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Of the four agreements, the Power Division signed the implementation agreement while state-owned Bangladesh Power Development Board (BPDB) for power purchase agreement (PPA) and land lease agreement (LLA), and state-owned Petrobangla signed the gas supply agreement (GSA) with Reliance Group.
The BPDB launched the tender to build, own and operate the PV project.
"Reliance Power and BPDB signed a MoU to develop four units of power plants to produce 3,000 MW of electricity with a cost of $3 billion," the company said in a statement.
It is learnt that the Bangladesh Power Development Board (BPDB) has already entered into negotiations with the Indian authorities including the Power Ministry for supply of another 250 MW in the near future.
The plant is expected to be taken over by BPDB in 2015, and will be equivalent to the largest combined cycle power plant in Bangladesh which is being constructed by Marubeni under the New Haripur Power Development Project.
According to the agreement, the transmission tariff will be fixed later by the Energy Regulatory Commission of West Bengal while the BPDB will pay the transmission tariff on a monthly basis.
BPDB Chairman Alamgir Kabir noted it was the first step in regional cooperation in energy, and in the future more interconnections might be built with Nepal, Bhutan and Myanmar to ensure greater energy security.
By switching the plant's fuel supply from imported diesel to locally-sourced natural gas, the BPDB will be able to reduce the overall cost of energy production from the plant by more than 60 per cent.
BPDB secretary Azizul Islam and PGCI executive director Arun Kumar signed the deal.
Bangladesh Power Development Board (BPDB) will sign today a power purchase agreement (PPA) with Unique Group to buy 584 megawatts (MW) electricity.
The Bangladesh Power Development Board (BPDB) and Indian NTPC Vidyut Vyapar Nigam Ltd ( NVVN), a subsidiary of India's National Thermal Power Corporation (NTPC), inked a deal on February 28, 2012 to import 250 MW of electricity, following up on a memorandum of understanding (MoU) signed during Bangladeshi Prime Minister, Sheikh Hasina's 2010 visit to New Delhi.
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