1. November 13, 2009 Chairman, BPDB

2. 2  Electricity Growth : 5.8 % in 2009 7.0 % Av. since 1990  GDP Growth rate : Around 6 pc (last 5 years)  Installed Capacity: 5700 MW (Private: 1900)  Total Consumer : 11.5 Million  Transmission Line: 8,000 km  Distribution Line: 2,60,000 km  Distribution Loss : 14.6 %  Per Capita Generation: 183 kWh / annum  Access to Electricity: 47 %

3. 3  80 Million people do not have access to electricity  Rest 60 Million are getting unreliable power  Load shed up to 1500 MW during hot summer days  Shortage and unreliable power supply has constrained economic growth

4. 4  To make electricity available for all by the year 2020  To ensure reliable and quality supply of electricity  To provide electricity at a reasonable and affordable price  To make country load shedding free beyond 2010

5. 5 Present Generation Capacity (Derated) (MW) : 5166 Present Demand (MW): 4200 ~ 5500 Present Available Generation (MW): 3800 ~ 4300 Recent Maximum Generation (MW): 4296 (Sep. 18, 09) Maximum Load Shedding in FY-09 (MW) : 1270 (April 23, 09)

6. 6 Public Sector SL.MW 1. BPDB2522 2. APSCL606 3. EGCB190 Subtotal3318 Private Sector 1. IPPs1271 2. SIPPs (BPDB)99 3. SIPPs (REB)226 4. 15 YR. Rental114 5. 3 YR. Rental138 Subtotal1848 Total5166

7. 7  Public Sector : 480 MW  Private Sector: 272 MW Subtotal: 752 MW (Commissioning expected by Dec 2009) UNDER CONSTRUCTION  Public Sector : 900 MW  Private Sector : 450 MW Subtotal: 1350 MW (Commissioning expected by FY11-FY13) UNDER PROCUREMENT PROCESS COMMITTED  Public Sector : 995 MW  Private Sector : 450 MW Subtotal : 1445 MW (Commissioning expected by FY13-FY14) Total : 3547 MW

8. 8 YearFY-09FY-10FY-11FY-12FY-13FY-14 Demand- Supply Gap(MW) 175014001800185015001750  Demand-Supply Gap (Load Shedding) is increasing. By the year 2014 this gap will be around 1750 MW

9. 9  DEMAND SUPPLY GAP

10. 10  Gas: No significant gas discovery in recent years; Off-shore gas exploration under PSC and increased reserved in present field may change the scenario  Coal: Near term option; Indigenous or Imported; Base Load  Oil: Volatile market; high price; only for peaking duty  Nuclear: Safe technology; no pollution; future Base Load

11. 11  Gas supply limitation forced to shift from PSMPs ‘sufficient gas scenario’ to ‘limited gas, coal scenario’  Oil for only peaking duty; FO cost is 50 % cheaper than HSD  Emphasis on ‘Renewable Energy’ sources  Demand Side Management (DSM) and Energy Efficiency program to reduce demand and emission

12. 12  Shifting peak load by changing shop closer time: reduce 350 MW demand  Staggering holiday: reduce 150 MW demand  Replacing ‘incandescent lamp’ by CFL: reduce 200 MW demand by June 2010  Introduction of DST  Steps to reduce ‘air-conditioning’ load  Energy efficiency improvement program by enhancing ‘Energy Auditing’

13. 13  Renewable Energy Policy (2008) - 5 % of total generation by 2015 : 450 MW - 10 % of total generation by 2020 : 1600 MW  Hydro:  Hydro: small hydro potential exists; limited scope  Wind:  Wind: At least 200 MW wind by 2013  Solar:  Solar: Existing Capacity: 15 MW – 20 MW (Solar Home System) - Need at least 80 – 100 MW by 2013 - Still high cost ; off grid solution; may compete with oil  Renewable will help in mitigatingbalance deficit  Renewable will help in mitigating balance deficit

14. 14  Immediate: 6-12 Months - Rental Plants (liquid fuel) : 500 MW  Short term: 18-24 Months - Peaking Plants (liquid fuel): 800 MW  Medium term: 3-5 years - Gas or dual fuel based Power Plants: 1300 MW - Coal plants: 2000-2600 MW

16. 16 Bheramara - 100 MW Katakhali - 50 MW Jamalpur - 30 MW Noapara - 100 MW Madanganj - 100MW Syedpur - 50 MW Thakurgaon - 50 MW Barisal - 50 MW Total: 530 MW

17. 17 Bera - 70 MW Katakhali - 50 MW Baghabari - 50 MW Faridpur - 50 MW Ghorasal – 200 MW Shantahar, Nawgaon - 50 MW Gopalganj - 100 MW Dohazari - 100 MW Hathazari- 100 MW Total: 820 MW Doudkandi,Comilla- 50 MW

18. 18 SL Name of the ProjectFuelCapacity (MW) 1.Bibiyana 2nd Unit Gas 300-450 2.Meghnaghat dual Fuel CC Gas and HFO 300-450 3.Bhola 2nd CC Gas 150-225 4.Savar (Tannery industry) Gas and HFO 100 5.Kaliakoir (near IT park) Gas and HFO 100 6.Imported Coal Based Steam Plant- 4 units Imported Coal 2000-2600 Total3925 MW

19. 19 Solar ProjectsSl.NOLocation Capacity(MW) Capacity(MW)1 Sharisabari, Jamalpur 2-4 2 Regional Training Centre, Rajshahi 1-2 3 Rajabarihat, Godhagari, Rajshahi 2-4 4 Kaptai Power Station (Public Sector) 4-5 Total 9-15 Wind Projects1 Anowara, Chittagong (off-shore) 100 MW

20. 20 Meghnaghat Zajira Chittagong Khulna

21. 21 Site, Size and Technology  After detail feasibility study the site/s for imported coal based power project/s will be identified and EIA will be done  Multiple units of each 500 - 700 MW capacity in a single suitable location for economy of scale  Choice of Supercritical Pressure Technology - efficiency of supercritical pressure coal power plant is 42-45% - Green house gas emission will be less - CDM benefit can be claimed - Financing will be comparatively easy  Requirement of Coal will be around 6 Million tones annually for 2600 MW (daily 16,000 tones)  Investment requirement for 2600 MW : Around 4 bn US $

22. 22 Estimated Total Investment Cost ( During 5 Year)  Generation : 7,000 Mill US $ (GOB 850 Mill US $)  Transmission: 1,000 Mill US $  Distribution: 1,500 Mill US $  Total: 9,500 Mill US $ Balanced expansion and up gradation of Transmission and Distribution with Generation Expansion Plan will improve overall power supply situation and thereby help economic and social development of the country

23. 23 Investment Climate in Power Sector  Increasing demand & power sector development involving huge investment ensures business opportunities in power sector of Bangladesh: - IPPs - EPC - Manufacturers - Suppliers  Continuity of policy even after Government change  16 bn US $ export, 10 bn US $ remittance and 10 bn US $ foreign exchange reserve indicates foreign exchange payment capability

24. 24 Conclusion  Government is committed to realize it’s ‘Vision’  Government is committed to ensure transparency in the procurement process  Government is committed for timely implementation of planned projects  Private Sector will play a key role to meet the challenge of huge amount of financing requirement  Continuous efficiency improvement ensuring good governance is key for sustainable development  Concerted efforts from all stakeholders (including developers, investors, EPC, contractors, suppliers) can ensure the planned power sector development  Balanced power sector development is key for affordable and quality power supply to the people of Bangladesh

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