Published On: Mon, May 29th, 2017

Reliance Power to Build LNG-Based Power Plant in Bangladesh

Indian Reliance Power Ltd received in-principal  approval  of the Bangladesh government  to construct a 718-MW power plant  at Meghnaghat in (Narayanganj district, around 40 km South-East of Dhaka, that will run on 110,000 Mcf/d of regasified imported LNG, state-run Petrobangla director for operation and mines Jameel A Aleem said.

Reliance Power is also engaged in a final round of negotiations on whether it will build a new floating, storage and regasification unit for LNG imports near Moheshkhali Island in Cox’s Bazar district of Bangladesh, or whether Petrobangla will supply regasified imported LNG via pipeline to the proposed power plant. Land at Meghnaghat will be provided by Bangladesh Power Development Board (BPDB).

The Indian company will also sign a power purchase agreement and an implementation agreement with state-run Bangladesh Power Development Board, to sell electricity to be generated from the power plant.

The commissioning date of the plant would be stated in the PPA and IA

BPDB will purchase electricity from the Reliance Power’s power plant for 22 years at a levelized tariff rate of 7.31 cents/kWh, equivalent to Taka 5.85/kWh, Additional Secretary of Cabinet Division Muksodur Rahman Patwary said after a Cabinet Committee on Public Purchase meeting Wednesday during which approval to the plant was granted.

State-run Gas Transmission Company Ltd., or GTCL, will undertake construction of a gas pipeline from Moheshkhali Island to Bakhrabad.

It will build another gas pipeline from Kutumbupur to Meghnaghat with its own funding to supply gas to the power plant. Reliance Power will pay a wheeling charge to GTCL for using the pipeline.

Bangladesh plans to build the country’s first power plant that will run on regasified imported LNG by mid-June 2019.

State-owned North West Power Generation Company Ltd., or NWPGCL, has issued an invitation of pre-qualification for engineering, procurement, construction and commissioning of a 800-MW combined cycle power plant at Rupsha in the country’s southern Khulna region.

The power plant, with two 400-MW units, is expected to come online by June 2019.

Some 125,000 Mcf/d of regasified LNG would be required to generate electricity from the proposed power plant, to be supplied by Petrobangla.

Bangladesh expects to start LNG imports from early 2018 through the country’s first FSRU, which is developed by US-based Excelerate near Moheshkhali Island in the Bay of Bengal.

The FSRU — the first of several LNG import facilities planned  would have regasification capacity of 500,000 Mcf/d and 138,000 cu m of LNG storage capacity.

Reliance Power Limited, India’s leading private sector power generation and coal resources company. The company has the largest portfolio of power projects in the private sector, based on coal, gas, hydro and renewable energy, with an operating portfolio of 5,945 megawatts.

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