of 18 coal-based power plants, including the 10 scrapped now.

Activists have for years demanded that the government scrap the 1,300MW Rampal Power Plant project as well due to its close proximity to the Sundarbans mangrove forest.

The transportation of coal, waste materials and ashes or smoke will damage the environment of the area, they warned.

The government claims that the use of modern technology will minimise the environmental damage.

India’s Exim Bank has provided $1.6 billion loans to build the $2 billion plant. Indian state firm Bharat Heavy Electricals is constructing the plant.

[Joel Ahmed]

https://www.dhakatribune.com/bangladesh/nation/2021/07/30/govt-fails-to-take-power-from-payra-plant-counts-huge-loss-in-capacity-payment

Govt fails to take power from Payra plant, counts huge loss in capacity payment

 

 UNB

 Published at 05:50 pm July 30th, 2021

The project has hit some hurdles in crossing the mighty Padma river

The government is counting a monthly loss of Tk130 crore due to the delay in laying a high-priority transmission line that would take electricity from the Payra power plant to Dhaka across the Padma River.

According to official sources, the amount is being paid as “capacity payment” to the 1,320MW Payra power plant, a Bangladesh-China joint venture project, which is now ready to supply electricity to the national grid for distribution in Dhaka adjoining areas.

In this case, the capacity payment means the government’s commitment to purchase power generated at the plant at an agreed-upon rate. The government still has to pay the plant for its generation (capacity) even if it is unable to buy electricity from it.

The government is not ready to purchase electricity from the plant as it has failed to complete work on the 164.6 km 400 kV double-circuit transmission line that would supply power from Mongla to Dhaka’s Aminbazar via Mawa connected by the national grid.

The project has hit some hurdles in crossing the mighty river, where a multipurpose bridge is being built to connect Dhaka with the country’s southwestern region.

The official document of the Power Grid Company of Bangladesh (PGCB), the implementing agency, shows the project was scheduled to be implemented by December 2020. After repeated extensions, the schedule has now been set for December 2021. 

Officials, however, apprehend the project might not be completed even by the latest deadline due to a major constraint in the work on crossing the Padma River.

Nasrul Hamid, state minister for power, energy and mineral resources, acknowledged the loss government is incurring and the hurdles the project is facing.

“We are trying to resolve the issue,” he told UNB adding “We have nothing else to do but to  wait.”

Power Division officials blamed the excessive delay on the Padma Bridge construction authority which was tasked to lay foundations for the construction of towers within the river area.

The government took up the Tk 2505.37 crore Aminbazar-Maowa-Mongla project in 2016 targeting power evacuation from two large power plant projects —1320 MW Rampal and 1320 MW Payra coal-fired power plants—for Dhaka and adjoining areas.

As per the design, the 164.6 km transmission line will directly bring electricity from the Rampal plant, while power from the Payra plant will come to Dhaka through this line using facilities in the Gopalganj power transmission hub. 

To make this happen, officials said, a separate transmission line between Payra and Gopalganj has already been built and it is now in operation. 

“But the Mongla-Maowa- Aminbazar project remained stuck up at the 9.4 km Padma River crossing portion”, said the PGCB official adding that a total of 11 towers will be built in this portion of the line of which 7 towers will be installed within the river area. 

“The responsibility of towers’ foundation work in the deep of the river was given to the Padma Bridge Authority”, said PGCB Managing Director Golam Kibria adding that they have been trying to do the job. 

He said the Padma Bridge Authority has recently informed that they will now complete the foundation work of the first tower in August this year. Work on the remaining foundations will be done by April next year before handing the sites over to the PGCB.

He noted that PGCB plans to start the tower installation and other works as soon as it receives the sites from Padma Bridge Authority. 

“The tower installation and other works may take up to December next year”, he said adding that the PGCB will try its best to do the job as early as possible. 

Official sources said the government has to continue the capacity payment of Tk130 crore per month until start of full swing evacuation of power from the Payra plant as an obligation of the power purchase agreement (PPA).

Half the output from the 660MW plant is being supplied to the national grid’s South and Eastern region for the non-completion of the Aminbazar-Mawa-Mongla transmission project. 

“So, the delay in transmission project’s execution means the cost escalation in the guise of capacity payment”, said a PGCB official.    

They said the capacity payment would be even double if the first unit of the Rampal power plant comes into commercial operation as scheduled in December this year.

Officials said the Rampal power plant is being constructed in a joint venture with India while the Payra power plant was built under a joint venture with China.

Both the plants started construction works in December 2017. But Payra successfully completed construction of its two units as per schedule, but Rampal failed to install the first unit as yet, they noted. 

Payra plant’s officials said they have been operating the two units in alternative months to keep the plant’s equipment operational.

[Joel Ahmed]

https://www.tbsnews.net/bangladesh/summit-signs-mou-commonwealth-lng-help-supply-fuel-bangladesh-282499#.YQfaKhfttJg.facebook

UNB

02 August, 2021, 05:35 pm

Last modified: 02 August, 2021, 05:41 pm

Summit signs MoU with Commonwealth LNG to help supply fuel to Bangladesh

According to Summit Group, the signing ceremony took place at the Bangabandhu Auditorium of the Embassy of Bangladesh in Washington, D.C. in the presence of Dr. Tawfiq-e-Elahi Chowdhury, Energy Advisor to the Prime Minister

 

Summit Oil and Shipping Co. Ltd. ("SOSCL"), the private sector importer and supplier of fuel oil to Bangladesh, has signed a Memorandum of Understanding (MOU) with Commonwealth LNG to collaborate in the supply of LNG to Asia, including Bangladesh. 

The SOSCL is part of the Summit Group, Bangladesh's largest infrastructure conglomerate.

According to Summit Group, the signing ceremony took place at the Bangabandhu Auditorium of the Embassy of Bangladesh in Washington, D.C. in the presence of Dr. Tawfiq-e-Elahi Chowdhury, Energy Advisor to the Prime Minister.

Speaking on the occasion, Dr. Tawfiq-e-Elahi Chowdhury underscored the importance of ensuring access to energy sources to support the economic development related activities in Bangladesh. 

He welcomed the signing of the MOU between SOSCL and Commonwealth LNG as an important step towards further expanding the existing energy cooperation between Bangladesh and the United States.

The scope of the MOU includes SOSCL potentially contracting for 1 million tonnes per year (MTPA) of LNG offtake, for a term of up to 20 years, from Commonwealth's 8.4 MTPA facility currently under development in Cameron, Louisiana.

SOSCL's associated companies within Summit Group have approximately 3 GW of gas-to-power electricity in operation or development within the Indian subcontinent, and operate a 500 mmcf/d Floating Storage and Regasification Unit (FSRU) and LNG terminal under Summit LNG Terminal Co (Pvt) Ltd ("SLNG") in Moheshkhali of Cox's Bazar.

"We're proud of what this step means towards securing this major source of clean energy for the growing economy of Bangladesh," said Farid Khan, Vice Chairman of Summit Group. 

"We look forward to having Commonwealth LNG as a partner that can deliver U.S.-sourced LNG, providing diversification of supply for Bangladesh and the pricing stability associated with Henry Hub", he added.

From Commonwealth LNG's perspective, President and CEO Paul Varello said the MOU is evidence of just how aligned the parties are in achieving their shared objectives.

"Commonwealth's focus on producing the lowest-cost liquefaction in the U.S. remains important in a highly competitive global market," said Varello. 

"This becomes even more critical for a rapidly emerging economy such as Bangladesh where the need for additional energy is critical for sustaining its economic growth. Summit has recognized that need and Commonwealth LNG looks forward to partnering in these efforts," he said.

Commonwealth is implementing an accelerated construction schedule that will allow the project to be built in three years using a predominantly modular approach with major components being fabricated offsite, said the Summit Group.