Bangladesh will start importing 100MW of electricity from neighbouring Tripura in India from today under a “no-electricity, no-payment” method.
“India has agreed to give us the electricity under such an arrangement as a gesture to our friendship,” Nasrul Hamid, state minister for power, energy and mineral resources, said during a press meet at the capital’s Bidyut Bhaban yesterday.
He said the prime ministers of both Bangladesh and India will inaugurate the power import through a video conference session today.
When asked how Bangladesh would benefit from the import as each unit of electricity in Tripura cost Tk1 more than Bangladesh’s average cost of power production, the state minister said Bangladesh would benefit by not needing to pay the huge cost of setting up a 100MW plant.
“You have to look at the relative and comparative advantage here. If we wanted to set up a 100MW plant, then we would have needed more than $100 million. We also would have needed land and supply of gas to run the plant. Now we need nothing. We will pay for the electricity that we use,” said Nasrul.
Bangladesh Power Development Board will import the electricity from Tripura’s gas-fired Palatana Power Station for Tk6.43 per unit or kilowatt-hour. Adding the transmission charge, the import price will stand at Tk6.71 per unit.
The state minister also said the country’s gas reserve was deteriorating at a fast pace. “We will need a lot of electricity in future. Our gas reserve is dwindling and we do not have any option but to go for electricity import.”
When asked why Bangladesh is only opting for importing electricity from India when hydroelectricity import from Nepal and Bhutan was possible, Nasrul replied that hydroelectricity import from those two countries would need another seven or eight years.
“That electricity would have to be brought through India. We are negotiating on several issues to bring that electricity,” he said.
Hamid also said Bangladesh was planning to import another 100 megawatt power from the same Palatana plant in the near future.
On January 10, Tripura’s Power Minister Manik Dey met with Prime Minister Sheikh Hasina about the issue.
