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Rupsha 800 MW (NWPGCL) LNG Power Plant

Updated: Oct 12, 2023

Current Status: Construction

(Source: Google Maps)


Rupsha 800 MW Power Plant, also known as Combined Cycle Power Plant (CCPP), is a natural gas-based power plant situated in the abandoned Khulna newsprint factory premises in Khalishpur Upazila, Khulna District in the administrative division of South-Western Bangladesh (Coordinates: 22.853144, 89.548889). It is sponsored by the Bangladesh Power Development Board (BPDB) and operated by the North-West Power Generation Company Limited (NWPGCL), an enterprise of BPDB. The project, involving two 400MW generating units, was scheduled for commissioning in 2022 but was temporarily suspended due to COVID-19 in April 2020 (NSE).


Capacity

The Rupsha 800 MW CCPP will include two 400 MW combined-cycle producing units, with a total capacity of 800 MW, using zero liquid discharge (ZLD) technology (NSE).


Context

Bangladesh's Power System Master Plan 2016 aims to diversify electricity production, with natural gas, hydropower, imported power, diesel, furnace oil, coal, and renewable energy as primary sources (PSMP 2016). NWPGCL, a Bangladesh Power Development Board enterprise, is constructing the Rupsha 800 MW Combined Cycle Power Plant in Khalishpur Upazila, Khulna District, to boost power generation capacity. The Rupsha 800 Megawatt Combined Cycle Power Plant Project began in March 2016 when the proposal was submitted, marking an important step towards addressing the energy deficit in the region and providing a reliable source of electricity to support economic growth and enhance the quality of life for the people of Bangladesh (BWGED).


In July 2016, the Technical Assistance (TA) proposals were presented, providing technical expertise and direction for developing initiatives. In November 2017, the Ministry of Power, Energy, and Mineral Resources of Bangladesh (MoPEMR) approved the project development proposal for the proposed project (NSE). The implementation phase began in September 2018, marking the beginning of a four-year journey to completion. During this time, extensive construction and commissioning work included the installation of cutting-edge technology, gas turbines, steam turbines, and related infrastructure.


Land acquisition

The project site in Khalishpur Thana, Khulna Division, formerly used by Khulna Newsprint Mills (KNM) Limited, is demolished. The 50 acres are occupied by 151 structures, comprising 122 principal residential units and 29 non-residential structures. A gravestone, a mosque, and a three-story guest house for the managing director will likely remain there. The demolition activity will comply with Khulna Municipal Corporation standards and the 2006 Bangladesh National Building Code. Tree-cutting permission from the Department of Environment (DoE) and compliance with the Forest Act of 1927 are required to remove 1,777 fruit trees (EIA 2019).


Finance

The overall budget for the project was expected to be around USD 1,140.00 million. The Asian Development Bank (ADB) loaned the government of Bangladesh USD 500.00 million (OCR Loan: Loan 3676), while the Islamic Development Bank (IsDB) contributed USD 300.00 million as a project loan. The JFPR (Japan Fund for Poverty Reduction) also contributed USD 1.5 million. In addition to this assistance, the Bangladeshi government has agreed to provide USD 338.50 million to implement the project (BWGED) successfully (Energy Bangla 2018).


Sponsors

The power plant is sponsored by the Bangladesh Power Development Board (BPDB) and operated by the North-West Power Generation Company Limited (NWPGCL), an enterprise of BPDB.


Contractors

The Gas-fired project is supplied by Ansaldo Energia (AEN) and Shanghai Electric Group (SEC). Ansaldo Energia is expected to supply an electric generator for the project. Ansaldo Energia is expected to be the supplier of the electric generator for the project (Power Technology). Italian firm to manufacture and supply GT26 gas turbines, generators, HRSGs, and auxiliary systems for this project, while India's L&T Construction for design, installation, and commissioning of power transmission infrastructure (NSE). The Contract Signing Ceremony for the EPC of Rupsha 800 MW CCPP Project (P-1) between North-West Power Generation Company Limited (NWPGCL) and Consortium of Shanghai Electric (SEC), China & Ansaldo Energeia (AEN), Italy, was held on 28 November 2019 at the Board Room, NWPGCL, Dhaka (NWPGCL).


Fuel supply

Petrobangla will procure LNG from international sources and deliver regasified LNG to the Khulna city gas station. Sundarban Gas Company Limited will provide gas from Khulna CGS to the Rupsha power plant. A new underground pipeline will be installed, and a 20-inch pipeline will be branched off to serve NWPGCL's Khulna 225 MW power plant (EIA 2019).


Power generation

The Rupsha power plant will use combined cycle gas turbine technology with two 400 MW generating units. With a total capacity of 800 MW, it can meet 5% of Bangladesh's 2022 peak demand. The cooling system is a closed-loop forced-draught tower, requiring 2,010 m3/hour of water from the Bhairab River (EIA 2019).


Environment

The operation of power plants varies depending on fuel type and time of operation, with heavy fuel oil (HFO) generating higher amounts of SO2. The EIA report claims Combining cycle technology reduces GHG emissions by using heat from flue gas to generate power through a steam turbine. This increases thermal efficiency and production cost-effectiveness, reducing GHG emissions. Component 1 demonstrates voluntary GHG emission reduction, qualifying for the Clean Development Mechanism (CDM). However, the plant may produce waste, wastewater, and effluent, which may harm local fisheries and cause degradation. SOx, NOx, and SPM emissions can also impact vegetation and sensitive receptors.


Carbon footprint

GHG emissions were calculated in the EIA report according to the IPCC's 2006 standard procedure. When operating on 92% natural gas and 8% HSD with a 70% PLF, Component 1 will emit 1.69 M tons of GHG. 1.86 million tons of GHG will be released yearly when using HSD. Natural gas delivery to the current 225 MW Khulna Combined Cycle Power Plant will result in a 0.17 M tons yearly CO2 decrease, with a net contribution of 1.52 M tons of GHG (EIA 2019).


Criticism

Bangladesh activists have called on the Asian Development Bank (ADB) to stop financing the Rupsha power plant, citing its high capacity charge and high operation costs. The 800MW Rupsha power plant, financed by the ADB, is expected to cost $500 million and run on diesel without LNG or domestic gas. The activists argue that the government will have to pay Tk 1,096 crore per year for the capacity charge and installments of the ADB loan (Daily Star, 2023).


References

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