The country’s first waste-to-energy power plant is to be built in Narayanganj as the Cabinet committee on public procurement on Wednesday approved a proposal from a private bidder to set up the plant on the basis of construction. ownership-operate (BOO).
Minister of Finance AHM Mustafa Kamal chaired the meeting of the Council of Ministers.
The private bidder, a joint venture of the consortium of UD Environmetal Equipment Technology Co. Ltd, Everbright Environmental Protection Technology Equipment (Changzhou) Limited and SABS Syndicate, will install the 6 MW power plant in the Jalkuri area in Narayanganj.
The idea of ââthe waste-to-energy plant is that the Narayanganj City Corporation (NCC) will collect the garbage from its area and supply it to the power plant for power generation.
As per the proposal, the state-owned Bangladesh Power Development Board (BPDB) will purchase power from the plant at 20.91 US cents per kilowatt hour (each unit), which is equivalent to Tk 17.60 for a period of 20 years.
For this, the BPDB will have to pay Tk 1665.48 crore to the private sponsor of the plant for this total purchase of electricity.
Earlier, BPDB) signed a memorandum of understanding with NCC on March 21, 2018 to use 500 tonnes of solid waste to generate electricity.
Addressing the contract signing ceremony, Minister of State for Energy and Energy Nasrul Hamid said the government has a plan to implement other similar energy recovery projects from waste after successful completion.
The transfer of the waste-to-energy plant is part of the Local Government Division (LGD) for the implementation of a good number of such plants in different areas of the city in coordination with the Energy Division to manage municipal solid waste (SMW).
Official sources from LGD and the Electricity Division said all projects will be implemented in the private sector and BPDB will purchase electricity from all power plants.
There will be no tipping charge for the project developer while the city companies will ensure an adequate supply of waste to the project as per the agreement, the sources said.
The heat generated by burning the waste will be used to generate electricity, officials said, adding that such projects are available in China and many Asian countries.
Read also : Aminbazar’s waste-to-energy plant will be a game-changer: Minister
Previously, a waste-to-energy project was undertaken by PDB in the municipal area of ââKeraniganj on a pilot basis. But it was canceled due to the high cost of the electricity tariff – 40 Tk per kilowatt hour – offered by the private company concerned.
Official sources said the idea of ââa waste-to-energy plant has come to the fore as the two DNCC and Dhaka South City Corporation (DSCC) landfill stations at Aminbazar and Matuaile are going to be met. within two years.
The Ministry of the Environment has also expressed concerns about the existing waste management system which creates environmental risks.