Two of the plants are planned to supply 113 MW each in baseload power for the city of Bogra, a major commercial hub with a population of around 780,000.
The third plant will supply 56 MW for the seaport city of Chittagong, Bangladesh’s second-largest population centre at around 2.5 million.à‚ à‚
Under the terms of the contract, MAN will also provide auxiliary equipment and will supervise powerhouse construction and engine commissioning for all three installations.
A long-term spare parts agreement was also signed with MAN PrimeServ, MAN’s global after-sales business.
The order for the 18V48/60 gensets comes from MAN’s new customer, Dhaka-based Confidence Power Holdings Ltd, which won government approval and a power purchase agreement (PPA) in August to build the plants.
Waldemar Wiesner, head of MAN’s Middle East & Africa power plants business, said Bangladesh’s need for power “is enormous”.
“At present, the total installed capacity is countrywide around 16 GW with only 80 per cent of population having access to electricity”, he added. “The government has therefore successfully initiated a growth programme for the power sector, which has already triggered the ongoing construction of around 2.5 GW in engine power plants and targets an additional 6 GW until 2021.”
In addition to its PPA with Confidence Power Holdings, the government’s August tranche included PPAs for a total of 10 diesel- and oil-fired plants to be developed by APR Energy (300 MW), Aggreko (200 MW), Acorn Infrastructure Services Ltd (100 MW), Bangla Track Ltd (300 MW), Desh Energy (200 MW), Midland Power (150 MW), Orion Power Meghnaghat Ltd (150 MW) and Summit Power (300 MW).à‚