Monday, 25 October, 2021

Supply Failure

Govt plans to cancel 200MW power import deal with India

Bangladesh is likely to cancel a 200-megawatt electricity purchase deal with Indian company PTC after its failure to supply the power as promised.

“We are working to scrap the 200MW deal with PTC as it could not give us power over the past several months,” an official of Bangladesh Power Development Board (BPDB) said.

As a reason of failure, PTC told BPDB that a unit of Meenakshi Power Plant at Andra Pradesh of Indiashut down due to technical glitz that failed them to supply the power.

In response, Bangladesh asked the company for supplying electricity from a different plant than Meenakshias it was closed.

Bangladesh had received between 710MW and 740MW of electricity since late July, 2021 out of expected 1000MW through the Bheramara HVDC line, the official figuresshowed.

The official said BPDB urged PTC to supply power from a differentplant sponsored by SembcorpEnergy India Ltd. “We have already informed the ministry about this. If the ministry gives consent, we will purchase electricity from the PTC with an approval of Power Grid Company of India Ltd (PGCIL),” said another official.   

The official said the PTC was paying LD as it failed to supply electricity as per the deal.

Official data shows that while Bangladesh is supposed to receive a total of 1150MW of electricity under the bilateral agreement with India, it receivesonly 853MW on an average.

Bangladesh is experiencing intense trouble in producing electricity due to price volatilityof fuelsincluding LNG and HFO in the international market. 

Delhi chief minister Arvind Kejriwallast Saturday warned of a power crisis in the Indian capital due to a coal shortage, which has already triggered electricity cuts in some of the country's eastern and northern states.

Kejriwal urged the federal government to divert supplies of coal and gas to utilities supplying the capital, saying the city housed strategic centres of national importance and supply was critical to hospitals and coronavirus vaccination centres.

A crippling coal shortage has caused a supply shortage in states such as Bihar, Rajasthan and Jharkhand, with residents in the regions experiencing power cuts stretching to up to 14 hours a day.

In India, over half of 135 coal-fired power plants, which supply around 70 percent of the country's electricity, have fuel stocks to last less than three days, Reuters reported on Friday.

Demand for industrial power has surged in India after the second wave of the coronavirus pandemic, with increased economic activity driving up coal consumption in the world's second largest consumer of the commodity.