Dhaka, Thursday, May 24, 2018 10:09 AM   
     
Home Energy BD Energy World Green Energy Opinion Interview Environment Business Others Archive
LATEST >
বাংলা সংস্করণ
   
Business
Bangladesh needs $82 billion investment in power to be developed country
State Minister for Power, Energy and Mineral Resources Nasrul Hamid said massive initiatives are underway to build a developed Bangladesh by 2041. The power sector needs US$82.5 billion in this regard while US$ 22 million has already been invested in the sector, he said while addressing at a session on “Power for Human Development” at the ‘Rising Bangladesh’ conference at Loeb House of Harvard University in Boston, the United State on May 12, 2018. Bangladesh has been working to increase power generation as it needs 60,000 megawatt (MW) of electricity to be a developed country by 2041, he also said. International Sustainable Development Institute (ISDI) of Florida and Centre for International Development of Harvard Kennedy School and Lakshmi Mittal South Asia Institute of Harvard University jointly organised the conference, said a press release. “Currently the power generation capacity of the country has reached to 16,046 MW while the government is working relentlessly to reach the general capacity 24,000 MW by 2021 to be a middle income country,” he said. Hamid said the government fixed 35 per cent natural gas, 35 per cent coal, import of renewable energy 10 per cent and nuclear and other sources 20 per cent as fuel mix for power generation in the Power System Master Plan-2018. Besides, the government is making optimum utilisation of modern technologies to develop power distribution and transmission system and the automation work is going on, he said. “We have undertaken to introduce enterprise resource planning (ERP) applications and supervisory control and data acquisition (SCADA) systems,” the state minister said. “The government encouraged private investment in the power and energy sector and meanwhile 50 percent electricity is generating from private sector,” he said, adding, “Initiative has been taken to handover a proportion of distribution and transmission line of power under private sector.” Nasrul said installment of smart grid and introduction of cashless payment technology in the power sector is a demand of time and then the power would transform into merit goods from public goods. He, however, said the power management would be people oriented with more investment, use of modern technology, taking appropriate plan and enhancement of capability of employees. Prime Minister’s Economic Affairs Advisor Dr Mashiur Rahman, Principal Coordinator (SDG Affairs) to the Prime Minister’s Office Abul Kalam Azad, Executive Chairman of Bangladesh Investment Development Authority (BIDA) Kazi M Aminul Islam and General Secretary of Bangladesh Economic Association (BEA) Dr Jamaluddin Ahmed spoke on the occasion.    
United Power emerges largest market cap co in power sector
May 12, 2018 Saturday 10:59 AM By News Desk, energynewsbd.com
United Power Generation and Distribution Company Limited emerged as the largest market capitalisation entity among the listed power-sector companies on the Dhaka bourse. The power generation company’s total market cap crossed US$ 1.0 billion milestone for the first time on Tuesday last and stood at Tk 88.67 billion on Thursday. “United Power is among the few companies in Bangladesh which crossed the U$ 1.0 billion market-cap milestone. It will enhance the prospect of company’s business and shareholders’ assets,” said a press release. Now, United Power is the sixth highest listed company in terms of market capitalisation on the Dhaka Stock Exchange (DSE) after Grameenphone, Square Pharmaceuticals, BATBC, BRAC Bank and ICB as of Thursday. Each share of United Power, which was listed on the DSE in 2015, closed at Tk 220 on Thursday, losing 0.95 per cent over the previous day. The company disbursed 90 per cent cash dividend for the year ended on June 30, 2017. In 2016, the company paid 125 per cent cash dividend. United Power has reported earnings per share (EPS) of Tk 2.88 for January-March 2018 as against Tk 2.77 for January-March 2017. In nine months for July 2017-March 2018, EPS was Tk 8.41 as against Tk 8.05 for July 2016-March 2017. The net operating cash flow per share (NOCFPS) was Tk 8.00 for July 2017-March 2018 as against Tk 8.60 for July 2016-March 2017. The net asset value (NAV) per share was Tk 37.71 as on March 31, 2018 and Tk. 37.47 as on June 30, 2017.
Category: Business
Nasrul Hamid urges German businessmen to invest in BD
April 21, 2018 Saturday 9:21 AM By UNB
State Minister for Power and Energy Nasrul Hamid has urged the German businessmen to invest in Bangladesh power sector. He made the call while addressing the ‘3rd German-Asia Business Dialogue’ in Germany’s Berlin on Wednesday, according to a message received in Dhaka. The junior minister said Bangladesh poses a potential to become a marketing hub of Germany and all other European countries to reach their products to a large market in Indian ‘seven sisters’ and also Myanmar. He said a huge demand has been created for advanced technology in three segments of power generation, distribution and transmission with the initiative of the Prime Minister Sheikh Hasina investment in the sector. Appreciating the organigers for arranging the German-Asia Business Dialogue, Nasrul Hamid hoped that this initiative will play an effective role in creating a platform to strengthen the relation between German and Asian companies. This will help build a coordination among member of parliaments, bureaucrats, and diplomats as well”, he added. Laurence Bay, Singapore ambassador in Germany, Prof. Dr. Jhy-Wey-Shich, Taiwan representative in Germany and Dr. Volker Treier, deputy chief executive of DIHK also spoke at the function. Meanwhile, Nasrul Hamid met with Mark Hauptmann, a German parliament member, to discuss different issues on investment, renewable energy and sustainable development. Bangladesh ambassador in Germany Imtiaz Ahmed was also present on the occasion.
Category: Business
ECNEC nods Tk 10,982 cr project for power transmission from Rooppur power plant
April 10, 2018 Tuesday 9:15 PM By BSS
The Executive Committee of the National Economic Council (ECNEC) on Tuesday approved a project involving Taka 10,982 crore to improve transmission infrastructures for evacuating power from the Rooppur Nuclear Power Plant. The approval came from the 22nd ECNEC meeting of the current fiscal year (FY18) held at the NEC conference room in the capital’s Sher-e-Bangla Nagar area with ECNEC chairperson and Prime Minister Sheikh Hasina in the chair. Briefing the reporters after the meeting, Planning Minister AHM Mustafa Kamal said a total of 16 projects were approved involving an overall estimated cost of Taka 15,683.24 crore. “Of the total project cost, Taka 5,707.97 crore will come from the GoB portion, Taka 1,235.07 crore from the organisation’s own fund while the rest of Taka 8,740.20 crore from project assistance.” Of the approved 16 projects, 15 are new projects while one is revised. The Planning Minister said Power Grid Company of Bangladesh Limited (PGCB) under the Power Division will implement the project with an estimated cost of Taka 10,981.75 crore by December 2022. On December 25, 2015, an agreement was signed between the Bangladesh Atomic Energy Commission (BAEC) and the Russian Rosatom worth US$12.65 billion to construct the country’s first nuclear power plant in Rooppur. Out of the two units of the plant, the first unit having capacity of 1,200 MW is expected to come into operation by October 2022 while the second unit also having 1,200 MW capacity is expected to come into operation by 2023. Under the circumstances, the project has been considered and approved in the today’s ECNEC meeting to develop necessary power transmission infrastructures for evacuating power to be produced from the nuke power plant. Of the total project cost of Taka 10,981.75 crore for the Power Transmission infrastructures project, the government will provide Taka 1,527.64 crore, the PGCB will provide Taka 1,235.07 crore while the rest of Taka 8,219.04 crore will come from the Indian third LoC. An official at the Power Division said the project will be implemented at some 37 upazilas under 13 districts in three divisions. The main project operations include erection of 609 kilometre 400 kV double circuit transmission line, construction of some 60 kilometer 230 kV Rooppur-Baghabari double circuit transmission line, and some 12 bay extensions. The PGCB has already conducted a feasibility study for the project and based on the findings of that study, this project has been drafted. The Planning Minister said once the Rooppur Nuclear Power Plant is built, power generation would be cost effective in the long run from that plant and there would remain no hassle and concern over the power generation as Russia would take away nuclear waste from the country. The day`s ECNEC meeting also approved another project for constructing and renovating the rail line with signaling system for the Rooppur nuclear power plant project with an estimated cost of Taka 335.97 crore. The Ministry of Science and Technology will implement the project by June 2020. The project will help establish overall transport management system for Rooppur Power Plant, establishing around 26.52 kilometre rail communication from Ishwardi bypass take off point to Rooppur nuclear power plant, introducing safe, fast, and goods-laden rail service for the Rooppur Plant, and thus boosting the revenue of Bangladesh railway.
Category: Business
BIFFL signs an agreement with Aman Spinning Mills
February 8, 2018 Thursday 12:35 PM By News Desk, energynewsbd.com
Bangladesh Infrastructure Finance Fund Limited (BIFFL) recently signed an agreement with Aman Spinning Mills Ltd (ASML) to finance under energy efficiency and conservation promotion financing projects (EE&CP) funded by JICA. S.M. Formanul Islam, Executive Director and CEO of BIFFL and Tahrin Aman, Managing Director of ASML signed the agreement on behalf of their organization, said a press release. Md. Helal Uddin, Additional Secretary and Chairman of SREDA, was present in the event as the chief guest. Manjur Morshed, Director (Energy Audit) of SREDA and Mari Iwata, representative from JICA were also present in the occasion special guests. Being established in 2011, BIFFL has been financing PPP projects, infrastructures, energy efficient and environment friendly projects.
Category: Business
IDCOL will arrange $135 million for three power plants having combined capacity of 280MW
December 5, 2017 Tuesday 8:17 AM By News Desk, energynewsbd.com
Infrastructure Development Company Limited (IDCOL), a government-owned development financial institution involved in private sector energy and infrastructure financing in Bangladesh, has recently signed a term sheet with Confidence Group to raise US$135 million term loan facility for establishment of three HFO fired IPP power plants in Bogra, Rangpur, and Chittagong having combined capacity of 280 MW. Confidence Power Bogra Limited, Confidence Power Rangpur Limited, and Zodiac Power Chittagong Limited will establish the said power plants at an estimated cost of US$ 200 million with brand new European engines from MAN and Rolls-Royce. All power projects are expected to go into commercial operation by 2019, said a press release. The program was graced by Mahmood Malik, Executive Director and CEO of IDCOL and Rezaul Karim, Chairman of Confidence Group, Imran Karim, Group Managing Director of Confidence Group, Salman Karim, Group CEO of Confidence Group, Nazmul Haque, Director (Investment and Advisory), and Khalid Islam, Managing Director of all the three companies were also present at the program along with relevant team members. IDCOL, the largest energy and infrastructure financier of the country, has already financed power projects supplying more than 1,500 MW to the national grid. IDCOL looks forward to investing additional US$ 1 billion by 2021 for development of priority infrastructure projects in Bangladesh.
Category: Business
BIFFL signed a letter of collaboration with Future Carbon Energy Services
October 30, 2017 Monday 12:16 PM By News Desk, energynewsbd.com
Bangladesh Infrastructure Finance Fund Limited (BIFFL) has recently signed a letter of collaboration (LoC) with Future Carbon Energy Services (FCES) for inclusion of BIFFL financed green brick projects with Clean Development Mechanism (CDM) under the United Nations Framework Convention on Climate Change’s (UNFCCC). The Project has already been registered with CDM in the name of National Programme for Energy Efficiency Improvement in the Brick Manufacturing Sector in Bangladesh (UNFCCC PoA Ref: 10355), said a press release from BIFFL. S M Formanul Islam, CEO of BIFFL and Raden Siddiqui, Managing Partner of FCES signed the letter of cooperation on behalf of their respective organisations. CDM encourages the developing countries to promote the projects that reduce greenhouse Gas emissions, and offers them to gain the benefits through creation of green jobs and entering new markets as well as strengthening ties between developed and developing countries. Recognizing the environmental hazards of conventional chimney based brick kilns, as well as the environment friendliness of tunnel kiln, BIFFL is promoting green technologies in the brick sector. Revenues earned from CDM will encourage the brick manufacturers to invest in green technologies.
Category: Business
Bangladesh Bank seeks Tk 200b sovereign guarantee for funding power sector
August 6, 2017 Sunday 12:54 PM By UNB
Bangladesh Bank (BB) has put forward three suggestions including a condition for government`s sovereign guarantee to mobilise Tk 20,000 crore (200 billion) for new investment in the power sector. The suggestions are floating Islamic bond with idle fund of the country`s Islamic banks, creating consortium of banks for large scale funding, and floating of bonds by the state-owned organizations in power sector. "We have submitted the suggestions to the government against the proposal of Tk 20,000 crore funding for new investment in the power sector," SK Sur Chowdhury said. He also mentioned the central bank has tagged a condition of providing sovereign guarantee from the government in financing the power sector by floating bonds and large bank loans. The suggestions as well as the condition of the central bank came against the backdrop of the government`s recent move to set up 18 new power plants having total capacity 2900 MW on a fast track basis within next one and a half year period. Of these, 7 plants having total 900 MW are planned to be set up on PDB`s own land while 4 plants having total 1000 MW would be set up in the private sponsors` lands and the 7 remaining plants having total 1000 MW in railway and sugar mills` unutilized lands. All these 18 plants of total 2,900 MW will be set up by private sector and the state-owned Power Development Board (PDB) will purchase electricity from these plants for a long term period of minimum 15 years. Official sources said the recent power crisis in the early summer prompted the government to take up these new projects to meet the power shortage before the next general election. They said initiating the move the Power Division invited a joint meeting of the prospective investors, banks, financial institutions, capital market representatives and other concerned ministries and government agencies to discuss their plan. The funding of the projects emerged as the big issue as implementation of the government`s new plan will require about Tk 20,000 crore. The existing banking law is also a barrier to the way of funding as any bank cannot provide a large loan to any client, which crosses the 25 percent limit of the bank`s total capital. Finally, the meeting formed a 10-member committee comprising Bangladesh Bank representatives and headed by an additional secretary of the Finance Ministry, to extensively examine the whole issue and find out solutions to resolve the funding problem. Officials said the Bangladesh Bank gave its suggestion during the meeting of the committee which held a number of meetings and now is in a process to finalise its recommendations. Sources said that the committee found that if banks and financial institutions go for large scale funding to any investor in power sector through creating consortium, in that case, there will be no need to amend the banking law. Bangladesh Bank officials also said that a big amount of fund could easily come from the idle money of Tk 5500 crore which remained unutilized with different Islamic banks of the country. The banks can float bonds to finance the projects. The state-owned PDB can float also bonds to raise a big fund through floating its own bond on the capital market. But in both cases, the central bank put a condition of providing government`s sovereign guarantee so that public or financial institutions can buy these bonds with trust and in risk-free manner. Power Division officials said they are still unaware of any suggestion of the central bank as they have not yet received the report of the additional secretary-led committee. They, however, said they have already completed the selection process of sponsors for a number of plants having total capacity of 1,800 MW. The proposals were sent to Prime Minister`s office for necessary approval, they added.       
Category: Business
Summit Power to invest US$ 1 billion in collaboration with GE and Excelerate in power generation
August 4, 2017 Friday 11:17 PM By News Desk, energynewsbd.com
Summit Power International Pte Ltd the Singapore incorporated power producer, on Friday announced collaborations to develop US$1 billion of gas-to-power generation and an offshore liquefied natural gas (LNG) import terminal. IFC, a member of the World Bank Group, has been engaged as the lead arranger for financing to develop the Meghnaghat II natural gas based combined cycle power plant, said a press release from Summit Power. Upon completion, Summit will have a total installed generating capacity of over 3,000 MW. The expansion in its core market coincides with Summit’s strategy to expand across emerging markets in the South-East Asia. To enable clean, sustainable power, Summit will be chartering a floating storage and re-gasification unit (FSRU) from Excelerate Energy for LNG storage and re-gasification services. GE, through GE Capital’s Energy Financial Services, and Summit have entered into a Memorandum of Understanding (MOU) for GE to potentially provide US $50 million of equity to Summit, to be used for the development of power projects in Bangladesh. In addition, GE Gas Power Systems will have rights to supply equipment for the power projects based on gas turbine technology and developed in the next 36 months by Summit. To make gas available for these projects, Summit LNG Terminal Company (SLTC) will sign the FSRU Time Charter Party agreement for 15 years with Excelerate Energy L P (Excelerate), the floating LNG specialist. The agreement is for the provision of one of Excelerate’s existing FSRU. The arrangements formalised at a signing ceremony at The Fullerton Hotel, Singapore in the presence of Kazi M. Aminul Islam, Executive Chairman of the Bangladesh Investment Development Authority, Abul Kalam Azad, Chief Coordinator, Sustainable Development Goals of the Prime minister office Bangladesh, Fazle Kabir, Governor of Bangladesh Bank, Lim Hwee Hua, former Minister, Prime Minister’s Office Singapore, Satvinder Singh, Assistant CEO of International Enterprise (IE) Singapore and Muhammed Aziz Khan, Chairman of Summit Group. The MoU with Summit and GE signed by Faisal Khan, Additional Managing Director of Summit Corporation and Banmali Agrawala, President and CEO, GE South Asia. Tariqur Rashid, Managing Director of SLTC and Karlman Tham, General Manager of Asia of Excelerate, signed on behalf of Summit and Excelerate respectively.  Aziz Khan, Chairman of Summit Power International said: “We are delighted to announce these significant projects valued at over US $1 billion over the next three years. The addition of these power projects is in line with our objective to grow our sustainable power capacity to empower nations and transform lives.” He said: This development is testament to our deep long-standing relationship with GE and IFC which began some 20 years ago. The Summit brand has grown from strength to strength over the past decade and today, our name is synonymous with “infrastructure for development. He also said: We are excited to begin working with Excelerate for the first time. As the partner of choice for global players in the region, we endeavor to become the leading provider of energy solutions in Asia and deliver sustainable long-term value to all our stakeholders. Banmali Agrawala, President & CEO, GE South Asia said, “The MoU is a step towards furthering GE’s strategic partnership with the Summit Group in the region. We will continue to evaluate collaborations that provide comprehensive energy solutions to Bangladesh, including in the form of technology, services and financing.” IFC Head of New Business Infrastructure and Natural Resources, Asia Pacific,. Lubomir Varbanov added, “We value our engagement with Summit, and have been actively supporting the group’s mission to bring sustainable long-term power solutions to Bangladesh. He said: Our strategic relationship with Summit goes all the way back to 1997, when IFC financed Khulna, followed by Bibiyana in 2015, and more recently, in 2016, through financing from IFC’s own account and mobilizing from IFC’s Emerging Asia Fund and EMA Power. IFC remains committed to paving the way for the country to achieve energy security, and we look forward to supporting Summit to help meet this objective in the region. Karlman Tham, General Manager of Excelerate, said: “We are pleased to be partnering with Summit on this very important project. We are confident our experience and expertise in FSRUs will ensurean efficient and reliable project for Bangladesh for the years to come.”    
Category: Business
Two power network expansion projects okayed
June 22, 2017 Thursday 12:57 PM By BSS
The Executive Committee of National Economic Council (Ecnec) approved two power network projects involving Tk 13,909.21 crore to expand electricity coverage in the country`s eastern and western parts. The approval came from an ECNEC meeting held at the NEC conference room in the city on Tuesday with ECNEC Chairperson and Prime Minister Sheikh Hasina in the chair. Briefing journalists after the meeting, Planning Minister AHM Mustafa Kamal said the ECNEC had approved a total of 12 new and revised projects involving a cost of Tk 30,343.222 crore. Of the total cost, Tk 25, 904.43 crore will come from the government exchequer, Tk 4,404.99 crore as project assistance while Tk 33.80 crore from own fund of the organizations concerned, he added. He said cost for the power network expansion projects for eastern part-Dhaka, Mymensingh, Chittagong and Sylhet division- is Tk 7,123.30 crore. The government will set up a 39,100-kilometer distribution line to give 13.70 lakh consumers electricity connections as part of the government move to bring entire population under power coverage by 2021, he added. As part of the power network expansion programme in western part, a 38.010-kilometer power distribution line will be installed at a cost of Tk 6,776.91 crore in Rajshahi, Rangpur, Khulna and Barisal divisions, said Kamal.
Category: Business
Tk 21,118 crore allocated for power, energy sector
June 1, 2017 Thursday 8:13 PM By News Desk, energynewsbd.com
Finance Minister AMA Muhith on Thursday proposed Tk 21,118 crore for Power, Energy and Mineral Resources Ministry in the budget for 2017-18 fiscal for the overall development of the power and energy sector. Of the total Tk 21,118 crore, the finance minister proposed Tk 18,894 crore for the power division and Taka 2,224 crore for the energy and mineral resources division.  The minister unveiled the national budget for the financial year 2017-18 (FY18) at Tk 4,002.66 billion in the Jatiya Sangsad (JS) in Dhaka. “Hopefully we will be able to supply gas to all industrial units by the end of 2018. In order to meet the growing demand of energy in the country, necessary steps are being taken to import LNG within the shortest possible time,” the finance minister said while placing the national budget in the Jatiya Sangsad.    He said Terminal Use Agreement (TUA) and Implementation Agreement (IA) have already been signed with a view to setting up a Floating Storage and Re-gasification Unit (FSRU) based LNG terminal in Maheshkhali on Build-Own-Operate-Transfer (BOOT) basis under Public-Private Partnership (PPP).   Muhith said a total of Tk 113 crore has been proposed to allocate in non-development for the energy and mineral resources division, while Tk 49 crore for the power division. “In 2009, our power generation capacity was only 4,942 megawatt. Now it has reached 15,379 megawatt. At the same time, system loss has been reduced to 9.3 percent from 15.6 percent,” he informed the House.
Category: Business
General Electric keen to invest more in BD
May 24, 2017 Wednesday 11:12 AM By UNB
General Electric (GE) has expressed its willingness to invest more in Bangladesh as it wants to expand its operations in the country, says its top executive. GE South Asia President and Chief Executive Officer Banmali Agrawala said this when a GE delegation led by him met Bangladesh Investment Development Authority (BIDA) Executive Chairman Kazi M Aminul Islam at the latter`s office here on Monday. GE has long been engaged in Bangladesh`s energy sector apart from working in the areas like healthcare, energy transmission and distribution and aviation. The BIDA Chief Executive highlighted the ongoing reform measures of the government to help expand trade and investment in Bangla-desh and ease doing business and introduce one stop services.
Category: Business
Bangladesh set to impose carbon tax in June
May 24, 2017 Wednesday 11:00 AM By Reuters
Bangladesh is set to impose its own carbon tax on fuel next month – despite the hugely climate-vulnerable country producing relatively tiny per capita emissions. The tax is expected to be put in place on June 1 as part of the country’s annual budget and will be part of a larger bundle of “green” measures, Nojibur Rahman, chair of the National Board of Revenue, told the Thomson Reuters Foundation in a telephone interview. Many businesses and environmental groups have welcomed the plan, saying that Bangladesh – one of the countries considered most threatened by climate change impacts – needs to make a strong statement as governments like that in the United States pull back from action on climate change. The new tax may not make any significant contribution to achieving the Paris Agreement’s goal of keeping average global temperature increases below 2 degrees Celsius above pre-industrial levels, they said. But “when a country pollutes, the other countries are also affected. So, we need to reduce carbon emission as much as possible and imposing a tax is only way to do it,” said Abdul Matlub Ahmad, outgoing president of the Federation of Bangladesh Chambers of Commerce and Industry. He said the tax would not only raise the price of using fossil fuels but the added income could help push more use of renewable energy. “If the government wants to cut the import duty on environment-friendly renewable energy products, it needs to charge taxes on polluters,” he said in a telephone interview. Bangladesh produces about 0.44 tonnes of carbon dioxide per person, much lower than the United States’ 16.4 tonnes, Australia’s 16.3 tonnes and Qatar’s whopping 40.5 tonnes, according to World Bank figures. RISING RISKS Carbon taxes – which raise the cost of using fossil fuels by creating a charge for the climate damage they do – are one of the simplest, most market-friendly ways of driving climate action, experts say. But they have proved politically tricky to put in place, and not just in poorer parts of the world where incomes are low and making fuel more expensive can be politically risky. But low-lying Bangladesh, which faces huge risks from sea level rise, worsening storms, floods, droughts and other climate change impacts, has made a name for itself as an international leader in climate action, particularly in terms of innovative adaptation to climate change. “Although our contribution to climate change is very nominal, we are one of the worst victims of climate change. Aware of the problem, we have the most successful and best climate change programmes the world has so far witnessed in any country,” Finance Minister A.M.A. Muhith, said earlier this month at a Dhaka summit on climate change and disaster risk reduction. While it seeks international finance to help with programmes to address climate change, Bangladesh also has paid for projects out of its own nationally funded climate change fund. M.A. Matin, general secretary of the Bangladesh Poribesh Andolon (Bangladesh Environment Movement), said in a telephone interview that any carbon tax would need to be accompanied a “long-term carbon reduction plan” from the government. In the short term, higher taxes on industry can drive up production costs, with those costs passed on to consumers. That might mean “it’s not a right method for reducing emissions,” he said. Md. Khalequzzaman, a Bangladeshi professor at Lock Haven University in Pennsylvania, said he believed that in a poor nation like Bangladesh industry – rather than consumers – should bear the cost of the new tax. “I feel that the financial beneficiaries of carbon emissions should bear the tax as a part of their corporate social responsibility. The ordinary people should not be burdened with the additional cost of using power,” he said in an interview. He suggested that alongside imposing the carbon tax, the government should look at developing renewable sources of energy in the country.
Category: Business
Bangladesh needs $50 billion investment in power and energy sector
May 12, 2017 Friday 8:16 PM By News Desk, energynewsbd.com
State Minister for Power and Energy Nasrul Hamid has urged the European entrepreneurs to invest in Bangladesh taking the business opportunity prevailing here as the country needs $50 billion investment in power and energy sector. He made the call while addressing a seminar on ‘Swedish Energy System and Sustainable Solution’ at the World Trade Centre at Stockholm in Sweden on Friday, said a Power, Energy and Mineral Resources Ministry press release. Power Cell Director General Mohammad Hossain and Sreda member Siddique Zobair made presentations on Bangladesh’s power sector and renewable energy sector in the seminar. Swedish ambassador to Bangladesh Johan Frisell and Director of Swedish Energy Agency Josephine Bahr Ljungdell were present at the seminar. Nasrul said many global agencies are appreciating the progress of Bangladesh as the government has ensured a business security while taxation system is easy and labour cost is very cheap. He mentioned that the IMF has termed Bangladesh 2nd fastest growing major economy in the world in its 2016 report while HSBC made a forecast that Bangladesh will emerge as a country of 23rd largest economy by 2050.   
Category: Business
‘US interest in Bangladesh energy sector growing’
April 18, 2017 Tuesday 1:47 PM By UNB
American public-and private-sector firms` interest in Bangladesh`s burgeoning energy and power sector is said to be `growing day by day`. US Ambassador to Bangladesh Marcia S Bernicat said this when she called on State Minister for Power, Energy and Mineral Nasrul Hamid at his office in the Bangladesh Secretariat on Monday, according to a press release from the ministry. She said some giant companies like Exelerate, SunEdison, and GE are interested to work in Bangladesh, noting that American firms intend to work in Bangladesh`s renewable energy sector as well. The ambassador discussed the US position on different issues in Bangladesh`s power and energy sector with Nasrul Hamid. Welcoming the US companies` interest in Bangladesh, the state minister said investment from American firms are still `very low` compared with companies from other nations. He sought the US envoy`s help in encouraging American companies to invest in Bangladesh. On the power and energy sector`s current and future plans and also its potential, the state minister said there could be road-shows or seminars for the US chambers and business communities to make them aware about the ongoing developments. He said primary energy, power transmission and power generation are the best sectors for American companies to invest in Bangladesh. "Bangladesh will welcome US investment in these sectors," Nasrul Hamid added. He pointed out Bangladesh is getting electricity from India under sub-regional cooperation in the energy sector, while import of power from Nepal and Bhutan are progressing along the right path. He noted that Bangladesh encourages government-to-government (G-to-G-) business with any country. Power Cell director general Mohammad Hossain was present during the meeting.
Category: Business
‘MCCI urges govt to review latest gas price hike decision’
March 8, 2017 Wednesday 11:48 AM By News Desk, energynewsbd.com
The Metropolitan Chamber of Commerce and Industry (MCCI) requested the government on Tuesday to review the latest gas price hike decision, taking into consideration its impact on national economy. The Bangladesh Energy Regulatory Commission (BERC) hiked gas price last time in 2015. This time BERC has hiked gas price in two phases, of which the first phase has come into effect from March 1. The second phase is scheduled to be effective from June. However, the High Court ordered suspension of the decision of second phase gas price hike for six months. "The MCCI believes that the proposed gas price hike will raise transportation cost, production and other related costs, electricity generation and fertiliser production costs, and costs of agri-products and essential commodities, which will raise inflation," the chamber said a press release. "The gas price hike is not tolerable for consumers. Besides, the hike, at this moment, may hinder the country`s economic growth and welfare." The release also said the decision on gas price hike came at the time, when demand of different consumer goods, including apparel items, is low, after Britain`s decision to exit the European Union. Besides, the cotton prices in Bangladesh have increased by 20-25 per cent during the last two months, but the prices of RMG items have not increased. The chamber also said power plants, which supply electricity to the industrial units, consume 40 per cent of the country`s total gas use. The price hike of gas, used for electricity generation, will destabilise competitive position of RMG, leather, footwear and other sectors. The MCCI said the untimely gas price hike will destabilise the competitive position of many sectors, including ready-made garment (RMG). "The export target that the government has set centring Vision 2021 and the goal set for uplifting the country to high-middle income status may be affected by the gas price hike." The chamber also requested the government to take steps for ensuring proper use of gas instead of misuse by dishonest means. It may help face the situation without raising gas price excessively. The MCCI, Dhaka further said common people are under tremendous pressure because of price hike of various essential commodities. The gas price hike will raise transport cost for them. The chamber requested the government to keep price of CNG (compressed natural gas), used in public transports, out of purview of the latest gas price hike. It also said in 2008 the government formed a gas development fund for raising capacity of local gas companies, although it did not happen. Rather financial deficit is rising, as international oil companies (IOCs) are supplying increased volume of gas. The government is raising gas prices at consumer level to meet the deficit. "This chamber thinks that the country`s energy sector may face major crisis and the economy may face increased risk, if gas price hike continues instead of carrying out reforms in gas tariff policy," the MCCI, Dhaka said.
Category: Business
Gas price hike will increase cost of doing business: DCCI
February 25, 2017 Saturday 10:14 PM By Staff Correspondent, energynewsbd.com
The decision of gas price hike on an average 23 percent will affect and increase cost of doing business and inflation in the country, said the Dhaka Chamber of Commerce and Industry (DCCI). DCCI thinks gas supply to the industries and households is still not sufficient. Moreover, this hike will increase price spiral in the retail market, said a press release on Saturday. It will also impede export competitiveness, manufacturing sector, increase transportation cost and overall cost of doing business. This decision will emerge a challenge for garments and local industries as they have to survive facing hard competition in the world market. Besides, gas based power generation, captive power generation and fertilizer production will also be costlier due to this gas price hike. DCCI urges the government to review the decision considering the present cost of doing business, inflation and greater interest of mass people. Moreover to improve gas crisis government may focus on using our locally extracted coal as well as strengthening Bangladesh Petroleum Exploration and Production Company Limited (BAPEX) for exploring new gas fields.    On February 23, Bangladesh Energy Regulatory Commission (BERC) raised gas prices for all consumers by 22.7 percent and decided to implement the hike in two phases. According to the new price, households using double burners have to pay Tk 800 each from next month compared to Tk 650 now, while those using single burners have to pay Tk 750 each against Tk 600. The prices would be increased again on June 1 by another Tk 150 for each gas stove.
Category: Business
    Recent Business Stories
‘MCCI urges govt to review latest gas price hike decision’
Gas price hike will increase cost of doing business: DCCI
FBCCI concerned at the proposed gas price hike
CVO Petrochemical approves 25% cash dividend
FBCCI seeks British investment in power, energy
DCCI organises seminar on issues and challenges of financial closure of mega power projects
Planned gas tariff hike to hurt textile sector
DCCI against gas price hike as it ‘may affect business growth’
Experts surprised at power and energy budget cut
Slow pace of project implementation results budgetary cut for power sector
Nasrul invites Thai businessmen to invest in Bangladesh’s energy sector
Govt to introduce power bond in foreign market
Govt plans to enter Ashuganj Power Station Company into stock market
Fuel price cut drives energy shares upward
Energy Adviser urges to establish industries in special economic zone
BEZA inks deal with Titas Gas, REB to ensure gas, power
Plan to raise $1 billion through listing power companies at Singapore
Energypac Power Ltd allowed to float IPO
Cabinet body approves 12 projects including Rooppur nuke plant
Govt seeks $13.08 billion from China for power sector
China keen to invest $100bn for building materials production
Coordinated efforts and action plan needed to achieve SDG
DCCI publishes Tax Guide 2015-16
DCCI concerned over BD’s slipping down
    FOLLOW US ON FACEBOOK


Explore the energynewsbd.com
Home
Energy World
Opinion
Environment
Others
Energy BD
Green Energy
Interview
Business
Archive
About Us Contact Us Terms & Conditions Privacy Policy Advertisement Policy

   Editor & Publisher: Aminur Rahman
   Copyright @ 2015-2018 energynewsbd.com
   All Rights Reserved | Developed By: Jadukor IT