11

SEMINAR ON INVESTMENT IN BANGLADESH

Organised by

Indo-Bangladesh Chamber of Commerce and Industry (IBCCI)

&

High Commission of India

Presentation on Power Sector in Bangladesh

by

R.V. ShahiFormer Power Secretary, Govt. of India

Energy Advisor, World BankSouth Asia Regional Projects

(March 29, 2014)

The Presentation covers:The Presentation covers:

Bangladesh Power Sector at a Glance.

Generation Profile including Future Projection.

Transmission - Present and Future.

Distribution including Rural Electrification.

Role of World Bank in Power SectorRole of World Bank in Power Sector

Bangladesh-India-Recent Initiatives on Power

January 2010 Agreement

Framework Agreement, September 2011

Bangladesh – India-Cross Border Transmission.

BPDB-NTPC Joint Venture (1320 MW Khulna Project).BPDB-NTPC Joint Venture (1320 MW Khulna Project).

Bangladesh-India Friendship Power Company.Bangladesh-India Friendship Power Company. 22

COVERAGE OF PRESENTATION

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BANGLADESH POWER SECTOR AT A GLANCE

Installed Capacity 10,200 MW (up from about 5,000 MW in last 5 Years)

Transmission Line400 KV

55 KM

Transmission Line 230 KV 3040 KM

Transmission Line 132 KV 6150 KM

HVDC500 MW

Grid Sub Station Capacity 230/132 KV 6975 MVA (13)

Grid Sub Station Capacity 132/33 KV 9705MVA (84)

Distribution Line 33 KV & below 34800 KM

Consumers 14.2 Millions

Per Capita Power Consumption

321 Kwhr

HISTORICAL PERSPECTIVE

44

55

Power Division(Ministry of Power, Energy & Mineral Resources)

Power Cell

IPPRPCL(REB)

BPDB

APSCLNWPGCLEGCB

PGCB

REBDESCODPDCBPDB

PBSSZPDCLNWZPDCLWZPDCL

Generation

Transmission

Distribution

POWER SYSTEM MASTER PLAN (PSMP)

PSMP 2010 PSMP 2010 : : Long term planning up to 2030

Study completion : February 2011

Findings – generation capacity requirement :

- By 2021 : 24,000 MW (base); 26,000 MW (high)- By 2030 : 39,000 MW (base) ; 47,000 MW (high)- Coal based capacity by 2030 : 20,000 MW (base)

Other Key Findings :

- Coal and Nuclear for base load power requirement.- Cross Border Trade with neighbouring countries.

66

UNDERLYING PRINCIPLES IN FORMULATING LONG TERM PLAN

Present highly skewed fuel mix needs to be changed.Present highly skewed fuel mix needs to be changed.

Liquid fuel and later even Gas will be costly.Liquid fuel and later even Gas will be costly.

Coal needs to occupy a major space to balance the cost Coal needs to occupy a major space to balance the cost structure of power.structure of power.

Mix of Domestic and Imported Coal needs to be Mix of Domestic and Imported Coal needs to be appropriately fixed both for optimal cost and also for appropriately fixed both for optimal cost and also for energy security. energy security.

Cross Border and Regional Trade possibility needs to be Cross Border and Regional Trade possibility needs to be factored.factored.

Transmission capability enhancement and shift to higher Transmission capability enhancement and shift to higher voltages will be needed.voltages will be needed.

77

CAPACITY TILL 2030

88

Sl. No. Description Capacity (MW)

1. Domestic Coal 11,250

2. Imported Coal 8,400

3. Domestic Gas/LNG 8,850

4. Nuclear 4,000

5. Regional Grid 3,500

6.Others (Oil, Hydro, and Renewable)

2,700

Total 38,700

REPOWERING OF GAS BASED POWER PLANTS

Gas Based Steam Turbine System is inefficient.Gas Based Steam Turbine System is inefficient.

Even open cycle Gas Turbine has been phased out Even open cycle Gas Turbine has been phased out in most of the countries (except for peaking in most of the countries (except for peaking power). power).

EfficiencyEfficiency

Steam Turbine – Less than 30% Efficiency.Steam Turbine – Less than 30% Efficiency. Open Cycle – About 40% Efficiency.Open Cycle – About 40% Efficiency. Combined Cycle – About 60% Efficiency.Combined Cycle – About 60% Efficiency.

Ghorashal Repowering Study (World Bank Assistance).Ghorashal Repowering Study (World Bank Assistance).

99

Formation of PGCBFormation of PGCB

Under the Process of Power Sector RestructuringUnder the Process of Power Sector Restructuring

As per recommendation of eight member As per recommendation of eight member working group for Power Sector Restructuring, working group for Power Sector Restructuring, Govt. decided to create Power Grid Company Of Govt. decided to create Power Grid Company Of Bangladesh Ltd. (PGCB) in the ECNEC meeting Bangladesh Ltd. (PGCB) in the ECNEC meeting held on 18 September, 1996.held on 18 September, 1996.

Power Grid Company Of Bangladesh Ltd. (PGCB) Power Grid Company Of Bangladesh Ltd. (PGCB) established on 21 November’96 under the established on 21 November’96 under the Companies Act, 1994.Companies Act, 1994.

PGCB took over the responsibility for whole grid PGCB took over the responsibility for whole grid network operation & maintenance from 31network operation & maintenance from 31stst Dec, 2002.Dec, 2002.

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PGCBPGCB

A public limited company incorporated in 1996 A public limited company incorporated in 1996 through sponsorship of BPDB.through sponsorship of BPDB.

At present 76.25% ownership with At present 76.25% ownership with BPDB & 23.75% BPDB & 23.75% with general publicwith general public..

BPDB holding the ownership on behalf of Govt.BPDB holding the ownership on behalf of Govt.

Present head office at Institution of Engineers , Present head office at Institution of Engineers , Bangladesh (IEB) Bhaban (new), 3Bangladesh (IEB) Bhaban (new), 3rdrd & 4 & 4thth floor, Ramna, floor, Ramna, Dhaka-1000.Dhaka-1000.

PGCB is going to achieve ISO 9001:2008 QMS PGCB is going to achieve ISO 9001:2008 QMS certification.certification.

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PGCB AT A GLANCEPGCB AT A GLANCE

StatusStatus : : Public Limited CompanyPublic Limited Company

BusinessBusiness : : Power TransmissionPower Transmission

Year of IncorporationYear of Incorporation : : 19961996

Authorized CapitalAuthorized Capital : : Tk. 10 BillionTk. 10 Billion

Present Paid-up Capital : Present Paid-up Capital : Tk. 4190.11 MillionTk. 4190.11 Million

Turnover (2012-13)Turnover (2012-13) : : Tk. 8742.78 MillionTk. 8742.78 Million

Net profit after tax Net profit after tax : : Tk. 1010.18 MillionTk. 1010.18 Million

(2012-13)(2012-13)

Transmission Line as of March, 2014 Transmission Line as of March, 2014

400kV400kV : 54.7 Circuit km: 54.7 Circuit km

230 kV230 kV : 3038 Circuit km: 3038 Circuit km

132 kV132 kV : 6147 Circuit km : 6147 Circuit km

Substations as of March, 2014 Substations as of March, 2014

HVDC HVDC : 01 (500MW): 01 (500MW)

230/132 kV230/132 kV : 13 (6975 MVA) + 2 No. Switching: 13 (6975 MVA) + 2 No. Switching

132/33 kV132/33 kV : 84 (9705 MVA): 84 (9705 MVA) 1212

Master Plan SummaryMaster Plan Summary2010-20302010-2030

New Transmission Lines to be added from 2010-2030New Transmission Lines to be added from 2010-2030

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Voltage(kV)

2010 2030 Additional (2010-2030)

Length(Km)

Length(Km)

Length(Km)

230 2645 93606715

400 0 44794479

Source :

PSMP Study Team

400 & 230kV substations required from 2010 - 2030

Voltage East or West Region Additional Number of Substation

230/132kV

East

Central 8

56

88

Dhaka 25

Southern 23

WestNorthern 17

32Western 15

400/230kVEast

Central 3

1114

Dhaka 6

Southern 2

West Western 3 3

Source: PSMP Study Team

Master Plan Summary2010-2030

DISTRIBUTION INCLUDING RURAL ELECTRIFICATIONDISTRIBUTION INCLUDING RURAL ELECTRIFICATION

Town/City Distribution – Public and Private Town/City Distribution – Public and Private Sectors.Sectors.

Distribution Lines – About 35,000 Km (33 KV Distribution Lines – About 35,000 Km (33 KV and Below).and Below).

Rural Distribution through Palli Bidyut Samiti Rural Distribution through Palli Bidyut Samiti (PBS).(PBS).

JICA and World Bank funding massive JICA and World Bank funding massive strengthening of Rural Network.strengthening of Rural Network.

World Bank has been assisting in a very large World Bank has been assisting in a very large Scheme - Solar Home System.Scheme - Solar Home System.

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ROLE OF WORLD BANK

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ROLE OF WORLD BANK

Partial Risk Guarantee (PRG) to Haripur Power Plant- Guarantee amount US$ 60.9. The project contributes through 360 MW gas-fired combined cycle power plants, owned by Pendekar Energy, Malaysia to increased and reliable power supply. The guarantee is effective since 2001. Outstanding IDA Exposure: $9.3m (as of 30 June 2013). Expiry: December 2015.

Power Sector Development Technical Assistance Power Sector Development Technical Assistance Project (PSDTA)Project (PSDTA) - US$ 15.5 million. Technical assistance to - US$ 15.5 million. Technical assistance to build capacity in the sector and support new project build capacity in the sector and support new project development. The project is closed in Dec 2012. development. The project is closed in Dec 2012.

Rural Transmission & Distribution (T&D) Rural Transmission & Distribution (T&D) - US$600 - US$600 million. Rural distribution augmentation, transmission million. Rural distribution augmentation, transmission enhancement and institution building. The project is enhancement and institution building. The project is approved in February 2014.approved in February 2014.

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ROLE OF WORLD BANK

Project under PreparationProject under Preparation

Power Generation Efficiency Improvement Power Generation Efficiency Improvement Project Project ($300 m). Upgrading the existing ($300 m). Upgrading the existing Ghorashal Unit 4 Steam plant to energy efficient Ghorashal Unit 4 Steam plant to energy efficient combined cycle technology and associated combined cycle technology and associated institution building. institution building.

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OTHER ASSISTANCE TO POWER DIVISION

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INDIA-BANGLADESH RECENT BILATERAL INDIA-BANGLADESH RECENT BILATERAL INITIATIVESINITIATIVES

January 1910 Agreement On PowerJanuary 1910 Agreement On Power

Supply of 500 MW.Supply of 500 MW. Cross Border Transmission.Cross Border Transmission. Cooperation in Power Generation, Training.Cooperation in Power Generation, Training.

Joint Steering Committee, Joint Working Group, Joint Steering Committee, Joint Working Group, Joint Technical Team. Joint Technical Team.

September 2011 Framework AgreementSeptember 2011 Framework Agreement

Sub Regional Cooperation.Sub Regional Cooperation. Developing and Financing Projects jointly.Developing and Financing Projects jointly. Cooperation in Generation, Transmission andCooperation in Generation, Transmission and

Distribution.Distribution. Power Grid connectivity and Power Exchanges.Power Grid connectivity and Power Exchanges.

2020

BOGRASOUTH

BHERAMARA

NAOGAON

NIAMATPUR

FARRAKA

SUBHASGRAM

KATW A

GOKARNA

JEERATKHULNA(SOUTH)

BOTTAIL

BAHARAM PUR

CH. NAW ABGANJ

RAGHUNATHGANJ

KA

HA

LG

AO

N

SAGARDIGHI

RAJSHAHI

BAHARAM PURISHURDI

NATORE

KHEJURIA

FARIDPUR

BAGHABARI

GHORASAL

MA

DH

OP

URSHAHJAD

PABNA PUR

SIRAJGANJ

BOGRA

INTERCONNECTION BETW EEN INDIA AND BANGLADESH GRIDS

400 kV230 kV132 kV

THE PROJECTLEGEND

BAKRESHW AR

KOLAGHAT

BANGLADESH

INDIA

400kV D/c

(400 KV)

M ALDA

DHULIAN

DURGAPUR

ExistingUnder Constr. / Future

JAYPURHAT BARAPUKURIA

Overview of Indo Bangladesh 1X500 MW HVDC BTB Interconnector Overview of Indo Bangladesh 1X500 MW HVDC BTB Interconnector

Overview of Indo Bangladesh 1X500 MW HVDC BTB Interconnector

India – Bangladesh Interconnector India – Bangladesh Interconnector

Scope of WorksScope of Works

1x 500 MW HVDCBTB Station, Bheramara1x 500 MW HVDCBTB Station, Bheramara

Bangladesh Side T/LBangladesh Side T/L

India Side T/LIndia Side T/L

India Side Sub Station at BehrampurIndia Side Sub Station at Behrampur

Outline…….

Overview of Indo Bangladesh 1X500 MW HVDC BTB Interconnector

Scope of Work for the interconnector Scope of Work for the interconnector projectproject

Indian Portion

Transmission Line

Baharampur(India) – Bheramara(Bangladesh) 400kV Double Circuit line.

(Indian Portion) : App 71 Kms (Twin ACSR Moose Conductor).

Loop-in and loop-out of Farakka-Jeerat 400kV Single Circuit line at Baharampur (India) : 3 Kms

Overview of Indo Bangladesh 1X500 MW HVDC BTB Interconnector

Scope of Work for the interconnector project

Indian PortionSub-station

Establishment of 400kV switching-station at Baharampur(India)

2 Nos of 400 kV line bays for loop-in and loop-out of Farakka-Jeerat 400kV Single circuit line

1 No. of 80 MVAR Bus Reactor

Space provision for at least 2 no. of 400kV bays

Overview of Indo Bangladesh 1X500 MW HVDC BTB Interconnector Scope of Work for the interconnector projectScope of Work for the interconnector project

Bangladesh Portion

Transmission Line

Baharampur(India) – Bheramara(Bangladesh) 400kV Double Circuit line (Bangladesh Portion) : App 27 Kms (Twin ACSR FINCH Conductor)

Loop-in and loop-out of Ishurdi - Khulna South 230kV Double Circuit line at Bheramara(Bangladesh) : App 5 Kms

Overview of Indo Bangladesh 1X500 MW HVDC BTB Interconnector Scope of Work for the interconnector project

Bangladesh PortionSub-station

Establishment of 500 MW HVDC back-to-back station

Installation of 500 MW HVDC back-to-back terminal.

4 nos of 230 kV line bays for LILO of Ishurdi -Khulna South 230kV Double Circuit line.

2 No of 400 KV Line bays (for Bheramara – Bherampur D/c line).

Space provision for at least 2 no. of 230kV bays.

Overview of Indo Bangladesh 1X500 MW HVDC BTB Interconnector

Details of Various Packages under the India – Bangladesh Interconnector Project

Note: Consultancy Assignment for No. 1 & 2.

Overview of Indo Bangladesh 1X500 MW HVDC BTB Interconnector Commissioning of the interconnector project

1 400 kV and 230 kV Transmission Lines

Charged Successfully on 30.08.2013

2 Regular Power Flow Started

05.10.2013

3 Full Load Power Flow Started

04.12.2013

CROSS BORDER TRANSMISSION PROJECT CROSS BORDER TRANSMISSION PROJECT (HVDC)(HVDC)

Important Dates

Tender Process (Two Stage Bid) OBD (1st Stage) – May,2010

Loan Agreement with ADB February, 2011

Zero date of Project Contract with M/s. Siemens

1st June, 2011

Commissioning Target July, 2013

Commissioning October, 2013

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SAVING OUT OF 500 MW POWER IMPORTSAVING OUT OF 500 MW POWER IMPORT

500 MW means about 4,000 Million Units of 500 MW means about 4,000 Million Units of Power.Power.

Average price per year 6 Tk/Kwhr.Average price per year 6 Tk/Kwhr.

Average price of Liquid Fuel Power 16 Tk/Kwhr.Average price of Liquid Fuel Power 16 Tk/Kwhr.

Per Unit Saving 10 Tk.Per Unit Saving 10 Tk.

Annual Saving - Annual Saving - Tk 40,000 Million.Tk 40,000 Million.

= Tk 4,000 Crores.= Tk 4,000 Crores.

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Maitree Super Thermal Power ProjectMaitree Super Thermal Power Project

Mode of Generation Ratio WorldwideMode of Generation Ratio Worldwide

Maitree Super Thermal Power Project

Project Overview Project Overview Project Implementation : Bangladesh India

Friendship Power Co. (Pvt.) Ltd.

Project Cost : 1.68 Billion USD (BDT 14510 Crs.) Equity : 50:50 (BPDB:NTPC)Funding : Debt: 70%, Equity : 30%Beneficiary : 100% Power to Bangladesh

(PPA : 25 yrs)Mode of Operation : Base loadYear of completion : 2018

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Maitree Super Thermal Power Project

Basic Plant InformationCapacity 1320 MW ( 2 X 660 )Technology Supercritical Technology

Primary Fuel

•Quality

•Source

•Requirement

Sub-Bituminous/Bituminous Coal

•(GCV 5,500 – 6,000 kcal/Kg, Sulfur- max. 0.6%, Ash – Max. 15%)

•Imported

•1,2000 Ton/Day (85% plant factor)

Stack height

•Emission SOx max

•Emission NOx max

•Particulate matter

275 m

•819 g/s (WB standard 1597 g/s)

• Less than 500 µg/m3 (WB Standard: max conc. 500 µg/m3)

•100 mg/Nm3 (DoE standard 150 mg/Nm3)

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Maitree Super Thermal Power Project Maitree Super Thermal Power Project

Basic Plant InformationBasic Plant Information

Water

•Source

•Requirement

• Possur River • Plant make up : 2.5 m3 per sec (apprx. 0.04% of the lowest flow of the Possur River)

• Flow of the Possur river: 6000 m3/s during dry season)

Cooling System• Closed Cycle• Water is cooled in Cooling Towers and re-

circulated.

Discharge of treated waste water

• At the rate of 1.4 m3 /sec to Possur River satisfying DoE’s standard (Ambient Temperature)

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Bangladesh-India Friendship Power Company (Pvt.) Limited

Maitree Super Thermal Power Project at Rampal , BagherhatCalendar of Events

Inter Govt. MOU 11.01.10 MOU Bet. NTPC & BPDB 30.08.10 JV Agreement Between NTPC & BPDB 29.01.12

JV Company Incorporated 31.10.12 BOI Approval 27.11.12 PPA/IA Signed 20.04.13 Co’s Cor. Office Started 05.05.13 Co’s Bank A/C Opened 20.05.13 Co’s Site Office Started 29.05.13 Promoters Contribution 11.07.13 Apvl. of EIA Report by DOE 05.08.13 EOI for Coal Consultant 31.10.13 1st AGM of Company 31.12.13 OE Bid opened on 13.03.14

03.03.2014

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