New Delhi: State-run Bharat Heavy Electricals Ltd. (BHEL) has secured a $1.49 billion contract to set up two thermal power plants of 660 mega watt (MW) each for the Bangladesh-India Friendship Power Co. (Pvt.) Ltd, an equal joint venture between India’s NTPC Ltd and Bangladesh Power Development Board.
NTPC said in an official statement here that the project to be located at Bagerhat district in Bangladesh will commence power generation in 2019-20. Bhel will be responsible for engineering, procurement and construction. The contract was signed on 12 July in Bangladesh. The project will contribute “immensely to the overall development of Bangladesh especially its power sector,” said the statement.
Indian Exim Bank will finance the project called Maitree Super Thermal Power Project, which is the first such project developed by Bangladesh-India Friendship Power Co. and signify the increasing cooperation in the energy sector between the two countries, the statement said.
Because of geographic proximity, both the nations have advantages in closer cooperation in energy, infrastructure and trade. For India’s northeastern states, importing many goods from Bangladesh is easier than from the nearest Indian state, West Bengal. Bangladesh is at present buying power from ONGC Tripura Power Co. Ltd.