Page 15 - AsiaElec Week 49 2022

AsiaElec DIESEL POWER AsiaElec

With energy transition in

sight, Bangladesh plans

closure of diesel power plants

BANGLASDESH BANGLADESH plans to close all of its power to allow the private sector to import oil and gas
plants fired by diesel by next June, State Minister for retail purposes. “Private power-producing
for Power, Energy and Mineral Resources Nasrul companies already import oil on their own.
Hamid said last week during an energy confer- But now we are formulating a policy guideline
ence in Dhaka. In total, 12 diesel-fired plants in allowing them to import other types of oil and
the country generate up to 1 GW of electricity. gas and we want them to retail it up to custom-
“The power plants [that] run on other types ers,” he said.
of oil will also be phased out within the next two “[The] private sector can import all kinds of
to three years,” Hamid was quoted by Bangla- liquid fuel as well as LNG alongside the LPG,”
deshi media as saying. “But, dual-fuel, gas and he added. “They can set up their own establish-
diesel-based plants will remain in operation.” ment and supply to dealers for selling in petrol
Between the coronavirus (COVID-19) pan- pumps.”
demic and the current energy crisis brought Regarding the energy transition, Hamid said
on by Russia’s invasion of Ukraine, Bangladesh regardless of the plans under consideration by
has found itself in a serious situation regarding the government, the main issue concerns what-
energy generation and distribution. Earlier this ever energy will be less costly. He said it was not
year the government suspended the operations a matter of whether prices would go up or not,
of diesel-powered plants in an effort to cope with but whether the transition would be affordable.
the steep rise in the cost of fuel, but load-shed- Hamid went on recommend that electric vehi-
ding brought about by the energy crisis forced cles (EVs) be used to replace diesel transport.
the government to backtrack on that policy as “The public sector bus and train should come
power shortages began to have an impact indus- up first to use [electricity] as its energy efficiency
trial production and everyday life. is 80%, while diesel-run vehicle efficiency is only
Hamid told the gathering that the govern- 20%,” he said.™
ment is currently preparing measures designed

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