Uninterrupted coal deliveries have enabled the Rampal power plant to achieve record electricity generation

The Maitree Super Thermal Power Plant in Rampal, Bagerhat, has set a new national record by producing the highest monthly electricity output ever achieved by a single power plant in Bangladesh.

In November, the plant generated 700 million units of electricity, a milestone officials credit to uninterrupted coal supply.

Bashundhara Multi Trading Limited (BMTL), one of Rampal’s key coal suppliers, delivered 500,000 tonnes of coal last month — the largest volume ever unloaded at a single jetty in Bangladesh.

The plant had previously struggled with operational disruptions due to a shortage of foreign currency, which hindered the opening of Letters of Credit (LCs) for coal imports. In addition to ensuring a steady coal flow, BMTL has begun providing financial support to the plant, enabling timely LC openings and maintaining adequate coal reserves essential for smooth power generation.

Technical concerns laid to rest

Energy expert and former BUET professor Dr Ijaz Hossain said the latest output proves earlier assumptions about technical flaws at Rampal were unfounded.

“There were doubts about whether Rampal had engineering issues preventing it from reaching expected capacity. This recent record shows there are no major technical problems. With assured coal supply, the plant can run at full capacity, which is very encouraging,” he said.

Coal reserves reach an all-time high

According to senior officials, consistent coal delivery has helped the plant achieve record production. Rampal’s stockpile has now surpassed 200,000 tonnes, reaching 215,000 tonnes on 2 December — the highest ever — in contrast with earlier days when daily depletion was common.

A consortium of BMTL, ATRO and ENR signed a three-year contract in July 2023 to supply 8 million tonnes of coal, of which more than 6 million tonnes has already been delivered. LC delays caused by the dollar crunch previously slowed payments to BMTL and hampered coal imports.

To resolve this, BMTL has been offering interest-free financing to the power plant for the last three months, enabling timely LC openings. This has allowed Rampal to import sufficient coal and lift production from 60–70% of capacity to record levels.

New national benchmark

BMTL supplied 457,000 tonnes of coal in October and 500,000 tonnes in November — both national records for coal handled at a single jetty.

Rampal went on to generate 700 million units of electricity in November, meeting 11.5% of national demand. The plant typically supplies around 600 million units, or 8% of the country’s total power consumption.

Sources said around Tk500 crore is needed to open an LC for 400,000 tonnes of coal. BMTL has been providing this amount as an interest-free loan for three consecutive months, enabling record imports and output.

Dr Hossain added that while the uninterrupted supply is commendable, it is important to verify that coal prices adhere strictly to contract terms to avoid future increases in electricity tariffs.

BMTL continues supply despite dues

SM Afjal Ibna Jahan, manager of shipping and logistics at Safwan Bashundhara Global, said the company has continued supplying coal despite long-standing unpaid dues of USD 100–150 million over the last two years.

He said more than USD 70 million in discharge payments remains pending, and six vessels carrying coal worth USD 42 million are currently en route to Bangladesh.

Other coal plants face setbacks

In contrast, several other coal-based plants are grappling with severe disruptions. India’s Adani plant temporarily stopped supplying electricity due to unpaid bills, while Payra power plant has experienced multiple shutdowns because of coal shortages.

A major contributor to the grid

The 1,320 MW Rampal plant — jointly run by the BPDB and India’s NTPC Ltd — began commercial operations of its two units in December 2022 and March 2024. Both units are now running at full capacity and supplying power to the national grid.

Economists say Rampal is playing a crucial role in sustaining industrial activity and boosting the economy. The plant is also supporting the local community through youth employment and development programmes for women and disadvantaged groups.