Cabinet committee approves contract extension of 4 rental power plants, 200,000 MT rice import from Myanmar

Some 11 proposals including extension of four rental power plants and import of 200,000 metric tons of rice from Myanmar received the nod of the Cabinet Committee on Government Purchase (CCGP) on Wednesday.

Agriculture Minister Mohammad Abdur Razzaque presided over the meeting due to non-availability of Finance Minister AHM Mustafa Kamal.

According official sources, rental plants are 100 MW Julda, Chattagram, plant of Acorn Infrastructure Services Ltd, 50 MW Katakhali, Rajshahi power plant of Northern Power Solutions Ltd, 100 MW Keraniganj plant of PowerPac Mutiara Keraniganj Power Plant Ltd and 50 MW Amnura, Chapainababganj plant of Sinha Power Generation Company Ltd.        

They said the four HFO-based power plants received the approval for two year extension of their contracts under which the state-owned Bangladesh Power Development Board (BPDB) will purchase electricity for next two years.

"But contracts will be extended under a new term and condition—No Power, No Payment—basis. The operators will not get any capacity payment as per new condition", said a senior official at the Power Division.

He also informed that as a result of the new condition, the new tariff will be applicable in purchasing electricity.

"The sponsors of the rental plants will get only fuel cost plus a minimum operation and maintenance expense", he added.

The CCGP approved a Food Ministry's approval to import 200,000 MT of while rice (Atop) from Myanmar under a G-to-G contract.

The entire consignment will cost a total of $90.1 million while each ton will cost $465.50, said a top official of the Food Ministry.

The Cabinet committee also approved proposals on import of a total of 115,000 metric tons of fertilisers.

Of these, 50,000 MT of MOP fertiliser from Canadian Commercial Corporation, 40,000 MT of DAP fertiliser from Maadeen of Saudi Arabia and 25,000 MT of TSP fertiliser from GCT of Tunisia will be imported by the Bangladesh Agriculture Development Corporation (BADC) of the Agriculture Ministry.      

However, the price of the fertiliser was not learnt as there was no briefing from the Cabinet Division about the outcomes of the CCGP meeting.