On January 10, 2009 when this government came to power, the electricity situation was totally different. The amount of load shedding was higher than 1,000MW. People were experiencing six to eight hours of load shedding per day.
It was a really awful situation. People had no comfort either at home or in the office. Industrial production was depleted; many small industries were shut-down. Garments sector was badly affected, owners were worried for low production, buyers cancelled the order due to late delivery.
To reduce the untoward situation, the government has successfully augmented power production, more than 2,500MW worth rental power plants have been funded privately, 400MW of IPP has been secured, 500MW of bilateral funding is in the pipeline for implementation.
In addition, 500MW of power has been imported from India in the first phase, roughly 50MW has been added to the national grid at Behramara in Kushtia inaugurated by the prime minister on September 5 this year.
However, experts have criticised the government for the quick rental scheme. They say quick rental has brought demise to the power sector, so alternative power sources are needed urgently. That’s why the government turned to the coal-based power plant instead of imported oil-based power solutions.
Already the power ministry has signed four mega coal based power plants, each having 1,320MW capacity. One is the Rampal plant, a joint-venture programme with India, Moheshkhali is another one. It could be set up with the help of Jica funding.
The other two locations have not yet been selected. All of these plants will be dependent on imported coal. Jica has already conducted a feasibility study at Moheshkhali in Cox’s Bazar for a 1,320MW coal-based plant.
Rampal power plant has been given the EIA certificate by the Department of Environment. For the consideration of biodiversity of the Sundarbans, it is not a feasible place for a coal-based power plant. Environmentalists, civil society, and local residents of Rampal oppose the power plant near the Sundarbans, a world heritage site, as well as the world’s largest mangrove forest.
A lot of uncertainty remains. Civil society is still fighting against the government’s egotism, the main opposition leader is demanding to shift the plant to another suitable place considering the ecology of the Sundarbans. She assures that if her party is in power after the next polls, the Rampal power plant will be halted or relocated.
However, the government is unenthusiastic about extracting its own coal due to a lack of “coal policy.” The country has huge natural coal reserves, only Barapukuria, a state-owned coal field, is producing coal under the mines and minerals rules and the company is paying 6% royalty to the government. A 250MW coal-based power plant is also operating there.
Coal policy has not yet been undertaken because of mainly political opposition rather than due to scientific considerations. The considerations create parameters for technology, the environment, social impact, finance, and the economy.
Experts say imported coal-based power solution is not a realistic choice - the government must prioritise the local reserve, and as soon as it does, the decision should be made for coal extraction. But the government response is too slow for the large primary energy shortage using indigenous coal resources.
From 1999 till now, several committees have revised the policy documents and recommended for technology and environmental protection laws considering the geology of the coal mines. Most of the technical members were worried about hydrogeological conditions of the coal mine because of the huge amount of groundwater that can be withdrawn from the mine area.
Also it can be stocked near the mine. That may cause for adverse effects on the local environment and biodiversity. Moreover, experts are distinctly divided over the mining procedure. Whether underground mining or open pit mining is suitable for coal extraction is not yet decided, and this is a cause for delays in the finalisation of coal policy.
Striking a balance between availability, affordability and accessibility is the biggest challenge of attaining sustainable energy security. Imported coal-based power production is not a wise decision at all, it may serve the purpose for the next 5 years, but there is no security for uninterrupted coal supply.
If the exporting companies create such insecurity for these projects in the future, it may pose a threat to the power plants. On the other hand, local coal can be developed with a certain level of supply and price security. If Bangladesh wants to make itself a middle-income country, local coal extraction ought to commence without further delay.
