Current Status: Shelved
Representational photo: BWGED
Mirsarai 660 MW LNG Power Plant, also known as Confidence Mirsarai Power Plant, is a Combined Cycle (CC) power plant to be situated in Mirsarai in Chattogram District of Bangladesh (Location: 22.7774, 91.5667) approx. It is proposed by a consortium of Confidence Group and General Electric to install as a private Independent Power Producer (IPP) for 22 years. As per schedule, the power plant will start commercial operation on 30 June 2027 and retire on 29 June 2049.
Capacity
The installed (gross) capacity of the power plant is going to be 660 MW.
Context
The Bangladesh Power Development Board (BPDB) had initiated to set up of a 660-MW gas / RLNG (R-liquefied Natural Gas) combined cycle power plant at Mirsarai in Chittagong under the Ministry of
Power, Energy and Mineral Resources (MPEMR). It will be the second-largest power plant by a private company. The cabinet committee on purchase approved the plant on 29 December 2021, which will be implemented by the Bangladesh Power Development Board (DS 2021).
A Consortium of Confidence Power Holdings Limited, GE Capital US Holding Inc., Confidence Power Limited, and Electrapack Industries Limited will implement this power project (BI 2021) holding 62%, 20%,9%, and 9% respectively (NA 2022). Bangladesh Power Development Board (BPDB) issued a Letter of Intent (LOI) on 16 January 2022 as a preliminary commitment to commission the power plant (BPDB 2022).
According to the LOI, the expected Commercial Operation Date (COD) of the power plant was scheduled for 30 June 2027. The Power Purchase Agreement (PPA) is yet to be signed (BPDB 2022). However, BPDB rescheduled its plan to start its commercial operation nowadays. In the recent progress report of BPDB, they declared that the power plant is estimated to start its commercial operation in January 2029 (BPDB 2024).
Land Acquisition
The power plant will be built on a 33-acre area of land at the Bangabandhu Sheikh Mujib Shilpa Nagar (TBS 2023).
Finance
The project cost is estimated at $550 million. Confidence Power Holdings has already deposited BDT 52 crore Tk as a leasing fee for the land (TBS 2023). The gas-based levelized tariff charge per megawatt hour is 3.679 US cents, equivalent to BDT 2.9432 Tk and the RLNG-based per-megawatt levelized tariff is 6.796 US cents equivalent to BDT 5.4368 Tk.
Sponsors
A Consortium of Confidence Power Holdings Limited, GE Capital US Holding Inc., Confidence Power Limited, and Electrapack Industries Limited will implement this power project (BI 2021) holding 62%, 20%,9%, and 9% respectively (NA 2022).
Contractors
Contractor information was not found.
Fuel Supply
Karnaphuli Gas Distribution Company Limited (KGDCL) will supply natural gas to the power plant (BI 2021).
Power Generation
In the recent progress report of BPDB, they declared that the power plant is estimated to start its commercial operation in January 2029 (BPDB 2024).
Environment
According to Section 12 of the Bangladesh Environment Protection Act 1995, Environmental Impact Assessment (EIA) is obligatory for any industry (MOLJPA 1995). Polluting industries, such as power plants, must undergo an Initial Environmental Examination (IEE) and EIA as directed in the Environmental Conservation Rules 2017 (MOEFCC 1997). But, to date, no IEE or EIA report has been conducted for the power plant. According to the environmental conservation rule 2023 the project falls in the “Red” indicating it as a potential harmful project for the environment (MOEFCC 2023).
Reference
BI (2021). Private consortium to build 660MW power plant at Mirsarai. The Business Insider Bangladesh (BI): 14 December 2021.
BPDB (2024). Power Sector Progress Report. Bangladesh Power Development Board (BPDB): 11 January 2024.
BPDB 2022. Power Sector Progress Report. Bangladesh Power Development Board: 15 June 2022
DS (2021). Govt to build 660MW plant in Mirsarai. The Daily Star (DS): 30 December 2021.
FE 2022. "Confidence Power enters consortium". The Financial Express (FE): 6 February 2022
MOEFCC (1997). ‘The Environmental Conservation Rules. Ministry of Environment, Forest and Climate Change (MOEFCC)’: 27 August 1997
MOEFCC (2023). “The Environmental Conservation Rules”. Ministry of Environment, Forest and Climate Change (MOEFCC): 5 March 2023
MOLJPA (1995). ‘Bangladesh Environment Conservation Act 1995’. Legislative and Parliamentary Affairs Division, Ministry of Law, Justice and Parliamentary Affairs (MOLJPA): 16 February 1995.
TBS (2022). Confidence Group to build country's 2nd-largest pvt power plant at Bangabandhu Shilpa Nagar. The Business Standard (TBS): 29 July 2023.
New Age (2022). "Confidence group gets govt nod for 660MW power plant". The New Age: 2 February 2022