Power, energy and mineral resources divisions are likely to get Tk 27,484 core for the fiscal year 2021-22 as Finance Minister AHM Mustafa Kamal proposed it while placing the national budget before the national parliament on Thursday. It was Tk 26,758 crore in the previous fiscal year.
The minister said, “There is no alternative to ensuring the provision of quality energy and power supply in view of the rising demand for power and energy to implement necessary socio-economic activities to ensure the transition from lower-middle-income to upper-middle income country by 2031 and high-income country by 2041 as envisioned in the Perspective Plan 2021-2041. It is a well-known fact that one of the driving strengths of Bangladesh's sustainable economic growth is the provision for uninterrupted supply of electricity.”
“Generation of electricity at the moment is five times higher compared to that in 2009. Total power generation capacity of the country (including captive and renewable energy) has increased to 25,227 Megawatt (MW) as of May 2021. Following the implementation of the Prime Minister's pledge to provide electricity to every household through integrated development of production, transmission and distribution system, 99 percent of the total population of the country has been brought under the electricity coverage. To meet the growing demand for power in Bangladesh, 38 power plants with a capacity of 14,115 MW are under construction, and contracts have been signed for the construction of another 20 power plants with a capacity of 2,961 MW. Besides, 6 power plants with a capacity of 650 MW are in the process of tender, and construction of 33 power plants with a capacity of 15,019 MW has been approved. Due to the strict measures taken by the government, the system loss in electricity has reduced from 14.33 percent to 8.73 percent,” he added.
Among the mega-projects taken in the power generation sector are the Rampal 1,320 MW coal-based Maitri Super Thermal Power Plant project, Matarbari 1,200 MW Ultra-super Critical Power Plant project and Rooppur 2,400 MW nuclear power plant project. On the other hand, after the construction of 1,320 MW thermal power plant at Payra, commercial power generation has started. At present, 722 MW of electricity is being generated from renewable energy. Solar power plants and wind power plants are being installed to generate 10 percent of the total electricity demand of the country from renewable energy.
“The government is working to lay all distribution lines and substations underground in the metropolitan area to modernise the power system. There is a plan to increase the number of transmission lines to 28,000 km and the number of distribution lines to 6.60 lakh km by 2030. We expect that through the implementation of these projects, it will be possible to meet the growing demand for transmission and distribution of electricity throughout the country,” he added.
Ensuring energy security: In line with the process of developing the country’s socio-economic condition, the government is striving to meet the growing demand for energy and increase the use and supply of sustainable and safe energy. A large part of our total energy demand is being met by natural gas. Among the 27 gas fields discovered in the country, 20 are currently in operation. In 2009, natural gas production in Bangladesh was 1,744 million cubic feet, which has now increased to about 2,525 million cubic feet. The remaining demand is being met by importing LNG or liquefied natural gas, which is added to the national grid. To this end, two floating LNG terminals with a total capacity of 1,000 million cubic feet have been set up at Maheshkhali in Cox's Bazar district with a capacity of 500 million cubic feet each. After regasification of imported LNG, an average of 700 million cubic feet of natural gas is being added to the national grid daily. In addition, to increase the supply of LNG, there is an initiative to set up a land-based LNG terminal with a capacity of 1,000 million cubic feet per day in the Matarbari area of Cox's Bazar district.
The government has taken steps to increase fuel oil reserves to enhance and consolidate energy security. In 2009, the country's fuel storage capacity was 8.94 lakh metric tons, which has been increased to about 13.20 million metric tons. Moreover, steps have been taken to increase it further.