Abstract:
This thesis is on “Tariff Calculation of Electric Powe r (Generating cost calculation)”
The tariff structure would consist of two parts. In the solicited bids, the bidders shall offer
bulk power tariff based on the capacity payment and energy payment and also provide the
equivalent levelized tariff. The capacity payment will be made in Bangladeshi currency
(Taka). This will cover debt service, return on equity, fixed operation and maintenance co st,
insurance and other fixed cost. The energy payment will be denominated in local currency to
the extent to which the variable costs are in local currency. This will cover the variable costs
of operation and maintenance, including fuel. Interconnection of IPP to transmission system:
The power will be purchased from the IPP at a specified voltage and frequency at the
outgoing terminal of the substation of the power plant. The cost of interconnecting facilities
up to outgoing terminals of the private power project will be borne by the private power
producers.
Severe power crisis compelled the Government to enter into contractual agreements for highcost
temporary solution, such as rental power and small IPPs, on an emergency basis, much
of it diesel or liquid-fuel based. This has imposed tremendous fiscal pressure. With a power
sector which is almost dependent on natural-gas fired generation (89.22%), the country is
confronting a simultaneous shortage of natural gas and electricity. Nearly 400-800 MW of
power could not be availed from the power plants due to shortage of gas supply. Other fuels
for generating low-cost, base- load energy, such as coal, or renewable source like hydropower,
are not readily available and Government has no option but to go for fuel d iversity option for
power generation.