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Bangaldesh's big push towards gas-based power: How does the cost-benefit work there and not in India?
Jul 04: Bangladesh has embarked on a massive drive to raise expensive LNG-based power capacity. A $1.2 billion LNG-based 800 MW power plant is just coming up as also a few others. Where is the funding for such mega projects really coming from?
8The neighbour's power infrastructure is radically different from that of India, as around 30% of its capacity runs on furnace oil and diesel, making LNG a viable option.
8Hydro power and coal make up just 2% and 1.8% of the country's total production.
8The rest of it is all dependent on gas. In the face of rapidly dwindling gas production, Bangladesh has little option but to go in for LNG, first to replace expensive liquid fuel capacity and then to fire existing gas based capacity that is fast running out of domestic gas.
8There are Indian companies eying the gas markets in Bangladesh but they need step in carefully
8The website carries here the project economics of LNG based power in Bangladesh, its viability and its long term sustainability.
8Clearly, power is eventually going to be expensive in Bangladesh and can the country really afford such power?
Click on Reports  for an answer.


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