Reliance Power to Build 750 MW Gas Fueled Power Plant in Bangladesh

Anil Ambani led Reliance Power has got green light to build the first phase of LNG based power plant in Bangladesh.

Government of Bangladesh has granted in-principle approval for the first phase of 750 MW power plant that will be set up at Meghnaghat (Narayanganj district), around 40 km South-East of Dhaka along with the FSRU terminal at Maheshkhali Island in Cox’s Bazar district of Bangladesh, Reliance Power said in a statement on Wednesday.

Power plant land at Meghnaghat will be provided by Bangladesh Power Development Board (BPDB). FSRU based LNG terminal will supply re-gasified LNG for the power project and additional RLNG to PetroBangla. First phase will be commissioned in 24 months from the zero date, in 2018-19.

Reliance Power said the plant and can power the country’s rising demand for electricity and will provide clean and green power contributing to the Bangladesh’s goal of energy security.

This will be the largest foreign direct investment in Bangladesh with a potential investment of over $1.3 billion.

In addition to private sectors firms like Reliance Power, Indian state owned firms are also eyeing the Bangladesh power and energy markets. Last month, Indian Oil Corporation (IOCL) and Bangladesh Petroleum Corporation (BPC) signed a memorandum of understanding (MoU) on broad aspects of cooperation in downstream oil and gas sector opportunities in Bangladesh.

The MoU paves the way for discussion on setting up LPG import terminal at coastal belt of Chittagong district, marketing of LPG and developing related infrastructure in Bangladesh, transportation LPG from Chittagong to Indian city of Tripura and any other form of hydrocarbon sector related cooperation of common interest as may be agreed by IOCL and BPC.

The MoU was signed during Indian oil minister Dharmendra Pradhan’s visit to Bangladesh from 17th to 19th of April.