BAN: MEGHNAGHAT POWER PROJECT

Located in southeast of Dhaka, on the northern bank of Meghna river, the Project entails the construction and operation of a 450 MW, combined-cycle, gas-fired power station. Meghnaghat Power Limited (MPL) will build, own, and operate the power plant in accordance with an Implementation Agreement between the Government and MPL, and a Power Purchase Agreement (PPA) with Bangladesh Power Development Board (BPDB). The PPA is for 22 years and BPDB will take or pay for all electricity generated up to a plant load factor of 85 percent. At this level of production, MPL will recover its full capacity and variable costs and generate a return on equity. The Project was conceptualized and developed by ADB as part of ADB's assistance to the sector.