Despite losses incurred as global fuel prices rise, the government does not want to hike the power and energy tariffs right now, said State Minister for Power, Energy and Mineral Resources Nasrul Hamid.
“The government has to incur huge losses in the energy and power sector due to the price hike in the global market. We’re trying to keep the situation stable through providing subsidies. But if any big change comes from the international perspective, then a decision may come from the government to raise the prices,” he said.
Nasrul on Monday said this while at a Meet the Press event jointly organised by Forum for Energy Reporters Bangladesh (FERB) and the developer of the plant Bangladesh-China Power Company (Pvt.) Limited (BCPCL), a Joint Venture of CMC and NWPGCL, at Biduyt Bhaban in the capital.
The State Minister said Bangladesh will reach a milestone through the inauguration of the 1320 MW Payra power plant as it has been the first ultra-supercritical coal power plant that is environment-friendly. Prime Minister Sheikh Hasina is scheduled to inaugurate the power plant on March 21.
He noted that the Prime Minister will also announce the cent percent coverage of electrification across the country through the programme.
“Currently the country's 99.85% areas and families are getting electricity and its generation capacity is 22,514 MW, including captive, import and renewable energy. Some power plants with a total capacity of 13,000 MW are under construction. Plans are afoot to export electricity in the winter season,” he added.
Nasrul also said, “The country's power generation capacity has increased around five times since 2009. The demand for electricity is rising by 200 MW per day. We also have plans to dig deep wells in the hilly areas to increase gas production. However, 20 to 25 million cubic feet of gas per day can be obtained from there.”
“Bangladesh Petroleum Corporation (BPC) is now incurring a daily loss of Tk 80 crore due to the hike in the price of petroleum in the global market. The monthly loss will be Tk 2,500 crore if the situation continues. It is a big question, how far we could afford this huge loss,” he said.
Nasrul Hamid noted that there is no problem until now for project implementation in the country where the Russian firms are involved due to the sanctions on Russia.
Responding to a question, he said that though the Payra power plant will be inaugurated, it will need to wait until December this year to reach the electricity to Dhaka due to a delay in implementation of the transmission line projects.
Power Secretary Habibur Rahman said, “Bangladesh is an exception in South Asia, ahead of neighboring countries in terms of power supply. We have been able to provide electricity to Swandip, Rangabali and other remote areas. The people of the area also did not want to believe that they would get electricity.”
Among others, Bangladesh Power Development Board (BPDB) chairman Delwar Hossain, Northwest Power Generation Company Limited (NWPGCL) officials spoke on the occasion.
Power Cell Director General Mohammad Hossain also addressed the function presided over by FERB Chairman Shamim Jahangir. The program was conducted by FERB ED Risan Nasrullah.