Local Independent Power Producers (IPPs) in Bangladesh have urged the government to clear at least half of their outstanding dues, approximately Tk9,000 crore, within 10 days to prevent power shortages during Ramadan and the rice-growing season, which requires heavy irrigation. IPPs, during a meeting with Power Division Secretary Farzana Mamtaz, warned that failure to settle dues would hinder their ability to import fuel oil needed for running power plants, potentially leaving up to 2,500MW of heavy fuel oil-based power generation capacity idle. IPPs face severe cash shortages due to prolonged payment delays exceeding six months and additional financial strain from exchange rate losses. They urge the government to clear Tk4,500 crore of the dues by mid-January to enable timely imports of HFO. The interim government plans to issue new bonds worth Tk5,000 crore to address mounting dues.
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