Govt formulating cross-border electricity trade policy

The government is formulating a cross-border electricity trade policy, including in it the option for export as well as import.

The policy, prepared by the Power Cell, was submitted to the Power Division last week, said Mohammad Hossain, director general of the Cell, on Monday.

This policy is expected to be finalised soon after review.

Though the import of electricity started beforehand, there was no policy regarding this, and that made the expansion of the trade difficult.

Power Cell Director General Hussain, "We have included Nepal and Bhutan, as well as India, in the cross-border electricity trade and so the formulation of the policy was a matter of urgency."

"The significant part of this policy is to keep in it the option for export as well as import," local media quoted him as saying replying to a query.

An official at the Power Division said, "We can use the same structure for importing and exporting electricity. So, we should take up the initiative for export right now."

Bangladesh is now importing 1200MW from India and another 3100MW import from the same country is in the pipeline.

Nepal and Bangladesh also signed a memorandum of understanding, under which both the country have plans to build a gridline and explore a joint investment sector.

Bangladesh is now in talks with Bhutan to reach a deal, of which India is also supposed to be part. The deal is expected to be signed by April this year.