November 9, 2010 / 10:04 AM / 9 years ago

UPDATE 1-Bangladesh seeks bids for 300 MW coal-fired plant

(Adds tender for 650 MW plant)

DHAKA, Nov 9 (Reuters) - Bangladesh has invited bids for a 300-megawatt coal-fired power plant to be set up on a build, own and operate basis (BOO) for 25 years, officials said.

The tender for the plant, to be built near the country’s main Chittagong port, 300 km (188 miles) southeast of the capital, will close on Jan. 31, next year.

The bids have been invited as part of a government initiative to generate 9,000 MW of electricity by 2015, a senior official of the Bangladesh Power Development Board (BPDB) said on Monday.

The BPDB is the regulator for power generation and distribution in the country, where the gap between demand and generation has been growing.

Bids for a short-list of viable firms have also been invited for another 650 MW coal-fired plant to be set up at Mawa, 50 km (31 miles) east of the capital, Dhaka also on a BOO basis and for 25 years.

The bids for the short-list will close on Dec. 30, BPDB officials said.

The BPDB earlier last month invited bids for a 450 MW gas-fired power plant to be set up near Dhaka. The tender will close on Dec. 15. [nSGE69F00Q].

Energy-starved Bangladesh, which faces a deficit of 2,000 MW of power, aims to set up a number of power plants to cover the shortfall as quick as possible.

Bangladesh presently produces around 4,000 MW of electricity a day against peak hourly demand of over 6,000 MW.

BPDB awarded a $114 deal to a Chinese firm — China National Machinery Import and Export Corporation to set up a 150 MW power plant in northern Sirajganj by May 2012. [ID:nSGE69B0G8]

BPDB in the recent months signed deals with several foreign and local firms to set up plants or to buy electricity from their rental plants.

Britain’s Aggreko PLC (AGGK.L) and seven other local firms were given deals to supply some 870 megawatts of power to the national grid for five years starting later this year.

Aggreko has already started generating 200 MW from two fuel oil-fired rented generator from August at $0.21 per kilowat-hour.

The British firm also won another deal last month to supply more 150 MW to the Bangladesh national grid from its two small gas-fired plant from February for three years at $0.07 per kilowatt-hour.

Bangladesh will soon seek bids for 10 new power plants to add another 4,000 megawatts of electricity to the national grid, BPDB officials said. (Reporting by Nizam Ahmed; Editing by Clarence Fernandez)

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