October 12, 2008

Bangladesh to finalize coal policy soon - Report

Energy Bangla reported that the government of Bangladesh will finalize the coal policy soon, as the energy and power sector is set to expedite decision making.

The report quoted Dr M Tamim special assistant to the chief adviser in charge of the energy, power and mineral resources ministry as saying that 80% of recommendations in the energy policy formulated in 1996 had not been implemented in the past 12 years. He said that "Institutional strengthening and financial assistance are a must to make things happen now.”

Mr Tamim said the 1968 Mining Act must be amended and the coal policy should be finalized as soon as possible. He said that "We have to maximize the use of foreign aid and technical assistance in the energy and power sector. We will have to generate 20,000 MW power by 2020 if we want to fulfill millennium development goals."

He said that decisions about all these issues must be taken without delay, he further added that with a warning that the huge subsidies for the energy sector had posed a serious burden on the government, which threatens to slow economic progress.