The 1,320 MW coal-based power plant at Rampal is about to be materialized as the Indian company, which won the contract, has handed over Performance Guarantee (PG) on February 29 to the Bangladesh-India Friendship Power Company Ltd (BIFPCL).
BIFPCL Managing Director Uzzal Kanti Bhattacharya told the daily Observer on Wednesday, "The Bharat Heavy Electricals Ltd (BHEL) has ensured the setting up of the plant anytime soon, as they have deposited the PG money. Now, we will sign the final contract."
The law aspect of the draft contract is under scrutiny, said the Power Division official.
The BHEL deposited one third of the total money. As per the feasibility study the estimated cost of the project is US$201.46 crore.
To implement the Rampal Coal-based Power Plant Project the Bangladesh India Friendship Company is going to sign Engineering, Procurement and Construction (EPC) contract with BHEL this March.
On February 12 in 2015, BIFPCL invited bids to set up the plant. The final deadline was set for September 22. And the BHEL was awarded the bid.
A BIFPCL official said the power plant will be built considering all environmental issues.
The first unit of 660 MW has to be completed within 41 months from the time of signing the contract and second within 46 months. So, by 2019 this coal-based power plant will be completed. An estimated Tk 210,456,000 will be needed to set up the plants at Rampal. Some 70 per cent of the money will come from loans. PDB and NTPC will invest the rest of the money.
In 2012 Power Development Board (PDB) and National Thermal Power Corporation (NTPC) India had signed the agreement to set up the coal-based power plants at Rampal.