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Bangladeshi coal-based power plants shrink production due to various reason

BTJ Desk Report
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Bangladeshi coal-based power plants shrink production due to various reason

Bangladesh’s coal- and gas-fired power plants are reducing output or shutting down due to financial, technical, and legal challenges, leading to widespread power cuts, particularly in rural areas. Coal-based plants, which collectively have a capacity of 7,099 MW, are currently producing only around 3,199 MW. Major plants like Adani Power Jharkhand recently halved supply due to an $846 million debt owed by Bangladesh. Additionally, the Matarbari 1,200 MW plant has halted operations after running out of coal and isn’t expected to restart until mid-December.

A coal supply shortage, worsened by legal and dollar constraints, has caused other plants, including Barishal and Rampal, to operate at reduced capacities. Only the Payra plant is running at full capacity, allowing Barishal Division to avoid power cuts. Gas-based plants also struggle, producing 5,500 MW despite a capacity of 12,064 MW, due to insufficient regasification of imported LNG.

These power shortages, with PDB generation around 1,000 MW below peak demand, impact local businesses. Onion and rice storage facilities report significant product loss and reduced production due to frequent outages.

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