DHAKA, March 23, 2022 (BSS) - The government today approved separate
proposals for extending the timeframe by two years of five rental power
plants from the date of effectiveness to meet the growing demand of power in
the country.

The approval came from the 10th meeting of the Cabinet Committee on
Government Purchase (CCGP) this year held today virtually with Finance
Minister AHM Mustafa Kamal in the chair.

Briefing reporters after the meeting, the Finance Minister said that the
meeting approved a total of 11 proposals including seven proposals in the
power sector and one in the energy sector.

Joining the briefing virtually, Cabinet Division Additional Secretary Md
Zillur Rahman Chowdhury said that the fresh tenure for all the five HFO based
rental power plants has been extended by two years although the proposal for
extending the tenure was five years.

He informed that there would be no capacity charge on these rental power
plants while there would be "no electricity no payment" policy on these power
plants in the fresh tenure.

Zillur said it was discussed in the meeting that the country is likely to get
another 3,000 MW of power within the next 1 to 3 years for which perhaps
there would be no necessity of such rental power plants in future.

He informed that the negotiated tariff for these rental power plants would be
3.40 US cent or Taka 16.4077 for kilowatt hour electricity which was
previously Taka 17.5293.

The Cabinet Division additional secretary said that for renewing the tenure
of all the five rental power plants by two more years, the government would
have to provide Taka 459.94 crore to Khulna Power Company Ltd for the 40MW
HFO base rental power plant at Noapara in Jashore, Taka 1,295.42 crore to
Khulna Power Company Unit-II Ltd for the 115MW HFO based rental power plant
at Goalpara in Khulna, Taka 1,146.51 crore to Dutch Bangla Power and
Associates Ltd for the 100MW HFO based rental power plant at Siddhirganj in
Narayanganj.

Besides, he said the government will provide Taka 1,146.51 crore to Orion
Power Meghnaghat Ltd for the 100MW HFO based rental power plant at Meghnaghat
in Narayanganj and also Taka 1,157.52 crore to Summit Narayanganj Power
Limited for the 102MW HFO based rental power plant at Madanganj in
Narayanganj.

Zillur said the day's CCGP meeting gave nod to a proposal from the Bangladesh
Power Development Board (BPDB) for taking expert services from General
Electric Global Services GmbH, Switzerland with around Taka 92.42 crore for
installation, proper operation and maintenance of gas turbine and gas turbine
generator of Ghorashal 4th unit repowered combined cycle power plant.

Besides, the meeting approved another proposal from the BPDB for taking
retail equipments, expert services from M/s Marubeni Power and Infrastructure
Systems Corporation, Japan with around Taka 420 crore for conducting the
schedule maintenance work of gas turbine and gas turbine generator of
Bibiana-III, 400MW combined cycle power plant.

The meeting also approved a proposal from the Energy and Mineral Resources
Division under which the Petrobangla would procure 33.60 lakh MMBtu LNG from
M/s Vitol Asia Pte Ltd, Singapore with around Taka 1,241.49 crore where the
per unit MMBtu would cost $36.70.

Zillur said following a proposal from the Ministry of Industries, Bangladesh
Chemical Industries Corporation (BCIC) would procure 30,000 metric tons of
bagged granular urea fertilizer from KAFCO, Bangladesh with around Taka
181.74 crore.

The Directorate General of Food under the Ministry of Food will procure some
50,000 metric tons of wheat from M/S Swiss Singapore Overseas Enterprise Pte
Ltd, Singapore with around Taka 176.29 crore.

Apart from these, the meeting decided that the community workfare and
services support under the package number WD-02 of the Emergency Multi-Sector
Rohingya Crisis Response project would be done by the World Food Programme
(WFP) with around Taka 255 crore.

Prior to the CCGP meeting, the 8th meeting of the Cabinet Committee on
Economic Affairs (CCEA) in this year was held today virtually with Finance
Minister AHM Mustafa Kamal in the chair.

The meeting approved a proposal in principle from the BSCIC under the
Ministry of Industries for procuring 60,000 metric tons of potassium iodate
under the Direct Procurement Method (DPM).