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REB to set up 50 new power substations

  • Published at 10:00 am May 15th, 2013
REB to set up 50 new power substations

The Rural Electrification Board (REB) is going to build 50 new substations and   upgrade 30 existing ones under 33 Palli Biddyut Samities (PBSs) in four divisions of the country at an estimated cost of Tk4.16bn, an official said.

"The proposal for the four JICA-funded projects will be placed at the next cabinet committee on public purchase," said a senior official of the power division.

He said as local banks are not interested to invest in the power sector, REB has taken a loan with high interest from JICA (Japan International Cooperation Agency).

As per the proposal, the REB (rural electrification boards) will enhance the capacity of 30 existing substations under 19 PBSs from 5mva to 10mva, at an estimated cost of $18.2 million. JICA will finance the project in Rajshahi, Rangpur, Khulna and Barisal divisions in the next fiscal year.

The power division is likely to award the contract to the lowest bidder, Energy Pac consortium.

Energy Pac, a leading power engineering company in Bangladesh, has sought $13.4m, while the nearest bidder, CCC China sought $20.5m.

The PBS proposals also include construction of 23 new substations in Rajshahi zone at a cost of Tk1.13bn, 12 substations in Rangpur and 15 substations in Khulna and Barisal zones, costing about Tk708m and Tk720m respectively.

Energypac and Siemens Ltd, India is likely to be awarded the construction contracts, according to the proposals.

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