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Govt eyes coal from Indonesia, Australia to feed power plants

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Govt eyes coal from Indonesia, Australia to feed power plants
High-power team to visit exporting countries from June 3

→ Shamim Jahangir

daily sun | Business | Govt eyes coal from Indonesia, Australia to feed power plants

The government is going to start formal negotiations with two coal exporting countries to import coal and lease coalmines to meet demand of local coal-fired power plants.

A high-powered team led by Power Division Secretary Monowar Islam will leave Dhaka for Bali, Indonesia on June 3.

Power Division Secretary Monowar Islam will negotiate with mine owners of Indonesia to lease coalmine there or import coalmine for the new public owned coal-fired power plants, Bangladesh Power Development Board (BPDB) Chairman Abdul Wahab Khan confirmed daily sun on Sunday.

Power Division Secretary will also participate at the Annual Coal-trans Conference and Exhibition-2013 during his visit in Indonesia. Khan said the power secretary will also visit Australia to discuss leasing coalmines or long-term coal import from Australia.

The power division team will stay in Australia between June 7 and June 9 this year. Per tonne coal price in Indonesia is ranging between US$72 and $85 dollar this month while it is $87-$90 dollar in Australia.

Power division sought to handle and operate a coal mine for the new coal power generation company. But the energy and mineral resources division rejected the proposal.

The authorities are planning to take foreign coalmines on lease at a time when it is finalising the draft coal policy following its deferral several times over controversy on the coal extraction methods.

Earlier, Barapukuria Coal Mining Company Limited (BCMCL), a subsidise company of Petrobangla, has already placed a proposal to the Ministry of Power, Energy and Mineral Resources for taking coalmines on lease outside the country.

“We would proceed on the lease in foreign countries if the ministry approved the proposal,” Engr Md Quamruzzaman, managing director of BCMCL who is now promoted as director of Petrobangla told daily sun earlier.

“The acquisition of coalmine sites outside the country would be initiated under the public private partnership initiative,” the BCMCL boss said.

“The Philippines, Indon-esia and South Africa are the best option for taking coalmine sites on lease as their rules and regulations are more flexible,” he said.

But the authorities could not attain the production target of one million tonnes from Barapukuria.

The government has already taken initiative to install 13 coal-fired power plants having combined generation capacity around 10,000MW of electricity. To implement four coal-fired power plants in Rampal and Chittagong having a total capacity of 2,640MW electricity, the government would have to import more than 7.5 million tonnes of coal annually, officials said.

Power Division has already prepared a roadmap to generate around 20,000MW of electricity from coal-based power plants by 2030. Of the targeted amount, 11,250 MW of electricity would be generated using domestic coal while the rest will come from imported coal.

The government has already asked the Deputy Commissioner (DC) of Cox’s Bazar to acquire 5000 acres of land to install series of power plants in Moheskhali Island.

Earlier, Bangladesh Power Development Board (BPDB) has sought approval to a proposal for setting up two mega coal-fired power plants, having capacity to generate 2,640MW electricity, at Moheskhali Island of Cox’s Bazar.
 
But, I thought the GoB will select the low calorie coal from India with high ash and sulphur contents that will make BD posters angry. Now, coal from Australia and Indonesia is making them happy and Indians unhappy, perhaps.
 
AUS and Indoneshian coals are of much better quality but we are supposed to get coals from India to run the controversial power plant in Shundar Ban.SO Lets not get over joyous until a written agreement is signed.
 
But, I thought the GoB will select the low calorie coal from India with high ash and sulphur contents that will make BD posters angry. Now, coal from Australia and Indonesia is making them happy and Indians unhappy, perhaps.

India itself imports coal from Australia, we are not narrow minded like Bangladeshis. Indian companies own several coal mines, railway lines and even shipping ports here in Australia.

If it makes business sense no one complains about it.
 

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