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Fifteen Engineering Procurement Construction (EPC) companies have submitted bids for getting work on setting up of a 50-megawatt (MW) state-owned solar power plant at Sonagazi in Feni district.
The companies, mainly from China, have either submitted bids by their own or through joint-venture to secure the jobs of design, supply, installation, testing, commissioning, operation, and maintenance.
The Electricity Generation Company of Bangladesh (EGCB) is setting up the plant, largest so far in the public sector, and has already secured US$ 74 million from the World Bank to finance the project.
According to officials, 40 EPC companies had procured the bid documents, but 15 of them have submitted bids on the last date (June 15).
The bid documents were received both physically and through online as the Covid-19 barred the movement of many.
The Chinese companies which submitted bids are: Shandong Electric Power Engineering Consulting Institute Corp Ltd (SDEPCI), Gezhouba Group, GCL-DEC Consortium, China Sinogy Electric Engineering Co Ltd, Risen Energy Co Ltd, Zongnan-Sinohydro JV, Shanghai Electric Group, Consortium of Norinco-Int'l and SAC, Sungrow Power Supply Co Ltd, Trina- HYDC joint venture, CETC International Co Ltd, JV of Znshine-CNEEC, AVIC-WSGRI JV, and Senyuan YREC JV.
The lone Indian company that submitted the documents is Larsen & Toubro Limited.
The solar power plant will be built on government-owned land and the plant is expected to start generating electricity by June 2021.
An official of a participating company told the FE that a good number of companies have submitted bids since the project is being developed by a government entity.
Besides, the World Bank is funding the project which carries a big value, he said.
"Here the payment of the task is secured and will be made timely which lured the top Chinese EPC companies," said the official.
He also said some of the participating companies are already working in Bangladesh's power sector for a long period. They have local offices or representatives in Bangladesh which encouraged them to submit bids for this solar power plant.
Asked why any European companies did not participate in the bid, he said working as an EPC contractor in Bangladesh is not financially viable for the western companies. "Making investment as project developers can be suitable for them."
Country head for Sungrow Bangladesh Imran Chowdhury told the FE that it is one of the pioneer projects in the country and the important thing is that the World Bank is providing funds for it.
"A good number of companies have participated in the tender and getting the task will be very tough. We are looking forward to working with the project," he said.
Bangladesh has set a target to generate 10 per cent of the total electricity from renewables. Until now, 632MW is generated from renewables, including 398MW from solar.