Despite repeated attempts to set up solid waste-fuelled power plants in the country over the last 15 years, the ruling Awami League (AL) government has not been able to execute its ambitious plan due to negligence of the authorities concerned and political rivalry.
During its tenure in 2000, the AL government ambitiously planned to set up a solid waste-fulled power plant in the capital jointly with three private companies at a cost of Tk3,096 crore.
Although the three private partners - Cambridge Bangladesh Ltd, Marly Trade Ltd and Integrated Environmental Technologies Ltd - had started the groundwork for the plant, the project was shelved when the BNP-Jamaat alliance came to power in 2001.
On assuming power in 2009, the AL-led government in November 2011 again initiated the setting up of two solid waste-fuelled power plants in the capital in bid to ease electricity shortages.
Later in 2013, an Italian firm - Management Environment Finance SEL Ltd - signed an agreement with the Local Government Division (LGD), Dhaka North City Corporation (DNCC) and Dhaka South City Corporation (DSCC) to build two 50 megawatt power plants in the said areas.
According to the deal, the Italian company was supposed to start the projects within 130 days of the signing of the agreement and complete the projects within three years.
However, the company failed to make any visible progress over the last 18 months and had been repeatedly asked for time extensions from the LGD, sources said.
After the expiry of the deadline in June last year, the company filed an application for time extension from the LGD citing a fund crisis.
After the government extended the deadline to December 1, 2013, the company again filed another extension appeal shifting the new deadline to March this year.
“We have the land ready for the projects. But, the company (Management Environment Finance SEL Ltd) made no effort after the agreement was signed. We heard that the company could not start the project due to fund shortages,” DNCC Chief Estate Officer Bipon Kumar Saha told the Dhaka Tribune.
“The company has again asked for another deadline extension till June this year. I think the government should take action against the foreign company,” he added.
However, Management Environment Finance SRL Ltd Executive Director Mir Hossain Ekram gave a different version of the story when this correspondent approached him for a comment in this regard.
“We completed our preparation and allocated $400m to construct the two power plants. But, we have not received any assistance from the city corporations,” he said.
But officials of both DNCC and DSCC denied the allegation and claimed that the company was now trying to pass the buck to hide its incompetencies.
When contacted, LGD Additional Secretary KM Mozammel Hoq, told the Dhaka Tribune yesterday: “As the LGD secretary is abroad on an official purpose, we will take a decision about matter after the he comes back.”
According to the agreement the foreign company would bear the cost of setting up the power plants while the two city corporations would provide land and solid wastes for power production.
The power stations are expected to produce around nine million tonnes of organic fertiliser annually as supplementary product.
Based on a “Build, Own, Operate and Transfer” method, the project was to be under the investing company for 20 years after the start of the operations.
