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Boalkhali 660 MW (Beximco) Coal Power Plant

  • 1 day ago
  • 3 min read

Current Status: Canceled

Representational Photo: (Grist)


Boalkhali 660 MW Coal Power Plant, also known as Beximco Boalkhali USC Thermal Power Plant, is a cancelled Ultra-supercritical (USC) thermal power plant which was to be situated under Boalkhali Upazila in Chattogram District of Bangladesh (Location: 22.3917, 91.9204) approx. It was proposed by Beximco Group, one of the biggest conglomerates in Bangladesh. As per schedule, the power plant was to start commercial operation on 30 July 2019. But no progress was seen by 19 November 2020 when the Government of Bangladesh (GOB) declared not to build anymore coal power plants in the country. Beximco Group also removed the information on the power plant from their website.


Capacity

The installed (gross) and derated (net) capacity of the power plant is 660 and 607 MW respectively.


Context

In June 2016, Beximco Group and China Energy and Engineering Corporation (CEEC) forged a strategic alliance to collaborate on the establishment of a 660 MW ultra-supercritical coal power plant. In October 2016, there were reports indicating that Beximco Group had inked a deal with the Chinese state-owned firm China Resources to construct two 660 MW coal-fired power plants, with one slated for development in Boalkhali, Chittagong (GEM). Beximco and their Chinese counterparts engaged in discussions with ICBC Bank (Industrial and Commercial Bank of China) and BOC Bank (Bank of China), both of which are Chinese financial institutions (Mridha R. ,2016). Also initiated discussions with companies in Indonesia, South Africa, and Mozambique with the intention of procuring coal for their power plant. They opted to establish the power plants in Chittagong due to its proximity to the sea, facilitating convenient transportation of coal by sea (Goel ,2016). As of November 19, 2020, the Ministry of Energy and Mineral Resources concluded an energy strategy that involved the cancellation of all coal plants, excluding five projects already in progress. Consequently, the Boalkhali power station by Beximco was anticipated to be officially terminated as a consequence of this decision.


In June 2016, Beximco Group and China Energy and Engineering Corporation (CEEC) entered into a strategic partnership to develop a 660 MW ultra-supercritical coal power plant at an unspecified location, alongside solar projects and a joint venture energy company; it was not known whether Beximco would continue to site the revived project in Boalkhali . In October 2016, Beximco signed a separate agreement with Chinese state-owned company China Resources to build two 660 MW coal plants, one at Boalkhali and one at Banshkhali in Chittagong. There have been no known developments related to the Boalkhali project since 2016, and the project is not mentioned in Beximco Group's 2021/2022 annual report (GEM, 2026).


Land Acquisition

297 Acres was expected to establish this power plant which would cover a large area.


Finance

Total Budget was 1437.65 Million and had to be sponsored by China Energy and Engineering Corporation (CEEC) and Beximco although the power plant was not established.


Sponsor

CEEC (China Energy Engineering Corporation Limited) wanted to sponsor this power plant by collaborating with  Beximco Group.


Contractor

No information found about the contractor of the power plant.


Fuel Supply

Coal was the proposed fuel for this power plant and the Support Fuel was HFO (Heavy Fuel Oil)  though this power plant was cancelled then. Beximco has initiated discussions with companies in Indonesia, South Africa, and Mozambique with the intention of procuring coal for this power plant.


Power Generation

The installed capacity was expected to be 660 MW.


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 1997 (superseded by ECR 2023) (MOEFCC 1997). If this power plant was installed a large amount of Carbon was emitted from this power plant Beside this , the environment around this power plant was polluted. 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).


References

 
 
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