Govt inks deal with Chinese-Bangladeshi consortium to set up wind power plant
The project cost is expected to be around $96.597m
Government has signed a contract with a Chinese-Bangladeshi consortium to set up a 55 megawatt wind power plant at Mongla in Bagerhat.
The Consortium of Envision Energy, (Jiangsu) Co. Ltd., China, SQ Trading and Engineering, Bangladesh and Envision Renewable Energy Limited, Hong Kong signed the deal with Bangladesh Power Development Board (BPDB) at the capital's Bitdut Bhaban on Sunday.
The consortium will develop the plant under a new special project vehicle (SPV) company Mongla Green Power Ltd, reports the UNB.
Keep updated, follow The Business Standard's Google news channel
The project cost is expected to be around $96.597m.
BPDB director Golam Rabbani and Mongla Green Energy's managing director Xu Wentao signed the contract on behalf of their respective sides.
As per the deal, the state-owned BPDB will purchase electricity from the plant at a levelised tariff of 13.20 Cents, equivalent to Tk13 per kilowatt hour (each unit).
The BPDB will purchase electricity from the independent power producer (IPP) plant over a period of 20 years spending a total of more than Tk2,000 crore.
This has been the second deal for wind power for which the BPDB signed a contract with the private sector sponsor.
Earlier, the BPDB signed the first deal with US-DK Green Energy (BD), a private firm, fir setting up a 60 MW wind power plant at Cox's Bazar.
"Through this, Bangladesh goes one step ahead towards renewable energy," State Minister for Power, Energy and Mineral Resources Nasrul Hamid said at the agreement signing ceremony.
"Other than protecting the environment, such a project will also play a vital role in ensuring the energy security of Bangladesh," the minister said at the event, chaired by BPDB Chairman Md Mahbubur Rahman.
