Power China Hubei Hongyuan Power Engineering Co Ltd has proposed Rural Power Company Ltd to set up two power plants having a combined capacity to generate 450MW of power under the government-to-government (G2G) deals.
The two power projects—350MW coal-fired power plant and 100MW solar-fired power plant—are likely to be taken in Munshiganj and Rajshahi respectively.
In a letter to the power division secretary, RPCL Managing Director Abdus Sabur said RPCL has already made a decision to implement separate power projects having a combined capacity to generate 2730MW of power by 2030.
A 300MW coal-fired power project in Gazaria of Munshiganj and another 100MW solar-fired in a suitable place have been included in the RPCL plan, he added.
Sabur said the Chinese firm has interested to set up the coal-fired plant in Munshiganj or elsewhere and the 100MW solar-based plant in Rajshahi division or elsewhere under the G2G funding.
The company has also shown interest in setting up the power plants under EPC [engineering, procurement and construction] contractors.
The RPCL has sought policy level decision to sign Memorandum of Understanding to implement the power project.
China Hubei has already sent the draft of a memorandum of understanding (MoU) to this end.
As per the draft, RPCL is agreed in principle to appoint the company for providing financing and services for 350MW supercritical coal-fired power plant at Gazaria or elsewhere and 100MW solar-powered plant in Rajshahi or elsewhere to meet the growing demand for power.
The financial deal will be done between the two governments and credit will come through Economic Relations Division of Bangladesh.
The draft said the EPC price will be competitive.
The government has already taken a series of power projects with fuel mixing to generate 40,000MW of power by 2030.
Power division sources said the government’s main concern now is the funds to implement the projects.
The government has recently formed a high-powered committee to find ways to mobilise funds from the capital market.