DHAKA: The government is likely to give approval a project involving Tk 40,320.92 crore to set up the Matabari Ultra Super Critical Coal-Fired Power Plant in Cox’s Bazar.

A competent source from the Planning Commission (PC) sources made the disclosure.

The Executive Committee of National Economic Council (ECNEC) is going to approve the project in its next meeting, added the sources.

The Matabari Power Plant will be the first ever coal-fired power plant in the country.

The Economic Relation Division (ERD) of the finance ministry singed a deal of 120 million yen soft loan with Japan International Cooperation Agency (JICA) on Monday to set up the power plant.

The government enterprise Coal Power Generation Company Bangladesh Limited (CPGCBL) will implement the project.

A CPGCBL official told banglanews: “Summery of the project has been sent to the PC and it will present at the project evaluation committee (PEC) meeting; hopefully, the project will be given the final approval at the next ECNEC meeting.”

PC member (industry and energy) Golam Faruk said, “A PEC meeting will held on the project, people concerned have been sent letter in this regard.”

He added: “Details will be discussed at the meeting, and then the project would be present at the ECNEC meeting.”

The project will cost a total of Tk 40,320.92 crore. Of the amount, the government will provide Tk 7,338.06 crore, Power Grid Company Limited (PGCL) Tk 3,997.14 crore and JICA will lend Tk 28,985.72 crore.

The plant will generate 1,200MW electricity from two separate units of 600MW each.

In the proposed project, the price of coal has been estimated at Tk 10,255 per tonne. A total of 4,700 kilograms coal will be necessary to operate the two units of the plant and all coal will be imported from abroad.

BDST: 1940 HRS, JUN 18, 2014