Pvt Sector Expansion

Govt plans to reduce ADP for power sector

Shamim Jahangir

24 June, 2019 12:00 AM printer

The government’s ADP budget in the power sector would be reduced in future due to the gradual increase in the presence of the private sector in power sector as well as the attainment of 100 per cent electricity coverage.

“The benefits of reform in energy sector are obvious, but the privatization of distribution network will be considered after ensuring 100 per cent electricity coverage, especially in the remote areas as private investment for distribution network development in remote areas may not be feasible at this stage,” Dr Ahmad kaikaus, senior secretary of power division said at a meeting with the development partners.

Asian Development Bank Country Director Manmohan Parkash, Planning Commission member Shamima Nargis, World Bank representative Mohammed Anis, representative of AFD Vain Daniel, representative of USAID Shayan Shafi, representative of KfW Tazmilur Rahman, Chairman of SREDA Mohammed Helal Uddin, Chairman of Rural Electrification Board Moin Uddin, Chairman of BPDB Khaled Mahmood and managing director of DPDC Bikash Dewan, managing director of WZPDCL Md Shafique Uddin attended at the meeting, among others.

Ahmad Kaikaus also said the reform of the transmission network in under consideration now.

He underscored the need for introducing innovative solutions to minimize the peak and off-peak electricity demand gap in the country.

He also said the development partners can play a significant role in extending the regional electricity trade among Bangladesh, India, Nepal, Bhutan and Myanmar to tap the hydropower potentials in these countries.

The secretary said he favours LNG import as it helps meet the demand for gas in the power sector as well as industries.   

Asian Development Bank country director Manmohan Parkash said the government needs to promote energy mix along with regional cooperation.

BPDB Chairman Khaled Mahmood emphasized on expediting the approval process so that partner aided projects can be completed within the stipulated time.

Chairman of Rural Electrification Board Moin Uddin said the rural electrification board has significantly improved the distribution network in rural areas in the last 10 years. He also sought support for the improvement of system reliability by laying of underground cables in city areas and adaptation of SCADA system including system modernization with pre-paid meters.

Managing director of DPDC Bikash Dewan requested to development partners to ensure timely approval of development project proposals.