Energy Bangla

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Dhaka Thursday,  Mar 28, 2024

Installing Power Plant By Fund Raising From Stock Market

Mahfuj Risad

The government has taken a decision to raise funds by entering into the Capital Market to install new power plants. The decision will get finalized within the following one month. The fund will be raised by the state-run Ashuganj Power Station Company Limited (APSCL).

The decision was taken on Wednesday during a meeting of Power Sector held at Bidyut Bhaban in the capital. Initially government has a target to raise 1000 crore TK from the Capital Market. Investment Corporation of Bangladesh (ICB) has been asked to submit an assessment report on it. The Decision regarding this however will be finalized
after receiving the report.

Nasrul Hamid, State Minister for Power, Energy and Mineral Resources presided over that meeting. Tawfiq-E-Elahi Chowdhury, Energy Advisor to the Prime Minister was present there. At that meeting BRAC EPL and
ICB presented two reports. Officials from Finance Ministry, ICT Ministry, Stock Exchange Commission, APSCL and Power Division were also present at the meeting.

We want to collect only 1000 crore TK initially from the stock market, though APSCL’s total asset would allow us to collect more than that said the prime minister’s energy advisor at that meeting.

Nasrul Hamid said that, the gross income of mass people has increased and they tend to invest their savings amount to somewhere safe. Investing on government institutions is safer and also income generating, he added. The pressure on government will release a bit if the state owned companies can manage to raise the funds on their own.
Besides, APSCL has a huge asset and reputation in the country and entry of state owned companies like it in the stock market will enhance the trust of the investors.

APSCL is the largest state owned Power Generation Company, which is run by Power Development Board (PDB). APSCL was incorporated under the Companies Act 1994 on 28 June 2000 with 99.99% shares owned by the
state-run PDB. APSCL meets 16 percent of the total Power demand of the country. It has a total capacity of 1,127 MW of power generation with its functional nine units and has an average generation record of 982 MW of electricity.

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