Coal-based power plants account for 6,847 megawatts of Bangladesh’s net power capacity. But in practice, output averages 4,500–5,000 MW. The shortfall reflects mechanical faults, maintenance, grid constraints and delays in coal imports. With summer expected to strain gas- and furnace oil-fired plants amid the current Middle East conflict, officials say running coal-fired plants at full capacity could help limit load-shedding.
Daily power demand in Bangladesh averages nearly 12,008 MW, with coal-based plants supplying just over 4,500 MW. The Bangladesh Power Development Board (BPDB) forecasts summer demand of 18,000 MW. Meeting that would require cutting reliance on gas-based plants and increasing output at coal- and furnace oil-based plants.
“There are plans to run all coal-fired plants this summer,” BPDB chairman Engineer Rezaul Karim told Bonik Barta. “But fuel shortages prevent them from always reaching full output. An RNPCL plant (130 MW) remains offline. It’s expected to resume around March 25–26, with a coal shipment due March 20.”
Most of Bangladesh’s coal-fired plants were built under the now-ousted Awami League government to provide base-load power. Delays in securing fuel contracts, however, left them idle for long periods. Shortages, unpaid bills and mechanical faults have also forced repeated shutdowns — a persistent challenge for the BPDB.
The biggest problems affect the RPCL-Norinco Int’l Power Limited (RNPL) plant in Patuakhali. The plant with 1,320 MW capacity was built with Chinese investment. Repeated tenders have failed to secure a long-term coal supplier for the plant, leaving it unable to run at full capacity, generating losses and straining debt repayment. China’s Exim Bank has meanwhile expressed concern in a letter over delays in the plant’s commercial operation date and loan servicing.
According to an RNPL letter, BPDB owes $192 million in unpaid electricity bills to the plant, which its management seeks to recover. In the January 21 letter to EXIM Bank’s division chief, RNPL managing director AHM Rashed also warned that without the plant coming online, this month’s loan instalment could not be met and requested a one-year extension of the debt’s grace period.
The first coal import tender for the RNPL plant was launched in November 2022 but then cancelled after conditions changed. A second tender issued on January 15, 2024 attracted five bidders, with Singapore-based Yongtai Energy qualifying on technical grounds. That tender was also scrapped after the Awami League government fell on August 5.
The subsequent interim government issued a third tender on November 6, which was also cancelled. In a fourth round, Yongtai Energy again met technical and financial criteria, but RNPL management raised unspecified objections and opted to retender. The outcome now awaits a court ruling.
Amid the uncertainty, RNPL signed a one-year coal supply deal with Indonesian firm PT Sumber Energy Tbk on February 22 this year.
Energy experts say repeated tender failures, unpaid dues, and the original mismatch between plant construction and fuel planning have led to significant financial losses for the government. The problem persisted under the AL government and saw little improvement under the recently dissolved interim government, yielding financial damage rather than returns.
BPDB chairman Engineer Rezaul Karim said the RNPL plant secured a three-month fuel arrangement with a supplier. Even with coal-based plants online, he warned that heavy reliance on HFO power plants would remain necessary.
Most of Bangladesh’s seven coal-fired plants have adequate stockpiles, but doubts remain over whether all can run continuously. Maintenance, mechanical failures during peak demand, or even disputes over unpaid bills could disrupt output.
BPDB data from February show coal reserves of 76 days for the 1,320 MW Bangladesh-China Power Company Limited plant in Patuakhali; 33 days for Rampal in Bagerhat; 25 days for the 1,200 MW Matarbari plant; 23 days for SS Power at Banshkhali, Chattogram; 36 days for the 307 MW Barisal plant; seven days for the RNPL plant in Patuakhali; and 222 days for Barapukuria.
The recently elected government is acting on multiple fronts to prevent load-shedding, with the power division reviewing emergency management under fuel constraints. Iqbal Hasan Mahmud, the minister for power, energy and mineral resources, told Bonik Barta: “We’re working on everything. We’re holding meetings with various agencies and divisions to try and take necessary measures. Meetings are being held repeatedly on how to handle a crisis.”
Asked about plans to run coal-fired plants at full capacity to offset the gas shortage, he said: “I can’t say right now. A decision will be taken after sitting down and coordinating with all agencies.”