Release date: 11 October 2012
Promoter – Financial Intermediary
Ministry of Power, Energy and Mineral ResourcesLocation
Description
The project consists of converting four natural gas fired open-cycle power units to a combined cycle mode of operation by the addition of heat recovery boilers and steam turbines (two of the four power plants are to be financed by the EIB). The existing generation capacity of the plants is 470 MW which will increase to 705 MW as a result of the conversions.The conversions will also result in efficiency improvements of 75% and a capacity increase of 50%, without any increase in the amount of fuel used. The plants are located in the Rajshashi and Sylhet regions of Bangladesh.
Objectives
The two project components to be financed by the Bank are eligible under the ALA (Asia and Latin America) general mandate objectives: (a)social and economic infrastructure (energy security, energy infrastructure) and (b) climate change mitigation and adaptation.
Comments
This operation is covered by the EU Guarantee for EIB loans outside the EU.
Sector(s)
- Energy - Electricity, gas, steam and air conditioning supply
Proposed EIB finance (Approximate amount)
EUR 82 million
Total cost (Approximate amount)
EUR 165 million
Environmental aspects
If the project components were located in the EU they would fall under Annex II of the EIA directive leaving it up to the competent authority to determine the need for an EIA. The project components are not located near or within areas of nature conservation, and no protected flora and fauna will be adversely affected. No project components will entail permanent physical displacement, however for the associated transmission line components there will be temporary displacement of small businesses and impact on land for crops. The requirement for an EIA, and extent of social assessment required, will be assessed during appraisal.
Procurement
The Bank will require the promoter to ensure that contracts funded by the Bank will be implemented in accordance with the Bank's Guide to Procurement.
Status
Signed - 18/11/2013
Disclaimer
Before financing approval by the Board of Directors, and before loan signature, projects are under appraisal and negotiation. The information and data provided on this page are therefore indicative.
They are provided for transparency purposes only and cannot be considered to represent official EIB policy (see also the Explanatory notes).