DHAKA, 19 October 2004 — The Tata Group of India has expressed keen interest in setting up both coal- and gas-based power plants in Bangladesh.
In a faxed message to the Energy and Mineral Resources Ministry in Dhaka yesterday, the Indian business conglomerate thanked state minister A.K.M. Mosharraf Hossain for warm hospitality and showed interest in setting up a coal-based power plant in northern Bangladesh, said a ministry source.
According to the energy ministry, some one million tons of coal will be produced only from the Barapukuria coalmine in Dinajpur district every year.
State Minister for Energy and Mineral Resources Mosharraf told newsmen that the quality of the Bangladesh coal is superior to that of any country in South Asia in terms of fuel power.
He requested Ratan N. Tata to set up a coal-based power plant in Bangladesh during the Tata Group chairman’s recent visit to Bangladesh.
Mosharraf said the visitors had been told that the Bangladesh coal had double the fuel power compared to the Indian coal.
“We have 14 to 15 trillion cubic feet (TCF) proven reserve of gas and 19 TCF equivalent of coal, while Tata will require only two TCF,” he said.
Mosharraf said more exploration work would be needed to meet the gas demand. “The nation needs more investment to generate employment opportunities,” he said.
Tata last week signed an expression of interest accord with Bangladesh to invest $2billion in the country.
Meanwhile, a three-member team of the Tata Group started a fact-finding mission on legal and accounting matters relating to the group’s proposed investment in Bangladesh.
The mission followed last week’s landmark visit of Ratan Tata who pledged the investment for setting up steel, power and fertiliser plants as his group signed an expression of interest with the Board of Investment on Thursday.
The team from the Tata Group’s planning department will meet mostly private authorities, including lawyers and chartered accountants, and its mission will pave the way for finalizing a feasibility study for the investment, according to the BoI.
The investment from the Tata Group will help in the development of infrastructure and will provide thousands of jobs.
The energy ministry is providing all necessary assistance to the feasibility study group so that a positive assessment can pave the way for the big investment from the top Indian industrial house.
