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Cabinet body approves 590MW Chittagong power plant

  • Published at 10:41 pm January 23rd, 2019
web-power plant
File photo of a power plant Syed Zakir Hossain/ Dhaka Tribune

The committee approved a proposal of the Power Division to allow a consortium of three companies -- United Enterprise and Co Ltd from Bangladeshi and two from China -- to establish the 590MW combined cycle power plant in Anwara, Chittagong

The Cabinet Committee on Public Purchase on Wednesday approved a total of six proposals, including one to set up a 590MW power plant in Chittagong under the private sector.

New Finance Minister AHM Mustafa Kamal presided over the maiden meeting of the new committee after the formation of the government following Awami League's victory in December 30’s general election, reports UNB.

After the meeting, Mustafa Kamal briefed reporters on the outcome of the meeting.

The committee approved a proposal of the Power Division to allow a consortium of three companies -- United Enterprise and Co Ltd from Bangladeshi and two from China -- to establish the 590MW combined cycle power plant in Anwara, Chittagong.

As per the proposal, the plant will be run with natural gas or imported re-liquefied natural gas (RLNG).

State-owned Bangladesh Power Development Board (PDB) will purchase electricity from the plant for over 22 years at a levelized tariff of $0.037 per unit (kilowatt hour) which is equivalent to Tk2.95 when it will be running with natural gas.

But the tariff will be charged at $0.06, equivalent to Tk5.44, per unit when it will be running using imported RLNG.

Another proposal of the Power Division to install 150,575 pre-paid metres by December 2019 in Comilla and Mymensingh regions also received approval of the committee.

Chinese firm Shenzhen Star Instrument Co. Ltd (Sh.Star) won the contract at Tk132.49 crore.

Of the total pre-paid metres, 70,250 will be installed in the Comilla region while 80,325 in the Mymensingh region.

The committee approved a proposal of the Energy Division to import a total of 1.420 million tonnes of different types of petroleum fuel from different countries under the government-to-government contracts in six months from January to June.

The government has to spend about Tk6772.87 crore to import this petroleum.

A proposal of the Railways Ministry received the nod of the committee to appoint a consultant for a project to construct single-line dual-gauge railway tracks from Dohazari to Cox's Bazar via Ramu and Ramu to Ghundum in Bandarban.

A local firm, Development Design Consultant Ltd, won the contract at Tk38.57 crore for management consultancy services of the project.

The committee also approved a tender proposal to award a contract to widen the Alenga-Jamalpur Highway at a cost of Tk101.96 crore.

Meanwhile, the Finance Minister presided over the first meeting of the newly formed Cabinet Committee on Economic Affairs before the purchase body's meeting.