Sumitomo, Toshiba and IHI have together secured an engineering, procurement and construction (EPC) contract for the construction of 1,200 MW coal-fired power plant and a deep sea port in Bangladesh.
The contract has been awarded by Coal Power Generation Company Bangladesh.
Modeled on Kashima Port in Japan, a coal-fired thermal power plant and a deep sea port will be constructed at designated sites on Matarbari Island in southeastern Bangladesh.
The coal plant will consist of two 600 MW units and the power generated by the plant is expected to account for 10 per cent of the total generation capacity of the country.
Currently, the country generates around 65 per cent of its electricity using domestic natural gas as a source. To secure more reliable energy resources in the long term, Bangladesh is increasing generation capacity based on liquefied natural gas (LNG) and imported coal.
Financed under Yen Credit by the Japan International Cooperation Agency (JICA), the total project is estimated to cost JPY500bn ($4.58bn).
Construction on the project is scheduled to begin in August 2017 and is expected to be completed in July 2024.
Sumitomo will be responsible for civil work and auxiliary equipment as well as for port construction. Toshiba will deliver and install the steam turbines and the generators for the power plant. IHI will be in charge of providing and installing the boilers.