Although Matarbari Coal-fired Power Plant has been supplying electricity to the national grid since the commissioning of its first unit in December 2023, it has not received any payment from the Bangladesh Power Development Board (BPDB).
“We’ve so far not received any payment against our supply of electricity to the national grid," said Abul Kalam Azad, managing director of the Coal Power Generation Company Bangladesh Limited (CPGCBL).
The CPGCBL, a state-owned company of the government, set up the Matarbari coal-fired plant with ultra-critical technology under the financing of the Japan International Cooperation Agency ((JICA).
The 1200-MW power plant, having two units each with 600 MW capacity, is on 1,414 acres of land in Matarbari and Dhalghata unions of Maheshkhali upazila of Cox's Bazar district.
A deep-sea project was developed to facilitate coal unloading from ships.
The first unit of the Matarbari Coal-Fired Power Plant was synchronised with the national grid in July of this year.
Since the start of the commercial operation of the first unit, the plant has been supplying power to the national grid on a regular basis as per the demand of the BPDB.
“But we’re not getting the payment. Our paying bill amount will be about Tk 700 crore," Abut Kalam Azad told a group of reporters who were visiting his plant on Thursday.
Officials informed me that the plant needs about 10,000 metric tonnes of coal per day if it runs at full capacity.
If the payment against power supply is not received by the CPGCBL, it will be very difficult to continue the supply as the company has to import coal from abroad, said another top official of the plant.
Officials also said the government’s cash crunch might have been the main reason behind the non-payment of the bills submitted by the CPGCBL.
A loan agreement on the project was signed between the Government of Bangladesh and JICA on June 16, 2014. The project cost has been estimated at Tk 51,800 crore.
Of this, Tk 43,921 crore will be given as project support by JICA, and the remaining Tk 7,933 crore will be provided from the own funds of the Bangladesh Government and CPGCBL.