6 power sector deals during PM's India visit

Bangladesh is likely to sign six power sector deals to purchase and import electricity during Prime Minister Sheikh Hasina's upcoming visit to India on April 7-10.

These power sector deals will be the part of 30 anticipated deals to be signed during premier’s visit to India. Dhaka has already finalised the 30 deals, including a Memorandum of Understanding on bilateral security and defence cooperation for five years, for signing during the Premier's visit to India.

Other power sector deals might include a supplementary power purchase agreement for 60MW electricity import from Tripura, two initials on a power purchase agreement (PPA) and an implementation agreement (IA) with Indian power giants Adani Group and Reliance Group respectively and two memorandum of understanding (MoUs) on hydropower import from Bhutan and Nepal.

“Bangladesh Prime Minister Sheikh Hasina and Indian Premier Narendra Modi are likely to witness the signing of the $1.6 billion facility deal for implementing the Rampal coal-fired power project near the Sundarbans,” a Power Division officials confirmed daily sun on Monday.

Bangladesh Power Development Board (BPDB) earlier negotiated the tariff at 7.3123 US cents per unit for purchasing electricity from Reliance-sponsored 718MW Meghnaghat Power project.

During the PM's visit, Dhaka might also sign a supplementary power purchase agreement (PPA) for importing 60MW electricity from Indian Tripura state at Tk 6.45 per unit.

Dhaka is importing 100 megawatts of electricity from Tripura at Tk 6.45 per unit under no-electricity no-pay method from the same plant in Palatana.

Bangladesh is now importing 250 MW of electricity from Indian public-sector plants at Tk 3.56 per unit, and another 250MW from Indian private power plants at Tk 4.36 per unit.

The trilateral deal might be signed during the PM’s visit to India if the Indian government would agree to allow establishing a dedicated transmission line for supplying power to Bangladesh from the proposed power plant.

Prime Minister Sheikh has already shown her government’s interest to invest $1 billion for implementing the joint-venture project with Bhutan and India.

Besides, another MoU is likely to be signed for setting up a hydroelectric power project having the capacity to generate 500MW of electricity in Nepal with support from Indian firm GMR. Bangladesh also sought dedicated transmission line for implementing the project.

Source: jamunanews24