Anisul Islam Noor :
Power Development Board (PDB) has sought Tk 953 crore as subsidy for the month of April and May for payment of cost loses for supplying power at comparatively low price against higher purchase from the costly rental and quick rental fuel-based private power plants, Power Ministry sources said.
Of the total subsidy, Tk 684.89 crore has been sought for the month of May while Tk 268.11 crore for the month of April. “The amount will be utilised to meet the gap between tariff and production cost,” said the sources.
Power generation from the rental power plants increased in May compared to that of April to meet the growing demand due to hot summer. Besides, generations at those plants were also raised to make up the shortage as the production at Meghnaghat power project was suspended due to a fire incident.
The PDB has so far received Tk 3560.18 crore as subsidy in the current fiscal till March.
As per the budget proposal for the fiscal 2014-15, the power subsidy has been proposed at Tk 7000 crore, rising by Tk 1,000 crore from the last fiscal.
In a recent letter to the power division secretary, the PDB said they need the budgetary support to pay cost losses for supplying power at comparatively lower tariff to bulk consumers against high purchasing cost from the rental, quick rental and independent power projects.
“The PDB will make payment to IPP and rental power companies with the government budgetary support,” the PDB letter said.
It also had to pay advance payments to the Bangladesh Petroleum Corporation (BPC) for supplying fuels to power plants, the letter said, adding, the PDB will face trouble in case of delay in getting the subsidy.
During the previous Awami League-led government, the tenures of seven rental power plants were extended while another four projects got time extension during this term.
Another two rental power projects are likely to get time extension, official sources said.
Power sector insiders said, the government was forced to extend the tenures of rental power plants as implementation of most of the base-load power projects, especially in private sector, are delayed.
