Published : 09 Aug 2023, 11:07 PM
Updated : 09 Aug 2023, 11:06 PM
A cabinet committee has cleared a proposal to extend the period for three 16-year-old power stations of Summit Power in Dhaka, Cumilla and Narsingdi by five years.
The committee on government purchase in a meeting on Wednesday approved the time extension for the power stations.
This will allow the government not to pay for the time the power stations sit idle – a bill known as capacity charge in the sector.
The power plants are Ashulia 33.75 MW station, Madhabdi 24.3 MW station and Chandina 13.5 MW gas-powered station.
The government estimates that it will have to pay Summit a maximum of Tk 11.18 billion in total for power from these stations if the unit price is set at Tk 5.65, said Amin Ul Ahsan, an additional secretary at the Cabinet Division.
The stations started generating power in 2006 and 2007, according to the Summit website.
The meeting also discussed and approved a proposal to purchase power from a 50 MW solar power station in Dimla Upazila at Tk 10.69 per unit. It will also follow the “no electricity, no payment” policy.
