The Regulators & Policymakers Retreat 2013The Regulators & Policymakers Retreat 2013Organized by Independent Power Producers Association of Organized by Independent Power Producers Association of

India (IPPAI)India (IPPAI)Venue: Goa Marriot Resort & Spa, IndiaVenue: Goa Marriot Resort & Spa, India

1-4 August 20131-4 August 2013

Transnational Trade of Electricity: Bangladesh Transnational Trade of Electricity: Bangladesh PerspectivePerspective

bybyMd. Amzad HossainMd. Amzad Hossain

Director (Commercial)Director (Commercial)Power CellPower Cell

Ministry of Power, Energy & Mineral Resources Bangladesh Ministry of Power, Energy & Mineral Resources Bangladesh

Bangladesh Power Sector: At a Glance

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Installed Capacity (MW) 8,537 Maximum Generation (MW)(12 July’13) 6,675 Present Demand (MW) 7,500 Transmission Line, 230 KV & 132 KV( Ckt. KM) 9,150 Distribution Line (upto 33KV) (KM) 283,000 Consumers(million) 14.5 Access to electricity(including 7% renewable energy) 60% Per capita generation (including captive power)(KWh) 292 Distribution loss(%) 12.26 Accounts Receivable (equivalent month) 2.21 Generation from Renewable Sources(MW) 120

3

Public Sector

SL. Generation Capacity (MW)

1. BPDB 3700

2. APSCL 682

3. EGCB 210

4. NWPZCL 150

5. RPCL 77

Subtotal 4,819 (56.45%)

Private Sector1. IPPs 1297

2. SIPPs (BPDB) 99

3. SIPPs (REB) 226

4. 15 YR. Rental 169

5. 3/5 YR. Rental 1927

Subtotal 3,718 (43.55%)

Total 8,537 Considering 20 % Maintenance and Forced Outage, Available

Generation Capacity is about 6800 MW without fuel constraint

Generation Capacity (April, 2013)

Energy Generation by Fuel Type

4

FY 2012

Power System Master Plan (2010-2030)

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To ensure stable power supply up to year 2030

To develop an optimum power development plan through fuel diversification

To give emphasis on coal power development at potential sites

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Total Generation Capacity in 2030: 38,700 MW

Domestic Coal

11,250 MW29.07%

Imported Coal

8,400 MW21.71%

Gas/LNG8,850 MW22.87%

Nuclear4,000 MW10.34%

Regional Grid

3,500 MW9.04%

Others2,700 MW

6.98%

Probable Power Generation: Primary Fuel Sources by 2030

Primary Fuel Supply Enhanced Gas Exploration, Production Domestic Coal development Coal and LNG Import and deep sea port for coal handling Safe Nuke for Base LoadProject Financing Ensuring financing for Public and Private sector projects Availability of foreign currencyEstablishment of Regional Power Market Infrastructure for regional grid inter-connection Establishment of regional power market Human Resources Development Development of skilled manpower: adopt and operate new

technology Introduction of corporate culture and professionalism in sector

entities

Major Challenges

Regional Initiatives

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Bilateral initiative between the regional countries is going on. Bangladesh and India signed an MOU in January 2010 for energy cooperation specially the cross border interconnection and power trade.

Power import from Pallatan, Tripura under process

500 MW hydro power import from Lempro, Myanmar. Minutes of discussion signed.

Dialogue continue with Nepal and Bhutan for grid connectivity and hydro power projects on mutual cooperation

Bangladesh-Nepal Minutes of Meeting signed

FENCHUGANJ

SILCHARFENCHUGANJ

BHERAMARA

BAHARAMPUR

BAHARAMPUR BHERAMARA

PURNIABARAPUKURIA

THAKURGAON

500MW [2013-]  500MW [2018-]  

1000MW500 MW

MYANMARCHITTAGONG

500 MW

BONGAIGAONBARAPUKURIA

1000MW

Regional Power Exchange: Possibilities

Power Exchange Possibilities: Bangladesh & India

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Bongaigaon, Assam to Barapukuria/Jamalpur, Bangladesh to Purnea, Bihar (765 KV AC Line, initially operated at 400 KV AC Line)

Rangia/Rowta, Assam to Barapukuria/jamalpur, Bangladesh to North West Region (800 KV DC Bi Pole Line)

Silchar, Assam to Meghnagaht to Bheramara-to Baharampur India (400 KV AC Line)

1st Grid Interconnection Between Bangladesh & India

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500 MW power import from Baharampur, India by 2013 out of which 250 MW by mid September 2013. Rest 250 MW will be imported from private sector.

India Bangladesh

70 km 30 km

400kV

Baharampur

230kV

Bheramara

Khulna SouthJeerat

Farakka

400kV double ckt line

HVDC

Back-to-back

500 MW

Indian border to Bherama substation 27 KM 400KV double circuit line construction completed. 400 KV HVDC back-to back substation in Bangladesh part 90% work completed

Regional Initiatives

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BIMSTEC Grid Interconnection An MOU has been prepared based on the 'Declaration of First

BIMSTEC Energy Ministers' Conference' held on 4th October 2005 for trans power exchange and grid interconnection, hydropower development, energy security of the region, establish BIMSTEC Energy centre (BEC) etc.

3rd Taskforce meeting on Trans Power Exchange was held during 23-24 August 2012 in Dhaka which indeed facilitated further for transnational power trade.

4th Taskforce meeting on Trans power Exchange held on 11 January 2013 in New Delhi and reviewed the draft MOU. It is still not signed .

Legal and Policy Framework

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Power System Master Plan(PSMP) 2010 Private sector generation will be increased by 60%

which is now 44%Under Electricity Act, 1910 (amendment(2013)

Govt . will create business friendly environment through policy to encourage public & private sector investment

Private sector participation allowed in generation, transmission & distribution sector

Government will establish competitive power market Enable cross border trade Grid open access allowed to enhance market

environment

Legal and Policy Framework

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Under Electricity Act, 1910 amendment: Government consent is not required to install a

power plant when the capacity is upto 50 MW

Captive power generator shall have right to national grid for carrying out electricity

Under Electricity Act Independent System Operator (ISO) will be established to ensure countrywide integrated system operation

ISO-responsible for optimum scheduling and merit order dispatch electricity from the generating stations

Conclusion

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Bangladesh strongly believes regional cooperation. It believes that an integrated Energy Market under transnational power trade through win-win options removing unnecessary conflicts can ensure the Energy Security in the Region.

Thank You Very Much