Speedy Supply of Power and Energy Act-2010 creates room for graft: CPD
Centre for Policy Dialogue (CPD) on Sunday said the Speedy Supply of Power and Energy (Special) Act - 2010 had created room for corruption in the country's energy sector. It said the act had reduced scope for competition in the sector. It should not continue. The power sector should be made competitive and all types of bidding should be held under 'open bidding' system maintaining transparency'.
"We called for discontinuation of the Speedy Supply of Power and Energy (Special) Act 2010," said Dr Khondaker Golam Moazzem, Research Director of the think-tank.
He said this at a webinar presentation titled 'Power Sector in the National Budget for FY 2021-22: Perspective on Allocative Priorities and Reform Agenda' on Sunday.
The virtual seminar was organized by the CPD with its Chairman Prof. Rehman Sobhan in the chair.
The law is supposed to expire on October 10 this year, he said adding that in the interest of the country's power and energy sector it should not continue, he said.
"We apprehend, if it continues, it would create room for corruption, reduce scope for competition and increase non-transparency in the project implementation process," he remarked.
Energy expert and BUET teacher Prof. Dr M Tamim, Sustainable and Renewable Energy Development Authority (Sreda) Chairman Mohammad Alauddin, Power Cell Director General Mohammad Hossain, IDCOL Managing Director Mahmud Malik, Bangladesh Independent Power Producers Association (BIPPA) President Imran Karim and Mini-grid power plant operator Mojibur Rahman also spoke.
Executive Director of CDP Dr Famida Khatun moderated the discussion. Dr Golam Moazzem said the special law was enacted targeting special needs in 2010.
Bangladesh's energy and power sector now needs to shift its activities from 'emergency management to 'market-led' management and it needs to improve its transparency, accountability and efficiency.
The CPD suggested increasing budget allocation for renewable energy saying that financial incentive should be further widened in the sector.
"Foreign direct investment (FDI) in renewable energy should be facilitated by making the domestic business environment favourable including making the businesses viable and de-risking," he added.
Taking part in the discussion Dr M Tamim said there is a huge gap between the government's figure of power generation capacity and the real scenario. "We have actual deliverable capacity of 14,000 MW while the maximum generation capacity is 18,000 MW," he said, adding, the statement about the 23,000 MW is a political propaganda.
He said to discuss the energy and power issue Bangladesh should adopt its own model based on an appropriate technology following any other country's model.
Mohammad Hossain said to address the electricity supply issues at the consumers end the government is now trying to shift its focus on development of transmission and distribution lines from its current focus on generation.
Mahammad Alauddin said the government is preparing a Delta Plan where the country's renewable energy generation target was set at 30,000 MW by 2041.