Govt approves 10 new power plants.

[Homo Sapiens]

http://www.dhakatribune.com/bangladesh/power-energy/2017/08/10/govt-approves-10-new-power-plants/
Govt approves 10 new power plants

• Asif Showkat Kallol
• Published at 12:42 PM August 10, 2017

A total of 968MW electricity will be generated from oil-based power plants while the rest 800MW from diesel-fired power plants
The government has approved the proposal for setting up10 new power plants to meet the current demand of the country.

The cabinet committee on public purchase gave the approval at its meeting presided over by Finance Minister AMA Muhith on Wednesday.

After the meeting, Cabinet Division’s Additional Secretary Mustafizur Rahman told the reporters that a total of 968MW electricity would be generated from oil-based power plants while the rest 800MW from diesel-fired power plants.

According to the proposal, Midland Power Limited, a subsidiary of Shahjibazar Power Company, will set up a 150MW diesel-fired power plant at Ashuganj in Brahmanbaria district. The plant will generate power for next 15 years. The tariff is fixed at Tk8.26 per kilowatt-hour.

APR Energy Limited will set up a 300MW diesel-based power plant in Dhaka’s Keraniganj. The plant will supply power for next five years. The tariff is fixed at Tk19.99 per kilowatt-hour.

M/S Agriko International Project Limited will set up another 200MW diesel-based power plant in Keraniganj. The plant will supply power to the national grid for next five years. The tariff is fixed at Tk19.67 per kilowatt-hour.

M/S Acorn Infrastructure Services Limited will set up 100MW furnace oil-based power plant in Chittagong’s Juldai. The plant will generate power for 15 years. The tariff is fixed at Tk8.26 per kilowatt-hour.

Bangla Truck Limited will install a 100MW diesel-based power plant in Jassore’s Noapara. The plant will supply power to the national grid for next five years. The tariff is fixed at Tk19.99 per kilowatt-hour.

Bangla Truck Limited will set up another 200MW diesel-based power plant in Comilla’s Daudkandi. The plant will generate electricity for next five years. The tariff is fixed at Tk19.99 per kilowatt-hour.

Confidence Power Limited will set up a 113MW furnace oil-based power plant in Bogra district. The power plant will generate electricity for next 15 years. The tariff is fixed at Tk8.34 per kilowatt-hour.

Desh Energy Limited will set up a 200MW furnace oil-based power plant in Chandpur district. The plant will generate power for next 15 years. The tariff is fixed at Tk8.34 per kilowatt-hour.

Orion Power Meghnaghat Limited will set up a 105MW furnace oil-based power plant in Khulna’s Labonchara. The plant will generate power for next 15 years. The tariff is fixed at Tk8.34 per kilowatt-hour.

Consortium of Summit Corporation Limited will set up a 300MW furnace oil-based power plant in Gazipur’s Kadda area. The plant will generate power for next 15 years. The tariff is fixed at Tk8.34 per kilowatt-hour.

 

[Mage]

Thse 100-200MW plants are a waste of space. I don't know why we even permit license to power plants below 1000MW.

 

[bluesky]

I am elated to see the names of many private companies who have been awarded permission to set up new power plants. The decision will be regarded as a milestone for the development of the country.

1) Midland Power Limited, a subsidiary of Shahjibazar Power Company, will set up a 150MW diesel-fired power plant at Ashuganj in Brahmanbaria district.

2) APR Energy Limited will set up a 300MW diesel-based power plant in Dhaka’s Keraniganj.

3) M/S Agriko International Project Limited will set up another 200MW diesel-based power plant in Keraniganj.

4) M/S Acorn Infrastructure Services Limited will set up 100MW furnace oil-based power plant in Chittagong’s Juldai.

5) - Bangla Truck Limited will install a 100MW diesel-based power plant in Jassore’s Noapara.
- Bangla Truck Limited will set up another 200MW diesel-based power plant in Comilla’s Daudkandi.

6) Confidence Power Limited will set up a 113MW furnace oil-based power plant in Bogra district.

7) Desh Energy Limited will set up a 200MW furnace oil-based power plant in Chandpur district.

8) Orion Power Meghnaghat Limited will set up a 105MW furnace oil-based power plant in Khulna’s Labonchara.

9) Consortium of Summit Corporation Limited will set up a 300MW furnace oil-based power plant in Gazipur’s Kadda area.

A total of nine companies will build 10 power stations. Even a 50 mW power station contributes to the economy and better the livelihood of the local population. I think the govt has taken a very wise step to accommodate these medium and small plants. Many of the companies will gain experience and will strengthen their financial clout to build larger plants in the future.

 

[UKBengali]

No idea why diesel plants are being approved as the cost to purchase electricity is more than twice as much as
oil.

 

[Major Sam]

Looting The tariff is fixed at Tk19.99 per kilowatt-hour.

@Nilgiri

 

[Nilgiri]

Looting The tariff is fixed at Tk19.99 per kilowatt-hour.

@Nilgiri

So more than 6 times the price in India energy exchange average. Nice!

But of course BD = Scandinavia quality only, so Scandinavian prices are to be expected.

 

[Khan_21]

Looting The tariff is fixed at Tk19.99 per kilowatt-hour.

@Nilgiri

This is what you get when your only option is Sheikh Hasina .

 

[Nilgiri]

This is what you get when your only option is Sheikh Hasina .

Well under Khaleda Zia, they didnt even add anything power-wise apparently.

They are truly caught between rock and hard place.

BTW what is average tariff in Pakistan right now for electricity?

Thse 100-200MW plants are a waste of space. I don't know why we even permit license to power plants below 1000MW.

Power capacity must be ramped across all ranges to deal with power loads optimally.

This is why for example even with cheap solar now, one cannot simply switch to pure solar for large cap gen. The argument extends for conventional power (FF or hydro) too where down-scaleability is not so much premium compared to say nuclear (because of certain+many fixed non-scaleable cap costs).

 

[Khan_21]

Well under Khaleda Zia, they didnt even add anything power-wise apparently.

They are truly caught between rock and hard place.

BTW what is average tariff in Pakistan right now for electricity?

Depends which area we are talking about . For example In Karachi its 12 Rupees per Kwt . Rest of the country is around 11 Rupees .

 

[Kabira]

Looting The tariff is fixed at Tk19.99 per kilowatt-hour.

@Nilgiri

Wut? 25 cent per unit? Unless BD only have this option on table to meet demand, this look like corrupt deal.

 

[Major Sam]

Well under Khaleda Zia, they didnt even add anything power-wise apparently.

They are truly caught between rock and hard place.

BTW what is average tariff in Pakistan right now for electricity?



Power capacity must be ramped across all ranges to deal with power loads optimally.

This is why for example even with cheap solar now, one cannot simply switch to pure solar for large cap gen. The argument extends for conventional power (FF or hydro) too where down-scaleability is not so much premium compared to say nuclear (because of certain+many fixed non-scaleable cap costs).

In Pakistan it varies as it depends on number of units. Less units less cost. Initial 100 units are subsidised. start from Pkr 2 uptil 16 if Consumed Units are more than 700. Avg household unit peaks around 300 with per unit cost aprox Pkr 10. 100+ fixed charges.

with Taka 19 is like fully throttle on corruption. With this price they can go for wind mill, coal or solar. and i am sur ethey will still cheaper than this 19 Taka. Presently In Pakistan Our Govt is forcing power plants which are still running on refined or crude oil to cheaper sources like LNG, gas or Coal. LNG cost is around 6-7 per mmbtu. Looks promising for 15 years with Qatar deal.

Wut? 25 cent per unit? Unless BD only have this option on table to meet demand, this look like corrupt deal.

Above all they are doing same blunder what PPP did in Pak in 90s

@Nilgiri You can use this for calculating estimated bill.

http://www.fesco.com.pk/billestimation-choice.asp

 

[UKBengali]

@Nilgiri
@Major Sam

Guys, my point was why the massive purchase difference between oil at 8 Tk kwh and diesel at
20 Tk kwh.
Price from oil is reasonable for BD as it matches what is already out there but diesel is too high
- even higher than costly rental plants. If say diesel plants are so expensive to run, they should not be used
as a generation type at all.

I do not think that this is all about corruption and was hoping that someone with knowledge would reply
to educate us all.

 

[Nilgiri]

@Nilgiri
@Major Sam

Guys, my point was why the massive purchase difference between oil at 8 Tk kwh and diesel at
20 Tk kwh.
Price from oil is reasonable for BD as it matches what is already out there but diesel is too high
- even higher than costly rental plants. If say diesel plants are so expensive to run, they should not be used
as a generation type at all.

I do not think that this is all about corruption and was hoping that someone with knowledge would reply
to educate us all.

Well first check what are the govt taxes on fuel oil vs diesel. I suspect there may be difference in that to begin with that of course affects the input cost.

Then the whole idea of diesel power plants these days are to hook up cap gen sets in parallel so you can turn them on/off as per load requirements, which is a theoretical advantage to a large cap boiler that fuel oil would use (i.e compare array of 10 MW step sizes to one large 100 MW on the planned grid load....diversity of available output is good to have if you are not confident in steady assured load). However this of course means higher capital investment costs and also running costs (more equipment needed esp for phase sync, lubricant costs, maintenance costs and possibly fuel costs to begin with etc) per kwh, but it could come to be cheaper overall cost according to projected uncertainty/risk at current scenario.

It all depends on what the strategy is for the grid and also if there are some other requirements like ability to use bio-diesel etc. Frankly we need more info on what the diesel gen sets exactly are.

 

[idune]

Here is depth of looting exposed by expert and posed in other thread.
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The contracts would be awarded under the Speedy Supply of Power and Energy (Special Provisions) Act 2010 that indemnified officials concerned against any prosecution for awarding contracts without any tender.
The power board would buy electricity from the six furnace oil-fired power plants at Tk 8.53 per unit or kilowatt-hour for 15 years and that at Tk 20.38 per unit from the four diesel-fired plants for five years, said the official.

Energy expert M Shamsul Alam, also an electrical engineer, said that the average price of electricity would exceed Tk 12 per unit from furnace oil-fired plant and Tk 30 per unit from diesel-fired plants even if the prices of fuel oils remained as low as now.

The average price would shot up as 35-40 per cent of the capacity of furnace oil-fired power plants and 25-30 per cent of the capacity of diesel-fired power plants would be used, he explained.
He warned that the government move would ultimately raise the electricity price significantly as it had earlier raised the price by about 70 per cent to pay the rent or capacity charge to the private companies for 1,665MW power plants.

Bangla Trac Limited, Aggreko International Company and APR Energy will set up four diesel-fired power plants while Summit Group, Confidence Power, Midland Power Company, Orion Group, Acorn Infrastructure Services and Desh Energy will set up six furnace oil-fired power plant, according to the proposals.
Among the other proposals, the purchase committee approved a Tk 190 crore proposal of Bangladesh Computer Council to develop network topology, survey design, installation, testing and commissioning of active devices, installation of optical fiber cable and POP renovation.

http://www.newagebd.net/article/21641/purchase-committee-clears-10-power-deals-without-bidding

 

[Nilgiri]

The contracts would be awarded under the Speedy Supply of Power and Energy (Special Provisions) Act 2010 that indemnified officials concerned against any prosecution for awarding contracts without any tender.
The power board would buy electricity from the six furnace oil-fired power plants at Tk 8.53 per unit or kilowatt-hour for 15 years and that at Tk 20.38 per unit from the four diesel-fired plants for five years, said the official.

Energy expert M Shamsul Alam, also an electrical engineer, said that the average price of electricity would exceed Tk 12 per unit from furnace oil-fired plant and Tk 30 per unit from diesel-fired plants even if the prices of fuel oils remained as low as now.

The average price would shot up as 35-40 per cent of the capacity of furnace oil-fired power plants and 25-30 per cent of the capacity of diesel-fired power plants would be used, he explained.
He warned that the government move would ultimately raise the electricity price significantly as it had earlier raised the price by about 70 per cent to pay the rent or capacity charge to the private companies for 1,665MW power plants.

Wait so the tariffs quoted are just minimum guaranteed price (and allowed to go higher) and not even fixed?

This is a nice juicy scam indeed.

Is there any more info on M Shamsul Alam?