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Ghorashal 145 MW (Aggreko) Dual Fuel Power Plant

  • Jun 20
  • 3 min read

Current Status: Retired


Ghorashal 145 MW Dual Fuel Power Plant, also known as Aggreko Ghorashal Power Plant or Ghorashal Quick Rental Power Plant, is situated at Ghorashal Power Station premises under Palash Upazila in Narsingdi District of Bangladesh (Location: 23.9851, 90.6402). It is sponsored by Aggreko Power Solutions Limited (APSBL), a subsidiary of Aggreko International Limited (AIL), as a Quick Rental Power Plant (QRPP) for three years. The sponsor declared its Commercial Operation Date (COD) on 23 August 2010 and, as per schedule, the power plant was to retire on 22 August 2013. But, after 5 years of extension, the power plant was phased out in 2018.


Capacity

The installed (gross) capacity of the power plant is 145 MW.


Context

The sponsor officially announced the Commercial Operation Date (COD) on August 23, 2010, and originally, the power plant was supposed to cease operations on August 22, 2013. The contract period was extended to 2015 as part of the arrangement, and its value was raised by about $100 million (Palmer, 2012). However, it was ultimately retired in 2018, following a 5-year extension period. On January 25, 2012, the government entered into a contract amendment with a British rental power company called Aggreko to transform their 145-megawatt diesel-powered plant into one that operates on natural gas (Daily Star, 2012). Aggreko and the Bangladesh Power Development Board (BPDB) have decided to replace the current 145 MW temporary power plant at Ghorashal with a natural gas-powered unit. 


Sponsor

It is sponsored by Aggreko Power Solutions Limited (APSBL), a subsidiary of Aggreko International Limited (AIL) (Aggreko 2023).


Finance

Aggreko converted its 145 MW diesel temporary power plant in Ghorashal, Bangladesh into a natural gas plant. The change, agreed with client Bangladesh Power Development Board (BPDB), extended the contract period to 2015 and increased its value by USD $100 million (1,100.7 crores BDT as per 5 October 2023) ( (Pollok, 2011). 


As a result of this conversion, the government  was able to avoid importing diesel for the Ghorashal plant, which began operating in August 2010. This  saved the government between BDT 1,100 and BDT 1,200 Crore annually.  Officials from PDB and Aggreko signed an amendment on  January 25, 2012. The electricity rate, which is BDT  4.80 per kilowatt-hour after deducting the cost of fuel, stays the same under the modification. (Daily Star, 2012).


Power Generation

Total power generation from 2010-11 to 2017-18 was 7,003.80 gWh.


Capacity Charge

Bangladesh Power Development Board (BPDB) had to pay the sponsor BDT 2,502.05  crore as a daily capacity charge till 2017-2018. The average unit cost is  BDT 6.73 and total cost of the power plant is around 4586.82 Crore BDT.

Year

Generation (gWh)

Total Cost (crore BDT)

Unit Cost (avg BDT)

Capacity (crore BDT)

FY 2017-2018

510.06

222.42

4.36

155.20

FY 2016- 2017

996.64

348.71

3.5

229.30

FY 2015-2016

1019.97

348.46

3.42

225.18

FY 2014-2015

1018.72

572.84

5.62

453.74

FY 2013-2014

948.55

564.32

5.95

446.91

FY 2012-2013

884.43

523.16

5.92

419.38

FY 2011-2012

876.05

890.50

10.16

345.65

FY 2010-2011

749.38

1116.41

14.90

226.69

Total

7003.80

4586.82

6.73

2502.05


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, an IEE or EIA report has yet to be 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).


References

 
 
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