Source: World Bank World Development Indicator & Statistical Pocket Book of Bangladesh 2009.

1.1.4. Economic Data

The economy of Bangladesh continues to demonstrate considerable resilience during the financial year 2008-09 despite the twin shocks arising from global recessions and the adverse effects of the consecutive flood and the cyclone- Sidar of the fiscal year 2007-08. The economy is estimated to have grown at a rate of 5.9 percent, slightly below the growth rate (6.2 percent) of the financial year of 2007-08. The key feature of economic performance during FY 2008-09, is the strong recovery in agriculture sector coupled with moderate growth in industry and service sector. The impact of the on-going global financial crisis of Bangladesh economy has no been as severe at it was anticipated because of its well-managed financial sector. However, some adverse impacts were noted in certain sectors.

The contributions of the agriculture, industry and service sectors are estimated respectively at 4.6 percent, 5.9 percent and 6.3 percent indicating strong performance of all the three broad sectors. The share of services in GDP amounted to 49.7 percent followed by industry at 29.7 percent and agriculture by 20.6 percent at constant prices. The dominance of the service sector in terms of its contribution to economic growth is largely attributable to the performance of both agriculture and industry sectors. The GDP growth rate in 2006-07, 2007-08, 2008-09 are 6.4%, 6.2% and 5.9% respectively. The GDP pattern of Bangladesh from 1970 to 2008 is shown in Table 2.

Source: Statistical Pocket Book of Bangladesh 2009.

World Development Indicators database, World Bank, 7 October 2009

1.2. Energy Information

1.2.1. Estimated Available Energy

The main energy resources of Bangladesh are commercial energy resources and noncommercial resources (biomass etc.). The available commercial energy resources in the country are indigenous natural gas, hydroelectricity, imported crude oil and other petroleum products, and the non-commercial energy resources mainly includes biomass resources such as trees (e.g. wood fuel), jute sticks, agriculture residues, rice hulls, and animal dung. The electricity consumption in the country has increased significantly over the decade; however, the per capita consumption is still very low.

In 2005-06 energy consumption was about 35 MTOE with biomass contributing 35% of the total energy. During 1999 – 2006, average annual increase of energy consumption was about 5%. In 2005-06 major commercial energy consumers were transport and household followed by agriculture, industry and commercial entities. During 1999 – 2006 share of biomass in total energy consumption was decreasing although its quantity was increasing at an average rate of about 2% per annum. Consumption of LPG in households and coal in brickfields will be encouraged to reduce the use of biomass and thereby reducing deforestation.

In 2007, per capita energy consumption and electricity generation of electricity were about 6.81 GJ/year and 168.08 kWh/year, respectively.

Natural Gas

Bangladesh gas sector started its journey in the 60s, but its rapid expansion and integration started to accelerate in the early 70s spurred by the rising oil prices. In Bangladesh, natural gas accounts for about 73% of commercial energy. Till now, 23 gas fields have been discovered. The Gas Initial in Place (GIIP) was estimated as 29.235 Tcf out of which estimated proven recoverable reserve (P1) was estimated as 15.584 Tcf. Upto June 2009 as much as 8.376 Tcf has already been produced, leaving only 7.208 Tcf of recoverable gas. Moreover, 23 gas fields have reserves of 5.471 Tcf under ‘Probable’ (P2) and 7.691 Tcf under ‘Possible’ P3 categories. Presently, 79 wells located in 17 gas fields are in production. A total of 526.72 billion cubic feet (Bcf) gas was produced in the financial year of 2005-06, while in the financial year of 2006-07 total gas production was 562.13 Bcf, in financial year 2007-08, total gas production was 600.86 Bcf and in financial year 2008-09, it was 653.89 Bcf. The production growth varied from 6.7% to 8.8%. The lone off-shore gas field in the Bay of Bengal – the Sangu gas field has produced 170 mmcfd in June 2005 which came down to around 50 mmcfd in December 2008. One of the biggest gas fields named Bibiyana, operated by International Oil Company- Chevron Bangladesh Limited has come into production in March 2007. It started with production of 200 mmcfd and at the moment, 650 mmcfd is produced to meet the ever-growing demand. The processing capacity of Bibiyana field has been upgraded to 700 mmcfd.

Demand for gas has been growing rapidly during the last few years. The gas demand in the country is projected to reach a level of 913.9 and 961.9 BCF in the year of 2010-11 and 2011-2012. In FY 2007-08 and 2008-09, the total consumption of natural gas was 584.5 and 643.1 BCF respectively while the total production was 600.72 and 653.75 BCF respectively. In FY 2007-08 and 2008-09, the power, fertilizer, industrial sector’s consumption was about 234.28, 80.23, 78.67 and 256.3, 94.7, 74.85 BCF respectively. The other sectors are captive power, tea estates, brick fields (seasonal), commercial, domestic etc. In FY 2007-08 and 2008-09, the system loss in gas sector was about 2.7 and 1.6 percent. Vehicle conversion to Compressed Natural Gas (CNG) is being carried out and promotion of this mode of fuel is encouraged. By raising the usages of CNG, substantial improvement in air quality is observed in urban areas. The CNG stations are being supplied with approximately 67.24 MMCM gas monthly which is equivalent to more than 8 crore litres of petrol. According to the National Committee for Gas Demand and Reserve, the total projected gas demand for all sectors of the country for the period 2001 - 2030 is about 26.7 TCF.

Coal

Coal exploration program in Bangladesh is still going on. About 2755 million metric tones of proved in-situ coal reserve were discovered until 2009. Out of these reserve 1062.50 million tones is recoverable. Commercial coal production at Barapukuria Coal Mine started in April 2003 with the expectation to produce 1 million short tons of coal/year (Mmst/y), primarily for electricity generation that began in January 2006 and is generating a trivial 05% of total generation, only 250 MW. Geological Survey of Bangladesh (GSB) discovered five coalmines in the northern region of Bangladesh with proven coal amounting 1062.5 Million Tons. Details are at Table 3. Thus coal has been playing vital role in irrigation as well as demand of electricity in North-Western part of the country. Some coal is also being used in brick fields.

TABLE 3. ESTIMATED AVAILABLE ENERGY SOURCES

TABLE 3-1. Current Coal Reserve and Extractable Quantity

Source: Muinul Ahsan; Domestic Coal Market; Fortnightly Energy & Power, June 16, 2009; p 31

(* Open pit mining method, ** Underground mining method; calculated at higher margin)

Bangladesh has 3.3 million ton (MT) estimated coal in 5 fields and ‘Extractable Coal’ amounts to 1062.5 MT (Table 12). Mathematically, 1 TcF gas = 38 MT Coal (heating value). Thus, 1062.5 MT = 28 TcF gas. Extraction method of Jamalganj remains undecided due to greater depth. Barapukuria and Phulbari coal deposits are at shallower extractable depths and are suitable for open pit mining, while Khalaspir and Dhigirpar coal deposits are planned for underground mining. Open pit mining can extract 85-95% of the coal, while it is 20% with underground mining. Barapukuria has 370.50 MT (9.75 TcF gas value), while Phulbari has 543.40 MT coal (14.3 TcF gas value). At present Bangladesh consumes some 3 MT coal/year and some 2.5 MT coal is imported from Meghalaya, India. Barapukuria coal mine produces less than 1 MT coal/annum and the co-located 250 MW plant consumes 0.65 MT of coal/year, leaving 2.35 MT for domestic users.

Indigenous coal, developed in a sustainable manner with social and environmental safeguards, can supply a vital part of the total energy and electricity demand in the mid-to long-term future. Phulbari Coal deposit is designed for 15 MT, while Barapukuria may be developed for 8 MT a year. The Coal Policy (standing alone or being a part of energy policy) is yet to be finalized. A coal based power plant takes 5-6 years for installation. Assuming the policy will be finalized by 2009, extraction from at least Barapukuria and Phulbari can start with effect from 2014 at the earliest by an amount of (3+3) = 6 MT, good enough for 2 x 1000 MW plants. The same number of plants can be increased the following year and so on. As per PSMP projection for GDP growth of 8%, 450 million tons of coal will be required for the period 2005-25 and 76 million tons alone for the year 2025 to meet the growing energy demand.

Peat Deposits

Large deposit of peat was discovered in the marshy areas of the north-eastern, middle and south western parts in Bangladesh in 1953 at Baghia and Chanda beel in Madaripur and Gopalgonj. In 1960, further discovery of peat was made in Kola-Barasat area of Khulna. Apart from the above, smaller peat deposits were also found in Moulvibazar, Sunamganj and Brahmanbaria districts totaling reserve of more than 170 million ton peat deposits. Calorific value of peat ranges from 6000 to 7000 BTU/lb. Peat can be used as fuel for domestic purposes, brick manufacturing, boilers etc and as a substitute of coal. However, their exploitation has not yet been started. Details of the peat deposit is given in table 4.

TABLE 3-2. Peat Deposits

Source: Asia Mining Year Book (Seventh Edition), 2001

Renewables

Globally renewable generate 3.47% of total electricity demand; while in Bangladesh, it is only about 0.45%. The renewable energy policy approved in December 2008 aims at exploring the country's electricity generating potential from renewable energy resources to meeting the nagging electricity crisis across the country. The policy encourages the private and public sectors to develop alternative sources of energy to meet up to 10 % of total electricity demand through renewable energy such as solar, wind, biomass and hydropower by 2020 at a cost of about $1.5 billion. Present production of electricity under renewable energy is at Table 5.

TABLE 3.3. Renewable Energy

Source: Power Cell

The renewable could reach electricity to the rural people and help in poverty reduction. However, it cannot meet the ever growing demand for more power by the industries, service sectors, and the growing urban population economically.

Hydroelectricity

Bangladesh has a hydroelectric plant with 230 MWe generation capacity which is located at Kaptai in the south east region of the country. On average annually 833 GWh electricity is generated from this plant by 5 units. This plant has a potentiality of extending capacity by one hundred MW by utilizing spill water. In addition, the country has two potential sites for constructing two medium size new hydro plants across the rivers Matamuhuri and Sangu at the same region. The feasibility study shows that on average 500 GWh of electrical energy could be produced from the proposed two plants. The terrain of the country being flat, there is no realistic prospect for building additional hydro units.

Micro-hydro, generally between 5-300 kW ranges, converts hydropower primarily to mechanical power. In many cases they do not generate electricity. They are used for grinding cereals in mills and often driven directly from the turbine shaft. LGED’s initiative with its Sustainable Rural Energy (SRE) project at Bamerchara micro-hydro power unit located at Banshkhali Upazila of Chittagong District suffered a setback where its installed capacity was 10kW but due to inadequate water head; about 4kW power is being generated. Given these realities, hydropower is not a suitable option for Bangladesh.

Biomass

Increasing price of kerosene, diesel and other conventional energy sources made biogas technology an attractive alternative for many rural households. IDCOL is implementing countrywide National Domestic Biogas and Manure Program (NDBMP) to establish a sustainable and commercial biogas sector in Bangladesh with the support from GoB, SNV Netherlands and KfW. Under the project a total of 60,000 domestic sized biogas plants are being financed during the period 2006-2009. Gas produced through these plants is used for cooking purposes and lighting of rural households. In addition, the slurry, by-product of biogas plants, being a very good organic fertilizer is used to maintain soil fertility and increase crop production. The slurry is also used as fish feed. IDCOL financed a 250 kw biomass based power plant at Kapasia, Gazipur by providing concessionary loans and grants to Dreams Power Private Limited (DPPL), the Project Sponsor, for setting up the plant. Total cost of this project is Tk. 25 Million. The plant uses rice husk as fuel for power generation. Being located in a un electrified area, the plant is expected to supply environment friendly grid quality power to 300 households and commercial entities of that area. Meanwhile, GS has taken a massive program for the coming years which is aiming to install more 1 million biogas plants and 10 million improved cook stoves by the year 2015.

Biomass has enormous potential in the rural areas devoid of national grid and gas supply. It is affordable, clean, has marketing values, and overall assists in reducing demand of electricity from the power grid. But it cannot stand alone as a major source of power generation for commercial and industrial usage.

Solar Energy

Solar power uses sun's energy to produce electricity. Solar energy is plentiful in Bangladesh. Solar energy in Bangladesh is mainly utilized for processing of agro products. The average solar radiation varies from 4 to 6.5 kWh per square meter per day. The yearly direct solar energy available in the country of Bangladesh is estimated to be 25610 million tones of coal equivalent.

Unit cost of solar power is the highest of all renewable and non-renewable power generation. In Bangladesh 60% of the available usable land mass is used for food production, 20% for various infrastructure including industries and 1-2% for habitation. We can neither spare arable land for Solar Panel Park risking food production; need more share of land for development of infrastructures, and increase share of habitation to accommodate growing population. Thus, we have to remain satisfied with small scale household power generation using PV cells. However, in the city areas high rise buildings can have PV cell arrays on the roof tops to generate electricity that can meet their day time demands. This needs detail study and amendment in the ‘Building Code’.

Beginning from January 2003, IDCOL is working to bring rural households under the solar power system. IDCOL is supported by US $ 62 million from the WB, Global Environment Facility (GEF), GTZ (an international cooperation enterprise for sustainable development with worldwide operations), and KfW (KfW Bankengruppe, a German Development Bank). On completion by 2009, some 200,000 rural households will have pollution free electricity generation, employment generation to Partner Organizations, positive impact on socio-economic condition of rural people.

The WB and Japan planned to lend Bangladesh $100 million and nearly $440 million by 2009 to promote renewable sources of energy, particularly solar power, officials said on January 19, 2009. Bangladesh Bank has set up a Tk 200 Crore revolving fund for banks and financial institutions to give loan with lesser than 10% interest in solar energy, biogas and effluent treatment sectors. Taxes and duties on the import of solar energy systems and Compact Fluorescent Lights (CFLs) and its components have been waived in the recent budget.

Wind

Estimates of wind resource are expressed in wind power classes ranging from class 1 to 7. Areas designated as Class 4 and higher are suitable with existing wind turbine technology. Experts have identified 5 locations in Bangladesh where wind speed is up to the level 4; some other locations are suitable for non-commercial household based wind-power generations. Presently, a reliable wind map is being developed by various national and international organizations namely BUET, BCAS, LGED, BAEC, BCSIR, ETSU, UK, GTZ Germany, and REB.

For the first time in Bangladesh, BPDB implemented a pilot project of 0.90 MW capacity of the Grid Connected Wind Energy (GCWE) in the Muhuri Dam areas having class 4 wind speed at the height of 50 meters in 2004. This site is suitable for at least 100 MW though installation cost is extremely high, PDB officials opined. BPDB, in 2006, implemented the 1000 kWp capacity Wind-Battery Hybrid Power Project (WBHPP) at the Kutubdia Island in Cox’s Bazar at a cost of Tk 12 crore. However, due to shortage of spares it remained out of order. Besides, the construction of permanent embankment is urgent to save the project from going into the sea.

In private sectors participation, several small wind generators have been installed by BRAC, and Grameen Shakti (GS). In a nutshell, we can say that in Bangladesh, wind energy can generate insignificant amount of electricity owing to low wind speed, high installation cost and dependence on seasons though unit cost is cheaper. In Table 6, a summary of the estimated energy resource of Bangladesh is presented. The limited indigenous energy resources of the country are insufficient to meet the national demand targets, which have been affecting the national development efforts over the last decades. The country needs a high growth of energy supply, especially electricity for its socioeconomic development.

TABLE 3-4. Estimated Energy Reserves (2008)

* Proved + Probable

Source: Energy Information Administration, Official Energy Statistics from the US Government, Petro Bangla Annual Report 2008.

1.2.2. Energy Statistics

* Year 2008

** Energy consumption = Primary energy consumption + Net import (Import - Export) of secondary energy.

*** Solid fuels include coal, lignite

Source: IAEA Energy and Economic Database; Energy Information Administration, International Energy Annual 2003, 2006 , Petro Bangla Annual Report 2008, Statistical review of world energy 2009.

1.2.3. Energy Policy

(1) Electricity transmission losses are not deducted.

* Year 2006

Source: Statistical Yearbook of Bangladesh 2007, Annual Report 2008-2009, Bangladesh Power Development Board

CONSUMPTION

The per capita consumption of electricity is very low. The per capita consumption of electricity is increasing almost steady over the years. Access to electricity was 47% in FY 2009. Only 2% increase was not satisfactory to materialize the government vision of 100% access by 2021. The total consumption of electricity was about 23936 MkWh in 2009, which was 5% higher than the previous year. The consumption patterns in different end-user categories were as follows: DESCO (11.46%), DPDC (22.76%), WZPDCL (6.23%), REB (37.73%), domestic (9.38%), small industries (1.83%), Small commercial (2.39%), large industry & commercial (7.07%), agriculture (0.58%) and others (0.58%).

SOME OTHER ISSUES

Low consumption pattern

The average annual growth in peak demand of the national grid was not up to the level of projected demand. The gap between projected demand and supply is increasing day by day. If present trend of consumption continues, the gap will increase sharply in future. As a consequence, the socioeconomic development will tremendously be hampered.

Regional Imbalance

In is seen in Bangladesh that the indigenous reserves of primary energy resources influenced the development of energy sector. In the country all most all-commercial energy resources are located in the Eastern Zone and it has more than 90% of total generating capacity of the country and consumes about 75% of total generation. The Western Zone depends on Eastern Zone for electricity for meeting not only the peak demand but also a part of the base load. As a result, electricity demand of the western zone is strongly suppressed due to lack of supply. The gap in energy use between the two zones is widening day by day that has been hampering proper industrialization and urbanization of the west zone. This should be realized by increasing the generating capacity in the western zone, which is adequate to meet its base load from the power plants located there.

Area Based Planning and Rural Energy

National economy is agriculture based and its development is dependent on expansion of modern agriculture. Area based planning on demand supply balancing should be encouraged. This would help equitable development reflecting needs, priorities, weaknesses and strength of each individual planning unit. Adequate measures have to be initiated to enhance the quality of rural life; fruitful basic needs and achieve equitable income distribution. Importantly supplying of electricity for irrigation purpose will help to attain self-sufficiency in food production and in production of basic materials.

Energy Pricing

It is observed that tariff of energy is often fixed without considering the realities like the need for internal revenue generation and economic operation of the concerned utilities. Often the pricing is such that the conversion facilities such as power plants of fertilizer factories can afford to install machinery with lower efficiency without sacrificing the profitability of the industry. The gas tariff of the energy sector may be mentioned here. According to tariff structure, the cost of gas per MCF was (Tk. 78.40) for the power sector, Tk. 68.15 for the fertilizer production, Tk. 243.67 for the commercial uses, Tk. 162.45 for the tea industry, Tk. 211.1817 for the brick manufacturing and Tk. 134.00 for the domestic burners. On the other hand, power and the fertilizer sector consume about 80% of total gas supplied annually and they have to pay about one third or less of the highest tariff. If willingness to pay is an indicator of economic price of gas, then the gas sector is being deprived of the desired revenue generation.

2. NUCLEAR POWER SITUATION

2.1. Historical Development and Current Nuclear Power Organizational Structure

Peaceful uses of Nuclear Technology were initiated in Bangladesh in early 1960's under the framework of the then Pakistan Atomic Energy Commission (PAEC). After independence, Bangladesh became a Member State of the Agency in 1972. Bangladesh Atomic Energy Commission was formed in 1973 by the Presidential Order No. 15 with the goal of utilization of Nuclear Science & Technology for national development.. Nuclear establishment in the country however existed and concerned activities were carried on even before its independence from Pakistan. The Commission was entrusted with the following charter of duties: "Promotion of the peaceful uses of atomic energy in Bangladesh, the discharge of International obligations connected therewith, the undertaking of research, the execution of development projects involving nuclear power stations and matters incidental thereto." Since then, three decades have elapsed and the Commission pursued various research and development projects, established a number of research and service providing centres with necessary laboratory facilities and equipment, trained working scientists and developed supporting facilities that can be used to meet the fast changing trends of scientific and technological pursuits of the modern world.

BAEC's overall R&D programs are formulated in two distinct trains, namely (a) problems addressing the needs of national development and (b) basic R&D. Of these, the first group of projects is now being given higher priority. This will also be evident from the fact that vertical linkage of BAEC is provided through the Ministry and the Planning Commission, which ensures that national goals and development targets are featured in its programs and projects.

Over the years, the Agency has been a partner-in-development in most of the leading BAEC institutes. This has meant a continuing relationship with various institutes at Savar and at AECD. Broadly speaking, the program at Savar covers research reactor commissioning and its utilization for isotope production, 1.85 PBq Co-60 irradiator, neutron activation analysis, and neutron radiography. Nuclear analytical facilities, and laboratories for repair and maintenance of nuclear instruments, have been established both at Savar and at AEC, Dhaka. Utilization of Van de Graaff accelerator at AECD was also supported by the Agency. NDT program at AECD and isotope hydrology at Savar, and food preservation, pest control, radiation sterilization of pharmaceuticals, tissue banking and agrochemical residue analysis at the Institute of Food and Radiation Biology, have also been well supported.

The Law on Nuclear Safety and Radiation Control was enacted in 1993. Considering that BAEC is the only national institution that has expertise and trained human resources needed for the enforcement of the law, it was also given nuclear regulatory responsibility. In future, a separate regulatory organization will be set up in order to separate promotional responsibilities from the regulatory ones. When this is implemented, it will be possible to attain the required transparency in nuclear safety and radiation control especially in all stages for licensing and inspection of nuclear facilities and radiation sources.

In addition to making excellent use of opportunities under the country TC program, Bangladesh has been an active partner in the Regional Cooperation Agreement (RCA) program. According to a recent review of the Technology Transfer through RCA program, the country participated in different areas of RCA activities. Through the devotion, dedication and hard work of scientists, engineers and technicians, sustained support from the Government, and a judicious combination of IAEA country projects with the RCA program the country has attained a high level of technology transfer. This is a good achievement and reflects the growing maturity of Bangladesh's nuclear program.

2.2. Nuclear Power Plants: Overview

HISTORICAL DEVELOPMENT OF NUCLEAR POWER PROJECT IN BANGLADESH

The proposal for building a nuclear power plant in the western zone of the country was first mooted in 1961. Since then a number of feasibility reports had been prepared which established that the plant was technically and economically feasible. The Rooppur site was selected in 1963 and 292 acres (118.3 hectare) of land (105.3 hectare for plant and 13 hectare for residential purposes) was acquired for the project. Physical infrastructures like residential quarters, site office, rest house, internal road, electric sub-station, pump house etc. were established in the project area. The then Pakistan government gave formal approval for 70 MW, 140 MW and 200 MW Nuclear Power Plant (NPP) in 1963, 1966 and 1969, respectively. Following liberation the ECNEC had approved the pp for a 125 MW nuclear power plant in 1980. A number of suppliers had submitted proposals for the project both before and after liberation. However, the project could not be implemented due to several problems with financing as the main obstacle.

Considering the changed circumstances in national and international level the government of Bangladesh expressed its firm commitment to implement the Rooppur nuclear power project (RNPP). It may be mentioned that the inordinate delay in project implementation has brought about a number of changes in the planning process. For example since grid size is growing, it will eventually grow to a size where accommodation of a larger plant of 600 mw with advantage of economy of scale would be required. The growth of the grid to such a size incidentally matches the time needed for implementation of such a plant. Such changes would necessitate updating data, information and some of the past studies.

DECISION MAKING PROCESS

Nuclear power projects are very complicated and any decision on it, unless taken at an appropriate level of the government, might be rendered ineffective. Continuity of decision over a long time is also an important requirement. In the case of Bangladesh, The Government has recognized the need for a proper institutional framework with adequate financial and administrative power, accountability and transparency that can either itself and/or through a joint venture with others, build and operate nuclear power plants. In 2000 a Nuclear Power Action Plan (BANPAP) was approved by the government. The BANPAP proposed a Nuclear Power Authority of Bangladesh (NPAB), which at the national level shall be responsible to an apex body named National Nuclear Power Council (NNPC) Headed by the Honorable Prime Minister. This NPAB should be the nuclear power operating organization (Licensee). NNPC will be served by the Governing Body of the NPAB. There shall be a Governing Body of the NPAB, headed by the Minister in charge of the Ministry dealing with nuclear power as its Chairman. Until creation of the NNPC and the NPAB, BAEC is appointed authority by the BANPAP and the 1973 Presidential Order to deal with all activities for implementation of RNPP and the MOSICT will work as the focal Ministry.

Before establishment of the formal institutional framework of NNPC and NPAB, the government has decided to execute the responsibility of those institutions by high level national committees. Recently, the Government of Bangladesh has formed a Cabinet Committee on implementation of Rooppur Nuclear Power Project (RNPP) Headed by the Honourable Prime Minister (Bangladesh Gazette, June 13, 2010). The Ministers and Secretaries of relevant ministries are the members of the Cabinet Committee. The Cabinet Committee will review the implementation progress of the project, determine the ownership and project execution approach of the RNPP, finalize the financing and purchase of the RNPP and finalize the contractual agreement(s) with supplier. The Cabinet Committee will also identify the barriers in implementing RNPP and provide recommendations/directions for overcoming the barriers. The Cabinet is presently working to define ownership of the RNPP, arranging fund for RNPP, finalization of project execution methodology and mode and conclusion of the contract(s) with supplier. Basically, the Cabinet Committee has been assigned with the Functional responsibilities of the NNPC.

The government has formed a Technical Committee on the RNPP headed by the Honourable Minister of the Ministry of Science and ICT. The secretaries, head of the relevant organizations, academicians, chairman and representatives of BAEC are the members of the Technical Committee. This committee will take necessary steps to establish organizational structure of the project implementation phase of RNPP. The committee will take initiatives to prepare comprehensive documents for consideration of the Cabinet Committee on RNPP taking into accounts of various issues namely the project implementation mode, technology transfer, project implementation period, financing mechanism, regulatory issues. Basically, the Technical Committee is taking the responsibilities of the proposed NPAB. Presently, this committee is executing various activities related to project decision making phase activities of the IAEA Milestone Documents.

The Government has also formed a Working Group for accomplishment of various activities to take preparation for RNPP construction. The Working-Group is responsible for identifying various activities for materializing the government decision on implementation of the RNPP. The Working Group will identify the required areas of cooperation from the supplier source(s) for the project.

To accelerate the activities for starting construction of RNPP, the Government has formed eight Working Sub-Groups each of which consists of the representatives from the relevant ministries, organizations (namely Bangladesh Power Development Board, Power Grid Company of Bangladesh), academic institutions and the representatives of BAEC. The names of the Working Sub-Groups are as follows: (1) Legal and Regulatory Aspects as well as International Obligations, (2) Ownership, Project execution and Project Management, (3) Funding and Financing, (4) Development of Human Resources, (5) Grid System Development, (6) Nuclear Fuel Cycle and waste management and (7) National Participation. These Working Sub-Groups are responsible for assessing the Nuclear Infrastructure of the country in the respective areas and identify the gaps of nineteen infrastructure items of Phase II (Decision Making Phase). The Groups will take initiatives in addressing the gaps of the nineteen items of the IAEA Milestone Document in order to take final preparation of the construction of RNPP.

A road map is formulated to carry out the responsibility of the NEPIO through formation of the above-mentioned Cabinet Committee, Technical Committee and Working Group and Sub-Groups for implementation of RNPP. The Committees on RNPP and Working Group have build-in-mechanism for linkages with relevant ministries and government agencies for R&D support, HRD, regulatory aspects, nuclear safety, security, safeguard, T & D and integrate RNPP into the overall electricity generation planning and Power purchase.

PRESENT STATUS OF NUCLEAR POWER PROGRAMME OF BANGLADESH

Introduction

The nuclear power generation has become an inevitable option for Bangladesh which has already been reflected in the government policy documents. The updating National Energy Policy made projected nuclear power as an important option of meeting the ever-growing energy demand. The policy outlined the programme to be taken to implement two units of nuclear power plants by 2020 and to meet about 10% of electricity demand by 2025 and 25% of total electricity generation beyond 2025 by implementation of nuclear power projects. The revised policy also recommended for implementation of two units of medium size nuclear power plants by 2020 in order to improve the supply situation of electricity in the country. Additional two or three more units of larger size above 1000 MW(e) by 2025 will contribute about 10% of the total energy mix for power generation. However, continued efforts will be made to achieve 25% of total electricity generation from nuclear power beyond 2025. The Perspective Plan of the Planning Commission of the government of Bangladesh for the period 2010 – 2021 has recommended the following energy mix to achieve the generation of 20,000 MW by 2021 in which the share of nuclear power is assumed about 10% in overall generation.

Present Status of Rooppur Nuclear Power Project

The present government is working on selection of suitable technology, financing, selection of ownership, human resource development, grid system development etc. for implementation of NPP by 2020. A government supported Annual Development Project for the 2008 – 2011 cycle has been approved in 2008 to accomplish essential activities to Implement Rooppur Nuclear Power Plant which is now under execution. Bangladesh Atomic Energy Commission (BAEC) under supervision of the Ministry of Science and ICT is presently conducting/reviewing some site specific studies as well as updating data to complete the Site Safety Report and to make the site suitable for heavy construction as per IAEA recommendations/guidelines. The application for the site license of RNPP has been put forward to Nuclear Safety & Radiation Control Division (NSRCD), BAEC in order to take appropriate actions.

2.3. Future Development of Nuclear Power

2.3.1. Linkage of Nuclear Power Planning with the Macro Level Planning

In Bangladesh, the medium to long-term and short-term (annual) macro planning are conducted under term plans (Five Year Plan) and Annual Development Programmes, respectively. The Term Plan is divided into various sectoral plans. Development targets of electricity generation, transmission and distribution over a plan period are set under the energy sector. Thus, any decision on nuclear power programme is taken by considering the overall programme for the sector. Various studies are conducted to assess energy demand during the plan period and on the supply side the technologies for generation are identified by considering the relevant factors such as economics, fuel option, environmental dimension, project gestation period, availability of finance, etc. The National Energy Policy, with a perspective period of 25 years is also consulted for the purpose. In the case of Bangladesh, the need for introducing nuclear power is identified in all these macro-level plans and policy documents. The existing executive framework for the project, which is discussed in a later paragraph, has been proved useful in establishing the linkage with the macro level planning.

It is also equally important to assess the economic aspects of nuclear power as a component of a least cost generation plan. The environmental impact of various options should also be assessed properly as one of the tools for decision-making.

In many developing countries, the new trend is to deregulate the electricity sector. Private entrepreneurs are attracted to invest in the entire range of activities, including generation. Of late, entrepreneurs have established generating plants in Bangladesh under Power Purchase Agreements. In the transitional phase, extreme care has to be taken in choosing the technology and fuel options for evolving the optimum generation plan. In particular, the conditions of power purchase agreement for the private sector generation may upset overall optimization of the system. Other factors deserving attention include the administered price of indigenous fuels and energy tariff. Centralized planning for generation may thus need some structural changes and review of strategies by considering the above changes.

• The Need for an Integrated Approach to Planning

The macro-micro linkage is an important pre-requisite for the integrated approach to nuclear power project planning. However, the other important facet is the need for integration among various elements of micro planning of nuclear power programme. The two broad strings of activities that have to be addressed with equal earnestness and seriousness right from the inception of a nuclear power programme are:

(a)  Technical, economic and financial management of the nuclear power programme; and   
(b)  Safety and regulatory aspects.

Since the above two categories of functions are to be ultimately conducted independent of each other, the planning for nuclear power, including capacity building and human resource development activities as well as the necessary legal frameworks for each of these, need to be addressed properly. Issues like management of radioactive waste including a policy on ultimate disposal of high level wastes also require attention at the early stage. Other issues, like capacity building in quality management, identification of codes, guides and standards, project management, etc., also deserve due consideration. In particular, the human resource development programme should be developed in such a way that the core manpower acquires at least working knowledge in the above-mentioned key areas of the nuclear power programme.

• Bangladesh Nuclear Power Action Plan

A blanket administrative provision is essential to ensure efficient implementation of a government decision on the national nuclear power programme. Its overwhelming role is evident from the wide range of national as well as international agencies, whose concerted participation is essential for the success in realizing the decision effectively. Such a provision is best served through a National Nuclear Action Plan, adopted at the appropriate level of the government. The main purpose of this document is to identify:

• Various activities needed for implementation of the nuclear power programme;

• The agencies responsible for each of these activities;

• Enabling measures like funding, for conducting the activities.

The government of Bangladesh adopted the National Nuclear Action Plan (BNPAP) for meeting the above-mentioned purposes for early implementation of the nuclear power project in the country in 2000.

The Table of Contents the BANPAP are as follows:

Presently, Bangladesh is revising and updating the Bangladesh Nuclear Power Action Plan according to national and International aspects of nuclear power programme.