Govt to sign PPA, GSA deals with 584MW PP today | 2019-07-24

Govt to sign PPA, GSA deals with 584MW PP today

Special Correspondent

24 July, 2019 12:00 AM printer

The government is going to sign two deals -- the power purchase agreement (PPA) and the Gas Sales Agreement (GSA) -- today (Wednesday) with 584MW LNG-fired power plant to purchase electricity for a period of 22-years at a cost of Tk 53,293 crore.

The consortium of Unique Hotel and Resorts Ltd, Guayama PR Holdings BV Ltd and Strategic Finance Ltd will set up the power plant at Meghnaghat in Narayanganj under build-own-operate (BOO) method.

Bangladesh Power Development Board (BPDB) will purchase electricity from the proposed plant at a cost of Tk 5.4478 per unit. Unique Hotel and Resorts Ltd will set up the power plant on its own land. The proposed plant will be one of the low-cost power plants in private sector.

The consortium proposed to supply electricity at Tk 2.9538 per unit if the government supplies natural gas to the plant instead of costly LNG.

The government earlier allowed local Summit Group and Indian Reliance for implementing LNG-based power plants. Summit will supply electricity at Tk 5.4487 per unit while the tariff from the Reliance-sponsored plant would be Tk 5.8498 per unit.

Unique Hotel and Resorts owns 65.01 percent, Guayama PR Holdings BV ltd 30 percent and Strategic Finance Ltd holds 4.99 percent share in the 600MW power plant project. The plant will require 90-100mmcfd natural gas to generate electricity.


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