In a major policy shift, Bangladesh has decided to scrap 10 proposed coal-fired power plants due to criticism from environmentalists and problems finding funds, raising concerns over the country's energy mix and relations with foreign investors.
Bangladesh has set a target to generate 40% of electricity from renewables by 2041, but the government is hesitant to undertake a "crash program" to realize the goal, Hamid said. The canceled plants include: the China-backed Patuakhai and Maheshkhali power plants, each with 1,320 MW capacity; the Malaysia-backed Maheshkhali plant with 1,320 MW capacity; a joint Bangladesh-Singapore project; and a joint project between Japan's Sumitomo Corporation and state-owned Coal Power Generation Company Bangladesh. The remaining five projects were supposed to be funded locally. Prime Minister Sheikh Hasina suggested late last month that five of the 10 planned plants could use LNG, but provided no details -- including whether they would involve foreign funding. "We are now examining which of the scrapped [projects] can be converted to LNG or other fuel," Habibur Rahman, a secretary at the Ministry of Power, told Nikkei. "The conversion will also depend on the interest of private sector sponsors. Their feasibility with LNG or other fuel, instead of coal, will also be considered."
