Bangladesh signs deal with General Electric, Mitsubishi to invest $3bn in energy

DHAKA: General Electric and Mitsubishi Corporation are forming a joint venture with a Bangladesh private power firm to set up a 2,400 megawatt (MW) thermal power plant and related oil and LNG terminals in an investment of $3 billion, the companies said on Wednesday.

The local firm, Summit, will hold 55 percent equity while Mitsubishi will take 25 percent and GE 20 percent.

The project involves four thermal units of 600 MW each, a 380,000 metre cubic capacity liquefied natural gas (LNG) terminal and oil terminals with 100,000 metric tons capacity.

The three firms signed a memorandum of understanding on Wednesday.

Muhammad Aziz Khan, chairman of the Summit Group, said the plan is to launch the project next year and complete it by 2023.

"The project will be using the world's most efficient and environment friendly technology," he said.

Nearly 30 percent of Bangladesh's population do not have access to electricity.

"We have joined in this tripartite agreement with the widest experience in infrastructure and energy," said Tetsuji Nakagawa, senior vice president of Mitsubishi.

"In partnership with Summit Power, our HA technology enables unprecedented levels of efficiency to strengthen Bangladesh's power generation," Russell Stokes, president and chief executive officer of GE Power, said at a deal signing event in Dhaka.