Editor Mollah M Amzad Hossain Fortnightly Magazine, Vol 18, Issue 13, December 16-31 Advisory Editor Anwarul Islam Tarek Mortuza Ahmad Faruque Saiful Amin International Editor Dr. Nafis Ahmed Contributing Editors Saleque Sufi Online Editor GSM Shamsuzzoha (Nasim) Managing Editor Afroza Hossain There is a move by the government to convert many coal fired plants to LNG. Deputy Editor Experts and policymakers at a recent webinar opined that we have spent too Syed Mansur Hashim little time in planning for contingencies on how to handle coal-import Reporters Arunima Hossain infrastructure. A sudden switch from coal to LNG would make us wholly Assistant Online Editor dependent on import and mono-fuel. The problems associated with the import Aditya Hossain dependence carry high risk since price volatility will make it impossible to Design & Graphics make energy affordable and deliveries uncertain. Md. Monirul Islam Photography While some experts believe coal will remain a mainstay for the next century, Bulbul Ahmed the setting up of coal mines should be at Phulbari and Barapukuria. Local Production Mufazzal Hossain Joy people’s concerns can be mitigated by having competitive compensation Computer Graphics packages and technology is now available to mitigate water-related issues and Md. Uzzal Hossain environmental concerns. Most attention was put on building coal plants and not Circulation Assistant enough on logistics about how to transport the imported coal. The discussion Khokan Chandra Das over last five years has been focused on import of coal while ignoring challenge Editorial, News & Commercial Room 509, Eastern Trade Center of transport that involves sustained and expensive dredging. It is time to rethink 56 Inner Circular Road (VIP Road) exploration of own coal for both affordability and energy-independence. Naya Paltan. GPO Box : 677 Dhaka-1000, Bangladesh Tel & Fax : 88-02-58314532 Email: [email protected] [email protected] Website: www.ep-bd.com Price Bangladesh: Tk 50, SAARC: US$ 6, Asia: US$ 8, Europe: US$ 10, North America, Africa & Australia: US$ 14

19 9 45 With the success of providing Moving out of the planned coal power LNG adoption has not been almost universal access to program might prove to be suicidal as without its challenges — from ’ electricity, the country s GDP the primary energy is still considered overcoming cyclonic weather growth is estimated to have events (such as cyclone Fani in accelerated by 1.2 percent the fuel of choice for base load power 2019) to the challenges of the generation for at least 100 more years. global pandemic — but while the height of 1-3 years Bangladesh’s resilience in the old rural children increased Coal is still dominating the fuel mix of face of this adversity has al- by 3 percent. It has also made developed countries. Bangladesh lowed for the continuous significant contribution to should also continue with coal having growth of LNG adoption, and medical and healthcare at least 30% stake in its power genera- we are extremely pleased with services of the country... the results... Mr. Wangdi tells EP more on Special Report tion fuel mix. Encouraged by the readers and patrons, the EP would continue bringing out Green Pages to contribute to the country’s efforts in its journey towards environment-friendly energy. Contents

35 ADB Proposes $1.6bn Solar Irrigation Roadmap

35 Demand for Green Building Solutions Grows

36 New Electric Car Plants to Get Land Free­of­Cost

37 55MW Wind Power Project Wins Cabinet Body Approval

Contents

5 WORLD WATCH 32 Azam Chy, Shayan Reelected Latest Development in LOAB President, Vice President World 33 PGCB Revision Involves 85pc 6 SNAPSHOT Additional Costs Latest Development 33 Bangladesh to Join WANO 9 COVER Coal Essential For Smart 33 1,200 Acres Land Sought for Fuel Mix Future Expansion of RNPP

15 COVER ARTICLE 39 SDGs Grid Power Access to All: Nation’s Pledge Realized Climate Vulnerability, Covid and Implementation of SDG 19 SPECIAL REPORT Int’l Community Starts As 41 CLIMATE sessing Benefits of 100pc Hasina for Decisive Globa Coverage Action to Save Planet

23 WORLD 43 Climate Goals Need 6pc Oil Market Optimistic as Yearly Fossil Fuel Cuts: UN Vaccinations About to Start 43 IDCOL Seeks to Mobilize 25 SPECIAL ARTICLE Funds for Developing Coastal Nation’s Crucial Decision to Forests Select ‘Appropriate Technology’ for Managing 45 INTERVIEW Municipal Solid Waste Ramon Wangdi

31 REPORT Managing Director of BPC, BERC at Loggerheads Excelerate Energy over LPG Price Fixing Bangladesh Ltd. Worldwatch Japan to Ban Domestic Gas-Fueled TAPI Pipeline Afghanistan Car Sales by Mid-2030s Construction to Start in Herat

Japan will ban the Afghanistan confirmed that construction will begin in 2021 on sale of new gasoline- the portion of the Turkmenistan-Afghanistan-Pakistan-India powered cars by the (TAPI) natural gas pipeline crossing its territory. mid-2030s to help it put the brakes on Minister of Mines and Oil Industry Guran Chakhansuri said greenhouse gas emis- work would start in Herat. sions, sources said. Turkmenistan’s foreign minister last week said that his country The central govern- ment is expected to set the new regulations to achieve its goal would complete construction in its territory during 2020 and of net zero carbon emissions by 2050. begin building in Afghanistan next year. The economy ministry will hold a meeting of experts and auto- Chakhansuri also said Afghanistan plans to start building the mobile industry leaders to discuss the new target, which will be 59-mile Shibargan-Mazar-i-Sharif gas pipeline through northern included in the government’s draft plan at the end of the year. Afghanistan in the next 3 months. The new plan would ban the sale of new gasoline-powered ve- hicles in the domestic market and limit sales of new cars to TAPI will run 133 miles in Turkmenistan, 480 miles through those with no or low exhaust emissions, such as electric vehi- Afghanistan (including the cities of Herat and Kandahar), and cles and hybrid cars. 512 miles across Pakistan (including Quetta and Multan) before Chevron Makes Two Leadership reaching the Indian border. Appointments Mitsubishi Power Concludes Deal Chevron Corp. has named Al Williams as vice-president of with Aubert & Duval corporate affairs, effective Mar. 1, 2021. Paul Antebi has been appointed as vice-president and general tax counsel, effective Mitsubishi Power Limited, a subsidiary of Mitsubishi Heavy Feb. 1, 2021. Industries (MHI) Group, has concluded an agreement with Aubert & Duval, a leading European manufacturer of special Williams succeeds Dale Walsh who is retiring after 38 years alloys and metal powders, on technology licensing related to of service. Williams currently serves as managing director of the specific composition and manufacturing of metal powders Chevron Australia and head of the Australasia business unit. used as materials for metal additive manufacturing. Antebi succeeds C.N. (Sandy) Macfarlane, who is retiring after The agreement paves the way to full-scale inauguration of 36 years of service. Antebi currently serves as Chevron’s Mitsubishi Power’s AM business in which the company will deputy general tax counsel. apply its proprietary technologies accu- Mitsubishi Pens Deal for Barossa LNG mulated through its operations in gas tur- Santos has signed a long-term LNG supply and purchase bines and other ther- agreement for the Barossa gas/condensate project offshore mal power systems, Northern Australia with Mitsubishi subsidiary Diamond Gas International. said a press release. The contracted quantity of 1.5 MM metric tons/yr (1.65 MM Petronas Contracts Crane Services tons) applies for 10 years, with extension options. for Malaysian Operations There could be further LNG transactions via ‘commercial flex- ibilities’ negotiated between the two companies. Petronas has awarded Thunder Cranes a three-year contract Santos is targeting a final investment decision on the Barossa covering supply of offshore rental crane services in Malaysia. field development for the first half of 2021. The scope includes modular cranes and associated power Managing director and CEO Kevin Gallagher said the deal packs, skidding systems, and operating crews. was the company’s first long-term equity LNG sale from one The cranes, with self-lifting capabilities, feature numerous tie- of its major LNG projects. In addition, Santos and Mitsubishi down options, on-deck placement configurations, and boom- have signed a memorandum of understanding to assess op- portunities for carbon neutral LNG from Barossa. length options.

December 16, 2020 5 Snapshot 10 Hurt as Rooppur Under- At least 10 Gas Supply to National Grid Starts workers Construction Bldg Collapses have been from New Well in Comilla injured Gas supply to the national grid from well number 4 of Srikail- when parts of an under-construction building at Rooppur 2 gas field located in Comilla’s Muradnagar upazila has offi- Nuclear Power Plant in Ishwardi upazila of the district col- cially begun. lapsed and tilted. The incident took place recently. Md Anisur Rahman, senior secretary of the Energy and Min- Critically injured Mamun, 30, was sent to Rajshahi Medical eral Resources Division, inaugurated the process as chief Collage Hospital while the rest were undergoing treatment guest recently. at Ishwardi Upazila Health Complex. The authorities de- clined to disclose further information regarding this. Previously, this gas field used to supply an average of 5 to 6 million cubic feet of gas per day. Ishwardi Police Sta- tion officer-in-charge “With the discovery of this new well, it is possible to extract (OC) Sheikh Md an average of 22 to 24 million cubic feet of gas per day from Nasir Uddin said the here and supply it to the national grid,” said Anisur Rahman. power plant authori- Earlier, Bangladesh Petroleum Exploration and Production ties did not inform Company Ltd (Bapex) ran tests for 55 days and on November them anything offi- 20, it confirmed reserves of 30-40 thousand billion cubic feet cially but he has of gas at the new gas level. heard the news. Petrobangla Chairman ABM Abdul Fattah and Energy and Mineral Resources Division Additional Secretary Gulnar Nazmun Nahar were G-Gas LPG, Shwapno G-Gas LPG present at the inau- and Shwapno guration event as Super Shop Sign Deal Super Shop special guests. have recently Bapex Managing signed an agreement. Under this agreement, customers Director Moham- can order G-Gas cylinders from 17 designated outlets mad Ali and sev- of Shwapno within Dhaka from December 01, 2020. eral other senior officials of the or- The number of outlets with G-Gas cylinders available ganization were has initially been decided to be 17 and will be in- also present. creased in the future. Case Filed Against A case has been The cylinders will be delivered to the customers filed against 533 within 2 hours after they place the order. Higher offi- 533 Villagers for Re- people for al- cials from both organizations were present at the sign- sisting Titas Drive legedly carrying ing event. out an attack on officials of Titas Gas Transmission and Distribution Oil Carriages Train The rail commu- Company Ltd during a drive to sever illegal gas connec- nications to and tions in Narayanganj's Araihazar upazila. Derailed in Habiganj from Sylhet re- Md Mezba-ur Rahman, engineering manager of Sonar- mained sus- gaon zone distribution office of Titas, filed the case pended when four oil carriages of freight train derailed with Araihazar Police Station accusing 33 named peo- and caught fire near Shajibazar Rail Station in Mad- ple and around 500 unnamed people recently. hobpur Upazila in the district recently. Shawkat Hossain, inspector (investigation) of the police The accident occurred when the train reached near station, said that the case was filed for illegally giving Shahjibazar from Chattogram suddenly four oil-laden gas connection, obstructing police to discharge their bogies went off the tracks and caught fire , Station duty, and carrying out an attack during the drive. Master Mofazzol Hossain confirmed. Nine people were arrested following the attack and Fire fighting units from Shaistaganj arrived Shahjibazar they were produced before a court, the police official and the rescue train will reach there soon, said railway said. "We are conducting raids to arrest the other at- authority. tackers," he added.

December 16, 2020 6

Snapshot ‘JERA Asia Scholarship’ Now Owners Forced to Buy Back Invites Applications Stolen Electricity Meters

As many as 25 electricity meters were stolen from Naogaon's Raninagar upazila in the past three months, all of which were returned after the thieves were paid.

After stealing the meters, the gang leaves a note where a bKash [mobile financial service] account number is pro- vided, said sources at the upazila Palli Bidyut Samity office.

They ask for Tk 3,000-10,000 for each meter which is worth about Tk 14,000-18,000; especially meters of irrigation pumps are stolen, the office sources added. JERA Co., Inc. (“JERA”) has established the ‘JERA Asia Scholarship’ and now receiving applications from Johurul Haque, Officer-in-Charge of Raninagar police sta- Asian countries i.e. Bangladesh, India, Indonesia, tion, said: "We are trying to bring the thieves to book as soon Myanmar, Philippines, Singapore, Taiwan and Viet- as possible. Palli Bidyut office should also try to raise aware- nam from Master’s students at the International Uni- ness, so that owners and locals remain more vigilant." versity of Japan (“IUJ”) till 25th March 2021. JERA and Summit are partners in the energy and power Atommash Ships Nuclear business in Bangladesh. Equipment for First Unit of RNPP JERA Chairman Toshihiro Sano commented, “We al- ready contribute to the economic development in Asian countries through our energy and infrastructure business, and hope that recipients of the newly estab- lished ‘JERA Asia Scholarship’ will go on to play key roles in the future economic development of these countries.” The scholarship includes 100% admission fee, 100% tuition fee at International University of Japan (IUJ) for the two-year Masters programme and JPY 150,000 monthly stipend (equivalent to BDT 1 lac 22 Thou- sand Only).

The Branch of JSC AEM-technology in Volgodonsk (a part of First Voyage of BM LP Gas machine-building division of Rosatom - Atomenergomash) Carrier-1 Inaugurated has manufactured and shipped Steam Header for the first Unit of Rooppur NPP under construction in the Republic of BM Energy (BD) Ltd’s first LPG ship with 600MT LPG trans- Bangladesh, said a press release. port capability handed over and first voyage of BM LP Gas Carrier-1 completed successfully recently. Steam Header is one of the largest components of Steam Generator. Its length is over 11 meters, width is 2.7 meters, The first voyage of BM LP Gas Carrier-1 was inaugurated by height is about 3 meters, own weight is over 7 tons. Steam its Director Mahafuzor Rahman, said a press release. Header will be welded to 10 steam discharge nozzles on Steam Generator vessel. Dried steam goes out through the The officials of the organization were present on the occa- nozzles and enters the Steam Header, from where it enters sion. the turbine plant through the pipeline system.

BM LP Gas Carrier-1 will ensure the supply of LPG from The Items were shipped by road to the port of St. Petersburg, Chalna Motherplant to Kaliganj Satellite Plant, which will then the equipment will be loaded onto a barge and trans- play a vital role in serving the LPG demand in Dhaka and ported to the NPP site. The sea route will be about 14,000 the adjoining areas. kilometers.

December 16, 2020 8 Cover

mid debate over moving out of coal and going for LNG- Abased power generation, ex- perts at a recent discussion suggested taking a policy to ensure a balanced mix of primary fuel to ensure the country’s energy security. They viewed that narrowing down the fuel basket could emerge as a misstep to- wards making the energy security vulnerable and thus making uncer- tain the country’s vision of becoming a developed one.

December 16, 2020 9

Experts, industry specialists and re- searchers observed that moving out of the planned coal power pro- gram might prove to be suicidal as the primary energy is still consid- ered the fuel of choice for base load power generation for at least 100 more years. Though their ob- servation runs counter to the pres- ent global sentiment against using the dirtiest fuel, they argued that Syed Abdul Mayeed A.S.M. Alamgir Kabir Md. Muqtadir Ali Md. Nurul Alam coal is still dominating the fuel mix of developed countries. Bangladesh should also continue with coal having at least 30% stake in its power generation fuel mix. However, they warned of making sure that advanced tech- nologies are used to address the environmental issues.

The views and suggestions Khaled Mahmood Md Quamruzzaman Mushfiqur Rahman Khondkar Abdus Saleque emerged at the virtual EP Talks ti- tled “Future Challenges of Fuel Mix for for well-thought and appropriately- high and said it should not be more than Power Generation and Way Forward” planned actions in developing the coal 25% in countries like Bangladesh. and LNG import infrastructures. held on 28 November 2020. The Energy Engr. Khaled Mahmood informed that re- Taking part in the discussion, Engr. & Power magazine organized the meet- view of the PSMP would start in 2-3 Khaled Mahmood, former Chairman of ing as part of a series of discussion on the months with Japan International Cooper- ’ Bangladesh Power Development Board country s emerging energy issues. ation Agency (JICA) as the consultant. He (BPDB), said that the PSMP 2016 pro- also informed that a committee was Presently, there is a discussion among the vides for 54% reserve margin of power policymakers as well as the policy formed for conducting a feasibility study generation by 2030. If the mega coal movers to consider whether the planned for the second nuclear power plant pro- power projects now under discussion are coal-based large power plants should be posed to be set up at Patuakhali. scrapped, around 7,000MW of genera- replaced with LNG-based ones for the The wind mapping has suggested nine sake of protecting the environment and the planet. The experts advised to exploit own coal resources and set up mine-mouth power plants besides importing coal for power generation in the coastal areas. One min- ing expert suggested developing Bara- sites as the potential locations for wind pukuria and Phulbari mines in tandem tion capacity would be shelved. The re- energy. Bangladesh Rural Electrification through technically appropriate open pit Board (BREB) is working on solar irriga- method as these are a single structure. serve margin would then reduce to tion. He thought that growing big in solar There are off-the-shelf proven technolo- 30%, which should be enough. He said will be difficult until battery storage tech- gies for managing mine water and envi- that up to 2,000MW of power could be nologies advance further and get ronment. These are not the issues imported through cross-border trading if cheaper. Only two grid-connected solar though. Taking a political decision for necessary while the rest should come plants — 50MW at Patuakhali and 20MW mining is the lone issue now. from the own gas and imported LNG- at Teknaf in Cox’s Bazar — are in sight as fired generation. The upcoming review of now. Two more solar plants each hav- They also observed that Bangladesh is of the PSMP 2016 would clarify the sit- steadily becoming dependent on im- ing 7MW capacity are also in the plan. uation. ported primary fuel despite having chal- He recognized that the future fuel mix lenges in setting up the import However, another former Chairman of should be planned with coal, nuclear infrastructure due to shallow draft in the BPDB Engr. A.S.M. Alamgir Kabir and gas. If the second 1,320MW unit is coastal belts. They stressed on the need thought that the reserve margin is too not built, he said, the tariff would go up.

December16, 2020 11 The infrastructure needed for two units of 1,320MW plants has been built there. The BPDB continued to pursue for the two units. The government would take the final decision in this regard. The 13 coal-based plants being considered to be shelved are mostly at the planning stage. Orion Group has two plants - 565MW at Gazaria and 522MW at Mawa. The gov- ernment should think deeply before ter- minating these contracts due to having financial liabilities.

Engr. A. S. M. Alamgir Kabir, former Chairman of BPDB, mentioned that Bangladesh has no option but to rely on imported primary fuel. The natural gas and coal are not enough to provide nec- Summit FSRU at Maheshkhali Coast Photo: RPGCL essary fuel for power generation. Coal re- mains and would remain as the preferred cerns. The realities are far different now. guarantee that the price of LNG would option for base load power generation. China is talking about zero emissions. remain at the present level? Can we af- But use of coal should be capped at Bangladesh is also using Ultra Super Crit- ford to absorb price shock of LNG when 15,000MW. Regarding extraction of coal ical Technology. Reguations are ex- it would shoot up? Scenario would mine, water management is a critical tremely tight now. Bangladesh has change any time. We supplied gas to in- challenge, according to him. He said the windows to lower the emission levels. dustries for captive power generation on priorities change from time to time. The There must not be concerns anymore the excuse of power generation. Did the price becomes the driving force for fuel with coal power plants. Coal power is nation derive benefit out of it or the in- priority changes in the planning. He the best solution for Bangladesh. But too dustrialists only? He said time has come agreed that for long-term planning, there much reliance on imported primary fuel to review the gas supply to end users is no way but staying with coal as major will create an energy security issue. which can be replaced with alternative fuel. Transshipment of coal is an accepted fuel. phenomenon. Considering all these, He also raised questioned about the We have to include renewable energy Engr. Kabir thought that abandoning coal pipeline infrastructure for evacuating re- option in the fuel mix. But for using projects will be suicidal for Bangladesh gasifed LNG (RLNG). The capacity of the power at night, solar is still not a signifi- at this stage. present pipelines of GTCL would not be enough for the volume of LNG that is cant contributor due to limited battery Muqtadir Ali, former Chairman of being considered to be imported. An- storage capacity. Bangladesh’s power de- Petrobangla and BPC, said that none other 50 inch-400Km long gas transmis- mand peaks in the evening and it contin- could ever suggest a perfect fuel mix for sion pipeline that the GTCL s thinking ues till the midnight. He said the Bangladesh. In 1970s, furnace oil was about must see the light and make it contribution of renewable energy would the main fuel. Own natural gas became ready by 2030. not be more than 10 percent at any stage. the fuel of choice and almost exclusively Imported coal-based power plants dominated the fuel mix till 2000. There He said that there are criticisms about should be built along the coastal regions. was a notion that Bangladesh was float- open pit mining at Phulbari. But, the af- Challenges with coal import is much less ing on gas. When proven gas reserve fected communities would accept land than LNG. Coal price in global market is started depleting, coal became the prior- acquisition if an attractive compensation much more stable than that of the LNG. ity. Forgetting about local coal reserve, package can be offered. In case of Bara- Coal projects that are now under plan- Bangladesh leaned towards imported pukuria, we observed that the local peo- ning stage must not be shelved. We must coal. But none possibly thought about ple gladly accepted the compensation. also go for a second nuclear power plant. challenges of coal transportation. We We must not again become mono-fuel The first one is relatively expensive, but also forget about affordability. We did not dependent. The fuel mix must be realistic the cost of the second one is expected to consider whether or not consumers can and affordable for all. be 30-40% lower. afford the high price of power and en- Engr. Syed Abdul Mayeed, former Chair- ergy. About the much talked about adverse man of BPDB, mentioned that the PSMP impacts of coal power plants, Engr. Kabir We are now thinking about abandoning is a dynamic document and gets updated said the present modern technologies a number of coal power projects and re- at regular intervals of every five-year de- have effectively addressed all the con- placing these with LNG. What is the pending on the emerging situation and

December 16, 2020 12 circumstances. But these must be formu- lated with extensive homework. We al- ways talked about power exchange when we started negotiation with India for power trading. Our thought at that time was India would import power from us for Tripura and adjacent region. We started importing from them and let them transport machinery and plants through our territory for power plant at Palatana, Tripura. Now India is in a position to ex- port from Tripura as well. We have initiated many mega projects. But we must invest in our own coal ex- traction. India generates 55% power from coal. If India right across the border at West Bengal, Bihar and Jharkhand can extract own coal, why we cannot do A view of Payra Coal Power Plant Photo: BCPCL that? He also suggested that Bangladesh that the Payra Port Authority would set try. The price, demand and availability of must keep all options open in fuel mix up self-supporting Payra port including coal will remain stable in the foreseeable for power generation and must not move the coal port. They were also supposed future. He also said that a developing away from coal. to dredge the 90Km port channel. But country must not rely on imported natu- Nurul Alam, Additional Secretary of they are also right that until the Padma ral gas or oil for power generation as the Power Division, informed that energy au- Bridge opens for traffic, ships would not price of these of fuels is highly volatile diting would start soon. Power from come to the Payra port. However, the and politically sensitive to sourcing re- ’ Adani power plant under construction in Port Authority has already signed a con- gions. According to him, today s coal- India is expected to come in 2022. There tract for capital dredging of the channel. fired power plant uses modern may be some delays if the power evacu- We would dredge and maintain 500 me- technology enabling to achieve high ation infrastructure is not ready on time. ters on either side of the port jetty. thermal efficiency and low carbon pol- lution. He said that the Covid-19 has delayed all We are contemplating development of a the projects by 3-6 months. Coal Transfer Terminal (CTT) at Matarbari Prof. Alam emphasized ardently on the Port. BIFCP for Rampal Power Plant and use of high heating value coal (> 6,700 He said financing is a major issue for large Barisal Power Company for its power kcal/kg or 28,000 kJ/kg) instead of low coal power projects. Not only ADB and plant at Patuakhali have agreed to use heating value coal (4,000 kcal/kg or the World Bank, even the OECD is not this. When the CTT will complete, the 16,736 kJ/kg). He provided an example agreeing to finance. They would not even power plants at Matarbari-Moheshkhali for the case of Payra power plant. Using finance for infrastructure for evacuating 6,700 kcal/kg heating value coal with its Power Hub, Rampal and Patukhali coal power. Each large coal project needs 42% thermal efficiency and 65% plant “would not have to face any problem. an investment of at least US$2 billion. We factor, Payra Power Plant for its 2 units We will be able to import coal at afford- know that Japan is developing more fuel- can save nearly 1.5 million tonnes coal able price.” efficient technology that would require annually from its current need of 3.9 less coal and hence less emission will take Responding to a question about replac- million tonnes coal with heating value place. If they become successful, it will be ing the planned coal power plants with around 4,000 kcal/kg. This is extremely important when coal unloading is a se- a great news for coal power. LNG-based plant, he said: “This is still rious issue due to low draft at Payra river under discussion. What I can say is that None can say now when the LNG price channel. we are discussing about it.” will gain momentum again. “I agree that He also mentioned that our plant design- coal supply would not be a problem for Sharing his opinion about energy mix, ers, engineers and policymakers must at least 100 more years. The price would Prof. Firoz Alam from RMIT University, have a 40-50 years long plan for coal- also remain stable. Transportation of coal Australia said a country must not rely on fired power plant especially based on im- is the main challenge for Bangladesh.” single fuel (e.g., natural gas or liquid fuel) ported coal along with selection of Some 55 coal ships have so far been for power generation. At least one-third long-term sourcing countries and design- handled at the Payra plant jetty. But the of the total power generation should be ing boiler characteristics based on those draft of the channel often remains only coal-based unless other fossil fuels (oil & countries’ coal specifications long before 5-6 meters. For this, half-filled Handy gas) and hydro resources are abundant the start of physical construction of the Max Carriers are being used. We thought within the national boundary of a coun- power plant.

December 16, 2020 13 However, Engr. Alamgir Kabir pointed Starting from 2010 Bangladesh could wind power. We have only 1.9MW of out that sourcing high heating value coal manage importing 1000 MMCFD LNG wind power now while efforts are being is extremely difficult as major suppliers in 10 years. A flawed plan was made for made for a 50MW windmill at Payra. do not want to enter into long-term con- too many FSRUs without considering tracts. That is why Bangladesh is import- the turbulent nature of Bangladesh off- According to IDCOL, 2,000MW of solar ing a lower heating value coal. He said shore waters. Enough time was wasted power is possible by 2025. In my opin- that financing challenges of coal power on improbable small scale LNG at ion, he said, it is highly optimistic. We projects could be addressed if the gov- CUFL and KAFCO. Logically, not more cannot expect this unless the technol- ernment provides 50% of the project cost than another 2,000 MMCFD of LNG im- ogy advances significantly. We should as loan. He said that China has lowered port would be possible by setting up not expect large grid-connected solar the emission limits of coal power plants land-based LNG terminal at Matarbari. coming soon. Among the traditional as low as that of gas power plants. fuel-based new generation capacities, Bangladesh must keep all widows (coal, Bangladesh should also lower the limit we have seen power at little higher cost gas, nuclear, power import, renewable, he observed. He said that if any fuel use at Tk 6.00 per unit could be generated open in the fuel mix because mono-fuel is required to be abandoned, that should from Payra Unit one. But there are chal- dependency would make the energy se- be dirty liquid fuel. lenges of dredging the channel and coal curity vulnerable. According to him, ex- transportation. In his keynote presentation, Engr. Khond- traction of local coal should get priority. kar A Saleque, Consulting Editor of En- Moderating the discussion, Mollah The plan for setting up as much as ergy and Power Magazine, said that Amzad Hossain, Editor of Energy & 21 coal power plants was way too Bangladesh has considerable surplus Power magazine, said the country’s pri- much right from the outset. Chal- generation capacity now and already mary and secondary energy would be- lenges similar to the imported coal brought 98% of the population under come 90% dependent on imports by projects are also there for the large- coverage of the grid power. But a lot re- 2030. So, the energy mix should not be scale LNG imports. The LNG price mains to be done for reliable, sustain- based on mono-fuel like gas under any could hit sky-high anytime. I do not able, quality supply of power to all at circumstance. He argued that think required considerations were affordable cost. He pointed out that sus- Bangladesh was almost entirely (98%) taken into account while talking tainable supply of primary fuel, afford- dependent on natural gas for its power about the LNG-based power gener- able fuel mix, modern reliable power generation. As soon as the gas supply ation. transmission grid and distribution net- started declining, the country had to fall work and required number of qualified, Engr. Quamruzzaman, former Director in a sudden fuel crisis and go for expen- trained human resources are major chal- (Operation) of Petrobangla, however, sive liquid fuel-based generation to meet lenges. welcomed the government’s plan to re- the growing demand. By then, the gov- place planned coal projects with LNG- He said proper attention was not given ernment started developing coal-based based plants. But he stressed the need to challenges of coal import infrastruc- base load power plants. In the half-way for proper coordination with ture development and coal transporta- of its coal plan, the government again Petrobangla and EMRD in this regard. tion. Now after planning for so many contemplating to go for gas-based gener- projects and spending 5 years, thoughts ation, mainly due to starting import of An affordable fuel mix is necessary. for replacing coal projects with LNG has LNG comparatively at lower cost thanks Planned capacity must be higher. It emerged. Two challenges are highlighted to the Covid-induced price debacle in gives flexibility to change based on cir- now — financing and coal transportation. the global market. But the price of the cumstances. The land-based terminal It is true bilateral donors and develop- imported fuel of any kind could shoot up planned to be set up at Matarabari can ment partners are not interested in fi- anytime. In this context, coal is the only be extended to 30 million tonnes of stor- nancing coal projects now. But fuel the price and supply of which re- age capacity. Bangladesh cannot suddenly switch from main stable for around last 100 years and coal to LNG. is predicted to remain stable for 100 In conclusion, the energy sector experts years more. So, the policymakers should Engr. Saleque predicted that coal will re- have cautioned the policymakers of the not consider going back to mono-fuel main the fuel of choice for base load dangers of going for mono-fuel in gen- again. power generation for another 100 years. erating power to meet the fast-growing He said gas based plants even if it is com- Dr. Mushfiqur Rahman, eminent mining demand for electricity. They also bined cycle has 25-30 years of life cycle. engineer and environment expert warned of the risks of complete depend- Whereas a modern coal power though a thought that it would be wise to keep all ence on imported energy and suggested bit expensive can be operated efficiently options open for an affordable fuel mix. enlarging the fuel basket that would for 50 years or more. He recommended Leaning to a particular one will, of have the strong contribution of the local not to scrap coal projects — especially the course, create vulnerability. For us, fea- resources — be it coal or other fossil fuel, which are yet to be explored. ones near the coastal areas. sible renewable options are solar and EP

December 16, 2020 14 Cover Article

Grid Power Access to All Nation’s Pledge Realized

Saleque Sufi

proud Bangladeshi Nation cele- tion by December 16, 2020. The re- able price is the backbone of economic brates its Golden Jubilee of Vic- maining 1% access (mostly in the re- development. The impressive growth of Atory of the Glorious Liberation mote isolated Islands and Chars) would GDP of Bangladesh over the past War on 16 December 2020. 50 years hopefully be achieved by March 17, decade is an indication of government into the past on this historic day in 2021 the end of birth centenary of the success of vastly improved power sup- 1971, Lieutenant General Amir Abdul- visionary architect of Bangladesh. ply to development hubs. Supplying lah Khan Niazi led mighty Pakistani oc- power to 99 percent population includ- By any yardstick, it is a great milestone cupation army unconditionally ing almost to 65,000 villages is no mean achievement especially if one considers surrendered to joint command of feat . Yes lot needs to be done for mak- the diabolic power and energy supply Bangladesh Liberation Force (Muk- ing the supply modern, reliable and sus- situation that prevailed in 2009 when tibahini) and Indian Army at Ramna tainable. The mission is launched and the Awami League Government was race course (Now Shaheed success can be foreseen. voted to power through adult franchise Suwarawardy Uddyan). The same in December 2008. The government Power Sector Vision and the Pledge of grounds also witnessed the clarion call was committed to provide access of Present Government of commencing preparation for the lib- power to all by 2021, the year the The pledge was providing reliable elec- eration war by the father of the Nation pledge was also to turn Bangladesh into tricity to all at affordable manner by Bangabandhu Sheikh Mujibur Rahman a middle income country. 2021. Ensuring reliable electricity to all on March 7, 1971. Three Million by 2041 through integrated develop- Bangladeshis made supreme sacrifice We are aware that seamless supply of ment of generation, transmission and for the motherland. The indiscriminate quality modern power to all at afford- distribution system. looting, destruction carried out during The Achievement Till December 16,2020 In a key note presentation to a Webinar that time made our land of love virtually organized by Energy & Power Magazine ruined. Father of the nation Banga- Generation Capacity (Grid) 20,383 MW DG Power Cell, the think tank of Power bandhu upon return from his captivity Maximum Generation 12,893 MW Division presented details of Govern- in Pakistan had to launch rebuilding the Access To Grid Power 99% ment plan for completion of access to country from a ruinous state. One of his Distribution Line 5,88,000 KM the remaining 1% population by March missions was creating facilities for pro- 31,2021. viding quality power supply to all citi- Transmission Line 12,379 Cktkm zens including the rural population. Per Capita Generation 512 kwh BREB: Bangladesh Rural Electrification With this end in view, right to energy System Loss 8.73% Board and power for all citizens was incorpo- BPDB: Bangladesh Power Development The Areas Outside the Coverage rated in the constitution of Bangladesh. Board We are truly unlucky that agents of oc- Area Identified Were WZPDCL: Western Zone Power Distri- cupation force brutally killed Banga- Utilities Areas bution Company Limited. bandhu (including all but two BREB 1,059 Villages NESCO: Northern Electricity Supply daughters) and his four top allies in Kutubdia, Hatiya, Char Sonaram- BPDB Company. 1975. Had there been no assassination, pur (Ashuganj), St. Martin Island his cherished dream of power supply to and Three Districts Of Chittagong Government is currently implementing all could have been achieved much ear- Hill Tracts. different projects to ensure access for lier. History stands as witness to the ef- WZPDCL Monpura Island , Bhola power to all by March 2021. Some forts of the government led by his NESCO Poba, Godagari (Rajshahi), Chapai areas are to be served by Renewable loving daughter Sheikh Hasina has al- Nawabganj Sadar, Kaliganj, Energy and some areas are being con- ready achieved access of 99% popula- Hatibandha (Lalmonirhat) nected through submarine cables.

December 16, 2020 15

Government is also implementing different PGCB Needs Smartening: We noticed at affordable price. But for creating ac- projects for expanding and strengthening that too much emphasis on power gen- cess to all and making power supply re- power transmission system and moderniz- eration increase lost focus on Power liable, utility service providers have to ing distribution networks for ensuring Transmission and Distribution systems spend a fortune. They must be compen- quality and reliable power supply to all in- upgrading and reinforcing. Evacuation sated with economic price of their serv- cluding industrial users. Among the activ- of Power from Payera Power Plant is al- ices. Quality power supply too will ities are Smart Prepaid Meters and ready delayed. By 2023 Rampal, Matar- create economic development. Afford- Capacity Bank, GIS, Under Ground Net- bari and Roopur Power Plants would ability of people will increase. Hence work, Automation of Distribution System, come into operation. The activities of pricing can be gradually made market Distribution Transformer Switching Station, PGCB must be smartened and vigor- oriented. BERC must be armed with Fully Operational SCADA. ously monitored. competent resources for regulating en- ergy and power price efficiently. Challenges and Mitigation Measures of Industries Must Move Out of Captive Grid Reliability: The challenges as Generation Cyber Security: Grid reliance and au- pointed out were Inadequate Transmis- Industries still rely on about 2,800 MW tomation have some associated risks as sion and Distribution Facilities, Lack of captive generation of their own. Most of well. Some countries in the developed Automation, Absence of Smart Grid / these use scarce natural gas resource. world experienced Cyber crimes. Advanced Metering Infrastructure, Ab- On the other hand a significant portion Bangladesh must develop in-house ex- sence of ISO, Obstacles on Overhead of grid power remains idle. As the grid pertise and train its resources for ensur- Networks and Scattered Industries. supply is getting more and more reli- ing cyber security. able, government and industries must Power Sector Utilities are implementing positively interact for grid power supply Countries like USA and UK experi- the following action plans for achieving for industries letting gas relocated for enced major grid failures: Even grid reliability. other value added use. Government Bangladesh power grid’s failure one Implementation of FGMO (Frequency may consider few incentives. Govern- time created chaos. Fully operational Governing Mode In Operation), Merit ment must not allow any further captive SCADA and other modern technolo- Order Dispatch, Strict Compliance of generation in Special Economic Zone. gies would guard against that. But we Grid Code, Regular Maintenance of must be always prepared for the Quality power impacts all positively Power Plants, Development of Skilled worst. We must remember that oper- Needless to mention that availability of Operation and Maintenance Teams. 25 ating 40,000 -60,000 MW power sys- quality uninterrupted power to all in Power Plants are already under FGMO tem and present 13000 MW system Bangladesh especially in the rural areas and another 16 are in the process of will not have same challenges. There will create social and economic revolu- coming under soon. Works are advanc- should be enough provision of tion. Farming community will have ing for bringing 30 more plants in near standby local generation to fall back ready access to all facilities (modern future. Total spinning reserve will be upon especially during unscheduled farming technologies), telemarketing of 1,000 MW for managing contingencies. grid failures, if any. agro produce, modern medical care and DG Power Cell mentioned about vari- education facilities would be extended Conclusion ous other measures planned for enhanc- to rural areas. Industries based on local Power to all is a nation’s dream real- ing reliability like bringing all base load raw materials will grow. Urban rural re- ized. It was also a dream of the father power plants under FGMO, Following verse migration will reduce excessive of the nation. It is great that Instruction of NLDC (National Load Dis- load on few cities. People living in slum Bangladesh is achieving this during patch Centre). Ensuring Reactive Power areas can get back to their places of ori- the birth centenary of the father of the Compensation for improving voltage gin. Growth of Industries in different nation on the eve of 50th Anniversary regulation. He also outlined various parts of the country will create huge job of the glorious liberation war. It will measures planned for Power Transmis- opportunities for unemployed youth. also facilitate the implementation of sion and distribution segments as well. Agro based economy will be comple- the Vision of Bangladesh Prime Min- The Present SAIDI, SAIFI indices will mented by smooth industrialization. We ister “Villages Will Turn into Towns.” improve once distribution companies have already witnessed the positive im- Well-done Bangladesh! Nations implement automation and moderniza- pacts during the ongoing pandemic. pledge is fulfilled. This success must tion. Bangladesh must be extremely be widely publicized by Bangladesh careful about accurate data acquisition Energy And Power Pricing missions abroad for encouraging and management. Power Utilities must not be mixed up more FDI in Special Economic Zones with other service organizations like of Bangladesh. It is believed that Power System would EP get smarter and competent for ensuring community hospitals. These are com- reliable and sustainable power supply to mercial organizations. Government will Saleque Sufi; all soon. definitely facilitate power supply to all Contributing Editor, EP

December 16, 2020 17

Special Report Int’l Community Starts Assessing Benefits of 100pc Coverage

EP Report

he international community mism about achieving the vision. 40,000 consumers in the hill dis- has already started assessing tricts will be served with solar In his keynote presentation, Engr. the socio-economic benefits of power. T Mohammad Hossain, Director Gen- Bangladesh’s success in providing eral of Power Cell, said the consti- Around 40 million consumers are access to electricity for almost all its tution of Bangladesh being unique now enjoying the power supply. citizens. The country’s vision is to is a role model with having a provi- Some 7,750 villages out 9,795 of ensure access to power for all by sion for rural electrification. BPDB franchise are already served 2021. By the end of 2020, it has al- Bangladesh Rural Electrification with 100% supply. BPDB coverage ready provided electricity to 99% of Board (BREB) was created with that is 98.75%. BREB supplied 100% the population and is expected to mandate. Bangabandhu while ad- power to 83,686 villages out of achieve 100% by March next year. dressing the engineers in 1975 84,700. Their customer number is With the success achieved so far — stressed on rural electrification on 30.3 million. WZPDCL has supplied almost universal access to electric- priority basis as 85% of the popula- power to 1,276 villages out of ity - the country’s GDP growth is es- tion used to live then in rural 1,285. NESCO could supply to timated to have accelerated by 1.2 Bangladesh. Under the visionary 2,498 villages out of 2,539. percent while the height of 1-3 leadership of Prime Minister Sheikh “We agree that we have to ensure years old rural children increased Hasina, the country has almost quality power supply. We have car- by 3 percent. It has also made sig- achieved it. The hilly and some re- ried out survey to know about the nificant contribution to medical and mote Char areas are only left be- consumers’ satisfaction,” he said. healthcare services of the country. hind. The target will definitely be The System Average Interruption achieved by the end of 2021, if not Duration Index (SAIDI) is a measure Dr. Firoz Alam, Professor of RMIT in by March next, he said. Australia, shared the socio-eco- of frequency of power interruption nomic benefits from an interna- Works on ensuring power supply to against duration of interruption. tional Journal as he took part at a 1,059 villages of BREB franchise, BREB recorded highest 1,327 min- recent virtual discussion. Energy Kutubdia, Hatiya, Charsonarampur utes in 2019-20. NESCO with 229 and Power magazine organized the meeting on “100% Electricity Cov- erage: Bangladesh is Almost There” on 5 December 2020, as part of a series titled “EP Talks”.

Moderating the virtual conference, EP Editor Mollah Amzad Hossain in- formed that access to power for the and three hill districts under BPDB minutes was the lowest. Another remaining 1% population mostly in and Monpura Island of WZPDCL are measure is the frequency of load- the isolated islands and char areas under progress. We want to provide shedding or the System Average In- needs solar power or submarine renewable power to Monpura. terruption Frequency Index (SAIFI). cable connectivity. There is a plan Paba, Godagari, Kaliganj and some NESCO with 95 times was the high- to complete these works by 17 parts of Hatibanda in NESCO fran- est and DESCO with 13.77 times March 2021, by the end of the year- chise areas needed supply now. We was the lowest. The average was long birth centenary program of fa- know which areas remain to be 46.95 times. “We must realize that ther of the nation Bangabandhu connected — the distribution compa- these are technical glitches. With Sheikh Mujibur Rahman. Power nies were working to ensure supply. system upgrading and moderniza- sector officials also expressed opti- This is a matter of time only. Around tion, these will be minimized.”

December 16, 2020 19 Taking part in the discussion, Prof problem. Dr. Ijaz Hossain, Dean of the Engi- Upgrading neering Faculty of BUET, observed of distribu- that Bangladesh required 50 years tion system, to supply electricity to 99% of the introduction population. It is a commendable of smart grid achievement, however. He congrat- and SCADA ulated all involved in this major are being work, but questioned whether it is done. Pre- merely an extension of the grid or it paid meters Mohammad Hossain has been possible to provide con- are being in- Ijaz Hossain Belayet Hossain nections to all in the coverage area. stalled. Another major success of Bangladesh was installation of 5.0 There are million Solar Home Systems (SHSs). few reasons There must be a study on the impact for lack of of power through the SHS program. confidence We should also see whether this has of industrial impact on the mini solar grids, consumers. which has already come into oper- Almost all ation. the 2,800MW Md. Zohirul Islam Shah Zulfiqar Haider Zakiul Islam Engr. Belayet Hossain, Chairman of captive Bangladesh Power Development power is Board (BPDB), said spontaneous ap- gas-based preciation about the success of and their power sector pleases us, but it also generation triggers a bit of concern as making cost is rela- it sustainable is a big challenge tively lower now. We have also had some mis- and as such takes. Objective criticism also ben- tariff is efits us. lower com- pared to the Md. Shafique Uddin Khondkar A Saleque Sufi Firoz Alam Works in the off-grid region is the grid power. Md. Zohirul Islam, Member of main challenge now. Completion of Hence it is difficult to get out of BREB, mentioned that 100% electri- all the projects taken up for comple- captive generation easily. Whatever fication of villages has only been tion by 17 March 2021 is a chal- you do for improving the reliability declared after getting certification lenge. It is not possible giving of gird power, it will not be so easy by the respective Deputy Commis- connection to Hatiya laying subma- to replace the captive power with sioners. Only 1,059 villages are still rine cable. We planned to set up IPP grid power. The government needs not covered — 1,030 villages will be there. A power plant of 8-10MW ca- to take policy decision. Quality connected through submarine ca- pacity will be set up there. We ini- power on uninterruptible basis will bles while 29 villages will be pro- tially planned it will be a be supplied as the system is being vided with solar power. We are diesel-fired plant, but now we de- upgraded and modernized. We do optimistic about bringing all vil- cided to make it furnace oil-based realize that the cyber security is es- lages under electricity coverage by IPP and a proposal in this regard sential. It is neglected until now. has been given to the ECNEC. When March 2021. approved, we will start implementa- The BPDB Chairman said that in- Our long distribution lines have to tion. Execution of this work within dustrialization and economic devel- traverse through villages. There are the timeframe is the challenge now. opment would obviously happen if many trees. More Power transmis- We could develop confidence of power supply is assured. We want sion grid lines are essential for facil- general consumers by now. But we uniform development through out itating quality power supply. The acknowledge that we could not the country. He mentioned that the length of 33KV lines from source to achieve confidence of industrial South Western Bangladesh is devel- power hub must be reduced. Other- consumers so far. There are issues oping as a major power generation wise, power at stable voltage cannot of stable voltage. Maintaining this hub. Power supply issues in the re- be ensured. Works on supplying elec- over long power lines is a genuine gion are being addressed. tricity from dual sources is progressing.

December 16, 2020 20 Former General Manager of Polly in Australia shared his opinion on the now. We can now know about the state Bidyut Samity (PBS) and former Direc- impact of rural electrification under- of the transformers. In the past, we used tor of Sustainable and Renewable De- taken by the BREB and said providing to search for the location during trans- velopment Authority (SREDA) Engr. electricity to the rural masses has made former tripping. Now that difficulty is Shah Zulfiqar Haider pointed out that huge positive impact on socio-eco- no longer exists. Technologies are mak- mini grid was once our pride. Narsh- nomic condition, health, and education ing the life easy. ingdi has the largest mini grid. Phenom- in rural Bangladesh. Citing some re- enal growth of demand has happened search data on rural electrification, Prof. Engr Khondkar A Saleque Sufi, Consult- due to economic growth. The main Alam mentioned that household in- ant Editor of Energy & Power, said the achievement is the uniform rate across come, rural employment, access to ed- grid coverage and automation, apart the country. Once rate of BREB was ucation, healthcare and telemedicine, from achieving the quality power sup- higher, mini grid power was still higher. and child nutrition are doing much bet- ply, would expose the system to cyber- Now there is one rate. Around ter in Bangladesh compared to many attack. Hence skills development of 1,000MW reserve margin target is com- countries around the world with similar own professionals and guarding against mendable. It is a matter of great delight per capita gross domestic product cyber-attack must be given priority. In- that Pakistan is following Bangladesh (GDP). He also mentioned that access troduction of GIS, SCADA would help achievement for replication. to power in rural Bangladesh has made gather quality and accurate data. These incredible positive impact on the body would facilitate much accurate fore- He said that there was a power system mass index (BMI), especially the height casting and system planning. disaster in Ukraine. He questioned of children under the age of five. Prof. whether power utilities have capabili- Alam also stated that the rural popula- Recommendations ties for managing contingencies. We are tion having access to power are em- The speakers recommended ensuring outsourcing many works. This may cre- bracing digital technology to generate cyber security as it would be the main ate vulnerability. Bangladesh must have income, including making YouTube challenge now. Due attention must be ’ own qualified trained resources for video clips on Bangladesh s rural given in this regard. Outsourcing may cyber security, he suggested. lifestyle, food and culinary, fishing, be gradually reduced while developing farming, cultural heritage, etc. He em- in house expertise. Otherwise, cyber-at- Zakiul Islam, Managing Director of phasized on ensuring secured and reli- Northern Electricity Supply Company able power supply to rural masses in tack may create major disruption, crip- Limited (NESCO), said the company Bangladesh. Ensuring reliable power pling the economy, commerce and has become self-sustaining from what- supply and high-speed broadband in- lives. ever it earned over the past four years. ternet connection in rural areas will re- Four projects are under implementation duce the income disparity and digital Ensuing quality uninterrupted power for ensuring quality, uninterrupted divide that exists at present in supply to all would remain as the major power supply. When completed, there Bangladesh. challenge for the power system utility will be significant improvement in companies after achieving the power to place. It will be possible supplying Engr. Md. Shafique Uddin, Managing all vision. This challenge is more appli- power to all within the grid coverage Director of West Zone Power Distribu- cable to PBSs under BREB, distribution area in our franchise by end December tion Company Limited (WZPDCL), in- wing of BPDB, WZPDCL and NESCO. 2020. We have provided SHSs to the formed that his company achieved far-flung areas of Padma Char. providing power access to 99.99% Experts suggested reducing the lengths population. However, Monpura of of 33KV transmission lines. Numbers of However, one challenge is that now a Bhola is a major challenge. One diesel- grid substations must be increased. Au- char would go under water during the driven power plant is being used to sup- tomation must be introduced as soon as rainy season. So, the SHSs are not suit- ply power for 8 hours daily. Now able there. We are trying to extend grid renewable power is providing supply at possible for operation and monitoring power coverage there. Tk 30-35. But this is a disparity when of supply lines, transformers, substa- you consider rates in other places. Now tions. Gradually smart grid needs to be Data and education system are inte- a 3MW capacity Hybrid Solar Power introduced. All substations must be pro- grated through power lines in the devel- Plant is being set up there and 24/7 vided with dual source supply. For oped countries. If we can set our system power supply can be given when this managing implementation of all above with SCADA and GIS along that line in will come into operation. We are trying and operating these facilities, human 5 years, it can be another source of rev- to complete it within March 2021. enue for the distribution utilities. capital must be made technology- PLC communication is now being used. friendly and skilled through training Prof Firoz Alam from RMIT University Communication with all is possible and capacity building. EP

December 16, 2020 21

World Oil Market Optimistic as Vaccinations About to Start

Serajul Islam Quadir

entiment boosted up as optimism the vaccine hopes and signs that oil de- Outlook for demand has improved with grows day by day with news that mand in Asia continues to recover and news indicating progress towards devel- Sthe world may be able to handle be a bright spot on the market. Indian oping COVID-19 vaccines. A U.S. offi- ongoing pandemic over the next few Oil Corp, the biggest refiner in the cial said the first inoculations in the months by using vaccination across the world’s third-largest oil importer, said its United States could start a day or two world. This expectation raised Brent refineries operated at 100 percent ca- after regulatory approval was secured. Crude to $50 a barrel on December 10, pacity in November, for the first time British drug maker AstraZeneca NSE 2020 for the first time since oil prices since the pandemic started, in order to 0.10 % said its vaccine, developed crashed in early March. meet growing domestic fuel demand. along with the University of Oxford, Brent Crude was rallying by 3.56 per- On December 9, extending last week's could be around 90% effective. PVM cent at $50.60. The price of Brent gains as traders anticipated coronavirus analyst Stephen Brennock said the news reached the $50 a barrel threshold for vaccine trials would spur a recovery in was detaching sentiment from "gloomy the first time since the first days March, demand. fundamentals". when Saudi Arabia and Russia broke up Sentiment was also bolstered by expec- "Investors are ignoring near-term head- the previous OPEC+ pact, contributing tations that the Organization of the Pe- winds, chief among which are surging to massive slides in oil prices exacer- troleum Exporting Countries (OPEC), global COVID infections, and instead bated by the demand crash in the lock Russia and other producers, a group looking ahead to next summer," he said. downs in the spring. known as OPEC+, would extend a deal On the supply side, OPEC+, which Oil prices were boosted by Canada ap- to restrain output. meets on Nov. 30 and Dec. 1 will look proving the Pfizer-BioNTech vaccine, Brent crude rose 66 cents to $45.62 a at options to extend its deal on output joining the UK. Canada’s health author- barrel by 1247 GMT while U.S. West cuts by at least three months from Janu- ities approved the vaccine, and the first Texas Intermediate crude gained 52 ary. Smaller Russian oil companies are doses of the vaccine are expected by the cents to $42.94 a barrel. Both bench- still planning to pump more crude this end December. marks jumped 5% last week. year, a group representing the producers The UK has already started vaccinating Oil prices rose more than 1% early of said. vulnerable people and essential person- December, extending previous week's Yemen's Iran-aligned Houthi group said nel, and the first person in the UK has gains as traders anticipated coronavirus it fired a missile that struck a Saudi already received the Pfizer vaccine. vaccine trials would spur a recovery in Aramco site in the western city of Jed- demand. Hopes of faster-than-expected vaccine dah. There was no immediate releases turned the oil market Saudi confirmation of the sentiment bullish, even after the claim. Aramco's main oil facil- EIA reported a massive crude ities in are in the east. oil inventory build of 15.189 million barrels on December 4. Brent crude prices hit their This rise in crude inventories highest levels since March as came close to the largest crude news of a third promising vac- build ever, which was recorded cine candidate spurred hopes earlier this year for the week of a quicker recovery in oil de- ending April 10, when the EIA mand. reported a 19.25 million barrel "Progress on developing and inventory build. distributing a vaccine de-risks The market was already ignor- the path back to normal for oil ing the massive build, due to markets," said Stephen Innes,

December 16, 2020 23 chief global markets strategist at finan- macro backdrop has a bullish tinge as much larger builds in gasoline and dis- cial services firm Axi. coronavirus vaccinations officially tillate fuels. "If mobility data is a measure of oil price began in the UK. In fuels, the EIA reported an inventory sentiment, in the not too distant future, U.S. gasoline demand falls 8%. U.S. build in gasoline and another build in the vaccine will get people back on air- gasoline demand over the Thanksgiving distillate stocks for the week to Decem- planes and cruise ships." holiday fell to its lowest level in 20 ber 4. years, and it was down 8.4% from the AstraZeneca said its COVID-19 vaccine In gasoline, the authority estimated an week before. “We’re heading toward a was 70 per cent effective in pivotal trials inventory increase of 4.2 million barrels, 90-day period where gasoline demand and could be up to 90 per cent effective, compared with a sizeable build of 3.5 gets further crimped by winter weather giving the world's fight against the million barrels for the previous week. and post-holiday cocooning,” Tom global pandemic a third new weapon Gasoline production averaged 8.3 mil- Kloza, executive director, IHS Markit, that can be cheaper to make, easier to lion bpd, compared with 8.6 million told to a news agency. “By January, we distribute and faster to scale-up than ri- bpd a week earlier. vals. may regularly see demand numbers not witnessed since the last century.” In distillate fuels, the EIA estimated an This follows positive trial results from inventory build of 5.2 million barrels for Saudi Arabia hiked its oil pricing for car- Pfizer/BioNTech and Moderna. the reporting period. This compared goes heading to Asia, the largest price with an increase of 3.2 million barrels Also helping to ease uncertainty in fi- increase in five months. for the previous week. Production of nancial markets, President Donald middle distillates averaged 4.7 million Trump allowed officials to proceed with “Aramco views the demand picture in bpd last week, compared with 4.6 mil- a transition to Joe Biden's incoming ad- Asia as recovering to pre-pandemic lev- lion bpd a week earlier. ministration, giving his rival access to els, led mainly by China,” said Edward briefings and funding even as he vowed Bell, senior director for market econom- Optimism driven by OPEC+ finally to persist with efforts to fight the election ics at Emirates NBD PJSC in Dubai. reaching an agreement how to continue results. Tesla to issues shares to raise $5 billion. cutting production from January next Tesla decided to take advantage of its year also helped pushed prices higher, U.S. crude oil inventories likely edged soaring share price by issuing new eq- even though the agreement was for a lower, while distillate stockpiles were uity. The third share sale in 10 months moderate increase in collective produc- seen decreasing for a 10th straight could raise as much as $5 billion. tion. week, a preliminary Reuters poll UAE’s jockeying at OPEC meeting hints showed, ahead of reports from the at ambitions. Some tough negotiation “We are confident that the weak de- American Petroleum Institute and the and arm-twisting at the OPEC meeting mand will soon move back into the ’ Energy Information Administration (EIA). by the UAE was a bit of a departure market s focus,” Eugen Weinberg, head of comodities research at Com- Traders also focused on a week of tech- from the past. The UAE typically follows ’ merzbank, said to reporters. “The latest nical meetings by OPEC and its allies to Saudi Arabia s lead at OPEC. The UAE price rise has been driven by specula- prepare the ground for next week's min- also said that it plans on spending $122 tion.” isterial gathering, which is set to discuss billion on increasing production capac- ’ extending oil output curbs into next year ity. It looks at the UAE s rising ambition. The volume of natural gas vented or due to weak demand amid a second The Energy Information Administration flared in the U.S. in 2019 was 1.48 bil- wave of COVID-19.The volume of nat- said at the beginning of December in lion cubic feet per day. That amounted ural gas vented or flared in the U.S. in 2020 that a massive crude oil inventory to 1.3% of total gross gas withdrawals. 2019 was 1.48 billion cubic feet per build of 15.189 million barrels for the North Dakota and Texas accounted for day, a record high. That amounted to week to December 4, after a modest 85% of the total gas vented or flared. 1.3% of total gross gas withdrawals. draw of 700,000 barrels estimated for The environmental impact is causing North Dakota and Texas accounted for the previous week. reputation damage to the industry. Some 85% of the total gas vented or flared. European buyers are backing away from The environmental impact is causing This week's rise in crude inventories purchasing U.S. LNG because of the reputational damage to the industry. came close to the largest crude build enormous volume of vented and flared Some European buyers are backing ever, which was recorded earlier this gas upstream. away from purchasing U.S. LNG be- year for the week ending April 10, when EP cause of the enormous volume of the EIA reported a 19.25 million barrel Serajul Islam Quadir; vented and flared gas upstream. inventory build. The writer is the former Bureau Chief of Oil prices declined recently due to a A day earlier, the American Petroleum Reuters in Bangladesh and Executive weak short-term demand outlook but Institute had said a crude oil stock build Editor of the American Chambers’ steadied during midday trading. The of just of 1.1 million barrels along with Journal.

December 16, 2020 24 Special Article

Nation’s Crucial Decision to Select ‘Appropriate Technology’ for Managing Municipal Solid Waste

Prof. Kunio Yoshikawa Shaikh Ehsanul Habib Hashin ur Reza

f managed well, it is an ‘Asset’ and The known environmentally sound by leachate from wet MSW into the soil. failure of it will lead to a big ‘Liability’. MSW treatment technologies are as Proper treatment of MSW will reduce Iit is MSW [Municipal Solid Waste]. follows: the waste volume up to 95% and con- MSW is a serious concern for environ- sequently will reduce the required land- mental & health hazards and cause of 1. Recycling filling area. many urban social problems in 2. Sanitary Landfilling Bangladesh. Currently, a massive vol- 3. Biological Treatment Including Secondly, we have conceptualized the ume of solid wastes are generated daily Composting & Biogas Production most traditional way of the incineration in municipal areas all over Bangladesh 4. Incineration & WTP [Waste To process to generate electric power and consequently, they have become Power] called Waste to Power [WTP] without a difficult to be managed economically 5. Pyrolysis and Gasification holistic assessment of its appropriate- due to an increase in their volume with 6. Hydrothermal Treatment ness for the high-moisture and low- the augmentation of urban lifestyle. Till Unfortunately, our country is following calorific value MSW in our country. We now, MSW management has been a ‘Li- none of the above technologies yet! In ability’ for all municipal authorities in should remember that any particular most cases, wastes are openly dumped our country while in some counties, technology is not appropriate every- like in other developing countries and MSW has become a valuable ‘Asset’ where for all kinds of MSW! In Europe, any resource recovery plants for MSW now! the composition of MSW is different are not available yet. We are continuing from ours. MSW in Europe has a lower We have several major cities in primitive open-dumping of MSW caus- moisture content with a higher percent- Bangladesh; Dhaka, Chittagong, Ra- ing environmental hazards of air pollu- jshahi, Khulna, Barisal, Rangpur, and tion and underground water pollution age of paper and plastic while our MSW Sylhet, etc. These cities are generating a huge amount of solid wastes every day which are only disposed of by open- dumping. The enormous increase in the quantity and diversity of waste materials generated by human activities is result- ing in adverse effects on environment & health, which have led to increasing awareness to adopt environmentally sound methods for safe disposal of wastes. The technologies to recover en- ergy from wastes can play a vital role to mitigate the problems. At present, there are 522 urban centers in the country in- cluding 254 pourashavas and 6 city cor- porations generating about 13,332 MT of solid wastes per day and they will in- crease to about 47,000 MT/day by 2025.

December 16, 2020 25 is composed of high water content the HTT [Hydrothermal Treatment] [50—60%] wastes such as kitchen and process for organics and papers, food wastes and consequently it has the pyrolysis process for plastics, very low heating value. Therefore, and landfilling for rejects. Around 7% of our MSW are construction WTP is not appropriate in our coun- materials, glass, metal, etc. which try and not financially viable at all. are treated as rejects for landfilling We have indigenous much cheaper and 93% can be used in the HTT sources of electric power such as nat- and pyrolysis processes to produce ural gas, coal, and liquid fuel. The green solid and liquid fuels. government needs to subsidize heav- ily for WTP for the whole of the op- What are the HTT & pyrolysis technologies? erational life of WTP plants. All burnable wastes can be con- Furthermore, ‘Fly ash’ generated in verted into coal-like solid fuel by WTP plants is another big environ- the process called hydrothermal mental concern. Where should we treatment [HTT]. It is a controlled will become very expensive. one-hour cooking process using satu- dispose of it? In our water body nearby The biological treatments of MSW in- rated steam with a temperature around rivers? No way! Air pollutants like small o cluding composting & biogas produc- 200 C and a pressure around 2MPa. particulate matter [PM 2.5] emitted from tion need big land areas and long This process can reproduce the natural coal production process from biomass incinerators in WTP plants cause serious process times because the biological in millions of years with high tempera- health hazards leading to a fall in lung processes are slow. Also, only the or- ture and pressure inside the earth. function, irregular heartbeat, heart at- ganic part of MSW can be treated so tacks, and premature death. If you are plastics and papers shall be presorted. This integrated waste treatment process infected by COVID 19 virus, inhalation In our country, this kind of presorting of includes another process called the py- of polluted air is like ‘putting gasoline MSW has not been implemented and it rolysis process. It decomposes plastic on the fire’. is very difficult to ask the citizens to co- wastes at a high temperature around 400oC in the absence of oxygen to pro- A WTP plant installed in old Timarpur, operate in house-level presorting. With- out appropriate presorting, the quality of duce petroleum-like liquid fuel. We call Delhi had to shut down in 21 days after the produced compost will become low this integrated HTT & pyrolysis starting its operation in 1987 due to en- and the biogas production will de- processes a new Waste to Energy [WTE] vironmental and health hazard issues crease. That’s why such treatments have process whose flow diagram is shown in together with a low calorific value [2.5- not yet been widely applied in our Fig.1. In this process, plastic wastes and 2.9MJ/kg] of incoming MSW. Totally 14 country. rejects in MSW will be mechanically WTP plants were installed in India since separated first. Now we can look into a holistic ap- 1990 and half of them have already proach of MSW treatment combining This WTE process can handle organic been shut down and the remaining ones components with high moisture content are also under scrutiny and re-evalua- in MSW directly without pre-drying and tion of Socio-Economic Impact Assess- convert them into solid fuel having sim- ment. ilar heating value with natural coal to be burned together with coal or burned as Now after further drill down into the tra- a substitute for coal in the existent coal- ditional WTP concept, we understood firing facilities. Therefore, this HTT that the reasons for high installation and process can be characterized as ‘Appro- operating costs of WTP plants in our priate Technology’ to treat our high country are the 50 - 60% moisture con- moisture content MSW to produce coal tent in our MSW as well as their exorbi- alternative fuel. This ‘new coal‘ is a fi- tant CAPEX and huge land requirement. nancially viable domestic product from It needs high energy input to dry them MSW in our country where most coals up to evaporate the moisture content are imported. before burning them starts to generate Also, policymakers are getting interested sufficient heat to generate electric in making MSW into a source of renew- power. Therefore the cost of electric able energy, as there is a huge amount power by WTP of MSW in our country of energy locked in these wastes. So,

December 16, 2020 27 coal-alternative fuel production power in WTP plants economically. Salient Uniqueness & Technical Ad- from MSW can play a vital role in vantages of HTT & Pyrolysis the socio-economic development of Comparison among HTT, incinera- Processes: tion, and landfilling our country. 1. MSW in our country contains a Incineration and landfilling are the huge amount of moisture. It is a Composition of Our MSW most widely applied processes for huge disadvantage for the incinera- MSW in our country is originated MSW treatment now. The incinera- tion process where it requires high from residential houses, street tion process is suitable for MSW sweeping, commercial places in- with less moisture content. But in energy input to dry it up and to burn cluding market, industry, and other our MSW, the moisture content is it to produce costly electric power sources including dust, ash, veg- around 50-65%, so the incineration if desired so. On the contrary, the etable farms, etc. The major part of process is not the ‘Appropriate HTT process cooks MSW with steam the wastes is found to be organic Technology’ to be adopted in our to produce ‘Coal’ [RDF] without its and their average composition is country. Also, the scarcity of our pre-drying. shown in the table below. land makes landfilling of MSW very expensive in our country. Therefore, 2. This integrated process leaves Heating Value of Our MSW landfilling is not a viable option for nearly zero wastes except for the re- Around 70% of our MSW is an or- us also. jects as all burnable wastes are con- ganic component of food & veg- verted to solid/liquid fuels. etable with a huge moisture content Considering the situations in our of around 65%, and consequently, country, a spotlight comparison 3. Technically both the HTT & py- its calorific value is as low as appx among HTT, incineration, and land- 7.94MJ/kg having a big difficulty to filling is depicted in the below rolysis processes are simple and do be burned to generate electric table. not need complicated equipment.

December 16, 2020 28 Salient Commercial Advantages: 1. The capital cost of the HTT plant is lower than incineration, gasifica- tion, and other thermochemical processes. 2. The payback period of HTT is sig- nificantly lower than incineration, gasification, and other thermochem- ical processes. 3. The erection and commissioning time for HTT is 10-12 months while that for WTP is 30-36 months. Economic value analysis of MSW with different technical processes is shown in the following table. Salient National Advantage: 4. The fuels produced from this in- tegrated process are green and can Assumptions: 1. Both the solid and liquid fuels produced from this integrated earn carbon credit by the Kyoto 1. Capex of incineration plant is process are our national import Protocol. based on a plant capacity of substitute and consequently will Recommendations 200,000 MT of MSW per year save our foreign currency. which is appx BDT 8.42 Billion. 1) HTT and pyrolysis technologies 2. No subsidy is required from the are to be declared the ‘Appropriate 2. Capex of gasification plant is government to run such a plant as Technology’ vis-à-vis to any other based on a plant capacity of it produces commercially viable waste treatment technologies avail- 195000 MT of MSW per year to ‘primary fuels’ instead of producing able and known to us until today, produce 8MW electric power costly electric power where gov- and they shall be adopted in our worth of appx BDT 18.89 Billion. ernment subsidy is required. country by national policy to roll 3. Capex of HTT & pyrolysis plant 3. This process does not need the over all local government authori- is based on 500MT per day capac- involvement of too many ministries ties soon. ity MSW plant worth of BDT 910 and long red tape to decide upon. Million. The City Corporation/Ministry of 2) These technologies can convert Local Government alone can de- our wastes from ‘Liability’ to 4. Capex of biogas & compost cide the uses of their wastes and ‘Asset’. plant is based on a plant capacity give a supply guarantee to the of 40MT per day of MSW which is third-party investor willing to set 3) All local government authorities appx BDT 240 Million. up such a plant. should supply sufficient land area to set up such integrated plants in the landfilling area in their respec- tive territories.

4) The government should patron- ize the investors with tax holidays and waiver of VAT on the products obtained from these plants to pro- mote marketing within the country.

EP

Prof. Kunio Yoshikawa; Tokyo Institute of Technology, Japan. Shaikh Ehsanul Habib; Managing Director, Green Power Ltd. Hashin ur Reza; General Manager, Green Power Ltd.

December 16, 2020 29

Report BPC, BERC at Loggerheads the price of No VAT Waiver for will not increase the price of goods and gas at the consumer level. over LPG Price Fixing services pro- Petrobangla LNG The revenue board VAT duced and ren- wing, in a clarification Sun- dered by such angladesh Petroleum Cor- The Bangladesh Petroleum day, said that items with a poration (BPC) is now at corporation and its enterprises, B Corporation does not qualify specified VAT rate or with loggerheads with Bangladesh and the corporation shall fix the for a VAT waiver on ingredi- VAT rate below 15% will not Energy Regulatory Commission price of such goods and services ents for liquefied natural gas according to such policy," BPC qualify for the waiver. There- (BERC) over fixing the price of (LNG) since Petrobangla sub- said quoting from 'the pricing pol- fore, there will be no VAT liquefied petroleum gas (LPG) sidizes imported LNG on the at the consumer level. icy of public corporation'." waiver on Petrobangla LNG local market. imports. Mentioning its full power and The letter disobeyed the En- Though the new VAT law has authority to fix or to regulate ergy Division's plan to stream- Petrobangla imports each provisions for a VAT waiver the LPG price, BPC recently line the LPG price and create cubic meter of LNG at said they were empowered by a level playing field for the on imports, Petrobangla will Tk31.53 while the 15% VAT the government to fix the LPG consumers to get the essential have to pay Tk4.73 on im- on it is Tk4.73. After liquify- price and accordingly they commodity at equal rate. ports and Tk0.55 on sales of ing the gas, the corporation were maintaining the LPG "Now, the Energy Division and each cubic meter of LNG. sells it at subsidized rate of pricing issue from their side. the Law Ministry will decide According to this estimation, Tk4.45. According to the rev- So, there is no need to send who to regulate the LPG pric- total VAT per cubic meter of enue board, the corporation any proposal to the BERC ing issue. We sent the letter to LNG will be more than half will have to pay 15% VAT, or from their side. the Energy Division," a senior of the sale price. Tk0.55 per cubic meter, even Mentioning the 'Public Cor- official of the BERC said. However, National Revenue on the subsidized rate. poration (Management Co-or- The move to fix LPG price by Board (NBR) officials said this EP dination) Ordinance -1986', the BERC came against the BPC's Managing Director M backdrop of a showcause no- Fazlur Rahman Khan said this tice issued by the High Court Oil Rises, Hovers Below $50/bbl in a letter to the BERC. seeking explanation on why rent crude oil futures rose leum Exporting Countries action would not be taken "The ministry or division which more than 1per cent re- and its allies, on Thursday against the energy product B has the administrative control cently, remaining just under agreed on a compromise to regulator for its failure to set over a public corporation shall $50 a barrel, as expectations increase output slightly from LPG price. determine the policy relating to EP of a US economic stimulus January but continue the bulk package and the possibility of of existing supply curbs to for the firm ONGC Plans Drilling in Two a vaccine for the coronavirus cope with coronavirus-hit de- within its overrode rising supply and mand. contract pe- Offshore Wells from Oct increased COVID-19 deaths. riod by Feb- OPEC and Russia agreed to ruary 2023. ndian ONGC Videsh Ltd A bipartisan $908 billion ease deep oil output cuts Ihas planned to drill two ex- The ONGC had a plan to ini- coronavirus aid plan gained from January by 500,000 bar- ploratory wells in two sepa- tiate drilling an exploratory momentum in the US Con- rels per day with further as rate offshore blocks in the well at Kanchan in block SS- gress. yet undefined increases on a next drilling season starting 04 last year. monthly basis, failing to from October 2021. But the onslaught of the Brent settled up 54 cents or reach a compromise on a It is preparing to drill the deadly coronavirus pandemic 1.11per cent at $49.25 a bar- broader policy for the rest of wells-Titly in shallow sea and a row over advance in- rel. During the session, the 2021. block SS-04 and Moitree in come tax or AIT, demurrage contract hit its highest since block SS-04 areas, a senior charges to port delayed its early March at $49.92. West OPEC+ had been expected to energy ministry official said. previous drilling plan. Texas Intermediate rose 62 continue existing cuts until at cents to $46.26 a barrel, after least March, after backing He said the Indian oil-gas ex- Sources said the ONGC has ploration firm has already touching a high of $46.68 a down from plans to raise out- now planned to drill the barrel. put by 2 million bpd. completed a portion of geo- wells buoyed by the findings hazard survey on the blocks. of two dimensional (2D) seis- Both benchmarks gained for The increase means the Tender will be floated soon to mic surveys. a fifth consecutive week, group will reduce production select subcontractors for car- Currently, no exploration is with Brent up 1.7per cent by 7.2 million bpd, or 7per rying out the drilling job, the being carried out in offshore and US crude up 1.9per cent. cent of global demand from official added. blocks inside the country's January, compared with cur- Drilling these wells along territorial areas in the Bay of OPEC+, comprising of the rent cuts of 7.7 million bpd. with Kanchan is mandatory Bengal. EP Organization of the Petro- EP

December 16, 2020 31 Report Azam Chy, Shayan Reelected AFD, EU to Finance Digitization of LOAB President, Vice President Bangladesh Electricity Grid he French Development pared for the future. TAgency (AFD) will pro- Moreover, by integrating dig- vide a loan of 100 million ital technology in our proj- euro to Bangladesh to rein- ects, we speed up the force its role as an active par- adoption of renewable ener- ticipant in the search for and gies and thus contribute to- use of advanced digital solu- wards achieving the tions in power and energy country’s Sustainable Devel- sector in Bangladesh. opment Goals (SDGs). This support comes via AFD’s The additional 12 million concessional sovereign loan euro grant will support for pi- and will go towards financing loting the smart grid project project titled Construction in 5 substations in Dhaka. Azam J Chowdhury Shayan F Rahman and Augmentation of Substa- The smart grid gives shape to tion and Installation of the this transformation, by mak- zam J Chowdhury and decades while Shayan F Capacitor Bank in Power Sys- ing the grid more effective Shayan F Rahman have Rahman is Chairman and A tem under DPDC’ said a and efficient. been reelected President and Managing Director of press release. Vice President of the LPG Beximco LPG (Unit1) Ltd. A total of 1,141,000 people A credit facility agreement Operators Association of will benefit from a significant from AFD worth 100 million Bangladesh (LOAB) for the While expressing thanks to improvement in the quality of euros was signed recently. next two years. the Members of the LOAB electricity service through the for reelecting him as the Ms. Fatima Yasmin, Secretary project and it helps fight cli- of Economic Relations Divi- The election was held earlier President, Azam Chowdhury mate change by preventing sion, and Mr. Benoit Chas- and approved on a virtual said the association will en- an accumulated 104,000 satte, AFD Country Director tons of CO2 emissions per platform at the second An- sure strict compliance and for Bangladesh, and Mr. Jean- year. nual General Meeting of development of LPG busi- Marin Schuh, Ambassador of LOAB, said a press release. ness representing the com- France to Bangladesh, signed Present in Bangladesh since plete value chain in the the deal. 2012, AFD supports projects in urban development and All the members of the out- country. In addition to that a Grant Fa- infrastructure, as well as in going committee were re- cility Agreement for a dele- the power & green energy elected as members of the He added that the LPG in- gated grant from the EU-AIF Executive Committee. dustry is a service sector and the people in the business The primary aim of the have obligations to ensure LOAB is to add value to the uninterrupted supply of LPG energy sector of the country to the customers in any cor- through harnessing full po- ner of the country at a rea- tential of LPG, while also sonable price. promoting compliance to good business and safety Shyan Rahman in his reac- practices. tion assured that LPG will sectors. In addition, AFD also play a vital role in the fu- worth 12 million euros focusses on corporate and so- ture energy mix of would be signed in the be- Azam Chowdhury is the cial responsibility. Chairman of East Coast Bangladesh and its use will ginning of 2021. As of 2020, AFD has commit- Group, a very large diver- be extended from cooking AFD’s loan aims to equip ex- ted 910 million euros to sified conglomerate en- gas and autogas to marine isting infrastructure with Bangladesh including 24 mil- gaged in this line of fuel and captive power these new, innovative and re- liable technologies in order lion euros in the form of business for over three generation. grants. EP to ensure services are pre- EP

December 16, 2020 32 Report Bangladesh to Join WANO 1,200 Acres Land Sought for Future Expansion of RNPP ators, it ended he Ministry of Science posal before a technical any illusions Tand Technology (MoST) is committee last month for al- that they could seeking additional 1200 location of the additional work solely acres of land for future ex- land. The technical commit- within the con- pansion of the Rooppur Nu- tee comprises of 24 secre- taries of different ministries. fines of their clear Power Plant, reliable companies or sources said. “We are expecting to get the additional land for future ex- countries. ’ The country s first-ever nu- pansion of the plant,” an of- Chernobyl nu- clear power plant will have ficial concerned said on the angladesh will become a clear accident in 1986 made the capacity to produce condition of anonymity. member of World Associ- it clear that an event at one 2400MW of electricity. The B The government has already ation of Nuclear Operators plant impacted every plant two units of the plant having (WANO) to ensure safety and the capacity of 1200MW each allocated 800 acres of land and that nuclear safety was for the Rooppur Nuclear secure operation and mainte- is expected to start electricity everyone's business. Power Plant. nance of the country’s generation in early 2024. Faced with this reality, the maiden nuclear power plant The proposed expansion will Another 19 acres of land at leaders of every commercial Char RooppurMouja has also at Rooppur in Pabna. soar the capacity of the nuclear been acquired from landown- nuclear reactor in the world set power plant to 4800MW. Chaired by Science and aside their competitive and re- ers for the mega project. Technology Minister Archi- gional differences and came The MoST has placed a pro- The plant authorities tect Yeafesh Osman, an inter- together in 1989 to create the have already allocated ministerial meeting has taken World Association of Nuclear fund to acquire the land the decision last month. as the high-powered Operators (WANO), said the committee asked the The Nuclear Power Plant objective of the organization. deputy commissioner Company Ltd Bangladesh To maximize the safety and re- (DC) office of Pabna for (NPPCLB) will be the mem- providing compensation liability of nuclear power to the families affected, ber of WANO on behalf of plants worldwide by working sources said. EP Bangladesh. together to assess, benchmark Bangladesh will have to pay and improve performance Coal-Fired Power Projects ects including 30,000 Euro for enrollment fees through mutual support, ex- three that annually, reliable sources said. change of information and em- Behind Schedule have already come online. For the world's nuclear oper- ulation of best practices. EP ll the under-construction Aand proposed coal-fired Work of the three plants-two EPGL Eyes to Expand Its Diesel power plant projects in the at Barapukuria having a total country are behind schedule, capacity of 525 megawatts, Generator, Vehicles Market resulting in uncertainty over or MW, and another 1,320 their completion on time. MW capacity plant of nergypac Power Genera- also exports electro mechani- Bangladesh China Power Etion Ltd. or EPGL, one of cal equipment to many coun- It has been alleged that the Company Ltd, or BCPCL at the leading power engineer- tries in the world, including delay in the project works is Payra-was also completed ing companies in the country, India, Sri Lanka and some perplexing the government behind scheduled timeline. is eying to expand its market African countries, will expand sorting out a proper plan for share of diesel generators and its export basket and roll out power generation in future. Among them, the latest one- commercial vehicles, among more products for local mar- the 1,320 MW capacity plant other products. kets provided it got policy Other fuel-run power plants of the BCPCL, came online in especially oil-fired and gas- the middle of this year, al- The company is also paying support by the government. fired ones were well ahead of most one year after its sched- more attention to add more During a media visit to the schedule and even some uled commissioning date. values locally to its own gen- industrial complex recently, plants came online ahead of erator brand 'GLAD' and JAC top officials of the EPGL said, scheduled time, said a senior Seven government, private commercial vehicles, assem- once an importer, the com- official at Power Division. and joint venture coal-fired bled at Energypac industrial pany is now manufacturing a power plants are at under- park at Sreepur in Gazipur wide range of high value Sources said currently the construction stage and run- district, its officials said. products maintaining world country has a total of 23 ning much behind of their class standard. They said, Energypac, which EP coal-fired power plant proj- planned work. EP

December 16, 2020 33

ADB Proposes $1.6bn Solar Demand for Irrigation Roadmap Green Building Solutions Grows

anish Embassy in Dhaka has begun an Dexhibition on “Smart Cities and Green Liveability” to promote human centric ap- proach towards urban planning, architec- ture and functional designs that work for people and the environment. Inaugurating the exhibition recently, Ambassador of Denmark to Bangladesh Winnie Petersen highlighted Danish cre- ativity in regard to contemporary design he Asian Development Bank In case of second component, 30 per- and planning that enable the move to- wards more sustainable living. (ADB) has placed a $1.59 billion cent of grant financing has been pro- solar irrigation roadmap for posed during pilot phase. For the last She said in Denmark, architects, urban T planners and engineers shifted their Bangladesh to help replace diesel-fired component, it has been suggested that focus on liveability, which all knows is irrigation system with that run by renew- 20 percent grant financing may be con- an important conversation for stakehold- able energy. sidered for farmers in order to promote ers involved in urbanization. “For a The ADB submitted the draft proposal uptake. densely populated city like Dhaka, this conversation is quintessential and ur- before Power Division last month and Power Cell Director General Moham- gent,” she added. suggested that the cost may be met from mad Hossain, who attended the meet- national sources like Nationally Deter- ing, said that the farmers in Bangladesh “We want to share these transferable mined Contributions (NDC) and from have a tariff slot. ideas with our community in the money being spent on diesel import Bangladesh. As we live in Dhaka, we together with grants and loans from for- At the current slab, they are availing a tariff also experience the challenges of rapid eign sources. that is the lowest in the country, he said. urbanization ourselves,” Ambassador Winnie said. At a recent meeting, a representative “Anything beyond that will make them uncomfortable in spite of the grant por- According to official figure, currently from ADB delivered a presentation on there are 426 buildings in Bangladesh tion. As we have a national policy and key issues of the roadmap. certified by the US Green Building according to that policy, the farmers are In the roadmap, ADB proposed the fol- Council LEED (for Building Design and availing the lowest tariff, we may rethink lowing three different components for Construction). the model keeping this tariff un- installing solar irrigation pumps: Replac- Bangladesh has also the highest number ing diesel pumps with solar pumps, hy- changed.” of 91 LEED-certified green garment fac- bridization of grid-connected pumps by Whatever grant is required, we will have tories, which is the highest in the world incorporating solar panels, decentraliz- to make it available for them in order to as of September 2019. ing ground mounted SPV systems on keep the tariff unchanged, he pointed out. The inaugural session was addressed, agricultural land. among others, by Sultana Afroz, Secre- At this point, REB Chairman Major General tary to the Government and CEO of A portion of the cost is also to be met by (Retd) Moin Uddin, said that pumps oper- Public Private Partnership Authority farmers and sponsors in the form of eq- ated by diesel are mostly in remote areas, (PPPA) at the Prime Minister’s Office, uity and debt, it said. where there is no electricity connection. Commercial Counsellor at the Danish Embassy Ali Mushtaq Butt and Kim Hor In case of component, financing has “So, it would not be possible to feed the been proposed to be 50 percent of total Toh, Chief Architect of Singapore-based extra electricity into the grid,” he said. Surbana Jurong Infrastructure. cost during the initial period. EP EP

December 16, 2020 35 New Electric Car Plants to Get Land Free-of-Cost angladesh will offer land for free to fossil fuel-based car plants, he felt. Transition to RE electric car producers as this has B He said there will be no conflict of in- May Help Durable huge economic opportunities, PM's pri- terest if such plants are established in vate sector industry and investment ad- Economic Recovery Bangladesh where there are no tradi- viser Salman F Rahman said recently. tional automobile production units. he transition to renewable heating "We'll offer free-of-cost land to the in- "We should go for new technologies and cooling worldwide can attract vestors who will produce electric cars T which will create new opportunities as investment and create millions of new in Bangladesh," he told a webinar, re- the traditional petrol pumps will turn jobs, according to the joint report by the calling a recent meeting with German into charging stations let alone the em- International Renewable Energy Agency automaker Volkswagen. ployment." (IRENA), the International Energy He was speaking as chief guest at the Economists, businessmen, car im- Agency (IEA) and the Renewable Energy event styled 'Car market in Bangladesh: porters, researchers, government high- Network for the 21st Century (REN21) Challenges and prospects' hosted by ups and policy-makers joined the The transition to cleaner, more sustain- the Policy Research Institute of event, moderated by Dr Zahid Hussain, able heating and cooling solutions can Bangladesh (PRI). former lead economist at the World help to drive a durable economic recov- Mr Rahman said during his discussion Bank. ery in the wake of the global Covid-19 with Volkswagen had invited the Ger- Echoing Mr Rahman, Dr Ahsan H crisis, says a new study by leading en- man carmaker to set up an electric car- Mansur, PRI executive director and the ergy organizations. manufacturing unit in Bangladesh. keynote speaker at the webinar, said It can attract investment and create mil- Bangladesh should leapfrog in the next- solar- and power-based auto-manufac- lions of new jobs, according to the joint generation car-making, not traditional turing plants need to be set up in report by the International Renewable Bangladesh. Energy Agency (IRENA), the Interna- tional Energy Agency (IEA) and the Re- "Currently, in the automo- newable Energy Network for the 21st bile industry, we have al- Century (REN21). most nothing. But we have the potential to The report highlights the benefits, iden- make it a very good sector tifies investment barriers, as well as the for our economy." "We policies to drive faster uptake of renew- can set up manufacturing able heating and cooling worldwide, plants with new technolo- says a press release. gies," Dr Mansur men- Renewable Energy Policies in a Time of tioned. EP Transition: Heating and Cooling de- scribes five possible transformation pathways, encompassing renewables- MBL Holds Workshop on Green based electrification, renewable gases, sustainable biomass, and direct uses of Financing solar thermal and geothermal heat. Transitioning to renewable sources will ercantile Bank Ltd (MBL) held a augurated the virtual workshop. help to increase access to clean, afford- Mvirtual workshop on 'Sustainable able and reliable heating and cooling Finance under Green Banking' recently. In his address Md. Quamrul Islam services, even on remote islands and in A total of 81 officials including branch Chowdhury advised the participants to some of the least-developed countries of heads, officials from concerned divi- strictly adhere with the sustainable fi- Africa and Asia. sions of head office and six entrepre- nance policy guidelines of central At the same time, renewable heating neurs of the bank attended the online bank. and cooling can create new jobs, stim- programme, says a press release. ulate local economies, and improve Mati UL Hasan, Additional Managing people's livelihoods, while strengthen- Md. Quamrul Islam Chowdhury, Man- Director and CRO also addressed at the ing countries' energy security and inde- aging Director and CEO of the bank in- virtual session. EP pendence, the report notes. EP

December 16, 2020 36 was the lone bid- 55MW Wind Power Project der to participate in the tender Wins Cabinet Body Approval process invited for the project, he Cabinet Committee on Public said a BPDB official. Vietnam Activates Purchase recently approved the pro- T According to the Sustainable and Re- posal of a Chinese-Bangladeshi consor- RE Development newable Energy Development Authority tium to set up a 55 MW wind power (Sreda), only three small wind energy plant on build-own-operate basis at Spree: GlobalData plants, having a total capacity of 2.9 Mongla in Bagerhat. MW, have been installed by the As per the proposal, the Consortium of Bangladesh Power Development Board he Vietnamese renewables industry Envision Energy, (Jiangsu) Co. Ltd., China, (BPDB) so far against its target of setting Thas been gaining traction lately as SQ Trading and Engineering, Bangladesh up wind power projects having total ca- the country considers renewable energy and Envision Renewable Energy Limited, pacity of 1152 MW by 2020. to play a pivotal role in achieving the Hong Kong will set up the plant under a Earlier, BPDB signed a contract in optimistic Power Development Plant 20- year contract with Bangladesh Power March, 2015 to award a 60 MW wind (PDP). Development Board (BPDB). power project to US-DK Green Energy State-owned BPDB will purchase the (BD), a joint venture between Taylor En- The PDP is envisaged to improve elec- electricity from the plant at a levelized gineering Group of USA, ph-consulting tricity infrastructure and expand renew- tariff of US$ 13.20 Cents, equivalent to group of Denmark and Multiplex Green ables in the power mix to accelerate Tk 10.56 per kilowatt hour (each unit) Energy of Bangladesh, to set up the plant decarbonization. over the period of 20 years. at Kurushkul, southeast of Moheshkhali river in Cox’s Bazar. Against this backdrop, solar PV and The government will pay a total of Tk wind are expected to steer the Viet- 2035.12 crore for the entire contract pe- But the sponsor failed to implement the namese power sector decarbonization riod against its purchase of electricity from project in the last 5 years. and bring down the cost of solar PV sys- the maiden private wind power project, Mongla 55MW wind power project is one tems by about 25% and wind projects said Saleh Ahmed, additional secretary of of the three similar projects undertaken by by 17% by 2030, says GlobalData, a the Cabinet Division, while briefing re- the BPDB in recent years. The other two leading data and analytics company. porters on the cabinet body meeting. project were planned for Chandpur and ’ Ankit Mathur, Practice Head of Power at The Chinese-Bangladeshi consortium Inani beach in Cox s Bazar. EP GlobalData, comments: “Vietnam’s in- stalled power capacity is likely to reach Fostering a Blue Economy: Offshore approximately 135GW, growing by more than two folds from 55GW by the Renewable Energy end of 2019. The renewable sources (in- cluding hydropower) are likely to fuel about half of the new overall capacity ffshore renewable energy — includ- The development of renewable sources built of estimated 80GW by 2030. Solar Oing offshore wind and solar power, and technologies at sea promises to spur PV and wind are likely to be the renew- as well as emerging ocean energy tech- new industries and create jobs in line able flag bearers with more than 80% of nologies — could support sustainable with the global energy transition. Off- the anticipated renewable capacity to long-term development and drive a vi- shore wind towers, with either fixed or be dominated by these two technolo- brant blue economy. floating foundations, and floating solar gies. Solar PV has witnessed a staggering For countries and communities around photovoltaic (PV) arrays offer clear tech- growth of about 1,000 times from a the world, offshore renewables can pro- nological and logistical synergies with meagre 7.4 MW to an estimated 7,000 vide reliable, stable electricity, as well the existing offshore oil and gas indus- GW+ by the end of 2020.” as support water desalination and aqua- try. culture. The country has revealed a clear Offshore renewables could provide roadmap that has attracted the investors’ This report from the International Renew- clean power and ensure energy security interest and boosted the confidence en- able Energy Agency (IRENA) considers abling the future assurance of an attrac- the status and prospects of offshore re- for small island developing states (SIDS) tive and sizeable renewable market newable sources and recommends key and many of the least-developed coun- among the Southeast Asian counter- actions to accelerate their uptake. tries (LDCs). EP parts. EP

December 16, 2020 37

SDGs

Climate Vulnerability Covid and Implementation of SDG

angladesh has made signifi- post-e-centre to provide all digital lowances, allowances for the cant progress in expanding fi- services mentioned above along widow, deserted and destitute Bnancial services across the with distribution of Social Safety women, My Home My Farm proj- country even in the remote, rural, Net allowances. These are some ect, Ashrayan project, Food for and hard to reach areas by making important steps to ensure ‘leave no Work Programme, life enhance- banking accessible to the general one behind’. ment programs of Vedas and the people through mobile financial disadvantaged population, lifelong The government has approved Na- services and special accounts. The development programs of the hijra tional Social Security Strategy unbanked population of the coun- people, Vulnerable Group Devel- (SSNP) in 2015 with a view to ad- try including farmers, the hard-core opment (VGD), Char livelihood dressing poverty, inequality, risk poor, freedom fighters, people af- programme are being imple- and vulnerability in the country. fected by natural disasters and ben- mented. Currently, 28.7% of the Distressed people particularly eficiaries under social safety net family enjoy the benefits of the women, children and disabled per- programs — can now open a bank government's social safety net pro- sons have been given priority account by depositing just taka 10. grams; the government's plan is to under SSNP, which is designed to In the meantime, about 1 million expand it to 40 percent of the poor be implemented gradually address- such bank accounts have been families by 2030. The government ing the lifecycle risks; all pro- opened and operated across the spends 15 percent of its budget on grammes will be consolidated to country. social security activities, which are get better synergies and healthier planned to be maintained by 2030. To decentralize the delivery of results. In addition to the earlier Apart from allowance, people are public services and take them to mentioned programs under social being engaged in vocational edu- the doorsteps of millions of under- protection, education stipends, cation and income generating ac- served citizens, the government adult allowances, maternal al- tivities. The government is in the through Access to Information process of finalizing National (a2i) has established 5,286 one- Household Database (NHD) to es- stop information and service de- tablish more transparent selection livery outlets known as Union process of beneficiaries of different Digital Centres (UDCs) supported social protection programmes. by one male and one female local entrepreneur in all Union The national development strate- Parishads. UDCs ensure that all gies, i.e. the 7th and 8th Five Year the underserved regardless of Plan has been well aligned with their literacy and ICT literacy - the goals of the agenda 2030. A can access vital information and platform has been developed to 112 types of public and private engage all relevant stakeholders services all over the country with and to listen their voices up to Up- a target to add more necessary COVID 19 azila level for preparing and imple- services. In addition, 8,500 post menting actions related to offices have been converted to a sustainable development goals.

December 16, 2020 39 veloped and emerging countries. We know hard hit Amphan along with flood and river erosion this year added huge number of hard to reach vulnerable and people who usually left behind into a great mis- ery. With very negligible additional support from the Development Partners Bangladesh with its own resources, not only facing these un- usual covid, Amphan and flood but with a strong political will and leadership also showing an exem- plary resilience, all positive social and economic indicators which made Bangladesh again a ‘Teacher to combat climate vulnerability’ according to Ban ki Moon the 8th Secretary General of UN. Antonio Guterres, the present Secretary General of UN in his recent state- ment said ‘Everything we do during Bangladesh is now considered a ferent projects and programmes for and after this crisis (Covid) must be ‘role model’ in respect to its social and economic development with a strong focus on building women empowerment. According of those regions. The Prime Minis- more equal, inclusive and sustain- to the Global Gender Gap report of ter’s Office has special programmes able economics and societies that World Economic Forum (WEF) in for the betterment of other ethnic are more resilient in the face of 2020 Bangladesh ranked 50th out people. pandemic, climate change, and the of 153 countries because of politi- Leaving no one behind requires the many other global challenges we cal empowerment of women. The transformation of deeply rooted face’. government has been allocating systems – economic, social and 27% of national budget equivalent We all know that rising inequalities political, governance structures to 5% of GDP on average over the and discrimination are not in- and business models at all levels. last eight years to the gender re- evitable, rather they are the result The voices of different stakeholders sponsive budget. Special alloca- of decades of policies and dynam- must be heard, and their active par- ics that have undercut equality and tions are given to different ticipation as agents of change marginalized groups like transgen- rolled back efforts to build better needs to be promoted. lives for all. Hence, the Govern- der, tea garden labor, bade & dis- ment of Bangladesh headed by advantage community, beggars, Unlike other countries Bangladesh Hon’ble Prime Minister Sheikh street children, people of special also facing Covid crisis which Hasina is politically committed to areas, cleaners, people of char dragged a huge number of margin- implementing the SDGs in a areas, special needs children etc. alized people into hard core whole-of-society approach to ad- There is no denying the fact that poverty. Government declared dif- dress the root causes of depriva- ferent types of incentive package marginalized people like dalits of tion, marginalization, exclusion ’ amounting to more than 12 billion Bangladesh doesn t suffer severely and other human rights. from caste problem like some of USD for payment of wages in the private sector, investment in micro, the neighbouring countries, as EP caste problem is virtually absent in small and medium enterprise, job this country. Cater to the special creation, supporting the vulnerable Md. Abul Kalam Azad needs of hilly regions, the dedi- families with cash transfer which Former Principal Secretary and cated Ministry of Chittagong Hill kept the GDP growth in a positive Principal SDG Coordinator, Tracts (CHT) Affairs are taking dif- direction surpassing so many de- Prime Minister Office

December 16, 2020 40 Climate Hasina for Decisive Global Carbon Capture a Tool in Climate Action to Save Planet Fight, But at What Cost? echnology for capturing while, a process known as car- Tcarbon from industrial bon capture, utilization, and emissions and storing it may storage (CCUS). still be in its early stages, but The procedure is not new, proponents believe it can be- with the first site set up in come a major tool in the fight Texas in the early 1970s. against climate change. Despite growing interest in the For its methods to rollout on a technology, however, to date scale large enough to make a only about 20 sites exist difference, though, experts worldwide, according to the and critics say carbon capture Global CSS Institute, as it fights and storage (CCS) still has to popular suspicion that CCS overcome a host of logistical distracts from the goal of mov- and financial hurdles. ing away from fossil fuels. rime Minister Sheikh "We must admit that our CCS techniques are designed The International Energy Agency Hasina recently stressed current efforts to achieve P to capture and store carbon says the technology has enor- the need for robust interna- that target are highly inad- dioxide generated by power mous potential and that it may tional climate coalitions to equate. As such, we need stations using fossil fuels as play a ‘critical’ role in helping to reduce the carbon emission forceful, dynamic and well as industrial plants from smooth the path to achieving net effectively and save the fu- rapid action plan to limit steelmakers to refineries and zero emissions. ture generations. the global greenhouse gas petrochemical plants. emission to save us and ‘After years of slow progress, "I would like to underscore Supporters see the technology our planet," the prime new investment incentives the significance of positive has great potential to reduce minister said. and strengthened climate and robust international cli- greenhouse gas emissions goals are building new mo- mate coalitions that can re- Mentioning that South Asia from power production, indus- mentum behind CCUS,’ the duce the global carbon is the most vulnerable re- try in general and fossil fuel re- IEA said in a September report, emission effectively to move gion to climate-induced fining. pointing to 30 projects that towards carbon neutrality be- natural disasters, she said The captured CO2 is trans- have come on stream in the fore the mid-century. So, I millions of people will be- ported and reinjected into her- last three years. call for your urgent and deci- come climate refugees in metically sealed geological sive action to save our future coastal and small island The IEA maintains that CCUS has reservoirs -- for example, in generations," she said. countries if sea level rises a positive role to play in sectors former oilfields -- for perma- by a meter. Though whose carbon footprint is hard to The prime minister made the nent storage. Bangladesh has no contri- reduce significantly, such as ce- call in a virtual speech at the bution to global warming, it A portion can be reused mean- ment production. EP 'Thimphu Ambition Summit' is one of the most vulnera- arranged by the government ble countries for its limited of Bhutan, the Chair of the Nestle to Invest 3.2b Sfr to Cut coping capacities and spe- LDC Group in the UNFCCC, cific geographical features, Carbon Emissions on the occasion of the 5th Hasina said. anniversary of the Paris Nestle said recently it plans to to renewable electricity for invest 3.2 billion Swiss francs all its power by 2025. Agreement. As per ADB's prediction, ($3.58 billion) over the next Bangladesh would face The maker of KitKat choco- Sheikh Hasina, in her prere- five years to reduce its climate annual economic cost late bars and Nescafe coffee, corded speech, said the impact and help it get to net equivalent to 2 percent of which produced 92 million Covid-19 pandemic has zero emissions by 2050. shown how quickly a pan- her GDP by 2050 and up tonnes of greenhouse gases demic can turn into a cata- to 9.4 percent by 2100 if The world's biggest food in 2018, said it would fi- strophic global crisis. "It has current emissions con- company said it would work nance these investments pri- also taught us that the only tinue. "I'm sure that it's with farmers and suppliers to marily through operational way to combat a global crisis true for all other LDCs and promote regenerative agri- and structural efficiencies to is through strong collective climate vulnerable coun- culture, plant hundreds of keep this initiative earnings response." tries." EP millions of trees, and switch neutral. EP

December 16, 2020 41

Climate Climate Goals Need 6pc Yearly IDCOL Seeks to Mobilize Funds for Fossil Fuel Cuts: UN Developing Coastal Forests il, gas and coal pro- The assessment comes at a he Infrastructure Develop- from the Centre for Climate Oduction must fall six critical juncture in human- Tment Company Limited Change and Environmental percent a year in order to ity's battle to stave off the (IDCOL) seeks to mobilize $80 Research (C3ER), BRAC Uni- limit catastrophic global worst effects of climate million for implementing a versity, are jointly developing warming, the United Na- change, with several major project to develop climate-re- the project. tions warned recently, even polluters including China silient forests in coastal areas IDCOL is the national Direct as high-polluting nations and Japan having pledged to of Bangladesh. Access Entity (DAE) to Green bank on fossil fuels to drive reach net-zero emissions The non-bank financial institu- Climate Fund (GCF), a mech- their Covid-19 recoveries. within decades. tion will seek $60 million from anism established within the The UN's annual Production the Green Climate Fund (GCF) framework of the United Na- But the report authors Gap assessment measures the while the remaining $20 mil- tion's environmental treaty to stressed that emissions need difference between the Paris lion will come from the assist developing countries in lowering immediately, and Agreement climate goals and Bangladesh government co-fi- adaptation and mitigation that the Covid-19 pandemic nations' planned production nancing. practices to counter climate offered governments a of fossil fuels. change. golden opportunity to rebuild To this effect, a national stake- Ziaul Hasan, secretary to the The edition found that de- their economies without rely- holder consultation workshop Ministry of Environment, For- spite this year's dip in pro- ing on polluting fuels. was held virtually recently to est and Climate Change, duction due to the pandemic, assess risks associated with the joined the inaugural ceremony that gap remains large: coun- "The research is abundantly proposed project titled 'Cli- of the workshop as the chief tries plan a two-percent an- clear that we face severe cli- mate resilient sustainable guest, while Dr. Nahid Rashid, nual increase through 2030. mate disruption if countries coastal forestry in wing chief (UN) at the Eco- continue to produce fossil Bangladesh', according to a nomic Relations Division, and This is equivalent to more than fuels at current levels, let statement. double the fossil fuel produc- alone at their planned in- Md Mizanul Hoque Chowd- tion that would be consistent creases," said Michael The Bangladesh Forest Depart- hury, additional secretary to with the Paris deal's more am- Lazarus, lead author and di- ment (BFD) in partnership with the ministry, were special bitious goal of limiting warm- rector of the Stockholm Envi- IDCOL, and with the support guests at the event. EP ing to 1.5C (2.7 Fahrenheit) ronment Institute's US Center. above pre-industrial levels. EP New Zealand’s Ardern Declares Aker, MAN Form Carbon Capture ‘Climate Emergency’ Co-operation ew Zealand Prime Min- issue declarations, it is often Nister Jacinda Ardern de- where there is a threat to life, ker Carbon Capture and while Aker Carbon Capture clared a "climate emergency" a threat to property, and civil AMAN Energy Solutions provides its proprietary amine recently, telling parliament defence emergencies," she have agreed to co-operate on technology and carbon-cap- that urgent action was told parliament. development of energy-effi- ture process design. needed for the sake of future "If we do not respond to cli- cient compression solutions generations. mate change, we will con- for carbon capture and stor- The two companies aim to tinue to have these age (CCS) applications with develop carbon capture so- Ardern said the science on emergencies on our shores." heat recovery. lutions that require less en- climate change was clear ergy. Transfer of heat is said and New Zealand had to ac- Lawmakers passed the Their joint target is to reduce to be key for improved knowledge the threat. largely symbolic emergency declaration by 76 votes to 43 the cost of removing CO2 power consumption at car- The centre-left leader said the after Ardern urged them to emissions from industrial bon capture plants. MAN challenges posed by global back the move. plants worldwide. can recover heat from its warming meant parliament's compression systems, and declaration -- an act under- "Vote in favour of this decla- ration, be on the right side of MAN brings experience in the steam generated should taken by more than a dozen history, be part of the solution compressor technology, inte- cover almost half the power other countries -- was war- we must collectively deliver gration of system components demand at Aker’s capture ranted. for the next generation," she and their design and delivery, plant. EP "In those cases where we do said. EP

December 16, 2020 43

Interview Excelerate Energy Sees Bright Future for LNG, NG in Bangladesh

n the fall of 2018, Bangladesh’s first With Excelerate Energy having just LNG facility - the Moheshkhali Float- completed its 4th year in Iing LNG terminal - was brought on- Bangladesh and two years of LNG line, and Bangladesh became the 40th operations at Moheshkhali under its Ramon Wangdi country to enter the prestigious LNG im- belt, could you give us an overview porters club. Two years have since of your experience in Bangladesh passed, and today Bangladesh finds it- and an update on the existing state self as an established and significant of LNG adoption in the country? player in the global LNG marketplace. We first began investing in developing Following Bangladesh’s successful During this time, the country has made LNG solutions for Bangladesh in 2012, entry into the LNG marketplace, tremendous progress towards expand- and it’s been quite a journey since then. ing its LNG importing capabilities — hav- Texas­based Excelerate Energy sees the Internationally, Bangladesh has estab- vast potential to expand LNG’s reach ing delivered over 130 cargoes sourced lished quite a stellar reputation of hav- from 10 countries while doubling the in­country through continued ing a friendly business climate for investment in robust technologies nation’s aggregate import capacity to foreign investment, and our experience and distribution solutions … 1.0 billion cubic feet per day. Most im- has absolutely reflected this reality. Mr. Wangdi tells EP portantly, Petrobangla has successfully From the incorporation of Excelerate’s distributed this vital fuel to customers local company in 2016 to the construc- across the eastern and central parts of tion and commissioning of the country’s Bangladesh. first LNG import terminal, Excelerate has continued to work lockstep along- Excelerate Energy L.P. (Excelerate), the side its partners in Petrobangla and the US energy firm which led the develop- government to implement LNG imports ment of Bangladesh’s first LNG project in the country successfully. and currently owns and operates the two Floating Storage and Regasification Today the FSRU terminals in Mo- Units (FSRUs) in Moheshkhali, has long heshkhali make considerable contribu- believed in the important role of having tions to the total gas supply in You mentioned about the pandemic. access to clean, abundant, and reliable Bangladesh. These reliable operations Could you explain how COVID-19 fuel supply to meet Bangladesh’s long have played a vital role in stabilizing the has affected Excelerate’s business ’ term development goals. country s energy supply, especially and your thoughts on the recovery within the southeastern regions of Chat- efforts in Bangladesh? Ramon Wangdi, Managing Director of togram and surrounding markets. COVID-19 and the resulting lockdown Excelerate Energy Bangladesh Ltd. (Ex- LNG adoption has not been without its around the world have left no individ- celerate’s local subsidiary), made the challenges — from overcoming cyclonic ual, business or country untouched. On observation in an exclusive interview weather events (such as cyclone Fani in the one hand, the pandemic resulted in with Energy & Power Editor Mollah 2019) to the challenges of the global the temporary but widespread reduction Amzad Hossain. He also elaborated pandemic — but Bangladesh’s resilience of energy demand across the globe — on Excelerate’s existing activities and his in the face of this adversity has allowed something that all markets and busi- views on the vital role that LNG will for the continuous growth of LNG adop- nesses in the sector have had to adjust play in shaping Bangladesh’s future en- tion, and we are incredibly pleased with to. However, the opposite effect from ergy system. the results.

December 16, 2020 45 this same event has been the further ex- porter. With Excelerate having oper- an enormous benefit for the quick adop- acerbation of an already favorable price ated in 13 other countries, how tion of LNG, as a substantial portion of environment for fuel imports such as would you compare the adoption of the country’s gas infrastructure — from LNG — a trend that we believe will re- LNG in Bangladesh versus other pipelines to power plants — is already main for some time and heavily favors markets? well built. Furthermore, any gap in in- frastructure which needs to be built, rapidly growing energy markets such as Prior to LNG, the government had a Bangladesh. such as connecting transmission infra- long-standing track record of project ex- structure, has been planned in concur- For a global business like Excelerate, the ecution — especially in the field of en- rence with LNG terminals themselves. early months of COVID-19 created ergy infrastructure. This approach has As a result, in the span of 2 years, enormous disruptions to our typical op- allowed Bangladesh to achieve feats in Bangladesh is already able to import erational supply chains. The ability to a short period of time, seldom seen in about 4.5 million tonnes of LNG per freely transport goods and personnel annum, and we fully expect this number across borders became extremely pro- to grow shortly to nearly 7 million hibitive, and we had to think “outside of LNG adoption has not tonnes as Petrobangla expands its LNG the box” to provide continuous opera- purchases from the spot market and the economic recovery from the pandemic tions. These events in 2020 truly drove been without its chal­ continues. This growth is remarkably home the benefits of engaging with in- lenges – from overcom­ steep when compared to other new ternational companies with a large-scale ing cyclonic weather markets in the region and is a testament operational foundation while at the to the thousands of skilled Bangladeshis same time having a local operational events (such as cyclone in the country who have collectively de- presence — our Bangladeshi cadets, pi- Fani in 2019) to the veloped the ability to handle this new lots, and personnel were critical fuel. throughout the year. challenges of the global As we look towards the future and Now that we have been navigating in pandemic – but Bangladesh’s Vision 2041 goals, these unprecedented conditions for Bangladesh’s resilience what are your views on the long- many months, we are happy to con- term prospects of LNG in clude the year having continuously op- in the face of this adver­ Bangladesh, and what policies are erated our FSRUs in Moheshkhali sity has allowed for the necessary to drive further invest- throughout 2020 without any disrup- ment in the space? tion. Much of this credit belongs to our continuous growth of friends at Petrobangla and RPGCL — LNG adoption, and we Since the turn of this century, these achievements quite simply would are extremely pleased Bangladesh has continuously surpassed not have been possible without their the ambitious targets which it has set for strong support, flexibility, and resiliency with the results. itself. This was absolutely the case with throughout the year. These strong inter- the government’s Vision 2021 goals, personal working relationships have and we fully expect the roadmap for Vi- also proven themselves invaluable dur- other emerging markets — from doubling sion 2041 to follow a similar path. How- ing the pandemic. the country’s installed power generation ever, the private and public sectors will Looking ahead, as Bangladesh contin- capacity to expanding the percentage of need to collaborate closely to achieve ues its recovery efforts along with the its population with access to electricity the ultimate goal of this program — for rest of the world, it is worth highlighting from 45% in 2009 to over 98% today. Bangladesh to become a middle-in- that this same resilience has allowed This same inclusive philosophy and come and developed country. Bangladesh’s economy to fare relatively goal-oriented mentality were directly As a part of this effort, the continued ex- well (still posting GDP growth) in com- applied towards the implementation pansion of Bangladesh’s energy ecosys- parison to other economies in the re- and adoption of LNG, and it allowed tem will be necessary across all aspects gion. In our view, at the conclusion of Bangladesh to rapidly ramp up natural of the value chain — from fuel supply, the auspicious Mujib Year, 2021 is gas distribution far faster than other power generation, transmission and dis- posed to be one unlike any other for countries in the region. tribution solutions to ensure all commu- Bangladesh — a year marked by un- For example, deliveries into other major nities enjoy equally the benefits which precedented growth, as the country’s LNG importing nations in South Asia unfettered reliable access to the sustain- economic engine fully restarts to reach have historically been restricted due to able clean energy brings. We strongly levels above what it saw before the pan- poor planning and bottlenecks in the believe LNG will play a pivotal role in demic. countries’ gas infrastructure. This has ’ making this future a reality. Bangladesh is the 40th country in been where Bangladesh s extensive his- tory in the usage of natural gas has been the world to become an LNG im- Given the abundant supply, LNG

December 16, 2020 46 allows for gas-dependent industries and success of Bangladesh in expanding en- construction methodology that allows communities downstream to flourish ergy access to the country in a prudent, for the laying of subsea pipeline in very and grow, which in turn creates an en- environmentally conscious, and sustain- shallow water depths. Along with de- vironment for increased investment to- able way. tailed studies of the weather conditions wards exploration and production of coupled with Excelerate’s decades long One example of such an initiative is the domestic resources. Furthermore, the re- experience operating FSRUs in offshore LNG terminal we have been developing cent announcements by the government conditions, we have concluded that a off the coast of Payra Port in the Patu- to reconsider its plans for expanding its reliable offshore LNG terminal in Payra akhali district of southwestern coal power program in favor of renew- is absolutely viable when implemented Bangladesh. As a part of this effort, Ex- ables and LNG has been commended by companies with the right experience. celerate is currently completing a tech- by many around the world as it reaffirms This facility could act as a gateway for noeconomic feasibility study for an Bangladesh’s leadership on the interna- delivering regasified LNG to power offshore LNG terminal delivering into tional stage in our joint global push to- plants in Payra, customers in Khulna Payra and has expressed its interest pro- wards decarbonization and taking and be distributed further downstream vide this fuel solution as a partner to the action on climate change. from Khulna throughout the entire south aforementioned LNG power plant western region of the country through On the policy front, I believe that in ad- based in Payra, led by North West Petrobangla’s existing gas grid. dition to the environmentally-conscious Power and Siemens. decisions stated above, initiatives such Over the long run, we believe an LNG One might ask — why Payra? When look- as “LNG Import Policy for Private Sec- access point at Payra will be valuable to ing at how our facilities at Moheshkhali tor,” which was passed in 2019, will be Bangladesh as it provides the security of successfully addressed the need for pro- crucial to ensure the right balance be- energy supply (by diversifying its gas viding reliable gas supply to southeastern tween investment and innovation from sources to all corners of the country) Bangladesh, Excelerate identified early the private sector is unlocked in con- and act as a foundation from which to on that the western half of the country — junction with the continued close part- distribute LNG to customers across the from Khulna to Rajshahi to Rangpur and nership and transfer of technical western half of the country, whether areas in between — was also facing a sim- knowledge with the public sector. A they are connected to the existing gas ilar dynamic of needing reliable gas sup- great example of this in practice is what grid or are off-grid and need to be ac- ply solutions so these communities could I am seeing take shape in Bangladesh’s cessed through smaller-scale LNG solu- keep enjoying the same growth and pros- LNG to power programs, such as the tions — such as LNG trucks. perity experienced across the rest of the LNG-based power plant in Payra being country. This portion of the country was Outside of LNG, we continue to invest led by North West Power Generating located farther from existing sources of in the communities in which we work Company Ltd., in partnership with gas — whether it be domestic gas from the actively and to support Bangladesh’s Siemens Gas and Power, Germany. northeast or LNG from Moheshkhali — push in meeting its UN sustainable de- So, what’s next for Excelerate and any plans for piped gas imports from velopment goals— whether that be Bangladesh? neighboring countries was not econom- through working with local schools in ically practical, as this gas was ultimately Moheshkhali Island to key sponsorships Well, our experience from the moment also being sourced from LNG but having of new infectious disease centers (as a we first began business has been noth- ’ to be transported much longer distances part of the pandemic recovery effort) in ing short of remarkable, and I couldn t (and higher costs) into Bangladesh the Rohingya refugee camps, to the be more excited about what the future through Khulna. The government also training of local cadets to operate on- has in store for Excelerate in has ambitious plans to develop the Payra board our vessels. One project which Bangladesh. into an electricity-generating hub, which we are particularly excited about is the included plans for LNG-based power Solar Health Clinic — a solar-powered Apart from the continued improvement plants. maternity clinic which will be deployed in our operations to ensure that our in Moheshkhali and be operated by a ’ FSRUs in Moheshkhali continues to pro- Payra s coastline has some unique char- local NGO called the Hope Founda- vide essential fuel supply to Petrobangla acteristics and technical challenges - tion, which is already quite active in the and its customers seamlessly, Exceler- due to its shallow draft, conventional ’ area. This project was delayed due to ate s engineers have been diligently shore or land-based LNG solutions were COVID-19, but we expect to have it op- working on developing a full suite of not feasible. For these reasons, Exceler- erational by the end of 2021 to create a technology solutions which we believe ate began in 2018 to invest towards the substantial positive impact on that com- will complement the growing needs of development of a bespoke offshore ’ munity. Also, given that the clinic is fully Bangladesh s energy industry. I strongly LNG solution located off the coast of powered by state-of-the-art renewable believe these innovative solutions, com- Patuakhali which could make landfall technologies, it will do so in a clean and bined with proven operators, will be es- in Payra and would require minimal sustainable manner. sential to building on the historical dredging work, through a specialized EP

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