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Bangladesh to install 7 rental power plants

world Updated: Dec 17, 2007 19:02 IST

Bangladesh has decided to install seven rental power plants to check its acute power crisis with the power ministry recommending three foreign and local companies to add 250-mw electricity to the national power grid, reports quoting officials said on Monday.

Officials said the ministry is set to seek the nod of the interim government's purchase committee to allow the companies to install the plants immediately so that the country could reduce the demand supply gap ahead of the next summer.

The Daily Star said the proposal evaluation committee (PEC) of the ministry recommended Energy Prima, Alstom Power Company and foreign and local consortium Kaltimex and GBB Power.

"The sole objective of the government in this rental power bid is to augment 300MW power supply by April. The government is ready to pay more for this power which can be brought online very quickly and uninstalled effortlessly," a senior power ministry official said.

Officials said they decided to install temporarily seven power plants on rental basis for three years as they were expected to complete some major projects by the period to solve permanently the country's acute electricity crisis.

"This is an interim arrangement aiming to face the next two summers as we will need the time to complete the permanent power projects in both public and private sector," PDB director Bazlul Haq earlier told PTI.

He said 30 parties had expressed their intent to install the rental power plants.

The country faces shortfall of nearly 500 megawatt against the officially estimated demand of 4250 megawatt.