14th ISSUE

Rampal Coal-fired power plant – A Major Solution to Bangladesh’s Power Crisis

Bangladesh is at an unprecedented crossroads with power crisis and hyper inflation. At a time when major industries at home suffer an acute power crisis, aggravated by the the Russia-Ukraine war following the Covid-19 pandemic, the recent soft inauguration of the first unit of the 1,320-megawatt Maitree Super-Thermal Power Project, also known as Rampal Power Plant, is believed to have been a relief from the energy crisis. Amid the crisis globally, Bangladeshi stakeholders, especially those involved with the multi billion-dollar export industries, manufacturing sector and the financial sector, are now waiting wholeheartedly for commercial operation of the Rampal Power Plant soon to rid the nation of this power predicament.   Domestic energy experts and analysts alongside other stakeholders look optimistic with this project and they are of the opinion that the Rampal power project is economically feasible, sustainable and profitable. Terming it one of the cheapest power plants of its kind in the country, they strongly viewed that the plant will get going with the key objective of generating affordable electricity as a resilient and viable solution to the country’s power crisis. Prime Minister Sheikh Hasina and her Indian counterpart Narendra Modi jointly inaugurated the first unit of the coal-fired super-thermal plant through video conferencing on September 6, 2022. The country’s largest power plant is sited on an area of more than 915 acres of land in Rampal upazilla in south-western Bagerhat district under Khulna division, some 272 kilometres away from the capital Dhaka. The high-efficiency, low-emission supercritical plant site sits 14 kilometres north of the world’s largest mangrove forest, the Sundarbans. About the funders The Rampal power project is a joint venture between India’s state-owned National Thermal Power Corporation (NTPC) Ltd and the state-owned Bangladesh Power Development Board (BPDB). The US$ 2.00 billion joint venture company is known as the Bangladesh-India Friendship Power Company Ltd. (BIFPCL) that builds, runs and operates this power facility. The BIFPCL has been co-promoted by the BPDB of Bangladesh and the NTPC Ltd of India with an equal (50:50) equity investment. According to Bangladesh’s power ministry, the joint venture company will enjoy a 15-year tax holiday. In March 2022, Bangladesh boasted the country’s access to 100 per cent electricity, but the national power grid system failed in July and power outage suddenly began to disturb the nation and the socio-economic activities. The Power Division disclosed that the largest amount of what is technically called load-shedding per day stood at 2,000–2,200 MW during the July-September period. But this shortfall peaked in October, taking it to 2,500–3,000 MW. The start of the project BPDB and NTPC entered into a memorandum of understanding (MoU) instrument in 2010 to implementing this mega power plant project in Bagerhat’s Rampal upazilla that has seen an upturn in economic activities centring this power plant in recent years. An estimated 80 per cent of the project costs will be covered through a long-term loan from the EXIM Bank of India. As the construction of the facility was ongoing, the February 2021 was set as the first deadline for commissioning the power plant’s first unit while the second unit by August 2021, according to competent sources. However, the deadline was extended several times for a number of reasons, including emergence of the Covid-19 pandemic in 2020. Use of coal and technology A coal-fired plant produces electricity by burning coal in a boiler to produce steam. Then the steam, produced under tremendous pressure, flows into a turbine, which spins a generator to create electricity. The steam is then cooled, condensed back into water and returned to the boiler in order to start the process over. Supercritical combustion technology and sophisticated equipment are being used to lessen environmental hazards and thus make this project safe and eco-friendly. Some 6,500 cubic meters of water will be required per hour and minimum 10,000 tonnes of coal will be required to produce 1300 MW electricity every day. The ash content of this imported Indonesian coal is 8-10%. The height of chimney is 275 meters, equivalent to 90 storied building. In its initial stages, there was a strong debate on the red-hot issue of installing this coal-fuelled thermal power facility near a forest and some termed it suicidal with apprehensions of environmental disaster for the forest, which is home to thousands of wild species, flora and fauna. Some environmentalists made a mass call for scrapping of the project. The government, however, showed its determination to go ahead with the project. State energy experts said the project would not be harmful as its supercritical technology will minimise ecological hazards. Eco-warriors demanded that environmental concerns must be given precedence over commercial interest. They called for doing an environmental impact assessment and feasibility study before embarking on the project that may have anthropogenic impacts on environment, including effects on biophysical environments, biodiversity and other resources, let alone emissions of carbon dioxide and other pollutants as well as particulates. The joint venture company has already planted 116,000 different kinds of trees around the project site while the Centre for Environmental and Geographic Information Services (CEGIS) is monitoring the parameters related to the environment of the Rampal site and its adjacent areas, including Khulna and the Sundarbans. Employment opportunities The Rampal power plant project has opened up a job generation opportunity for local people and those affected for construction of this project’s infrastructure and during its operational period. As this region has long remained underdeveloped, opportunity of trade and employment was very limited. The power plant project has come as a relief to some extent. Alongside direct employment in the BIFPCL, there will be a huge opportunity to the locals for business and other indirect employment prospects. Moreover, this industry will usher in economic growth in Rampal in particular and the country in general, creating many downstream and/or related industries. Supply chain The supply chain of coal in all coal-fired power plants, including the Rampal power plant, is the biggest challenge. Technically unique in the plant is the supply chain issue. The Rampal

Dream Train in the City of Oysters

Cox’s Bazar Rail Station has been built as a modern marvel for travelers. The new ‘green field’ of railway alignment has connected Cox’s Bazar, the top tourist destination and a rapidly developing region in Bangladesh. Finally, the long-term dream of tourists has been fulfilled. On November 11, 2023, Prime Minister Sheikh Hasina inaugurated the 102-kilometre dual gauge single railway line between Cox’s Bazar and Dohazari in Chattogram and the newly built Cox’s Bazar iconic rail station in the shape of oyster shell. The architect of the station, Mohammad Foyez Ullah, principal architect of Volume Zero Limited, took inspiration from the shape of an oyster for its exterior, which symbolises the beach. It is a station with marine atmosphere at first sight. With this, not only has the country’s leading tourist destination become more easily accessible, the entire southeast region is also poised for boosting trade and connectivity. The rail link project, the latest among several such communication-related projects, is part of an elaborate development scheme focused on Cox’s Bazar. Enhanced connectivity will be crucial for transportation of goods to and from Teknaf land port, as well as the growth of local industries including fish, salt, rubber raw materials, forest and agriculture products and dried fruits, according to local business experts. There are nine railway stations on this route, which means the surrounding areas will also see economic transformation. After Cox’s Bazar to Chattogram the stations are followed by Ramu, Islamabad, Dulahajara, Chakaria, Harbang, Lohagara, Satkania and Dohajari. The rail line will be extended to the Myanmar border, and to the planned deep-sea port on Matarbari Island. The extended part will have three stations – Ukhia, Teknaf and Ghumdhum (Bandarban). Cox’s Bazar Station to enhance tourists’ experience Nestled on a 29-acre expanse in Chanderpara, under the Jhilongjha union in Cox’s Bazar Sadar upazila, stands the paradise sighting station, located three km away from the sandy beach, built at a cost of Tk 215 crore. The six-storied building, covering 187,000 square feet area, captivates visitors with its unique exterior. The canopy serves a dual purpose — not only enhancing the station’s aesthetic appeal but also effectively cooling the building, ensuring proper air circulation, and welcoming ample natural light, according to the project engineers. Adding to the visual allure, a variety of coloured lights grace the front of the building, providing an artistic perspective to the station’s entrance. This station is Asia’s first 100 per cent tourist-friendly central air-conditioned multi-storied station. It has all kinds of facilities for tourists. Arrangements have also been made so that tourists can visit Cox’s Bazar in a day and return the same day without hotel accommodation. This railway is perfect Cox’s Bazar as an international tourist hub. It will be helpful to bring foreign tourists. Not only in the winter, tourists will be encouraged to visit Cox’s Bazar throughout the season including monsoon. In the construction of this iconic station, facilities of various modern stations of the world including China, Belgium, England, and Italy have been taken into consideration. A total of 250 engineers and more than 600 people, including 110 foreigners, were working in the entire project. After four years of hard work, the uniquely beautiful railway station building is visible today. On the ground floor, ticket counters, arrival and VIP lounges, ATM booths, Bank and forex service, pharmacy, post office, railway service office, baby care centre, information booth, and luggage lockers. The first floor offers a departure lounge, waiting lounges, display centres, locker room, prayer space, shops, and a cafe. Levels 2 to 5 house a shopping mall and food court, bookshop, five-star overnight stay option with dining, office spaces, restaurants, a multipurpose hall and hotel with recreational space for passengers. The hotel has 39 rooms. The fourth floor is intended to be leased for offices and conferences. Top floor reserved for future use. Travelers arriving at Cox’s Bazar by overnight train can conveniently store their belongings in lockers and explore the beach and other tourist spots during the day before catching a night train back to Chattogram or Dhaka. Tourists can leave their luggage in station lockers while they enjoy their time sightseeing at the beaches and tourist sites. Around 500 tourists will be able to keep their luggage in the station lockers at a time. As a result, tourists would be able to leave Cox’s Bazar without staying at night in hotel. However, they have to pay locker rent for this. The station is equipped with ample amenities, including escalators, lifts, parking area and refresh rooms for men, women, and those with physical disabilities. Accessing any of the three platforms is made easy with a footover bridge connected to escalators, staircases, and a ramp bridge facilitating movement between platforms. The rail station also features separate facilities for women, children, the elderly people. The Cox’s Bazar station has the capacity to transport around 50,000 people each day, as well as facilitate the operation of wagons for transporting fish, dried fish, salt and other items. Work of the project is being completed in two parts with China Railway Engineering Cooperation (CREC) and Toma Construction carrying out the first part from Dohajari to Chakaria and China Civil Engineering Construction Corporation (CCECC) and Max Infrastructure Limited are doing another part from Chakaria to Cox’s Bazar. Additional Deputy Inspector General of Tourist Police Cox’s Bazar region Apel Mahmud said the arrival of tourists in Cox’s Bazar will increase, thanks to the train service. All kinds of preparations have been made for the service and safety of tourists, he added. Passengers say the journey is enjoyable. A crooked rail line has been built through the green field and forest. Sometimes the hills touch, sometimes the eyes will be drawn to the unique beauty of the green village of Bangladesh. A hundred kilometers of railways has completed to see such a scene. Every station is equipped with relay batteries, generator rooms, sewage and waste management facilities, and energy-saving features such as solar panels. Both meter and broad gauge rail

History

The growth of the ceramic industry can also be attributed to historic back ground of the country, especially the people’s choice for attractive tablwares and show pieces. Records say, potters were actually popularised during the zamindars (landlords). They used to be patronised for making staues of goddesses, plates and other aesthetical items. Sometimes they were made to sculpt statues of the zamindar themselves. After the end of the zamindar system, they started making everyday household items for sales in the local market to earn a living. As pottery was the tradition, a section of people called kumar (potters) had for generaions embraced the occupation of making pottery items of household use. Their hand-made products could catch interest of the rural buyers. However, these proucts could neither meet demand of urban customers nor could they sustain because of their fragility, sun or oven baked products could not make a big headway outside the country. Recent history shows it was the initiative of an entrepreneur in the late 1950s that began production of earthen-ware using machine and thus machine-made clay craft appeared in the market. In fact, modern ceramic industry (machine-made) took a formal start with the functioning of Tajma Ceramic industry in Bogra in 1958. It was a small plant for porcelain tableware, and so production capacity of the factory was limited. Then came other entrepreneurs. The next to come was Mirpur Ceramic Works in 1962. Then Pakistan Ceramic Industry (later People Ceramic Industry) joined the market in 1966. After a gap of nearly two decades Monno Ceramics started production (tableware) in 1985. In the following year Bengal Fine Ceramics came to the scene. In 1997 Shinepukur Ceramics started production. As more entrepreneurs stepped in, they startd producing diversified items such as tiles, sanitary ware adopting new technology and using latest machinery and fine clay brought from abroad. Bangladesh Insulator and Sanitaryware Factory (BISF), Modhumoti Ceramics, Fu Wang Ceramic Industries and RAK Ceramics have placed themselves at the front in production of the items, not traditional, like tea-set or dinner sets. According to available statistics, about 95 per cent of raw materials for producing items are imported from different sources to maintain standards. The raw materials are imported mostly from China, Japan, Germany, New Zealand, Australia, Italy, Spain, Bulgeria, Vietnam, Thailand, South Korea and India. LOCAL CERAMIC INDUSTRY This is an industry that has experienced 200 per cent growth in production in the past ten years. Currently, there are 66 ceramic plants in three categories (Tableware 20, Tiles 28 and Sanitary ware 18) of products, operational in the country. Their products range. from table wares to tiles, sanitary wares to insulators and heavy and from clay to reflectors. The number of firms increased from 29 in 2010 to 66 in 2019. Investment in the sector amounts to more than US$1.1 billion, according to the Bangladesh Ceramics Manufacturers and Export- ers Association’s (BCMEA’s) estimate. More than half a million people, 40 percent of who are women, are directly and indirectly involved in the ceramic industry. Given the growth and demand of the sector, there has been a national focus on building skilled human resources for the ceramic industry. Now, Bangladesh Institute of Glass and Ceramics, Depart- ment of Glass and Ceramic Engineering at BUET and Rajshahi University of Engineering and Technology, and Faculty of Fine Arts at Dhaka University, offer various courses relating to ceramic products. The base of the industry is strong as the sector caters to 85 percent of the local demand and around 90 per cent of its 2018 turnover of Tk. 60 billion involved domestic market. The sector has seen a phenomenal local market growth from Tk 1225 billion in FY2010 to Tk 53.38 billion in FY2017. The industry’s production growth was record- ed at around 30 per cent in the past ten years. The country’s ceramics industry has also attracted foreign investments that have mainly come from China and the Middle-East countries. One foriegn and six joint venture companies include RAK Ceramics, Fu-Wang and China-Bangla Ceramics. Exports of ceramic products Although the country’s export volume is still not high in comparison to potential, about 20 companies are currently exporting ceramic products with 65 per cent value addition, according to available information. An amount of Tk. 4801 million came from the export market in 2018. It has maintained average 18 per cent growth in last 10 years. The sector attained a 32 per cent export growth in the year after the previous year’s growth of 16.6 per cent. The export market of ceramic products covers 63 countries. Main export destinations are EU countries, USA, Canada, New Zealand, Australia, Turkey and the Middle East. Industry insiders say the demand for Bangladeshi ceramic products in the international market is strong and there is reasonable scope for increasing exports of ceramic items. China and India are among major competitors in the international market for Bangladeshi ceramic manufacturers. However, labour cost has put Bangladesh in a strong position. Bangladeshi exporters can enhance exports if they are provided with supports to become more competitive in the international market. Given the global market of ceramic products worth US$400 billion, Bangladesh’s ceramic industry, if proper plans are taken and executed, has the potential to emerge as the ‘next RMG industry. Bangladesh’s expport share of the global ceramics market is less than 0.10% CHALLENGES AND WAY FORWARD Industry leaders say the country’s ceramic industry is facing some challenges, that are constraining its growth at home and in the export market. Of course, there is a scope for improve the production process making it more energy efficient. For that more funds need to be injected into the sector. Use of Nano-technology could be a good choice for entrepreneurs in Bangladesh. However, uninterrupted supply of natural gas, which is the main energy source for the industry, is a prerequisite for increasing production, according to sector leaders. Bangladesh’s domestic market for ceramic products is expanding due mainly to quality of products and price competitiveness. So supports should be