Power trading solution provider PTC India said Wednesday it has signed two new power purchase agreements (PPAs) with Bangladesh Power Development Board (BPDB) for supplying 200 MW power to that country.
PTC India is already supplying 290 MW power to Bangladesh and signed Tuesday two new agreements for 200 MW on short and long-term basis for 15 years, a PTC statement said.
The power purchase agreements (PPAs), which will net PTC $1.8 billion, were signed between the power trading firm and the Bangladesh Power Development Board (BPDB) on 9th October.
“The transaction is expected to give export earning of $1.8 billion over its contract period,” the statement said.
“PTC India is already supplying 290 MW power to Bangladesh, has signed two new agreements for 200 MW on short and long term basis for 15 years. The short-term power for 200 MW is from the power pool of West Bengal State Electricity Distribution Company Ltd (WBSEDCL).The long-term power will be supplied through imported coal project of Meenakshi Energy Ltd,” according to the statement.
India and Bangladesh last year signed two lines of credit worth $5 billion during Sheikh Hasina’s visit to India. During the visit, Modi highlighted energy security as an important dimension of India-Bangladesh ties and said he planned to add another 500MW under an existing transmission link.
“This transaction is another step towards a regional market for power that will aid closer cooperation among our neighbours for energy security,” PTC India said in a statement quoting Chairman and Managing Director Deepak Amitabh.
This comes in the backdrop of India pitching for a global electricity grid at the first general assembly of the International Solar Alliance (ISA) last week. India has also been championing for a South Asian Association for Regional Cooperation (Saarc) electricity grid that envisages meeting electricity demand in the region.