Bangladesh’s power sector is facing renewed financial pressure as the Rampal coal-fired plant seeks urgent liquidity support to keep fuel supply and operations stable amid rising generation costs and subsidy constraints.
Bangladesh-India Friendship Power Company (BIFPCL), which operates the 1,320MW Maitree Super Thermal Power Plant in Rampal, has requested Tk1,000 crore from the Bangladesh Power Development Board (BPDB) to ensure uninterrupted electricity generation and avoid operational disruptions.
In a letter sent on 10 May, BIFPCL Managing Director Ramanath Pujari warned that delays in fund disbursement could strain coal imports, trigger demurrage charges at ports, and create risks for loan repayment obligations tied to the project’s foreign financing arrangements.
The request comes at a time when banking operations will be suspended from 24 May due to the Eid-ul-Azha holidays. The company has urged that the funds be released by 20 May to avoid disruptions in fuel procurement and supply chain scheduling.
The Rampal plant, one of the country’s largest base-load power stations, is currently supplying around 1,234MW of dependable capacity to the national grid. It plays a significant role in meeting Bangladesh’s electricity demand, contributing roughly 8 per cent to 11.5 per cent of total generation in recent months.
Company data shows the plant generated over 700 million units of electricity in April 2026 alone, while earlier production figures reached 640 million units in December 2025, highlighting its consistent contribution to national supply.
However, rising operational costs remain a major challenge. Daily coal expenditure stands at Tk24-26 crore, pushing monthly fuel costs above Tk700 crore. In addition, around Tk300 crore is required for loan servicing, customs duties, spare parts, maintenance, and other obligations.
Energy sector sources say the plant is also awaiting more than Tk1,000 crore in payments for electricity already supplied to the grid, creating a cash flow mismatch between generation costs and government settlement.
BPDB officials acknowledge accumulated dues to the plant, while also pointing to delays in subsidy releases from the finance division. The power utility says pending government payments are affecting its ability to clear obligations to multiple power producers.
The situation reflects broader stress in the power sector, where subsidy requirements have surged sharply. Although Tk36,000 crore has been allocated for power subsidies in the revised FY2025-26 budget, nearly Tk20,000 crore has been released so far, while total claims have already reached about Tk50,000 crore.
With rising demand during peak summer months and continued reliance on imported coal and fuel-based generation, sector analysts warn that liquidity constraints could increasingly influence grid stability and generation planning in the coming months.
