Bangladesh is unlikely to receive electricity from the Rooppur power plant before 2026

Despite claims from relevant agencies that the Rooppur Nuclear Power Plant (RNPP) is ready for power generation, experts believe it is unlikely to supply electricity before 2026.

According to official sources and industry insiders, the plant still has significant hurdles to overcome before it can begin commercial operations by the end of 2025.

A highly placed source told the UNB news agency that several unresolved issues remain with Russia, including finalizing the repayment terms for Russian loans and conducting the plant’s test run.

Construction of Bangladesh’s first nuclear power plant, comprising two units with a combined generation capacity of 2,400 MW, began in November 2017. Initially, the first unit was scheduled for commissioning in 2024 and the second in 2025. However, neither unit is currently ready due to pending challenges related to integrating the plant’s output into the national grid.

The RNPP project was first conceived in 2009 when Bangladesh signed a Memorandum of Understanding with the Russian Federation on the 'Peaceful Uses of Nuclear Energy.' The Russian nuclear agency, Rosatom, was selected as the contractor for the project.

During a recent visit to Dhaka, Alexey Likhachev, Director General of Rosatom, met with Chief Adviser Dr. Muhammad Yunus to discuss the project’s progress and unresolved matters. Likhachev reaffirmed Russia’s commitment to ensuring the project's completion with a focus on safety, quality, and international compliance.

Both nations also considered revising the Intergovernmental Credit Agreement (IGCA) by extending the credit utilization period until the end of 2026.

However, sources close to Rosatom indicated that the primary concern for Russia remains Bangladesh’s loan repayment, which has been complicated by U.S. sanctions on Rosatom following the war in Ukraine. A proposal was made for Bangladesh to establish a branch of a state-owned bank in Russia to facilitate financial transactions, but no progress has been made on this front.

As per the agreement between Dhaka and Moscow, Bangladesh is scheduled to begin repaying the Russian loan in 2027. When asked about this, Dr. Md Zahedul Hassan, Project Director of RNPP, declined to comment but confirmed that Unit-1 of the project has achieved 94% completion and is awaiting grid connection.

“We are currently conducting individual equipment tests and waiting for Power Grid Bangladesh PLC to complete the necessary grid infrastructure before starting the test run of Unit-1,” he told UNB.

Md Delowar Hossain, Project Director at Power Grid Bangladesh, stated that out of six required grid lines, three have been completed while the remaining three are still under construction. He indicated that the RNPP could begin operations as soon as the necessary grid infrastructure is in place.

Despite this progress, officials at the Bangladesh Power Development Board (BPDB) suggested that commercial operations might still be delayed due to unresolved tariff and loan repayment issues.

BPDB officials noted that the RNPP has yet to finalize the total project cost to propose a tariff for selling electricity. Although a joint workshop was held almost two years ago to discuss potential tariff rates, no detailed cost breakdown, including dismantling expenses, was provided.

Dr. Md Zahedul Hassan acknowledged that tariff calculations are still in progress and that negotiations with BPDB will commence soon.

Meanwhile, a senior BPDB official revealed that preliminary estimates suggest the tariff for each unit of electricity from RNPP will be no less than Tk 10, based on discussions with the Bangladesh Atomic Energy Commission (BAEC) and media reports.

Since the beginning, concerns have persisted over the eventual levelized tariff and the estimated generation cost per unit of electricity.

On January 15, 2013, an agreement was signed for a State Export Credit of $500 million to support the preparatory phase of RNPP construction. In 2015, Bangladesh signed a $12.65 billion general contract with Russia to build the 2,400 MW nuclear power plant.

A credit agreement signed in July 2016 secured $11.385 billion in Russian funding, covering 90% of the project’s total cost.