The Power Division and Payra Port Authority are in dispute over Tk1,225 crore in maintenance fees for the Rabnabad Channel, used by the Payra coal-fired power plant. The port demands Tk385 crore for maintenance from January 2021 to November 2024 and an additional Tk839.65 crore for annual dredging, based on a Statutory Regulatory Order from May 2023. However, the plant operator, Bangladesh-China Power Company Ltd (BCPCL), argues that dredging work began only after the plant’s completion in 2019, with BCPCL covering $68.8 million in dredging costs. The low draft in the channel has led to increased coal transport costs, raising power generation expenses and government subsidies, potentially exceeding IMF limits. BCPCL claims the port’s fee demand lacks legal basis and disputes retroactive charges. The dispute remains unresolved despite efforts from government officials, as the Power Division faces mounting financial pressures.
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