Professional Documents
Culture Documents
Study For LNG Fired Combined Cycle Power Plant in Bangladesh
Study For LNG Fired Combined Cycle Power Plant in Bangladesh
Final Report
March, 2019
Ministry of Economy, Trade and Industry
Infrastructure System and Water Industry Manufacturing Industries Bureau
Subcontractor
Marubeni Power Systems Corporation
Terms of Reference
i
5.2.7 Switchyard .................................................................................................................................. 5-41
5.3 Study for plant layout of power plant ......................................................................................... 5-42
5.3.1 Design condition ........................................................................................................................ 5-42
5.3.2 Plant layout................................................................................................................................. 5-42
5.4 Study for construction schedule of power plant ......................................................................... 5-46
Chapter 6Study of Power Evacuation
6.1 Basic Study of Power Evacuation ................................................................................................ 6-1
6.1.1 Precondition ................................................................................................................................. 6-1
6.1.2 Study of Transmission Line Voltage............................................................................................. 6-1
6.1.3 Study of Conductor Size............................................................................................................... 6-2
6.1.4 Study of insulator ......................................................................................................................... 6-3
6.1.5 Study of transmission line tower design ....................................................................................... 6-4
6.1.6 Estimated transmission line cost per kilometer ............................................................................ 6-6
6.2 Planning of transmission line route .............................................................................................. 6-6
6.2.1 Planning condition........................................................................................................................ 6-6
6.2.2 Estimation of Power Flow ............................................................................................................ 6-6
6.2.3 Study of the route of transmission line ....................................................................................... 6-16
6.2.4 Estimation of budget costs of transmission line for power evacuation ...................................... 6-23
6.2.5 Expected construction schedule of transmission line for grid .................................................... 6-24
Chpater 7Environmental Evaluation
7.1 Siddhirganj Power Station ............................................................................................................ 7-1
7.1.1 Study Area .................................................................................................................................... 7-1
7.1.2 Geographical Features .................................................................................................................. 7-2
7.1.3 Environmental Evaluation and Expected Risk ............................................................................. 7-3
7.1.3.1 Influence on Ecosystem ............................................................................................................... 7-3
7.1.3.2 Influence on Air and Water Quality ............................................................................................. 7-3
7.1.4 Countermeasure ............................................................................................................................ 7-3
7.2 Feni Power Station ....................................................................................................................... 7-6
7.2.1 Study Area .................................................................................................................................... 7-6
7.2.2 Geographical Features .................................................................................................................. 7-7
7.2.3 Environmental Evaluation and Expected Risk ............................................................................. 7-8
7.2.3.1 Influence on Ecosystem ............................................................................................................... 7-8
7.2.3.2 Influence on Air and Water Quality ............................................................................................. 7-8
7.2.4 Countermeasure ............................................................................................................................ 7-8
7.3 Gazaria Power Station ................................................................................................................ 7-10
7.3.1 Study Area .................................................................................................................................. 7-10
7.3.2 Geographical Features ................................................................................................................ 7-11
7.3.3 Environmental Evaluation and Expected Risk ........................................................................... 7-11
7.3.3.1 Influence on Ecosystem ............................................................................................................. 7-11
7.3.3.2 Influence on Air and Water Quality ........................................................................................... 7-12
7.3.4 Countermeasure .......................................................................................................................... 7-12
ii
Chapter 8Examinations of Carbon Dioxide (CO2) Reduction
8.1 How to Determine the Amount of CO2 Emissions ....................................................................... 8-1
8.1.1 Calculation Method ...................................................................................................................... 8-5
8.1.2 How to Determine the Baseline and Method for Calculating the CO2 Reduction Effect
8-6
8.2 Examination and Evaluation of CO2 Emission Reduction by the Project .................................... 8-7
8.3 Summary ...................................................................................................................................... 8-7
Chapter 9Study of Fuel Procurement
9.1 Supply of LNG ............................................................................................................................. 9-1
9.1.1 Production of Natural Gas and LNG ............................................................................................ 9-1
9.1.2 Trends in the Major Producers ..................................................................................................... 9-4
9.2 LNG Demand ............................................................................................................................. 9-12
9.2.1 Natural Gas and LNG Demand .................................................................................................. 9-12
9.2.2 Demand Trends in the Major Countries ..................................................................................... 9-12
9.3 LNG Supply-Demand Trends ..................................................................................................... 9-14
9.3.1 Current LNG Supply-Demand Trends........................................................................................ 9-14
9.3.2 Long-Term LNG Supply-Demand Trends.................................................................................. 9-17
9.3.3 Gas Supply-Demand Situation in Bangladesh ........................................................................... 9-19
9.3.3.1 Gas Managing Companies ......................................................................................................... 9-19
9.3.3.2 Natural Gas Supply-Demand Situation in Bangladesh .............................................................. 9-20
9.4 LNG Import Plan in Bangladesh ................................................................................................ 9-22
9.5 Gas Pipeline................................................................................................................................ 9-24
9.5.1 Construction Plant of Gas Pipeline in Bangladesh ..................................................................... 9-24
9.5.2 Study for Each Candidate Power Station ................................................................................... 9-25
9.6 LNG Price Trends....................................................................................................................... 9-27
9.6.1 Current LNG Price ..................................................................................................................... 9-27
9.6.2 Long-Term LNG Price Forecast ................................................................................................. 9-28
9.7 Conclusion.................................................................................................................................. 9-32
Chapter 10 Economic Evaluation of the Project
10.1 Finance Overview ...................................................................................................................... 10-1
10.2 Yen Credit Loan ......................................................................................................................... 10-1
10.3 Export Credit .............................................................................................................................. 10-2
10.4 Project Finance (Investment Finance) ........................................................................................ 10-3
10.5 Public Private Partner ................................................................................................................. 10-3
10.6 Project Model Study ................................................................................................................... 10-4
10.7 Financial Analysis Method ......................................................................................................... 10-4
10.7.1 Calculation of Financial Internal Rate of Return (FIRR) and Benefit Cost Ratio (B/C Ratio)
.................................................................................................................................................. 10-12
10.7.2 Calculation of FIRR and electricity cost based on LNG cost................................................... 10-17
10.8 Calculation of Economic Internal Rate of Return .................................................................... 10-19
Chapter 11Comprehensive Evaluation
iii
11.1 Technical Evaluation of the Project............................................................................................ 11-1
11.2 Evaluation of CO2 Reduction and Exhaust Gas ......................................................................... 11-1
11.3 Matters to Be Considered to Ensure Business Feasibility for the Project .................................. 11-1
11.4 Examinations of Business Model and Concept Recommended for the Candidate Sites and Its
Economical Efficiency ............................................................................................................................... 11-2
11.5 Examinations on Finance ........................................................................................................... 11-3
11.6 Examinations on Superiority of Japanese Companies ................................................................ 11-3
11.6.1 Superiority in Technical Area ..................................................................................................... 11-3
11.6.2 Superiority in Business Area ...................................................................................................... 11-3
11.6.3 Superiority in Financial Area ..................................................................................................... 11-3
11.7 Examinations of Possibilities of Participation of Japanese Companies in Project Implementation11-4
Chapter 12Conclusion
12.1 Conclusion.................................................................................................................................. 12-1
12.1.1 Technical Evaluation and Candidate Sites.................................................................................. 12-1
12.1.2 Economic Evaluation ................................................................................................................. 12-1
12.2 Suggestion .................................................................................................................................. 12-1
12.2.1 Feasibility of candidate construction sites .................................................................................. 12-1
iv
Table Summary
v
Table 10.7.1-1 Summary of Siddhirganj Power Station ................................................................... 10-12
Table 10.7.1-2 Summary of Feni Power Station .............................................................................. 10-13
Table 10.7.1-3 Summary of Gazaria Power Station ......................................................................... 10-14
Table 10.7.1-4 Electricity Tariff vs FIRR ......................................................................................... 10-15
Table 10.7.2-1 Fuel Cost at Power Station ....................................................................................... 10-18
vi
Figure Summary
Figure 2.1-1 Long term power demand and supply forecast in Bangladesh ........................................ 2-2
Figure 2.1-2 Expected Total Output of Gas Fired Power Plant in near future (MW) ........................ 2-3
Figure 2.3.1-1 Histogram of power generation volume by energy resource in Japan .......................... 2-6
Figure 2.3.2-1 Historical Power generation efficiency at Kaswasaki Thermal Power Plant ................ 2-8
Figure 2.3.2-2 NOx and SOx emission per kWh (international comparison) ...................................... 2-8
Figure 3.2-1 Overall Schematic Diagram of the Project Business Model ............................................ 3-3
Figure 3.5-1 Overall Schedule of the Project in case Yen Credit ......................................................... 3-6
Figure 3.5-2 Overall Schedule of the Project in case ECA .................................................................. 3-7
Figure 4.2-1 Location of field survey ................................................................................................... 4-2
Figure 4.2.1-1 Surrounding area of Siddhirganj thermal power plant.................................................. 4-3
Figure 4.2.2-1 Surrounding area of Feni .............................................................................................. 4-5
Figure 4.2.3-1 Surrounding area of Gazaria ......................................................................................... 4-7
Figure 5.1.3-1 Schematic diagrams for Type A, B, and C shaft configurations ................................... 5-4
Figure 5.2.1-1 Longitudinal Section of Typical Gas Turbine/ J Series............................................... 5-14
Figure 5.2.1-2 Typical Lube Oil System ............................................................................................ 5-16
Figure 5.2.1-3 Typical air intake system equipped with two-stage filtration system ......................... 5-19
Figure 5.2.2-1 Cross Section of Vertical Type HRSG ........................................................................ 5-20
Figure 5.2.3-1 Typical Steam Turbine Unit ........................................................................................ 5-26
Figure 5.2.4-1 Generator Main Circuit at Siddhirganj ....................................................................... 5-28
Figure 5.2.4-2 Generator Main Circuit at Feni and Gazaria ............................................................... 5-29
Figure 5.2.4-3 Generator Typical Sectional View .............................................................................. 5-30
Figure 5.2.5-1 Configuration for GTCC Control ............................................................................... 5-33
Figure 5.2.6-1 Schematic diagram of compressed air system ............................................................ 5-37
Figure 5.2.6-2 Schematic diagram of fire-fighting system ................................................................. 5-38
Figure 5.2.6-3 Schematic Diagram of Water Treatment System ........................................................ 5-39
Figure 5.2.6-4 Schematic Diagram of Wastewater Treatment System ............................................... 5-40
Figure 5.2.7-1 Single Line Diagram of Switchyard ........................................................................... 5-41
Figure 5.3.2-1 Layout Plan (Siddhirganj)........................................................................................... 5-43
Figure 5.3.2-2 Layout Plan (Feni) ...................................................................................................... 5-44
Figure 5.3.2-3 Layout Plan (Gazaria) ................................................................................................. 5-45
Figure 5.4-1 Construction schedule of power plant ........................................................................... 5-46
Figure 6.1.5-1 400 kV Suspension tower ............................................................................................. 6-5
Figure 6.1.5-2 400 kV Tension tower ................................................................................................... 6-5
Figure 6.1.5-3 230 kV Suspension tower ............................................................................................. 6-5
Figure 6.1.5-4 230 kV Tension tower ................................................................................................... 6-5
Figure 6.2.2-1 400 kV System Diagram for Southeast Region of Bangladesh with Expected Power
Flow in 2025............................................................................................................. 6-10
Figure 6.2.2-2 400 kV System Diagram for Southeast Region of Bangladesh with Expected Power
Flow in 2025............................................................................................................. 6-11
vii
Figure 6.2.2-3 400 kV and 765 kV System Diagram for Southeast Region of Bangladesh with
Expected Power Flow in 2035 .................................................................................. 6-12
Figure 6.2.2-4 400 kV and 765 kV System Diagram for Southeast Region of Bangladesh with
Expected Power Flow in 2035 .................................................................................. 6-13
Figure 6.2.2-5 400 kV and 765 kV System Diagram for Southeast Region of Bangladesh with
Expected Power Flow in 2035 .................................................................................. 6-14
Figure 6.2.2-6 400 kV and 765 kV System Diagram for Southeast Region of Bangladesh with
Expected Power Flow in 2035 .................................................................................. 6-15
Figure 6.2.3-1 Proposed route of the transmission line ...................................................................... 6-16
Figure 6.2.3-2 Situation of the connected substation (Siddhirganj) ................................................... 6-17
Figure 6.2.3-3 Photo and Image drawing of existing transmission tower (TW2) .............................. 6-18
Figure 6.2.3-4 Photo and Image drawing of existing transmission tower (TW1) .............................. 6-19
Figure 6.2.3-5 Image drawing of conductor placing of substation ..................................................... 6-19
Figure 6.2.3-6 Proposed route of the transmission line ...................................................................... 6-20
Figure 6.2.3-7 The way of connecting to 400kV Meghnaghat Substation ......................................... 6-21
Figure 6.2.3-8 Proposed route of the transmission line ...................................................................... 6-22
Figure 6.2.5-1 Schematic construction schedule of transmission line for grid................................... 6-24
Figure 7.1.1-1 Study area around Siddhirganj site for IEE .................................................................. 7-1
Figure 7.2.1-1 Study area around Feni site for IEE .............................................................................. 7-6
Figure 7.3.1-1 Study area around Gazaria site for IEE ...................................................................... 7-10
Figure 9.1.1-1 CO2 Emission by Natural gas, Oil and Coal ................................................................. 9-1
Figure 9.1.1-2 The proven reserves of natural gas in the world ........................................................... 9-2
Figure 9.1.1-3 Natural Gas Production Change in 2017 ...................................................................... 9-3
Figure 9.1.1-4 The production of natural gas in each country in 2017)............................................. 9-3
Figure 9.1.1-5 Amount of LNG exports in each country in 2017......................................................... 9-4
Figure 9.1.2-1 Amount of LNG Exports in each country in 2017 ........................................................ 9-5
Figure 9.1.2-2 The positions of the natural gas liquefaction projects in United States ........................ 9-6
Figure 9.1.2-3 The LNG exports to each export destination by Qatar ................................................. 9-8
Figure 9.1.2-4 Gas Field (South Pars and North Field) ........................................................................ 9-8
Figure 9.1.2-5 Amount of LNG Export Forecast in Qatar.................................................................... 9-9
Figure 9.1.2-6 LNG Project List in Australia ..................................................................................... 9-10
Figure 9.1.2-7 The LNG exports to each export destination by Australia in 2016 ............................. 9-11
Figure 9.1.2-8 Amount of LNG Export Forecast in Australia ............................................................ 9-11
Figure 9.2.1-1 Changes in Natural Gas Consumption in Each Region .............................................. 9-12
Figure 9.2.2-1 The LNG demand in each of the major countries ....................................................... 9-13
Figure 9.2.2-2 The LNG demand forecast in Divisional Region ....................................................... 9-13
Figure 9.3.1-1 Natural Gas Production Forecast in in divisional Region........................................... 9-15
Figure 9.3.1-2 Long Term LNG Export Forecast ............................................................................... 9-16
Figure 9.3.1-3 Long Term LNG Demand Forecast in The World ...................................................... 9-17
Figure 9.3.2-1 LNG Supply and Demand Forecast in The World ...................................................... 9-18
Figure 9.3.3.1-1 Distribution Company Map in Bangladesh ............................................................. 9-20
viii
Figure 9.3.3.2-2 Gas Demand and Supply Forecast in Bangladesh-With Further Upstream Success 9-21
Figure 9.3.3.2-3 Gas Demand and Supply Forecast in Bangladesh – Without Further Upstream
Success ................................................................................................................. 9-22
Figure 9.4-1 Location of LNG Onshore Terminal and FSRU Candidate Area .................................. 9-23
Figure 9.5.1-1 Gas Pipeline Network in Bangladesh ......................................................................... 9-24
Figure 9.5.2-1 Candidate Route of Gas Pipeline at Siddhirganj......................................................... 9-25
Figure 9.5.2-2 Candidate Route of Gas Pipeline at Feni .................................................................... 9-26
Figure 9.5.2-3 Candidate Route of Gas Pipeline at Gazaria ............................................................... 9-27
Figure 9.6.1-1 Changes in Gas and LNG Price in Major Countries ................................................... 9-28
Figure 9.6.2-1 Changes in Long-Term Contracts and Short-Term/Spot Contracts ............................ 9-29
Figure 9.6.2-2 Trend and Forecast of Natural Gas Price in main area and country ........................... 9-30
Figure 10.7.1-1 Electricity Tariff vs FIRR ....................................................................................... 10-16
Figure 10.7.1-2 Cumulative Cash Flow ........................................................................................... 10-17
ix
Abbreviations
x
DCS Distributed Control System
DC Direct Current
DO Dissolved Oxygen
DES Delivered Ex-Ship
DESCO Dhaka Electricity Supply Company Limited
DOE Department of Environment
EC Electrical Conductivity
ECA Export Credit Agency
ECR Environmental Conservation Regulation
EDG Emergency Diesel Generator
EGCB Electricity Generation Company of Bangladesh
EMP Environmental Management Plan
ETP Effluent Treatment Plant
EIA Environmental Impact Assessment
FID Final Investment Decision
FIRR Financial Internal Rate of Return
FSRU Floating Storage Regasification Unit
FY Fiscal Year
GCB Gas Circuit Generator
GDP Gross Domestic Product
GE General Electric Company
GEN Generator
GHG Green House Gas Emission
GIS Gas Insulated Switchgear
GNI Gross National Income
GSUT Generator Step-Up Transformer
GT Gas Turbine
GTCC Gas Turbine Combined Cycle
GTCL Gas Transmission Company Limited
GWh Giga Watt hour
GWh Giga Watt hour
HEPA Filter High Efficiency Particulate Air Filter
HFO Heavy Fuel Oil
HMI Human Machine Interface
HP High Pressure
HRSG Heat Recovery Steam Generator
HSD High Speed Diesel
Hz Hertz
I/O Input/Output
xi
IEA International Energy Agency
IEC International Electronical Commission
IEE Initial Environmental Examination
IEEE Institute of Electrical and Electronics Engineers
IGU International Gas Union
IMF International Monetary Fund
INDC Intended Nationally Determined Contributions
IP Internal Pressure
IPB Isolated-phase Bus
JBIC Japan Bank of International Cooperation
JGTDSL Jalalabad Gas Transmission and Distribution System Limited
JICA Japan International Cooperation Agency
JOGMEC Japan Oil, Gas and Metals National Corporation
KGDCL: Karnaphuli Gas Distribution Company Limited
kJ Kilo Joule
km Kilo meter
kN Kilo Newton
kPa Kilo Pascal
kV Kilo Volt
LDC Lower Development Company
LHV Lower Heating Value
LIBOR London Interbank Offered Rate
LIWV Lightning Impulse Withstand Voltage
LNG Liquefied Natural Gas
LP Low Pressure
LTSA Long Term Service Agreement
LV SWGR Low Voltage Switchgear
MACC More Advanced Combined Cycle
MCC Motor Control Center
MCF Million Cubic Feet
MCM Million Cubic Metre
MGMCL: Maddhapara Granite Mining Company Limited
MHPS Mitsubishi Hitachi Power Systems, Ltd
MMCFD Million Cubic Feet per day
MoPEMR Ministry of Power Energy and Mineral Resources
MPa abs Maga Pascal absolute
MPag Mega Pascal Gauge
MT Million Ton
MTPA Million Ton Per Annum
xii
MV SWGR Medium Voltage Switchgear
MW Mega Watt
NEXI Nippon Export and Investment Insurance
NFPA National Fire Protection Association
NOx Nitrogen Oxides
NPW Net Present Worth
NTP Notice to Proceed
ODAF Oil Direct Air Forced
OECD Organization for Economic Co-operation and Development
OEM Original Equipment Manufacturer
OLR Overhead Relay
ONAN Oil Natural Air Natural
OPEC Organization Petroleum Exporting Countries
OTC Offshore Technology Conference
PABX Private Automatic Branch Exchange
Petrobangla Bangladesh Oil, Gas & Mineral Cooperation
PGCB Power Grid Company of Bangladesh Limited
PGCL: Pashchimanchal Gas Company Limited
PP Power Plant
ppm Parts Per Million
PPP Public Private Partner
PQ Pre-Qualification
Pre-FS Pre-Feasibility Study
PSMP 2016 People’s Republic of Bangladesh Power & Energy Sector Master Plan 2016
PWC Price Water House Coopers
RE Renewable Energy
RH Relative Humidity
RMS Regulating Metering Station
RPCL Rural Power Company Limited
RPGCL: Rupantarita Prakritik Gas Company Limited
SAT Station Auxiliary Transformer
SGCL: Sundarban Gas Company Limited
SGFL Sylhet Gas Fields Limited
SGX Singapore Exchange
Siemens Siemens AG
SIWV Switching Impulse Withstand Voltage
SOx Sulfur Oxides
SPC Special Purpose Company
SPM Suspended Particulate Matter
xiii
SSS Clutch Synchro Self Shifting Clutch
ST Steam Turbine
STEP Special Terms for Economic Partnership
SWGR Switch Gear
TGTDCL Titas Gas Transmission and Distribution Company Limited
TDS Total Dissolved Solids
TJ Ton Joule
UAT Unit Auxiliary Transformer
UPS Uninterruptible Power Supply
USC Ultra Super Critical Power Plant
USD United State Dollar
VAT Value Added Tax
W/cm2 Watt per square cent meter
WEO World Energy Outlook
Δ-Star Delta-Star
xiv
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 1 Background and Purposes
1-1
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 1 Background and Purposes
mainly of the following three elements: 1) development of economic infrastructures; 2) stable supply of
electric power; 3) development of special economic zones. Japan will cooperate with Bangladesh in such a
manner as to allow Bangladesh to establish high-quality infrastructures by making the most of Japan's
advanced technologies. In accordance with the agreement, concrete project development for infrastructure
construction is underway in cooperation between the two countries. Various projects, such as an ultra
supercritical coal-fired thermal power generation project and a fundamental transmission network
enhancement project, are under implementation as Japan's yen-loan projects. It is expected that further
enhancement in the electric power infrastructure section will be implemented in cooperation with Japan.
1-2
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 2 Electric Power Supply and Demand in Bangladesh and Background of the Project
2.1 Current Situation between Electric Power Supply and Demand, Supply Plans in Bangladesh
In Bangladesh, electric power development plans are drawn up under the following basic policies based
on Power System Master Plan 2016 (PSMP2016): (1) enhancement of energy infrastructures; (2) effective
use of domestic resources, such as natural gas and coal; (3) build-up of high-quality energy systems; (4) use
of environmentally-friendly clean energy; (5) human resources development for stably supplying electric
power. As described above, Bangladesh aims to become a developed country by 2041, and PSMP2016 plans
to increase the installed power plant capacity (approximately 17,000 MW at present) to 24,000 MW
(approximately 1.4 times) by 2021 and to 60,000 MW (approximately 3.5 times) by 2041.
2-1
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 2 Electric Power Supply and Demand in Bangladesh and Background of the Project
60,000
50,000
Gross Output Capacity(MW)
40,000 Hydro
Nuclear
30,000 Import
Oil Base
20,000 Gas
Coal
10,000
Power Demand
0
2015 2020 2025 2030 2035 2041
Year
Figure 2.1-1 Long term power demand and supply forecast in Bangladesh
[Source:PSMP2016]
In 2015, natural-gas-fired power generation accounted for approximately 62% of the power generation
capacity. To achieve 3E+S (Energy Security, Energy Efficiency, Environment + Safety), Bangladesh has
decided to increase particularly the share of coal-fired power generation and nuclear power generation. The
Bangladeshi government has stated the construction of coal-fired power plants as a key policy; the
construction requires a coal terminal, railroad transport facilities, and storehouses to be ready. In Matarbari
Island at present, the government is steadily advancing the development of a deep sea port, the construction
of an ultra supercritical(USC) coal-fired power plant, and accompanying port construction works. Although
Bangladesh has no domestic experience in operating a nuclear power plant, a Russian national nuclear energy
enterprise, ROSATOM, has reached an agreement with the Bangladeshi government on construction of
nuclear power plants (power generation capacity: 1200 MW 2), aiming to start commercial operation in
2024 or 2025.
Thus, the construction of coal-fired power plants and nuclear power plants and the development of
accompanying ancillary facilities have become active in order to increase the capacity of the base load power
supply. In parallel, projects for constructing gas-fired power plants are also underway. Since the ground level
of Bangladesh is low, the country is substantially affected by climate change. The occurrence of floods,
droughts, and cyclones due to global warming is accordingly presumed to become substantial impediment to
the economic development of the country. In September before the 21st Conference of Parties (COP21) of
the United Nations Framework Convention on Climate Change was held in Paris, France, in 2015,
Bangladesh submitted Intended Nationally Determined Contributions (INDC), stating that the country will
commit to 5% reduction of greenhouse gas emission (GHG) by 2030 in the industrial sector, such as electric
power and transport areas, and 15% GHG reduction in exchange for support from other countries. The
Bangladeshi government regards the GTCC construction as an effective approach for reducing GHG in
accordance with the INDC. The momentum toward construction of GTCC power plants has increased in
2-2
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 2 Electric Power Supply and Demand in Bangladesh and Background of the Project
various areas in Bangladesh as a means for satisfying both the tight electric power demand and environmental
friendliness.
6000
5000
Gross Output Capacity(MW)
4000
3000
2000
1000
0
2016 2017 2018 2019 2020
Year
Figure 2.1-2 Expected Total Output of Gas Fired Power Plant in near future (MW)
[Source:PSMP2016]
2-3
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 2 Electric Power Supply and Demand in Bangladesh and Background of the Project
2.2 Development of LNG Receiving Terminals in Bangladesh and Corresponding Power Plant Projects
To cope with decline in production at domestic gas fields and the tight electric power demand, the
Bangladeshi government has decided to promote the development of LNG receiving terminals in various
areas in the southern region, such as the Moheshkhali and Matarbari areas. (Details are described in Chapter
9.)
PSMP2016 therefore expects that development in the southern region will become active. Although the
client has not yet obtained approvals and permissions at this stage, the development of some projects is
expected to start in the future. Those projects are listed as follows.
GTCC500
15 Mohesikali Gas 2028 500
16 Mohesikali Gas 2029 500
GTCC250
17 Anowara Gas 2026 250
18 Anowara Gas 2029 250
19 Anowara Gas 2031 250
2-4
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 2 Electric Power Supply and Demand in Bangladesh and Background of the Project
SGT100
31 SGT100 -1 Gas 2027 100
32 SGT100 -2 Gas 2028 100
33 SGT100 -3 Gas 2028 100
34 SGT100 -4 Gas 2029 100
35 SGT100 -5 Gas 2029 100
36 SGT100 -6 Gas 2029 100
37 SGT100 -7 Gas 2029 100
[Source:PSMP2016]
To cope with the tight electric power demand, the Bangladeshi government has started examinations for
the development of the LNG receiving terminals and the development for GTCC in accordance with
PSMP2016. The government understands that particularly LNG import is a bottleneck in power plant
construction projects, and is addressing this issue as an urgent matter.
2-5
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 2 Electric Power Supply and Demand in Bangladesh and Background of the Project
dependence on petroleum. However, the accident occurred at the Fukushima Daiichi Nuclear Power Plant of
Tokyo Electric Power Company due to the 2011 Great East Japan Earthquake and Tsunami. As a result, the
ratio of nuclear power generation in the power generation mix deceased from 30% to 1% in 2016, and the
ratio of LNG-fired power generation increased, instead of nuclear power generation. The following illustrates
changes in the power generation mix in Japan.
■ New resources
■ Pump-up water
■ Oil, etc.
■ LNG
■ Hydropower
■ Coal
■ Nuclear
(Fiscal Year)
As illustrated above, gas-fired power generation accounts for a large portion in the power generation
mix in Japan. In addition, fuel for power generation has been transitioning to import resources, such as LNG,
due to decrease in domestic resources (particularly, natural gas). This fact suggests that the power generation
mix in Japan and the power generation mix that Bangladesh will adopt are similar.
2-6
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 2 Electric Power Supply and Demand in Bangladesh and Background of the Project
Bangladesh.
This study regards the Kawasaki Thermal Power Plant of Tokyo Electric Power Company as a model case
of the latest LNG-fired combined power plant for Bangladesh. The Kawasaki Thermal Power Plant is
equipped with world's largest MACC (More Advanced Combined Cycle) and MACC II power generation
systems and has adopted 1500C-class and 1600C-class GTCC. The outlines of the power plant are as
follows.
For the Kawasaki Thermal Power Plant, a coal-fired power generation system (total output: 1950000 kW)
was used before. However, aged deterioration was found, and modification works were proposed. The
modification works were done from the perspective of environmental friendliness and pollution prevention,
and the power generation system was converted from coal-fired to naphtha-fired, and then, naphtha-fired to
LNG-fired. LNG is supplied from Higashiogishima LNG receiving terminal. The Kawasaki Thermal Power
Plant is equipped with six shafts in total; for the Unit-1 system (first to third shafts) and the first shaft of the
Unit-2 system, MACC has been adopted, and for the second and third shafts of the Unit-2 system, MACC II
has been adopted. The plant started its commercial operation in June 2016, and all its modification works
were completed in March 2017.
A characteristic of the power plant is its high design thermal efficiency (LHV standard). It exhibits a design
thermal efficiency of approximately 61%, a world's highest efficiency. The modification improved the
generating efficiency by approximately 30% with respect to that of the early LNG-fired GTCC that was
introduced in Japan (47.2% → 61.0%). This improvement contributed to reduction in fuel consumption,
reducing CO2 emissions by approximately 30%.
2-7
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 2 Electric Power Supply and Demand in Bangladesh and Background of the Project
Figure 2.3.2-1 Historical Power generation efficiency at Kaswasaki Thermal Power Plant
[Source:TEPSCO.]
In addition, the power plant is equipped with an exhaust gas treatment facility from the perspective of
environmental friendliness to reduce the emissions of sulfur oxides (SOx), which cause acid rain, and
nitrogen oxides (NOx), which cause air pollution. Thereby, NOx and SOx emissions per kWh have
substantially been reduced.
Figure 2.3.2-2 NOx and SOx emission per kWh (international comparison)
[Source:NOx and SOx emission / OECD. Stat Extracts, complete databases available from the OECD
Library. Output / IEA Energy Balances of OECD Countries, 2016 Edition.]
The above-mentioned Japan's high-quality energy infrastructure (LNG-fired combined power plant)
technologies are presumed to be optimum technologies to satisfy both the tight electric power demand in
Bangladesh and environmental friendliness based on the Paris Agreement. They are expected to allow the
2-8
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 2 Electric Power Supply and Demand in Bangladesh and Background of the Project
2-9
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 3 Study for Basic Plan of the Project
Generally, gas turbine combined cycle power plant (hereinafter GTCC) and ultra-supercritical
thermal power plant (hereinafter USC) are candidate as high-efficiency large power plant.
Result of comparative study which is based on the actual operation of existing thermal power plant
in Japan and overseas, though it is common knowledge, since GTCC has advantages as following main
reason, detailed study will be conducted based on the premise of GTCC introduction.
◼ Gross Thermal Efficiency at Generator Terminals (LHV basis): GTCC is more than 60%
(the latest model is more than 64%), and USC is around 43%.
◼ Exhaust gas NOx: GTCC with dry low NOx burner is less than 25 ppm(vd) and it is
satisfied with environmental standard of World Bank without flue gas denitrification
system. On the other hand, USC is difficult to control less than 100 ppm even if dry low
NOx burner is applied and it is necessary to install flue gas denitrification system to
satisfy the environmental standard.
Currently, the latest model of the gas turbine installed power plant is J type or H type which has
proven and commercial operation. The proposed net output of GTCC is approx. 600MW (±10%) per
unit that the counterpart desired to install the candidate site during 1st site survey is targeted of this study.
The detailed study for expected performance of power plant is shown in “Chapter 5 Study of the Power
Plant”.
3-1
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 3 Study for Basic Plan of the Project
The study of fuel procurement is considered that the LNG import plan and its feasibility. The detailed
study is shown in “Chapter 9 Study of Gas Fuel Procurement”.
3-2
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 3 Study for Basic Plan of the Project
Gas Company (Petrobangla, GTCL etc.): Stable fuel procurement and fuel supply to GTCC
FSRU or
LNG Procurement LNG Receiving Terminal
Power Generation Company (BPDB, EGCB, RPCL etc.): Stable power generation and power supply
GTCC
Power Transmission & Distribution Company (PGCB, DEDCO etc.): Stable power transmission and power
distribution
3-3
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 3 Study for Basic Plan of the Project
In this study, it is conducted to study conceptual design, initial environmental examination and
economic analysis, etc. of project business model for power generation company who is counterpart will
be expected enterprises.
Also it is implemented to investigate for the fuel procurement method based on the LNG import plan
in Bangladesh.
3.3 Study for project basic plan and major items of the power plant
The project basic plan and major items of the power plant are shown below.
3-4
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 3 Study for Basic Plan of the Project
Table 3.3-1 Project Basic Plan and Major Items of the Power Plant
Power Generation
BPDB EGCB RPCL
Company
Candidate Site Siddhirganj Feni Gazaria
Total Output at 1,200 ± 10% MW 1,200 ± 10% MW
600 ± 10% MW
Terminal Point (600 ± 10% MW x 2) (600 ± 10% MW x 2)
Approx. 320,000 m2 Approx. 320,000 m2
Site Area*1 Approx. 98,000 m2
(400 m x 800 m) (400 m x 800 m)
Power Generation Type 1600 °C Class GTCC
Number of GTCC*2 1 on 1 x 1 1 on 1 x 2 1 on 1 x 2
Shaft Configuration Single Shaft (without Bypass Stack & Bypass Damper)
Wet Type Wet Type
Condenser Cooling Once-through
Cooling Tower Cooling Tower
Method (River Water)
(Ground Water) (River Water)
Main Fuel
LNG or Natural Gas / NA
/ Backup Fuel
*1: Site Area includes existing facilities which will be demolished or reused at Siddhirganj
*2: Plot Plan will be reported at 4 units included future plant at Feni and Gazaria
[Source: Study Team]
3-5
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 3 Study for Basic Plan of the Project
Feasibility Study 8M Submit the final report to METI by end of Feb. 2019
Environmental Impact Assessment by Counterpart 6M Environmental Certificate before Yen Credit Request
Selection of Consultant 9M
3-6
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 3 Study for Basic Plan of the Project
In addition, in case of Export Credit Agency (ECA) loan, the overall schedule of the project up to
completion can be significantly shortened as compared with the above Yen credit case since
intergovernmental negotiations is not required.
The shortest case of overall schedule is shown in below.
Feasibility Study 8M Submit the final report to METI by end of Feb. 2019
Selection of Consultant 6M
Selection of Contractor 9M
Negotiating Loan Agreement with JBIC 12M L/I, Preliminary Offer and Financial Offer by JBIC
Conditions Precedent and Apply to NEXI 12M Legal Opinion, Letter of Guarantee, Specimen Signature
3-7
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 4 Select of Project Candidate Site
4-1
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 4 Select of Project Candidate Site
Dhaka
Siddhirganj
Gazaria
Feni
4-2
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 4 Select of Project Candidate Site
Main Gate
Existing RMS Sitalakhya River
100MW IPP Diesel Plant
Outfall
(1) Access
The candidate construction site for new GTCC is vacant space in the existing Siddhirganj thermal power plant
which is about 2.5 km away from the Dhaka - Chittagong highway.
Since the road condition from highway to power plant is terrible and the road width is not enough for passing
heavy vehicle during construction period, it is recommended to improve and expand the access road from highway
to power plant.
Also, for transporting of heavy equipment such as gas turbine, generator, transformers, it is recommended to be
transported by barge etc. on Sitalakhya River which is located on the east side of Siddhirganj thermal power plant.
It seems to be able to use existing unloading jetty which is located in existing Siddhirganj thermal power plant
after conducting the necessary improvement such as reinforcement.
(2) Site
4-3
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 4 Select of Project Candidate Site
In the beginning plan, the new GTCC is planned to construct in vacant space where is west side of existing BTG,
however it was confirmed during 2nd site survey when field survey was conducted that it is not enough space to
construct new GTCC in case only vacant space can be used.
Since BPDB instructed study team to consider including reused and removal of existing facilities, the blue frame
shown in the Figure 4.2.1-1 is set as the planned construction area of GTCC.
This area includes existing facilities such as cooling water intake / discharge system, water treatment system, pipe
rack, hydrogen generating system, hydrogen storage facility, and IPP diesel plant etc.
4-4
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 4 Select of Project Candidate Site
The detailed study and the transmission route are shown in “Chapter 6 Study of Power Evacuation”.
Letend
Red frame:EGCB land acquired
Blue frame:New GTCC
Construction site
230kV Mirsarai SS
(1) Access
The candidate construction site for new GTCC is agricultural field which is approx. 24 km away from the Dhaka
- Chittagong highway.
Since the road condition from highway to power plant is terrible and the road width is not enough for passing
heavy vehicle during construction period, it is recommended to improve and expand the access road from highway
to power plant.
Also, for transporting of heavy equipment such as gas turbine, generator, transformers, it is recommended to be
transported by barge etc. on Feni River which is located on the east side of candidate site.
It is necessary to construct not only jetty and unloading facilities but also access road between candidate site and
jetty.
4-5
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 4 Select of Project Candidate Site
(2) Site
The red frame shown in Figure 4.2.2-1 is already acquired by EGCB, the total area is 999.65 acres (= 4,045,440
m2).
Since it is also planned to install together with solar power plant and wind power plant inside the red frame, the
enough area is secured for construction of new GTCC.
On the other hand, since the existing ground level is as low as approx. 3 m above mean sea level, it is necessary
to conduct site preparation work such as land filling and embankment work in consideration of the flood level and
it is recommended to complete this work before commencement work of new GTCC.
4-6
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 4 Select of Project Candidate Site
Legend:
Red frame:RPCL land acquired
Blue frame:New GTCC
construction site
400kV Meghnaghat SS
(1) Access
The candidate construction site for new GTCC is agricultural field which is approx. 21 km away from the Dhaka
- Chittagong highway.
Since the road condition from highway to power plant is terrible and the road width is not enough for passing
heavy vehicle during construction period, it is recommended to improve and expand the access road from highway
to power plant.
Also, for transporting of heavy equipment such as gas turbine, generator, transformers, it is recommended to be
transported by barge etc. through Meghna River which is located on the west side of candidate site.
(2) Site
The red frame shown in Figure 4.2.3-1 is already acquired by RPCL, the total area is 252.56 acres (= 1,022,074
m2).
4-7
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 4 Select of Project Candidate Site
On the other hand, since the existing ground level is as low as approx. 3 m above mean sea level, it is necessary
to conduct site preparation work such as land filling and embankment work in consideration of the flood level and
it is recommended to complete this work before commencement work of new GTCC.
4-8
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 4 Select of Project Candidate Site
4-9
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 4 Select of Project Candidate Site
line between Mirsarai substation and BSRM substation since these works are undergoing.
(8) It is necessary to install the set up transformer or 230kV/400kV which can be corresponded to timing of
upgrading of transmission line system.
4-10
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
5-1
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
5-2
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
The steam turbine will be of single cylinder or two cylinders, three mixed pressure, variable pressure type,
axial flow, downward flow or side flow exhaust type, with thermally insulating and noise attenuation covers,
installed indoors with overhead cranes for maintenance of heavy equipment.
The exhaust steam from steam turbine is cooled and condensed by circulating water at condenser which
located at axial direction, downward direction or side direction.
5-3
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
Figure 5.1.3-1 shows schematic diagrams for Type A, B, and C shaft configurations.
Stac
k Clutch
HRSG GT GEN ST
Stack
HRSG GT ST GEN
Stack
HRSG GT GEN
ST GEN
[Source:Study Team]
Figure 5.1.3-1 Schematic diagrams for Type A, B, and C shaft configurations
As described above, the Type A and Type B shaft configurations use one large-capacity generator that is
shared by a gas turbine and a steam turbine. The Type C shaft configuration uses one generator separately for
5-4
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
[Source:Study Team]
5-5
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
required to have the highest level of operational reliability and thermal efficiency. Steam turbines are custom-
made and designed in accordance with received orders. As gas turbines, in contrast, manufacturers' standard
design models are generally used in order to shorten their manufacturing period and to reduce costs for
designing. Specifically, an appropriate gas turbine model that meets project requirements is generally selected
from a standard product lineup of a gas turbine OEM (original equipment manufacturer). The OEM in this
context refers to a manufacturer that continuously upgrades the prototype of proposed equipment after having
completed the development of the prototype. OEMs have a sufficient understanding of the essentials of the
design of equipment that they have developed; therefore, they are capable of coping with troubles by new
approaches. That is the reason why equipment is procured from OEMs.
New gas turbines are continuously developed with performance improvement, and their design parameters
are upgraded every year. H and J class gas turbines, which deliver higher performance than F class gas
turbines, have recently been introduced. Each of the H and J class gas turbines has a proven track record of
100,000 hours or more of actual commercial operation; they are thought to be sufficiently mature models.
A gas turbine for 50 Hz (hereinafter, referred to as 50-Hz turbine) is often created by scale design based on a
gas turbine for 60 Hz (hereinafter, referred to as 60-Hz turbine), and both have theoretically the same
mechanical strength characteristics. This fact suggests that both 50-Hz turbines and 60-Hz turbines have the
same operational reliability. In addition, MHPS M701J Series (J class 50-Hz turbines) and M501J Series (J
class 60-Hz turbines) have been used in 600,000 hours or more of commercial operation; it can be judged
that operational reliability has been ensured for them. In the latest M701J Series, combustion chambers have
been changed from the original steam-cooling type to the air-cooling type, which is superior in operability.
On the other hand, GE 9HA.01 (H class 50-Hz turbines) and 7HA.01 (H class 60-Hz turbines) have been
used in 230,000 hours or more of commercial operation. And Siemens 8000H series of 50Hz type and 60Hz
type have been used in 1,000,000 hours or more of commercial operation. Therefore, MHPS/J series, GE/H
series and Siemens/H series have sufficient operating experience. Currently, the number of MHPS M701J
series units in commercial operation is reported to be two units.
On the basis of the above discussion, the study team selected the following three types of gas turbine models
as targets of this study: "J Series (H Series)"
5-6
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
cold end.
Each gas turbine must be equipped with a starting system, a lubricating oil supply and cooling system, an
intake air filtering system, a fuel gas supply system, a turning gear, and control and monitoring devices
necessary for performing safe, reliable, and efficient operation on specified fuel.
The gas turbines are designed to be installed indoors to meet requirements specified for noise prevention.
The gas turbines are designed to combust fuel gas with a composition within a specified range, and
thereby, to start, perform continuous base-load operation, and stop in accordance with the standards
determined by their manufacturers.
Each gas turbine is equipped with an automatic-starting and stopping, and automatic-control system that
can be operated from the central control room of the relevant power plant.
Each gas-turbine control system needs to be capable of performing the following operations for combined
cycles.
• Operation in which a load between the minimum and maximum loads is always continuously
applied
• Governor-free (speed droop) operation
• Operation in which the turbine inlet temperature is constant
• No-load operation that is performed without synchronization during a specified period
• Operation with the steam turbine bypass valve fully closed under a minimum load in a combined
cycle
• Automatic purge cycle that ensures specified natural gas be removed from the whole gas turbine,
the whole exhaust system, and the stack; the purge time is adjustable.
• Load rejection from a full-load state that is performed without any trip in order to facilitate re-
synchronization
Each gas turbine needs to have a structure in which its casing can be horizontally divided, and thereby,
convenience for maintenance and management is ensured, allowing the states of rotor and stator blades to
be easily checked.
The casing of the whole gas turbine has a structure that allows the casing to be removed in overhaul
inspections and checks and to be easily replaced. The casing is covered with a material having heat-
insulating and soundproof properties. The heat-insulating material shall not contain asbestos and shall be
incombustible and chemically inert; it shall be covered with a metal sheet or glass cloth. The heat-
insulating material and the soundproof material are designed to prevent lubricating oil from permeating into
them.
Around each gas turbine, a space is ensured for work to be done without being disturbed by piping,
wiring, walls, or the like.
As journal bearing, a sleeve bearing shall be used. Under consistently stable operation conditions, the thrust
5-7
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
in the shaft direction is applied in one direction and received by the thrust bearing. All the bearings are fluid
bearings. Outlet lubricating oil thermometer and a monitoring device for the thermometer and a vibration
sensor and a monitoring device for the vibration sensor are provided. The monitoring devices generate
warning and trip signals in accordance with the standards determined by their manufacturers. Important
internal parts can be checked by using a borescope without removing the casing.
Figure 5.2.1-1 illustrates the longitudinal section of a typical J class gas turbine, a gas turbine that may be
used in this project.
5-8
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
5-9
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
(2) Starter
The starter and the power supply facility related to it must be suitable for the acceleration of the gas
turbine and the generator and combustible gas purging from the gas turbine. The rating of the starter is
specified appropriately so that a sufficient starting torque and a sufficient accelerating torque will be
generated to allow the gas turbine and the generator to be accelerated easily from standstill state to the rated
speed within 25 minutes (excluding the time for purging and synchronization) in any equipment state
without any problems in all the specified environmental temperature range. The capacity of the starter and
that of the corresponding power supply shall be minimized in the range in which acceleration to the rated
speed is possible within the specified time.
For starters used to start J class gas turbines and generators, the relevant generators shall be used as
synchronous motors equipped with a static frequency converter (thyristor type) because other types of
starters are not suitable from technical and economical viewpoints.
An interlock must be incorporated so as to prevent the gas turbine and the generator from starting when
the oil pressure of lubricating oil is not sufficient to rotate the rotor of the gas turbine or that of the
generator.
The starter is automatically separated and stopped before the rated speed is reached. It is generally
separated when the gas turbine has reached the self-sustaining speed, and out of operation while the gas
turbine is operating. In case of failure in separation, the starting operation will be automatically suspended.
The gas turbine and the generator must be able to be immediately started from the resting state while they
are in a standby state.
The startup control system that performs turning and other prestart operations shall allow the following
automatic operations to be performed.
Automatic startup: The startup sequence automatically proceeds up to a state with the preset governor
minimum speed, a state of the completion of preparation for combining synchronizing, or a state with a preset
load.
The startup control system must be equipped with an automatic purging function in order to ensure safe
operation.
5-10
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
of the lubricating oil supply system such as oil filters are replaced for maintenance, and sufficient quantities
of spare parts shall be kept.
In a single-shaft configuration, the lubricating oil supply system shall be shared with the steam turbine.
When the oil supply system has not yet sufficiently been used in actual commercial operation, the total
lubrication capacity is determined on the basis of performance data provided by its equipment supplier in
such a manner that the retention time calculated from the lubrication capacity in the minimum operation level
or a lower level and the ordinary lubrication capacity will not be shorter than 5 minutes.
It must be designed to, at least, issue a warning in case of any of the following events.
➢ Decrease in supply pressure of lubricating oil
➢ Decrease in lubricating oil level in oil tank
➢ Increase in discharge temperature of lubricating oil
➢ Increase in supply temperature of lubricating oil
➢ Increase in differential pressure of lubricating oil in oil filters
All the bearing drain-oil pipe lines are equipped with a visible indicator that can be checked on the
equipment installation floor surface or in the operation room.
When the AC power supply is stopped, an emergency DC oil pump for stopping the rotating shaft and
cooling the bearings is automatically activated. A pump driven by AC and DC motors connected in tandem
must not be used.
When the same system is to be used for supplying lubricating oil to two or more machines, the characteristics
of the lubricating oil must be specified by the contractor. The contractor must confirm that the specified
lubricating oil satisfies the requirements of the different machines, and that it can be locally procured. Figure
5.2.1-2 shows a typical flow of a lubricating oil supply system.
Each Bearing
Oil Cooler
Oil Filter
Oil Filter
P P P P
5-11
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
[Source:Study Team]
(4) Fuel supply system
The gas turbine combustion system shall be designed to use a dry low-NOx combustor for combusting fuel
gas. The gas turbine shall be capable of continuous operation on fuel gas.
The gas turbine combustion system must be designed to satisfy requirements for specified NOx emission
concentrations while combusting fuel gas with no water or steam injection.
Connection of the gas piping is established inside the fence on the power plant border.
The fuel gas supply system must be equipped with all the devices necessary for the start, stop, and
continuous operation of the gas turbine that uses fuel gas. Those devices include a control valve, a shut-off
valve, a flowmeter, a microfiltration filter, and a distribution manifold.
Some gas turbine manufacturers provide gas turbines equipped with fuel gas heating equipment to improve
the thermal efficiency of power plants. This equipment is capable of heating fuel gas by using feed water or
air that is extracted from the corresponding gas turbine compressor to cool the hot parts of the corresponding
gas turbine.
5-12
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
reduce the sand, dust, and salt contained in the atmosphere under the most harmful atmospheric condition in
the site.
The air filtration system shall be designed to minimize the pressure drop in the air intake system. The
number of components and devices shall also be minimized, and a differential pressure monitor must be
installed in each stage of the air filtration system.
d) Silencer
The silencer is installed in order to reduce noise from the air compressor to a level lower than a specified
level. Soundproof panels to be used for the silencer are designed appropriately so that they can be used for
30 years with the gas turbine being in a full-load state. Soundproof panels to be used for the silencer shall be
made of stainless steel. Filler and panels shall be able to completely withstand the most harmful atmospheric
condition that is expected for the site. To prevent the subsidence and coagulation of the filler, preventive
measures are taken. The material of the filler is an insectproof material.
5-13
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
Weather Louver
Prefilter
S ilencer
HEPA filter
Figure 5.2.1-3 Typical air intake system equipped with two-stage filtration system
[Source:Study Team]
5-14
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
HRSG is provided with a structure that allows checks to be easily made on the gas path section, heat
exchanger tubes, and other pressure parts in order to minimize the suspension time required for maintenance
and checks. It is equipped with an access door or access hatch for maintenance and checks with a sealed
structure for preventing leakage to the atmosphere.
HRSG is of an outdoor type, and the whole HRSG is designed to be waterproof. It is equipped with a roof
to protect humans and components (drum accessories, valves, and circulating pumps) from the external
environment. The drum capacity is determined appropriately so that when one boiler feed pump trips, HRSG
will not trip before a backup feed pump is activated.
HRSG has drums, superheaters, reheaters, evaporators, economizers, headers, downcast
pipes, and attendant piping and is supported by a steel structure. This structure except ordinary
passages, frames, stairway, and other connecting portions is separate from other buildings.
Appropriate consideration shall be given to HRSG, auxiliary equipment, and accessories particularly in
design of parts and structures so as to allow them to cope with both the base load and cyclic loading. Design
consideration shall be given to HRSG so that it can perform temperature matching with the steam turbine.
5-15
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
HRSG is designed to be suitable for the normal and abnormal operation conditions of a combined cycle
plant backed by its actual experience. The gas side of HRSG is designed to cope with the maximum
temperature, pressure, and flow rate of flue gas under all the predicted operation conditions (including trip
conditions).
In case of full load rejection, the heat load on HRSG will be released to a condenser by a turbine bypass
system without making a safety valve blow.
HRSG is planned to start simultaneously with the gas turbine.
HRSG is optimally designed so that it can continuously perform efficient operation in the whole operation
range of the gas turbine.
The quality of feed water must satisfy the criteria for application and meet the requirements of HRSG and
the steam turbine.
5-16
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
load, an appropriate circulation ratio is set. To enhance the heat transfer characteristic, fin tubes, heat
exchanger tubes with fins attached on their outer surface by continuous welding, are used.
4) Evaporators
The high-, intermediate-, and low-pressure evaporators are designed to be capable of operating without
fouling or vibrations in the whole load range and to make the flow rate evenly distributed within heat
exchanger tubes. The elements of the evaporators shall be made drainable.
5) Economizers
The high-, intermediate-, and low-pressure economizers are designed to be capable of performing safe
operation with a single-phase flow without steaming throughout the whole load range of HRSG. The elements
of the economizers shall be made drainable.
5-17
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
8) Safety valves
The number, volumes, and installation locations of safety valves are specified in accordance with the
requirements of related international standards.
5-18
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
Table 5.2.3-1 shows the basic specifications of the steam turbine (when the power plant is a combined cycle
plant using a J series gas turbine in the Type A shaft configuration with a condenser arranged in an axial
direction). The steam turbine consists of two casings or a single casing and is connected to the generator via
an SSS clutch.
The steam turbine is designed to minimize the number of bearings and to be installed on a steel base
foundation, or an appropriate steel structure and a concrete foundation. The shafting shall withstand either
the transient torque on the rotor occurring due to a short circuit of the generator or that occurring due to
asynchronous connection establishment, whichever is larger. The generator is located in the front of the
turbine.
The height of the mounting surface of the steam turbine is minimized by adopting axial-exhaust or side-
exhaust, and thereby, the height of the turbine building is reduced.
The turbine blades are designed to be capable of withstanding continuous operation under any load when the
frequency of the system is somewhere between 48.5 and 51.5 Hz (with an allowable time limit set up when
5-19
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
5-20
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
Condenser
LP Turbine
HP Turbine
IP Turbine
5-21
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
(2) Condenser
The condenser is of a single-shell and one pass (or two pass) type of surface cooling. The material of
condenser tubes is generally titanium.
5-22
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
Also, the power supply system of common equipment, Emergency Diesel Generator (EDG) and Black
Start Diesel Generator (BSDG) for restart the power plant when blackout is happened should be considered
in this system.
The main circuit of new GTCC will be connected to existing facilities.
Though the generation voltage of generator is planned at 23 kV, it will be designed by equipment supplier
conclusively.
The generation voltage is stepped up to 230 kV by GSUT, and fed to 230 kV National Grid.
230kV GIS
Swi tchyard
GCB
Uni t Auxiliary
Gen Generator Tra ns former
MV Swi tchgear
Connected to
Exi s ting MV
Bl a ck Start Diesel Swi tchgear
Generator
G
LV Tra nsformer
LV Swi tchgear
Emergency Diesel
G
Generator
During the GTCC operation, the power source to the unit auxiliary loads under 6.9 kV unit bus will be fed
from the UAT and distributed to each MV SWGR.
During the GTCC start-up, the power source to the unit auxiliary loads will be fed from 230 kV Switchyard
via GSUT and UAT or SAT.
The GTG will be synchronized the grid network system by closing of Generator Circuit Breaker (GCB).
5-23
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
The electrical system for one GTCC will be designed on the basis of the single shaft configuration having
one Generator (hereinafter called as “Gen”), one Generator Step-up Transformer (hereinafter called as
“GSUT”), one Unit Auxiliary Transformer (hereinafter called as “UAT”), and other electrical equipment
(Medium Voltage Switchgear (MV SWGR), Low Voltage Switchgear (LV SWGR), Motor Control Center
(MCC), DC System and Uninterruptible Power System (UPS)) and etc.
Also, the power supply system of common equipment, Emergency Diesel Generator (EDG) and Black
Start Diesel Generator for restart the power plant when blackout is happened should be considered in this
system.
Though the generation voltage of generator is planned at 23 kV, it will be designed by equipment supplier
conclusively.
The generation voltage is stepped up to 400 kV by GSUT, and fed to 400 kV National Grid.
400kV AIS
Swi tchyard
Generator Generator
Step-Up Tra nsformer Step-Up Tra nsformer
GCB GCB
Uni t Auxiliary Uni t Auxiliary
Gen Generator Tra ns former Gen Generator Tra ns former
MV Swi tchgear
Bl a ck Start Diesel
Generator
G
LV Tra nsformer
LV Swi tchgear
G Emergency Diesel
Generator
During the GTCC operation, the power source to the unit auxiliary loads under 6.9 kV unit bus will be fed
from the UAT and distributed to each MV SWGR.
During the GTCC start-up, the power source to the unit auxiliary loads will be fed from 400 kV Switchyard
via GSUT and UAT.
The configuration of unit power supply system should be able to back-up each other unit for high reliability.
The GTG will be synchronized the grid network system by closing of Generator Circuit Breaker (GCB).
(2) Generator
1) Generator
Generator specification is shown as follow.
5-24
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
5-25
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
4) Excitation System
Static Thyristor Direct Excitation System is employed as excitation system, it is composed of excitation
transformer, thyristor rectifier, field circuit breaker and Automatic Voltage Regulator (AVR) equipped with
Power System Stabilizer (PSS). Generated voltage at generator is controlled to a set values by AVR.
(3) Transformer
1) GTG Step-up Transformer (GSUT) (Common for three sites)
The GSUT will step up from the GTG voltage to the switchyard voltage (400kV or 230 kV) and will be
oil immersed three phase transformer with an on load tap changing mechanism.
The cooling type will be ONAN (Oil Natural Air Natural) / ONAF (Oil Natural Air Forced) or
ONAN/ODAF (Oil Direct Air Forced) type and phase connection will be Delta-Star (Δ-Y) type.
5-26
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
Since the UAT is large capacity, the transformer will be three winding transformer that the secondary
winding is dual helical winding. The capacity will be decided taking into consideration the unit loads.
1) MV SWGR
The voltage of MV SWGR will be 6.9 kV.
The MV SWGR will supply the power to auxiliary equipment of power plant and LV SWGR through
power center transformer and will be installed at indoor.
2) LV SWGR
The voltage of LV SWGR will be 400 V / 230 V.
The LV SWGR will supply the power to auxiliary equipment of power plant and MCC and will be installed
at indoor.
3) DC supply system
The 220 V DC supply system will have battery, charger, and distribution board. DC load will be supplied
by the power from DC distribution board.
It is necessary to have sufficient battery capacity so that power plant can shutdown safely.
5-27
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
7) Site grounding
IEEE 80 recommendation will be used to determine grounding system design for the power plant. The
entire ground grid system will exclusively utilize copper conductors and grounding rods with exothermic
connection for in-ground connections.
The design of all instrumentation and control systems will provide maximum security for plant personnel
and equipment, while safely and efficiently operating the new GTCC under all conditions with the highest
possible availability.
5-28
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
Operator workstation with Human Machine Interface (HMI) and a microprocessor based Distributed
Control System (DCS), including redundant controllers using a plant-wide redundant communication
highway, will be provided to allow the operators to control the GTCC and to receive monitoring and alarm
information.
➢ DCS control module and power supply module are duplexed, however I/O card is
single type.
➢ Dual power supply system (1 AC system and 1 DC system)
➢ Performed by HMI during normal operation
The operating and monitoring system of the power plant will be configured from the DCS, the information
management system, maintenance and repair system, network system, and related equipment. The DCS is
comprised of the HMI, turbine control system, data assembly system, sequence control system, process I/O
system, and peripheral equipment. Each independent system is interfaced with the DCS.
5-29
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
instruments
⚫ HRSG control and protection
⚫ Generator protection, excitation, voltage regulation, and synchronization systems
⚫ Electrical equipment control and protection including supervisory instruments
⚫ Balance of plant control
➢ Data collection
⚫ Scan and alert
⚫ Process computation (including performance computation)
⚫ Data logging function and data display
➢ Common equipment to be operated and monitored by DCS
⚫ Gas booster compressor system (if necessary)
⚫ Water treatment system
⚫ Wastewater treatment system
⚫ Switchyard system etc.
➢ Maintenance function: Maintenance tools, so called Engineering Work Station (EWS) for the
maintenance of the DCS, will be installed and these tools will have the following functions.
⚫ Control system setting / modification function
⚫ Logic diagram setting / modification function
These systems have independent monitoring and control. In the event of a defect in the devices, the impact
on the power plant will be large. For this reason, the calculation system, power supply system, etc., are
multiplexed in order to contribute to the reliable operation of system.
The operator can select each mode to correspond to the plant condition. The typical control modes are
shown in the following table.
5-30
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
The space of existing CCR is designed for including future planned BTG at Siddhirganj. However, it is
not planned to construct future planned BTG currently. Based on counterpart intension, since the empty space
at existing CCR is enough space for new GTCC, it is planned to reuse a part of existing CCR for new GTCC
in case there are no technical issues,.
Please note that since it is impossible to secure the space for control room and electrical room of new
GTCC at existing BTG area, it is necessary to install new control room and electrical room of new GTCC at
another place even though new CCR of GTCC can be installed at existing CCR.
5-31
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
1) General
The compressed air is classified into control air and service air. The control air is supplied to the drive
sources for air operated control valves and other air operated control devises. The control air should be oil-
free.
The service air is used for sealing, cleaning and maintenance of plant auxiliaries. Also, the service air can
supply to control air system as back-up in case of decreasing the pressure of control air. The following shows
a schematic diagram of compressed air system.
Instrument Air
Air Dryer Instrument
Compressor Air Receiver
Equipment
Instrument Air
Compressor Air Dryer
100% x 2 100% x 2
Instrument
Air Receiver
Service Air
Compressor
Service 100% x 2
Air Equipment
Receiver
Service Air
Compressor
100% x 2 100% x 1
2) Siddhirganj
The compressed service air system (Capacity: 28.4 Nm3/min) and the receiver (2 x 10 m3) are in operation
for existing BTG.
It is recommended to install new compressed control air system with general design concept and
comprehensive remodel of compressed air system since it is high possibility that air control valves are
installed to new GTCC.
5-32
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
Jocky Pump
Switchyard Dry Chemical Turbine Lubricant System
2) Siddhirganj
The fire-fighting tank (2 x 1,000 m3), jockey pump (2 x 25 m3/h), electrical motor driven pump (2 x 400
m3/h) and emergency diesel engine driven pumps (2 x 400 m3/h) are in operation for existing BTG.
It is recommended to comprehensive remodel of fire-fighting system with general design concept.
5-33
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
Fire Water
Fire-fighting Water
Tank
Service Water
Wet Type
Condenser Cooling Water
Cooling Tower
*1 Demineralized Water
DM Tank Power Block
Plant
(makeup, GT compressor
washing etc)
To WWTP
To WWTP
Potable Water
Auxiliary Boiler
2) Siddhirganj
The demineralization plant (40 t/h x 100%), demineralized water tank (2 x 1000 m3) and wastewater tank
(1 x 1000 m3) are in operation for existing BTG.
The analysis results of demineralized water dated 15th Nov, 2018 are as follows.
Conductivity: 0.6-0.7 μS/cm
pH: 5.86-5.90
p-alkalinity: 0
Silica: 4.65-5.84 μg/l (ppb)
Hardness: 0
Iron: 5.50-6.25 μg/l (ppb)
It is recommended to remodel the existing water treatment system with general design concept to be able
to supply the water quality and quantity which is required from new GTCC power plant.
5-34
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
The detail of wastewater treatment system will be determined considering quality, quantity and frequency
of effluents from GTCC and requirement of environmental regulations.
The following shows a schematic diagram of wastewater treatment system.
Sludge
Sludge Pit
Dehydrator
Sludge Cake
Oil
5-35
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
5.2.7Switchyard
The Gas Insulated Switchgear (GIS) is planned at Siddhirganj and Air Insulated Switchgear (AIS) is
planned at Feni and Gazaria. The double bus bars and 1.5 CB systems is applied to each switchyard.
However, even though the completion of construction period is not yet fixed at Feni, it is necessary to
decide the secondary voltage of GSUT and operating voltage of switchyard in consideration of following
construction and operation plan of transmission line planned by PGCB.
1) Construction of Mirsarai 230 kV substation and transmission line between Mirsarai substation and BSRM
substation (400 kV design).
2) The operation voltage of transmission line is 230 kV after above 1) is completed.
3) Construction of 400 kV transmission line between BSRM substation and Korerhat substation
4) Upgrade terminal voltage at power plant to 400 kV
5) The operation voltage of transmission line is 400 kV after above 4) is completed
It may be possible to reduce cost, installation area and adapt to changing the operation voltage of grid
network system easily in order to the double rating voltage type apply to GSUT because the commercial
operation date of new GTCC is not clear for the timing of above-mentioned plan.
230kV Transmission Line 400kV Transmission Line
Legend
: Isolator : Transformer
Start-up Transformer
1G 1G 2G
Siddhirganj Feni and Gazaria
5-36
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
5.3.2Plant layout
The three site of plant layout which is based on the chapter 5.3.1 is shown in below.
5-37
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
5-38
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
5-39
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
5-40
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 5 Study for Power Plant
Unit 1
Taking Over
NTP GT on base
Unit 2
5-41
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
Table 6.1.1-1 Electric Generating Entities, Proposed Site and Capacity of Power Plant
Electric Generating Entities BPDB RPCL EGCB
Site Location Siddhirganj Gazaria Feni
Net output at Transmission Terminal 660 MW x 1 unit 660 MW x 4 units 660 MW x 4 units
[Source: Study Team]
6-1
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
Table 6.1.3-2 shows the number of electric wires and conductors (number of one phase) normally used for
over 230 kV conductor.
Usually, 230 kV conductor is comprised single conductor or two (2) bundle (twin) conductor, and 400 kV
conductor is comprised two (2) bundle (twin) conductor or four (4) bundle (quad) conductor. Therefore the
capacity of transmission line per single circuit is shown in Table 6.1.3-3.
6-2
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
Table 6.1.3-3 Capacity of single circuit transmission line [Unit: MW, Power factor: 0.85]
230 kV 400 kV
Conductor Type
single twin quad twin quad
ACSR Finch 1113MCM 289 579 1,158 1,073 2,014
ACSR Mallard 795MCM 242 484 968 842 1,684
ACSR Egret 636MCM 210 421 843 733 1,467
[Source: Study Team]
To transmit 1,320 MW (660 MW x 2) with 400 kV, it is possible to transmit with ACSR Egret 636MCM
x 4 conductors (1,467 MW). To transmit 660 MW (660 MW x 1) with 230 kV, it is possible to transmit with
ACSR Egret 636MCM x 4 conductors (843 MW). However, according to the result of survey for the situation
of the site, the route of the transmission line in case of Siddhirganj, there are 2 vacant circuits on existing
transmission tower. And it is used ASCR Mallard x 2 conductors. According to the table above, the
transmission line capacity is 484 MW < 660 MW. So it is necessary to install high capacity conductor (High
Temperature Low Sag conductor) with an allowable current of about 1,000 A or more per one conductor. The
calculation of conductor capacity is shown below.
660 MW ÷ √3 ÷ 230 kV ÷ 2 conductors ÷ 0.85 = 974 A
And the high capacity conductor parameters of ACSR Mallard are shown in Table 6.1.3-4 below.
Study of insulator
(1) Types of insulators
The insulator design conditions for 400 kV and 230 kV transmission line in Bangladesh is shown in Table
6.1.4-1. The creepage distance per 1 kV is considered heavy pollution and medium pollution.
6-3
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
6-4
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
Figure 6.1.5-1 400 kV Suspension tower Figure 6.1.5-2 400 kV Tension tower
[Source: Study Team] [Source: Study Team]
Figure 6.1.5-3 230 kV Suspension tower Figure 6.1.5-4 230 kV Tension tower
[Source: Study Team] [Source: Study Team]
6-5
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
Based on the above price and considering price escalation by 2023 as below the Table 6.1.6-2, the budget
construction unit cost (USD) is calculated as follows by exchange rate (October 2018 average value 83.83
BDT / USD).
400 kV x 2 circuits
34.1 million BDT ÷ 83.83 BDT / USD x 1.25 = USD 0.51 million /km
170.5 million BDT ÷ 83.83 BDT / USD x 1.25 = USD 2.55 million /km (River crossing)
230 kV x 2 circuits
27.0 million BDT ÷ 83.83 BDT / USD x 1.25 = USD 0.41 million /km
6-6
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
The JICA Report contains expected power flow diagrams of years 2025 and 2035. Based on this
information, the Study Team carried out estimation of the power flow on the conditions of basic study of
transmission lines in Chapter 6.1. The summary of power flow diagrams examined is as follows.
Figure 6.2.2-1 and Figure 6.2.2-3 exclude the proposed development of power stations. That is, it is the
power flow diagram of 2025 or 2035 in the JICA Report, and based on them, the estimation of power flow
was examined for the development of proposed power stations.
Figure 6.2.2-2 shows the expected power flow in 2025, including proposed power stations of one unit of
Siddhirganj, two units of Gazaria, and two units of Feni respectively.
Since the total power flow of two circuits between Meghnaghat and Mirsarai is 1,533 MW and it is less
than 1,982 MW of transmission line capacity of one circuit (cct), it is possible to transmit all of the evacuated
power from the proposed power stations without difficulties even in case of one circuit (cct) fault.
Figure 6.2.2-4 shows the expected power flow in 2035, including proposed power stations of one unit of
6-7
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
Countermeasure I
By changing the impedance (13.5%) of the Moheskhali's 765 kV / 400 kV transformer to a low impedance,
it is possible to easily increase the power flow generated 400 kV side generators into 765 kV system. As
shown in Figure 6.2.2-5 with this countermeasure, the power flow of the 400 kV system can be reduced, and
the constant overload between Meghnaghat and Mirsarai can be eliminated.
However, in case of one circuit (cct) fault of the transmission line occurred, since its power flow exceeds
1,982 MW of the transmission line capacity of the remaining one circuit (cct), it is required to reduce the
output power of the power stations or to shut off generators. For this purpose, the overload relay (OLR)
system for transmission lines protection is installed.
Countermeasure II
By shifting the connection of two units (1,200 MW) of four machines of 400 kV side of Moheskhali to the
765 kV side, the overload under normal operating conditions between Meghnaghat and Mirsarai can be
eliminated. As shown in Figure 6.2.2-6, reducing the power flow of the 400 kV system by this countermeasure,
the overload under normal operating conditions between Meghnaghat and Mirsarai can be eliminated.
However, in case of one circuit (cct) fault of the transmission line occurred, since its power flow exceeds
1,982 MW of the transmission line capacity of the remaining one circuit (cct), it is required to reduce the
output power of the power stations or to shut off generators. For this purpose, the overload relay (OLR)
system for transmission lines protection is installed.
6-8
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
Legend in Figure
6-9
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
6-10
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
6-11
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
6-12
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
6-13
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
6-14
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
6-15
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
As a result of considering current surrounding situation at the field survey, it is appropriate to use vacant
circuit of the existing transmission tower (TW1 to TW2 in the drawing). The distance between New Tower
and Substation is 0.5 km. According to the PGCB, the transmission tower is designed the conductor type for
230 kV_ASCR Mallard x 2 conductors. However, since this type of conductor is not possible to carry 660
MW, it is recommended to use high capacity conductor instead.
Up to the Siddhirganj substation, there are many facilities and the vacant space is also limited. So it is
difficult to construct new transmission line from new GTCC, hence, the underground 230 kV cable placing
from new GTCC to transmission line at TW2 is planned.
The situation of substation bay, there are two (2) vacant bays shown in Figure 6.2.3-2 and the study team
confirmed with the PGCB that these two bays are not planned to use for the future. It is recommended to
order early for using because it is on a first-come-first-served basis. The circuit breaker rated current is 2,500
A, and interrupting capacity is 50 kA. These are enough to power evacuate new GTCC.
6-16
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
6-17
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
The existing tower TW2 is designed for four circuits power transmission tower as shown Figure 6.2.3-3
below. The lower two circuits are not used and can be used (necessary for reconfirmation design situation).
However, there are two issues.
First, regarding to the position of new termination structure (red square in the drawing Figure 6.2.3-1), it
is necessary to remove the existing facilities as shown in Figure 6.2.3-1 route of the transmission line above.
The study team got reply from the power station engineer that it is possible to be removed in the interview at
field survey. The detail position is decided taking into consideration the design conditions of TW2 and
separation and clearance from other facilities.
Second, regarding to the existing transmission tower TW1, existing 132 kV transmission line has placed
on the tower as shown in Figure 6.2.3-4. Therefore, though the 132 kV transmission line shall be removed or
relocate before placing new circuits, the study team got reply that it is possible to be replaced in the meeting
with PGCB.
Figure 6.2.3-3 Photo and Image drawing of existing transmission tower (TW2)
[Source: Study Team]
6-18
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
Figure 6.2.3-4 Photo and Image drawing of existing transmission tower (TW1)
[Source: Study Team]
6-19
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
There are four alternative routes for this project. As a breakdown shown in Figure 6.2.3-6 above that;
Plan 1-1 (Yellow line) and plan 1-2 (Purple line) are shown planned transmission line to be connected to
planned 400 kV substation.
Plan 2 (Blue line) is shown planned transmission line to be connected to 400 kV transmission line (Red
line).
Plan 3 (Light blue line) is shown the planned transmission line to be connected to planned 230 kV
substation.
The route which is connected to under construction 400 kV substation is selected based on these above
four routes, considering the power generation plan and recommended connection point by PGCB. To connect
to 400 kV substation is considered two ways as shown in Figure 6.2.3-7 (Plan 1-1 and Plan 1-2). Considering
the route of D-C line construction project, making use of the bay of 400 kV Meghnaghat substation, and the
result of field survey, the recommended plan is plan 1-1 (the line distance is 13.0 km).
Although a part of this route is flood area during rainy season, the transmission line should be constructed
in dry season. Although there are some buildings and private houses on proposed route, transmission line can
be constructed avoiding them.
It is long span to cross Meghna river whose width is about 1,100 m, but it is not problem because the D-C
line which is preceding project of this project is studied to be able to construct.
6-20
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
6-21
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
There are two alternative routes for this project. As a breakdown shown in Figure 6.2.3-8 above that;
Plan 1 (Yellow line) is shown planned transmission line to be connected to planned 400 kV Mirsarai
substation which is based on information from PGCB. The line distance is 7.4 km
Plan 2 (Blue line) is shown planned transmission line to be connected to planned 400 kV substation at D-
C Line. The line distance is 29.1 km. However, the position of Korerhat substation is assumed.
Considering the current generation capacity of the power plant and the construction cost of the transmission
line and the interview result with the PGCB, it is reasonable to connect to the 400 kV Mirsarai substation
(under planning) of the industrial park under construction, which is recommended by the PGCB (Plan-1
route). However, it is necessary to consider the construction plan of Mirsarai substation and Korerhat
substation and their associated transmission lines.
Although this area is flood area during rainy season (It requires more detail survey), it is possible to be
constructed in dry season. There are no buildings and private houses in the surveyed area. And also these
could not be found on Google earth.
6-22
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
According to information from EGCB, it is likely that the Mirsarai substation will not receive 400 kV and
will receive 230 kV at the completion of new GTCC. Also it is likely to be operated at 230 kV with preceding
solar power plant (50 MW). In that case, the transmission line is designed as 400 kV and will be operated at
230 kV. It is necessary to plan considering conversion method after 400 kV power transmission reception.
6-23
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 6 Study of Power Evacuation
6-24
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chpater 7 Environmental Evaluation
7-1
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chpater 7 Environmental Evaluation
The proposed Project falls under the ‘Red’ category under the Environment Conservation Rules (ECR),
1997 of Bangladesh Government and needs both Initial Environmental Examination (IEE) and as pre-
examination of Environmental Impact Assessment (EIA) study for site clearance certificate from the
Department of Environment (DoE). This report is limited to the IEE study of 600 ±10% MW Gas fired
Combined Cycle Power Plant at Siddhirganj for obtaining site clearance certificate.
7-2
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chpater 7 Environmental Evaluation
by local fishermen in the study area under the catchment of Shitalakhya River.
Ecosystems of the study area characterized by urban and semi-urban natures and the River Shitalakhya
hold the major aquatic ecosystem which does not support significant population of aquatic animals due to
pollution by urban and industrial waste. However, the Ganges River dolphin occurs in this River for 3-4
months in peak monsoon.
Shitalakhya River is an Ecologically Critical Area passing beside Siddhirganj Power Station. Except this
River, there is no designated protected area located within the site or 10 km surroundings of the study area.
The site does not hold any core habitat of any endangered wildlife. As the project will be implemented inside
the previously occupied land of Power Plant, no direct land or agricultural loss will happen.
About 2,541,696 population in 591,307 nos. of households with the average density of 4,858 people per
kilometer are residing in the study area. Sex ratio of 112 indicates that there are 112 male against of 100
female. The area is found to be dominated by service holders, as 57% of employed population are serving in
different government and non-government organization in the study area.
7.1.4 Countermeasure
In consideration of the above points, the below concrete plan is required to mitigate environmental impact.
1. The visual beauty or the scenic view may be changed only during demolition and evacuation stages of
the existing Power Plant which will revive enormously after construction of this Combined Cycle Power
Plant. During demolition and construction stage, Suspended Particular Matter (SPM), debris and loose
7-3
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chpater 7 Environmental Evaluation
soil, Green House Gases (GHGs) from machinery, engines and vehicles may release but it is small impact
environmentally. Garbage, sanitary waste and domestic waste may be generated from labour sheds.
Considering these impacts, water spraying, temporary STP, use of low GHG emission equipment and
machineries must be used. Generation of high noise should be protected at sources and temporary noise
barrier during demolition and construction stages should be used.
2. Establishment of this Power Plant at the existing one implies no agricultural loss. Soil quality inside the
project area might be affected due to oil or chemical substances spill or leaking. Leaching or percolation
of liquid waste may pollute ground water. But use of efficient concrete drainage network, safety handling,
oil separator, ETP will reduce this chance effectively.
3. The proposed activities are expected to create more pressure on riverine fish habitat condition of
Shitalakhya river and fish diversity even in monsoon season. It is expected that once through thermal
plume (about 7℃ from the ambient intake water) will increase temperature at certain part of the river
and may hinder the migration of fishes. Therefore, thermal plume discharge must be limited to maximum
3℃ higher from the ambient receiving water bodies at the edge of scientifically established (mostly
100m from the outfall) mixing zone boundaries. Even the intake velocity for once through cooling system
should be maintained for keeping the velocity within the permissible limit.
4. In terms of social issue – labour recruitment and employment opportunity are found as most important
for community health, safety and risk. Health and safety management is the major concern from pre-
construction phase (demolishing stage) to construction phase. Adequate measures are suggested for
resolving the health safety impact and for improving the employment generation condition for the local
stakeholders.
5. For this IEE study, a preliminary Hazard and Risk assessment has been carried out during pre-
construction, construction and operation phase of the Project. However a more detail analysis and
assessment with mitigation measures will be carried out at the EIA stage and incorporated in the EIA
report.
6. Implementation of such a 600 ±10% MW Gas fired Combined Cycle Power Plant Project with advanced
technology requires significant skill up gradation and capacity building of the workforce of BPDB for
successful operation and maintenance of the Combined Cycle Power Plant.
7. Generation of high noise should be protected at sources and temporary noise barrier during demolition
and construction stages should be used.
8. Installation of low NOx burner will keep NOx, SPM level below the DoE standard.
7-4
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chpater 7 Environmental Evaluation
9. Development of green belt at fallow land inside the project area may reduce CO2
Compliance with the above countermeasure leads to mitigate the environmental impact and therefore it is
expected below the DoE standard.
7-5
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chpater 7 Environmental Evaluation
7-6
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chpater 7 Environmental Evaluation
600±10% MW gas fired combined cycle power plant (hereinafter called as ‘The Project’) at Sonagazi Upazila
for obtaining site clearance certificate.
7-7
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chpater 7 Environmental Evaluation
were negotiation meetings between affected land owners and project proponent to consider the rate of land
compensation while BDT 9000 per decimal was determined. The most suitable road access to the power-
plant site is Feni-Sonagazi road which is connected with Dhaka Chittagong highway and ends at Sonagazi
Upazila. From there, the site can be accessed by Sonagazi-Muhurigonj project road. The materials needed
for construction of the power-plant will be transported to the site using the river route along with road network
7.2.4 Countermeasure
In consideration of the above points, the below concrete plan is required to mitigate environmental impact.
1. Low noise and low GHG emission equipment and machineries must be used.
2. Temporary wire fencing should be given around the Project area
3. Temporary noise barrier during construction and operation stages should be used.
4. Vehicles carrying landfill soil should be well covered
5. Installation of water spraying system for mitigation of dust.
6. Abstaining from dumping solid and liquid wastes of different kinds near the
River/water body.
7. Regular excavation and cleaning
7-8
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chpater 7 Environmental Evaluation
8. The vessels should not be overloaded during materials and equipment transportation.
9. proper air effluent mitigating equipment, water spraying system, speed limiting signs,
water treatment/effluent Treatment Plant should be implemented with proper monitoring
Additionally, making the EMP for mitigation of environmental impact during pre-construction, construction
and operation stage is recommended but a more detail analysis and assessment with mitigation needs to be
carried out at the EIA stage and incorporated in the EIA report.
Compliance with the above countermeasure leads to mitigate the environmental impact and therefore it is
expected below the DoE standard.
7-9
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chpater 7 Environmental Evaluation
The proposed Project falls under the ‘Red’ category under the ECR, 1997 of Bangladesh Government which
needs both Initial Environmental Examination (IEE) as pre-examination of Environmental Impact
Assessment (EIA) study for site clearance certificate from the DoE. This report is limited to only the IEE
7-10
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chpater 7 Environmental Evaluation
study of 2 x 600±10% MW combined cycle Power Plant at Gazaria for obtaining site clearance certificate.
7-11
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chpater 7 Environmental Evaluation
7.3.4 Countermeasure
In consideration of the above points, the below concrete plan is required to mitigate environmental impact.
1. To protect impulse noise, temporary noise barrier might be adopted to enclose the noise sources.
2. Proper layout planning, fencing at construction site, aware labor about wildlife conservation activities
etc. can minimize the vegetation loss as well as wildlife threats.
3. To avoid disturbance in agricultural activities in the surrounding areas during construction phase, the
spoil of soil materials, surface runoff and generation of dusts requires to be managed through regular
monitoring and reporting to the concerned bodies of the project
4. Installation of low NOx burner will keep NOX level below the DoE standard.
5. Development of green belt at fallow land inside the project may reduce CO2 emission.
6. To mitigate CO2 emission high efficiency operation of generation equipment should be conducted.
7. Air pollution monitoring devices will be installed at the sensitive point for continuous monitoring of the
ambient pollution level.
8. Moreover, electrification, improve communication and industrialization will create enormous job
opportunity for the local communities in future.
Additionally, making the EMP for mitigation of environmental impact during pre-construction, construction
and operation stage is recommended but a more detail analysis and assessment with mitigation needs to be
carried out at the EIA stage and incorporated in the EIA report.
Compliance with the above countermeasure leads to mitigate the environmental impact and therefore it is
expected below the DoE standard
7-12
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 8 Examinations of Carbon Dioxide (CO2) Reduction
8-1
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 8 Examinations of Carbon Dioxide (CO2) Reduction
8-2
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 8 Examinations of Carbon Dioxide (CO2) Reduction
IPP
8-3
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 8 Examinations of Carbon Dioxide (CO2) Reduction
8-4
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 8 Examinations of Carbon Dioxide (CO2) Reduction
◼ Coal: 24.7
The calculation is made as follows: "Amount of generated CO2 (tons) = Fuel usage (TJ) Carbon equivalent
emission factor (ton-C/TJ) 44/12."
The following Table 8.1.1-1 lists the generated energy and the amount of CO2 emissions as calculated results
corresponding to each fuel type in each sector.
The FY2016/17 gross generation of thermal power generation in Bangladesh was 48,552.06 GWh, and the total
fuel consumption reached 28,018,958 TJ. The annual amount of CO2 emissions was 26,684,192 tons, and the
amount of CO2 emissions per unit power generation was calculated to be 550 gr/kWh. The CO2 reduction is
calculated by using this data as a baseline.
8-5
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 8 Examinations of Carbon Dioxide (CO2) Reduction
8.1.2 How to Determine the Baseline and Method for Calculating the CO2 Reduction Effect
As a baseline of the amount of CO2 emissions from each power station, the average of the actual amount of CO2
emissions (gr/kWh) for the last three years is generally used. However, this data is not found in the
environment-related data in Bangladesh. In this FS study, accordingly, the average amount of CO2 emissions, 550
gr/kWh, is used as a baseline. As described in Section 8.1.1, this value was calculated on the basis of the
FY2016/17 "BPDB Annual Report" data listed in Table 8.1-3.
In addition, the CO2 emission factor (gr/kWh) was calculated for each project case. Table 8.1.2-1 lists the
calculation results.
8-6
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 8 Examinations of Carbon Dioxide (CO2) Reduction
Table 8.1.2-1 shows that the CO2 emission factor at the generating end of each power station is reduced to
approximately 52% of the baseline (average emission factor) as follows.
◼ Baseline: 550 gr/kWh (100%)
Table 8.1.2-1 shows that the CO2 emission reduction at each power station calculated on the basis of expected
generated energy is as follows.
◼ Siddhirganj PS: 1,156,802 ton/year
8-7
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 8 Examinations of Carbon Dioxide (CO2) Reduction
FY2016/17. This project will reduce CO2 emissions by approximately 20% of the total amount of CO2 emissions. It
is therefore a very important project from an environmental perspective as well.
8-8
Feasibility Study for LNG-fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel Procurement
The proven reserves of natural gas in the world are 186.6 trillion (m3) according to the document below.
According to an estimate based on the existing technology and the present price, the reserve-production ratio
is said to be 52.5 years. By region, the Middle East accounts for 42.5% of the total (a single country, Iran,
accounting for 18% of the world total), Russia 17.3%, Europe and the former Soviet Union excluding Russia
13.1%, Africa 7.6%, the Asia-Pacific region 9.4%, the United States of America 4.7%, North America
excluding the United States 1.3%, and Central and South America 4.1%.
9-1
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
Russia
4.1%
1.3%
4.7% 17.3% Europe and Former Soviet
Union Except Russia
9.4% Middle East
Africa
7.6% 186.6 Trillion m3 13.1%
Reserve-to-
Asia Ocean Pacific
production ratio
52.5 Years
United State
42.5%
South America
As shown in Figure 9.1.1-2, the regional uneven distribution of natural gas is lower than those of other
energy resources. The reserves are expected to increase in the future due to the active development of non-
conventional natural gases, exemplified by the shale gas revolution in the United States.
Next, changes in natural gas production are shown in Figure 9.1.1-3. On the whole, production is on the
rise year by year with an average annual growth rate of 2.5%. At the end of 2016, production stood at about
3.55 trillion m3. By region, North America accounts for about 26% of world production, Europe, Russia, and
the former Soviet Union countries about 29%, the Middle East about 18%, the Asia-Pacific region about 16%,
Africa about 6%, and Central and South America about 5%.
9-2
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
4000
Amount of Natural Gas Production
(Billion cubic metres) 3500
3000
Total Asia Pacific
2500 Total Africa
2000 Total Middle East
Total CIS
1500
Total Europe
1000
Total S. & Cent. America
500 Total North America
0
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Year
The production of natural gas in each country in 2017 is as shown below. The United States has the world's
largest production of natural gas, accounting for about 20% of the total. Considering the further gas
production from shale gas, the world market share of the country is expected to continue to increase. The
world total production of natural gas in 2017 stood at about 3,680 Billion Cubic Metre (abbreviated to Bcm
in the remainder of this document). According to BP, gas demand is expected to increase stably. From this
fact combined with the fact that natural gas is inexpensive than other energy resources, natural gas production
is considered to increase in the future.
800
US, 734.5
Russian
Amount of Natural Gas Production
700
Federation, 635.6
(Billion Cubic Metre)
9-3
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
Next, LNG exports are shown below. Qatar ranks first in the world in the transport and supply of LNG,
accounting for about 26% of total LNG exports, followed by Australia with 19%. At present, an FSRU with
a capacity of about 5.2 Bcm/year operates in Bangladesh, importing LNG from Qatar.
120.00
103.40
100.00
Amount of LNG Export
80.00 75.90
(Bcm/Year)
57.20
60.00
38.90
40.00
The BP Outlook has reported that from the facts that the economic growth of the least developed countries
and poor countries, as well as the global power demand (particularly in Asia and African countries), is
expected to increase and that China, which is a large coal consumer, will shift its main resource from coal to
natural gas, those regions that can supply gas at relative low price, such as North America and the Middle
East, will expand exports. LNG exports are considered to increase by 40% for the next five years, and are
anticipated to serve as a platform supporting economic growth.
9-4
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
9-5
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
Figure 9.1.2-2 the positions of the natural gas liquefaction projects in United States
[Source:Google Earth touched by Study Team]
As of 2015, the exports of LNG from the United States stood at 1.03 Bcm/year, and the country is said to
plan to export LNG at 61.5 Bcm/year in 2020, 157.8 Bcm/year in 2030, and 203 Bcm/year in 2040, which is
9-6
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
expected to increase its world market share to about 26%. Accordingly, the United States has a potential to
become the world's largest LNG exporter.
For the natural gas and LNG pricing system, Europe and Asia adopt the oil price linkage system, in which
the prices are linked to petroleum product price fluctuations, whereas the United States, which basically
meets demand with its natural gas without relying on imports and has an advanced pipeline network, adopts
the Henry Hub price system to ensure liquidity in the market (the Henry Hub is a gas pipeline hub located in
Louisiana, USA, and the Henry Hub price refers to the price of natural gas traded there. Because of the large
amount traded there, the price serves as the price of natural gas futures in the United States), so that the gas
price, volume, and date can be determined between seller and buyer. Because the system has a low linkage
to the oil price, the natural gas price in the United States continues to decrease from the impact of the shale
gas revolution.
In recent years, the influence of the Henry Hub price on the natural gas market has increased. In Europe
and Asia, which have adopted the oil price linkage system, the oil price fluctuation range has recently been
expanded and, in addition, the imports of LNG produced in the United States have been started. For this and
other reasons, pricing systems based on the Henry Hub price have been becoming mainstream worldwide.
Thus, the natural gas and LNG market structure is going through great change due to LNG production
increase and exports in North America, and the liquidity in LNG transactions is anticipated to increase.
9-7
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
18
16
Amount of Natural Gas(Bcm/Year)
14
12
10
9-8
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
80
(Bcm/year)
60
40
20
0
2017 2018 2019 2020 2021 2022 2023
Year
The present largest importers of LNG from Qatar are Asian countries such as Korea, Japan, and India.
According to an IEA report, although in recent years, the policy guideline of the Qatari government has
been to place emphasis on exports to neighboring United Arab Emirates and Oman, using gas pipelines, it is
forecast that as of 2023, Qatar will rank first in LNG exports over the United States and Australia. As shown
in Figure 9.1.2-5, there are hardly any changes in LNG exports, but this is due to the fact that the development
of the gas field located in the north of the country was suspended. In recent years, however, the Qatari
government has shown interest in the development of LNG plants capable of exporting LNG at about 30
Bcm/year. The commercial operation of the plants is expected to start at around the end of 2023. If the
development of these LNG plants is progressed, it is anticipated that the volume to supply to Asian countries
will increase, and with the completion of the construction of gas pipelines, it is anticipated that exports will
be expanded to the Middle East and Africa, including Jordan and Egypt.
9-9
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
Capacity Commercial
Name Location
(Bcm/Year) Date
Thus far, the mainstream type of LNG export contracts in Australia has been long-term purchasing contract
with the oil price linkage system. Exports to the Asia-Pacific region, including Japan, China, Korea, and
Taiwan, are active.
Figure 9.1.2-7shows the LNG exports of Australia to each country, and Figure 9.1.2-8 shows changes in
LNG exports in the country.
9-10
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
40
35
Amount of Natural Gas
30
(Bcm/Year)
25
20
15
10
Figure 9.1.2-7 The LNG exports to each export destination by Australia in 2016
[Source:IEA Natural gas information 2018]
140
120
Amount of LNG Export
100
(Bcm/Year)
80
60
40
20
0
2014 2015 2020 2025 2030 2035
Whereas exports to the Asian region are planned to be reinforced with new LNG developments and the
stable supply of LNG in the United States and Qatar, as described above, exports to the Asia-Pacific region
are reinforced in Australia as well, based on 20-year long-term contracts, with the LNG exports in 2023 being
expected to be about 107 Bcm/year. This is expected to place the country in third place in the world after
Qatar and the United States. These three top countries together are expected to account for about 60% of
world LNG exports. It is therefore necessary to continue to pay close attention to the future efforts of the
9-11
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
country toward LNG as well as the efforts of the two countries mentioned above.
4000
3500
Consumption(Bcm/Year)
Amount of Natrural Gas
3000
Asia Pacific
2500 Africa
2000 Middle East
1500 CIS
Europe
1000
S. & Cent. America
500
North America
0
1990 1995 2000 2005 2010 2016
Year
As described above, natural gas consumption is the highest in North America, followed by Russia, Europe,
Asia, the Middle East, Central and South America, and Africa. It can be seen from Figure 9.2.1-1 that the
demand growth in the Asian region is high.
The cause of such demand expansion is considered to be the tightening of environmental regulation by
China. In China, power generation methods using coal as a main fuel have so far accounted for the majority
of the power generation mix. In recent years, however, the country aims to shift from coal to natural gas as a
measure to lesson environmental pollution, and is proceeding with the development of LNG receiving
terminals and the establishment of FSRUs, which have short construction periods and are capable to
accommodating sudden gas demand increases, at a rapid pace.
9-12
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
140
120
Amount of LNG Import
100
(Bcm/Year)
80
60
40
20
600
500
Africa
Amount of LNG Import
Latin America
0
2010 2017 2023
The LNG demand forecasts indicate that the increase rate is high in China and Asian countries except
9-13
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
China, Korea, and Japan. These countries account for about 90% of the total demand growth rate. This is
considered due to the fact that China is attempting to convert from coal-derived power generation methods
to natural gas-derived ones, as described above. Such LNG demand increases require the development of
LNG export terminals and gas fields by natural gas-producing countries. It is expected that the above-
mentioned three major countries (United States, Qatar, and Australia) will lead the market as big LNG
exporters for Asia in the future.
Table 9.3.1-1 LNG Project under Construction(Excluded United State and Australia)
Expected Capacity
Name Country
Commercial Date (Ten Thousand
9-14
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
As a summary of the above explanations, Figure 9.3.1-1 shows changes in natural gas production in
each region. It is forecast that in almost all countries, natural gas production will increase considerably
from the 2016 level according to demand. As described above, the natural gas production growth rate in
North America is the highest, which is considered to be largely due to the shale gas revolution. It is
anticipated that in the Middle East, mainly in Qatar, LNG exports will increase in the long term, although
in Iran, the progress of natural gas development projects may be delayed because of the impact of the
recent economic sanctions from the United States.
1600
Amount of Natural Gas Production
1400
1200
1000
(Bcm/Year)
800
600
400 2016
200 2040
0
Next, LNG export forecasts are shown in Figure 9.3.1-2. If the LNG projects for which the final
investment has already been decided and those that are considered as development plans proceed uneventfully,
the LNG supply capacity of Australia will increase in 2040 by a factor of about 2.5 from the 2016 level
(3.9→12.8 Bcf/day). In the United States, the capacity is expected to increase by a factor of about 200
(0.1→19.8 Bcf/day).
9-15
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
900
800
(Billion Cubic Feet per day)
700
Amount of Natural Gas
600 Others
Australia
500
Africa
400 Middle East
300 Russia
N America
200
100
0
2010 2015 2020 2025 2030 2035 2040
As for long-term LNG supply, countries in the Middle East, particularly Qatar, have previously been main
LNG suppliers, but it is expected that the United States, in which the development of new LNG projects is
remarkable due to increasing recoverable reserves of natural gas due to shale gas, will rank first in the world
in LNG exports in the future. It is forecast that the Middle East and Australia will follow, ranking second and
third in the world, respectively. It is considered that in Mozambique, Senegal, Tanzania, and other African
countries and Argentina and other South American countries, these countries will also play an important role
as gas suppliers, promoting diversity. On the other hand, it is considered that exports of LNG from Southeast
Asia will decrease in and after 2025 and the countries will become net LNG importers in around 2040,
dependent on imports mainly from Australia and the Middle and Near East.
While LNG projects are progressing all over the world, as noted above, securing materials and equipment,
as well as personnel, is considered to be a constraining factor in advancing these projects smoothly. While
the power generation fuel is being shifted from coal to natural gas due to the global power generation mix
conversion and the number of natural gas development projects is increasing sharply, it is considered to
become an issue whether drilling rigs can be secured and whether the materials and equipment for the
construction of production facilities, as well as personnel knowledgeable about development, can be secured.
The higher the difficulty of development, the bigger the constraining factors and the more difficult the
procurement. Thus, it is desired to continue to pay attention to the factors.
9-16
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
900
800
700
Amount of Natural Gas
Others
600
(Bcm/Year)
Europe
500
OECD Asia
400 China
300 India
100
0
2010 2015 2020 2025 2030 2035 2040
From Figure 9.3.1-3, the increase in demand is larger in emerging Asian countries with remarkable
economic growth, such as China and India, than in other countries, and it is expected that the entire Asian
region will account for about 70% of world LNG exports in 2040. It is considered that Asia will become the
heart of the LNG market in the future.
At present, Japan ranks first in the world in LNG imports, but in 2030, China is assumed to mark imports
more than double the current amounts and is forecast to rank first in the world over Japan. Meanwhile, the
domestic demand is considered to decrease in developed Asian countries such as Japan and Korea.
Similarly, in India, where the population increase is remarkable, the production of domestic natural gas
cannot be anticipated, but imports are forecast to increase, and it is considered that in 2023, imports will be
increased by a factor of at least about two from the 2013 level. It is also expected that the LNG demand will
also increase in emerging countries such as Bangladesh and Pakistan.
9-17
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
■Capacity (Working)
■Expected Demand
■Demand and
Supply Gap
IEA and Bloomberg examine global long-term LNG demand forecasts, as well as demand trends in Asian
countries, such as China and India, and African countries, in which the demand growth is forecast to be
remarkable. As a result of checking the views of the two companies with Figure 9.3.2 1, LNG supply will
surpass demand to create an oversupply situation as of 2020, and this is presumed to be due to the fact that
the United States and Australia have invested aggressively in natural gas liquefaction projects in an effort to
accommodate increases in demand in emerging Asian countries, particularly the sharp increase in China, as
described above. Almost all liquefaction projects that are currently under way or for which a Final Investment
Decision (FID) has already been made are expected to start commercial operation by 2024. It is forecast that
as long as these projects progress smoothly, the countries will have sufficient supply capacity to accommodate
demand at the beginning of 2020.
As of 2018, LNG demand stands at about 250 million tons. It is considered that demand will continue to
increase at an annual average rate of about 4 to 5% for the next ten years or so, and it is expected that in 2030,
annual LNG demand will increase to about 500 million tons. It is therefore considered necessary to continue
to invest in ongoing natural gas liquefaction projects, and it is considered vital to proceed with the
development of projects in not only the United States and Australia but also the rest of the world. Qatar,
which ranks first in the world in LNG exports, studies the expansion of the North Field gas field in and after
2023, seeking ways to increase the supply capacity to 110 million tons. In Tanzania, new investments have
started to accommodate medium- to long-term demand increases. For example, a liquefaction project
boasting of a supply capacity of about 20 million tons is planned (due to start commercial operation in 2026
to 2027). Nevertheless, even if new investments are canceled or an FID is made, there is a good likelihood
that terminal operation may be stopped due to construction delays and supply faults. Thus, it can be assumed
that in the medium and short term, the supply-demand situation may change to LNG undersupply. In addition,
because it usually takes about five years from an FID to the start of commercial operation, potential tight
9-18
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
supply-demand situation due to lead time is assumed to occur, and because of this, there are concerns about
the soaring of spot prices. As for the development of new projects, it will be necessary to continue to pay
attention to the trends, including the trends of those projects that are under construction.
In Bangladesh, Petrobangla, which is under the umbrella of the Ministry of Power, Energy and Mineral
Resources (MoPEMR), manages all operations relating to gas in the up, middle, and down streams, such as
①resource development, ②transport, ③supply, ④compressed natural gas and liquefied natural gas, and
⑤drilling, and the companies listed below manage operations as subsidiaries of Petrobangla.
9-19
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
9-20
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
9000
8000
3000
Gas Supply -Additional 2P
2000
Gas Supply- Existing Fields
1000
Total Gas Demand
0
Year
Figure 9.3.3.2-2 Gas Demand and Supply Forecast in Bangladesh-With Further Upstream Success
[Source:GSMP2017]
At present, gas demand surpasses supply due to the depletion of domestic natural gas resources, creating
an undersupply situation, and it has become an urgent issue in the country to increase the natural gas supply
capacity promptly. According to GSMP2017, it can be seen that, although the government of the country
should make investment in domestic natural gas production and is anticipated to make appropriate gas field
research in the future, it is indispensable to import LNG because the supply cannot meet the domestic huge
gas demand even if the undiscovered areas shown in Figure 9.3.3.2-2 are included. For the undiscovered
areas, suppliability is unclear at this moment, and it is clear that if no natural gas is produced from them, the
country needs to rely entirely on imported LNG (or LNG imported from the neighboring India using a
pipeline) in a planned manner. (Figure 9.3.3.2-3)
9-21
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
9000
8000
7000
Gas Supply-Import(Mainly
Gas Amount (mmcfd)
6000 LNG)
Gas Supply Thin Bed and
5000 Accelerated E&P
Gas Supply -Additional 3P
4000
Gas Supply -Additional 2P
3000
Year
Figure 9.3.3.2-3 Gas Demand and Supply Forecast in Bangladesh – Without Further Upstream Success
[Source:GSMP2017]
9-22
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
Figure 9.4-1 Location of LNG Onshore Terminal and FSRU Candidate Area
[Source:Google Earth touched by Study Team]
9-23
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
9-24
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
Legend:
Red Line: Candidate Route of Gas Pipeline
Existing RMS
(2) Feni
As per described at Chapter 4, the tap-off point of fuel gas supply for new GTCC is planned at Chandpur
Valve Station where is approx. 19 km away from new GTCC.
The diameter of main gas pipeline connected to Chandpur Valve Station is planned 36 inch. The diameter
of gas pipeline between Chandpur Valve Station and new GTCC is planned 20 inch since fuel gas
consumption of new GTCC (2 units) will be approx. 180 MMCFD.
The candidate route of gas pipeline between Chandpur Valve Station and new GTCC is shown in Figure
Figure 9.5.2-2. The No. 1 candidate route avoided residential area is recommended though the route of gas
pipeline will be finalized during detail engineering stage.
Since fuel gas supply pressure at outlet of RMS will be operated at 150 psig - 350 psig (1.03 MPag- 2.41
MPag) by GTCL, it is necessary to install gas booster compressor and RMS at new GTCC area in order to
meet the requirement for fuel gas pressure (5.3 MPag) of gas turbine.
9-25
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
Legend:
Green Line: No. 1 Candidate Route of Gas
Pipeline
Purple Line: No. 2 Candidate Route of Gas
Pipeline
(3) Gazaria
As per described at Chapter 4, the tap-off point of fuel gas supply for new GTCC is planned at 20 inch
branch piping of Srinagar Valve Station where is approx. 8 km away from new GTCC.
The diameter of main gas pipeline connected to Srinagar Valve Station is planned 30 inch. The diameter
of gas pipeline between Srinagar Valve Station and new GTCC is planned 20 inch branch piping since fuel
gas consumption of new GTCC (2 units) will be approx. 180 MMCFD.
The candidate route of gas pipeline between Srinagar Valve Station and new GTCC is shown in Figure
9.5.2-3. The No. 1 candidate route avoided residential area is recommended though the route of gas pipeline
will be finalized during detail engineering stage.
Since fuel gas supply pressure at outlet of RMS will be operated at 150 psig - 350 psig (1.03 MPag - 2.41
MPag) by GTCL, it is necessary to install gas booster compressor and RMS at new GTCC area in order to
meet the requirement for fuel gas pressure (5.3 MPag) of gas turbine.
9-26
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
Legend:
Green Line: No. 1 Candidate Route of Gas
Pipeline
Purple Line: No. 2 Candidate Route of Gas
Pipeline
9-27
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
The following shows changes in gas and LNG price in major countries in each category (United States,
continental Europe, and Northeast Asia).
18
16 Japan LNG
Gas Price(USD/MMBtu)
14
12 Average German
Import Price3
10
8
Netherlands TTF
6
4
US
2
It can be seen from Figure 9.6.1-1 that the gas/LNG price differs greatly between the United States, Europe,
and Northeast Asia. In Northeast Asia and Europe, in which the natural gas/LNG price has been linked to the
oil price, as described above, the natural gas/LNG price is on the rise due to soaring oil prices. In the 2000s,
the price rose to about 12 USD/million British Thermal Unit (referred to as MMBtu in the remainder of this
document). In the 2010s, due to the tight LNG supply-demand situation in the Asian markets, the price further
soared in both Northeast Asia and Europe. In Japan, in particular, the sharp increase in gas demand associated
with the shutdown of nuclear power plants due to the Great East Japan Earthquake, which occurred in 2011,
is also a factor. Due to lower oil prices in and after 2015, the introduction of the spot price, and the LNG
oversupply situation, the LNG price declined. In 2016, the price declined to 6.94 USD/MMBtu in Japan and
to about 4.6 USD/MMBtu in Europe (Netherland and Germany). In 2017, due to an increase in gas demand
associated with the cancelation of the construction of coal-fired power plants in China, the demand increase
was higher than the conventional forecast, with the result that the natural gas/LNG price rose.
The United States supplies the natural gas produced in the country throughout the country, using pipelines,
and no liquefaction costs are incurred and the transport costs are lower than those for LNG. Thus, natural gas
is less expensive than LNG, which can be seen from Figure 9.6.1-1. At present, the supply-demand balance
is in an oversupply situation due to the further increase in supply capacity with projects for the development
of non-conventional natural gases such as shale gas in recent years. Partly because of this, the natural gas
price is on the decline.
9-28
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
In 2015, total imports of LNG stood at about 245 million tons, and short-term/spot contracts accounted
for 28% of the total.
Considering how LNG markets originated, it is evident that long-term contracts are mainstream.
It can be seen, however, that the percentage of short-term/spot contracts is on the rise due to the opening up
of markets. In general, long-term contracts do not permit the changing of the LNG destination, but the number
of contracts that permit the changing is on the rise due to the movement toward the natural gas market
diversification in recent years, and retrading such as reselling is conducted. It is considered that such
movements have led to the formation of the LNG market price, causing sharp increases in the percentage of
LNG spot contracts.
Meanwhile, in Japan, China, and Korea, which rank high in LNG imports, the ratio of spot contracts
declines slightly. This is due to the fact that in response to the conversion from coal to natural gas for the
purpose of the prevention of air pollution and the shutdown of nuclear power plants due to the accident at the
Fukushima No. 1 nuclear power plant, there occurred additional demand for natural gas, which tightened the
supply-demand situation, and to cope with this, LNG imports based on long-term contracts increased. Note,
however, that the trading volume of spot/short-term contracts in units of several years was around 10% at the
beginning of the 2000s, but at present, they have increased to about 30%. This tendency is considered to
continue in the future. Based on the above, the LNG price is assumed to be as described below.
The LNG production capacity is expected to increase considerably mainly in the United States and
9-29
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
Australia. In Qatar, LNG exports are expected to continue to be stable. Note, however, that
although there are a large number of LNG development plans to accommodate demand,
undersupply may temporarily occur, considering the lead time from an FID to the start of operation.
The LNG price in Asia can be a reference index for the trading price in Japan, China, and Korea,
where the import volume is large.
For the LNG price in Asia, the oil price linkage system has been mainstream due to the existing
LNG industry structure, so that the price has been higher than the United States price. It is, however,
assumed that due to the liquidity and diversity of the LNG market, the price will be influenced by
the Henry Hub system in the United States and the spot price, and it is considered that in the long
term, the price of LNG for Asia will decrease. It is, however, considered that the price difference
due to LNG liquefaction costs and transport costs will still remain, and it is assumed that LNG
transactions referring to oil will remain slightly.
An LNG price trend forecast summarizing the above in a comprehensive manner is shown in Figure
9.6.2-2.
14
12
Natural Gas Price (USD/MMBtu)
10
0
2000 2010 2016 2025 2030 2035 2040
Year
Figure 9.6.2-2 Trend and Forecast of Natural Gas Price in main area and country
[Source:IEA]
In Figure 9.6.2-2, the prices in and before 2016 are the real prices contained in World Energy Outlook
2017 of IEA (referred to as WEO 2017 in the remainder of this document), while the prices after 2016 are
9-30
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
price forecasts based on WEO 2017. For the United States, Henry Hub prices are shown; for Japan, LNG
prices at customs; and for Europe and China, prices with consideration given to pipelines and imported LNG.
The LNG price forecast scenarios are largely divided into the Current Policies scenario (scenario that only
considers the policies implemented by the countries as of 2017), the New Policies scenario (scenario that
considers the INDC and other items of countries submitted at COP21, in addition to the policies already
implemented), and the Sustainable Development scenario (scenario that keeps the average temperature rise
as of 2100 to less than 2C from the average temperature before the Industrial Revolution).
In the New Policies case, it is assumed that due to rising oil prices, the production of shale gas in the
United States will increase, resulting in oversupply. It is, therefore, considered that in the middle of 2020, the
United States price will decline, and it is assumed that in 2025, it will be around 3.7 USD/MMBtu. From a
long-term perspective, the shale gas currently dug out is extracted from gas fields with a relatively low
difficulty in accordance with existing technology, and it is considered that if attempts are made to dig from
gas fields with a high difficulty in the future, the production cost will increase, so that the United States price
will increase to 5.6 USD/MMBtu in 2040. In Europe and Northeast Asia (Japan and China) as well, it is
forecast that LNG will remain at low prices so as to follow a natural gas oversupply situation. The LNG price
in each region in 2035 is presumed to be 7.9 USD/MMBtu in Europe, 9.4 USD/MMBtu in China, and 10.3
USD/MMBtu in Japan. It is assumed that in 2040, due to diversifying markets, not only the oil price but also
the Henry Hub price will be introduced, and it is therefore assumed that the price increase rate will slow
down due to the discount effect of the hub price. It is presumed that the price will be 9.6 USD/MMBtu in
Europe, 10.2 USD/MMBtu in China, and 10.6 USD/MMBtu in Japan.
In the Current Policies case, it is forecast that due to the expansion of demand as compared with the New
Policies case, the LNG price will further rise. On the assumption that the annual gas demand growth rate will
be 1.9% and that in 2040, LNG will account for about 24% of the world energy supply, it is presumed that
the LNG price in the United States will be 6.5 USD/MMBtu in 2040, 10.5 USD/MMBtu in Europe, 11.1
USD/MMBtu in China, and 11.5 USD/MMBtu in Japan.
In the Sustainable Development case, in which the average temperature rise in the present century is kept
to less than 2C, as described above, it is forecast that because natural gas has lower environmental load than
oil and coal, natural gas demand will expand stably until the middle of 2020, but it is forecast that after that,
demand cannot be expected to increase. This is due to the fact that while natural gas is desired to play an
important role as a base load power supply in the long term, natural gas demand will continue to remain at a
certain level because power generation with renewable energies such as solar and wind will be introduced
actively. Thus, it is presumed that due to sluggish gas demand, the LNG price will also become sluggish, and
it is presumed that the LNG price in the United States will be 3.9 USD/MMBtu in 2040, 7.9 USD/MMBtu
in Europe, 8.5.1 USD/MMBtu in China, and 9.0 USD/MMBtu in Japan.
In comparison with the IEA forecast released in 2015, the prices forecast for any region in the future are
low, and in particular, the LNG prices in Northeast Asian countries such as China and Japan will decline
considerably due to an increasing number of contracts that adopt the Henry Hub price. As described above,
at present, the LNG price is linked to the oil price, but because the exports of LNG by the United States have
begun, there is a good likelihood that the Henry Hub price will become an international index for the LNG
price. Thus, it is forecast that the LNG price will become the Henry Hub price plus the liquefaction cost and
9-31
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
The LNG price will be a reference index even in the future for the trading price in Japan, China,
and Korea, where mass imports of LNG are forecast.
It is considered that the price of LNG for Asia will decline, and it is assumed that in the long
term, the LNG price will become the Henry Hub price plus the LNG liquefaction cost and the
transport cost.
It is assumed that in the medium term, the LNG price in Bangladesh will be determined in
conjunction with the oil price based on a long-term contract. In view of the situation of the
development of new LNG projects in the United States and Australia in recent years and
considering the transport cost difference, it is assumed that the price may change in the range
of 5 USD/MMBtu to 11 USD/MMBtu.
9.7 Conclusion
From the above considerations, LNG procurement should be studied in conjunction with power demand
forecasts and power generation plans. Also, as described above, procurement schemes are complex and wide-
ranging, and their risks cannot be denied. Operation should be performed in accordance with an operation
plan based on experience and extensive knowledge.
Japan, which lacks in natural resources, has accumulated experience of more than 40 years in the past in
LNG procurement and its operation. We are confident that the great deal of knowledge obtained in Japan can
be put to use in LNG introduction plans in Bangladesh.
As previously mentioned, in Bangladesh, existing domestic natural gas resources are depleted despite the
current gas demand. A comparison between the current situation and future demand increase forecasts
reveals that statistically, the country will fall into a serious undersupply condition. In order to achieve the
economic growth policy formulated by the government, "Vision 2021," and then the policy "Vision 2041,"
it is necessary to activate the economic and industrial activities in a healthy manner. It can be said that for
this purpose, constructing new large-size combined power plants using natural gas as a clean energy source
is indispensable.
It can, therefore, be said that the very important issue in the relevant ministries and agencies to attain this
objective is to procure imported LNG in a planned and stable manner while: constructing land terminals for
LNG in the Moheshakali, Kutubdia, and Bashkali areas with the above-mentioned GSMP2017; periodically
monitoring the status of FSRU development promotion; analyzing the LNG market conditions; studying
procurement policies; and making flexible modifications as needed.
It is considered very meaningful to share the knowledge about LNG procurement possessed by Japan
with the relevant ministries and agencies of Bangladesh and establish partnership beneficial to both
9-32
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 9 Study of Fuel ProcurementStudy of Fuel Procurement
9-33
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 10 Economic Evaluation of the Project
The three proposed sites in this study are set the expected commercial operation by every entity, and therefore,
examine of the finance schemes from the various point of feasibility and easiness of finance arrangement relatively.
In this study, ①~③ of which the period for finance arrangement are relatively short will be examined.
Standard 0. 25 30 10
Preferential
Fixed Option1 0. 20 25 7
Terms for
High
Specification Option2 0. 15 20 6
3
Option3 0. 10 15 5
Longer ¥LI
40 12
option BOR+35bp
¥LI
Floating 5 Standard 30 10
BOR+25bp
¥LI
Option1 25 7
BOR+20bp
Preferential ¥LI
Option2 20 6
Terms 4 BOR+15bp
Least Devel oped ¥LI
Option3 15 5
Count r i es BOR+10bp
Standard 0. 85 30 10
Option2 0. 55 20 6
Low I ncome Count r i
Option3 0. 40 15 5
es
Longer ¥LI
( - US$ 1, 005) 40 12
option BOR+45bp
10-1
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 10 Economic Evaluation of the Project
¥LI
Standard 30 10
BOR+35bp
¥LI
Floating Option1 25 7
BOR+30bp
¥LI
Option2 20 6
BOR+25bp
General ¥LI
Option3 15 5
Terms BOR+20bp
Standard 0. 95 30 10
Fixed Option1 0. 80 25 7
Option2 0. 65 20 6
Option3 0. 50 15 5
[Source:JICA]
Note:
10-2
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 10 Economic Evaluation of the Project
BIC portion and commercial bank portion. JBIC portion is fixed rate added CIRR to JBIC risk premium l
ikewise Yen. Commercial bank portion is added margin to LIBOR.
CIRR announced by OECD office is as follow as of 8th January, 2019. (Applicable period is from 15th Ja
nuary to 14th February 2019.)
③ Mitigation of risk
The relevant company subdivides the risk of the project respectively and take the individual responsibility in range
which can be manage appropriately (the risk of project is subdivided for minimizing their risk.)
Therefore, in project finance, the sponsor can mitigate with compared to corporate finance that is loaned t
o specific company.
Loan condition is basically determined through examination of each project. As for overseas investment by
Japanese company, project finance utilizing investment finance that is applicable for long-term loan and l
ow interest rate is representative. In Bangladesh currently, government generation company and private co
mpany establish the SPC and employ the BOO (Build, Operate and Own) formula. Representative example
of project finance in Bangladesh is Sirajganj 400MW GTCC and Pyra 1320 coal fired power plant.
10-3
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 10 Economic Evaluation of the Project
10.7.1 Calculation of Financial Internal Rate of Return (FIRR) and Benefit Cost Ratio (B/C Ratio)
The Financial Internal Rate of Return (FIRR) was calculated on the assumption of a power plant operating period
of 25 years on the basis of the following values : project cost, payment schedule, fixed cost for operation and
maintenance, variable cost for operation and maintenance, fuel cost, and revenue from sales of electric power as
follow. According to BPDB, the current kWh Bulk Tariff of BPDB is BDT 4.82/kWh.
For fuel cost, the 2017/2018 price approved by the government is very low, compared with the international market
trade price. It is set to BDT 89.4812 for every 1000 SCF. The gas price increased from 79.82 BDT/MCF of 2009 to
89.46 BDT/MCF of 2017 to be 1.121 times in eight years. Since the average annual rate of increase is 1.44%, the
financial evaluation is performed on the premise that the gas price will become 1.074 times, 96.10 BDT/MCF (96.10
BDT/GJ = 130 JPY/GJ), at the start of operation after five years.
On an import LNG basis, the LNG exercise price is linked to the crude oil price, and the fuel cost beco
mes very high, compared with the current fuel cost.
At the consumer end, the price becomes approximately 1,200 JPY/GJ, 9.23 times of the current price. Sin
ce the cost of fuel gas is uncertain when LNG is used in this project, this value is not used in this fina
10-4
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 10 Economic Evaluation of the Project
ncial evaluation.
The current light oil (HSD) price for power generation is 66 BDT/Litre.
10-5
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 10 Economic Evaluation of the Project
◼Case-2d BPDB Bulk Tariff (including tax) : Very high project feasibility
FIRR = 26.31%
B/C = 7.074
10-6
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 10 Economic Evaluation of the Project
10-7
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 10 Economic Evaluation of the Project
For all the power plants, when the unit price for selling electric power exceeds 3.50 BDT/kWh (4.73 yen/
kWh), FIRR satisfies FIRR > 18.4, and the project is financially feasible to a sufficient degree. This can
be seen in the following graph.
30.00
25.00
20.00
FIRR
15.00
10.00
5.00
0.00
BDT BDT BDT BDT BDT BDT BDT
2.00/KWH 2.50/KWH 3.00/KWH 3.50/KWH 4.00.KWH 4.50/KWH 5.00/KWH
POWER SELLING PRICE
10-8
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 10 Economic Evaluation of the Project
that for the construction cost, 85% of the total construction cost would be covered by a low interest-rate loan using
ECA finance provided by JBIC or the like, and that the remaining 15% of the total construction cost and the interest
rate during the construction would be covered by the own capital of the project implementing organization. The
borrowing rate, the term of redemption, the date of the start of repayment, and the unit price for selling electric power
were assumed as follows.
Figure 10.7.1-2 shows the results of the cash flow verification that was made for each power plant under the above
conditions. The largest debt during the power plant construction is 65,400 million yen for Siddhirganj Power Plant,
144,800 million yen for Feni Power Plant, and 142,400 million yen for Gazaria Power Plant. However, accumulated
debts will also be eliminated in nine to ten years after the start of the operation of power generating installations.
According to the results, 243,700 million yen (B/C = 3.73) for Siddhirganj Power Plant, 463,400 million yen (B/C =
3.20) for Feni Power Plant, and 466,100 million yen (B/C = 3.27) for Gazaria Power Plant will be left as accumulated
profit before tax at the end of the operation of 25 years, which is regarded as operational life of power plants. This
fact suggests that the project is sufficiently profitable.
10-9
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 10 Economic Evaluation of the Project
500,000,000,000
400,000,000,000
300,000,000,000
200,000,000,000
JPY
100,000,000,000
-
1 2 3 4 5 6 7 8 9 101112131415161718192021222324252627282930
(100,000,000,000)
(200,000,000,000)
Year
LNG purchase price at Terminal end (USD¥Bll) = Brent Price (USD/Bll) x 0.112 + 0.5
[Source:Petrobangla]
From the above equation, when the Brent Price is 50, 80,110, LNG purchase price at terminal end are as
follow.
The fuel cost at power station are as follow and it will be increased by 5.4 ~ 11.5 time compared to cur
rent cost.
10-10
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 10 Economic Evaluation of the Project
When the FIRR is calculated based on the above fuel cost, it is approximately 11% and therefore is almo
st equaled to chapter 10.7.1.
On the other hands, when the electricity tariff is set so that FIRR is 18%, it is equaled to 1.64 ~ 2.69
times of current electricity tariff as follow. Therefore, every entity needs to mitigate it by using grant etc.,
from Bangladesh government.
Siddhirganj PS:
LNG Price:JPY 701/GJ (eq. 6.43 USD/MMBtu): BDT 5.75/kWh
LNG Price:JPY 1,088/GJ (eq. 9.98 USD/MMBtu): BDT 7.46/kWh
LNG Price:JPY 1,474/GJ (eq. 13.52 USD/MMBtu): BDT 9.17/kWh
Feni PS:
LNG Price:JPY 701/GJ (eq. 6.43 USD/MMBtu): BDT 5.97/kWh
LNG Price:JPY 1,088/GJ (eq. 9.98 USD/MMBtu): BDT 7.70/kWh
LNG Price:JPY 1,474/GJ (eq. 13.52 USD/MMBtu): BDT 9.42/kWh
Gazaria PS:
LNG Price:JPY 701/GJ (eq. 6.43 USD/MMBtu): BDT 5.93/kWh
LNG Price:JPY 1,088/GJ (eq. 9.98 USD/MMBtu):BDT 7.66/kWh
LNG Price:JPY 1,474/GJ (eq. 13.52 USD/MMBtu):BDT 9.38/kWh
The results of the EIRR calculation are as follows. The results suggest that very high economic returns c
an be expected out of the relevant project. The implementation of the project is presumed to produce ver
y large economic effects.
10-11
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 10 Economic Evaluation of the Project
10-12
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 11 Comprehensive Evaluation
11-1
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 11 Comprehensive Evaluation
other two sites, Feni Power Plant and Gazaria Power Plant, are newly developed sites; expropriation of land for
the sites has already been completed, and good relationships have been established with neighborhood residents.
We accordingly think that the possibility that some critical problem will occur is very low.
(5) All the electric power companies show a keen interest in early implementation of the project and the focus in the
next stage is how early the project will be completed. We therefore need to keep in close touch with each electric
power company to discuss on such matters as the arrangement of financing, and advance the project to achieve
early commencement and early completion of work.
11.4 Examinations of Business Model and Concept Recommended for the Candidate Sites and Its Economical
Efficiency
A purpose of this project is to construct high-efficiency large gas-fired power generating installations promptly as
means to eliminate constant power shortages. Another purpose of the project is to put advanced technologies into
widespread use in Bangladesh; those technologies are related to highly-reliable, durable power generating
installations that have been used for actual operation based on Japan's technologies. Bangladesh started LNG import
in August 2018, and thereby, a sufficient amount of fuel gas necessary for operating thermal power plants is expected
to be ensured. Therefore, the country decided to aim to develop high-efficiency large gas-fired power plants. On the
premise that the thermal power plants satisfy the five fundamental concepts below, we made examinations on the
appropriate specifications, effectiveness, and necessity of this project (for details, see Chapter 5).
➢ High-efficiency large gas-fired power plants
➢ Low environmental burdens
➢ Contribution to the stability of the electric power network
➢ Future expandability
11-2
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 11 Comprehensive Evaluation
According to the results of the FIRR analysis, FIRR with tax included ranges from 18.48% to 19.92% on the
assumption of a unit price for selling electric power at sending end of 3.50 BDT/kWh. However, sufficiently high
economical efficiency is ensured even when ECA finance is used.
11-3
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 11 Comprehensive Evaluation
11-4
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 12 Conclusion
Chapter 12 Conclusion
Feasibility Study for LNG fired Combined Cycle Power Plant in Bangladesh Final Report
Chapter 12 Conclusion
12.1 Conclusion
12.1.1 Technical Evaluation and Candidate Sites
Candidate construction sites were selected from kick-off meeting with each customer, hearing and
confirmation (Land acquisition, Natural gas source, Transmission line and water resource) by site survey. As
a result, Siddhirganj (BPDB), Feni (EGCB) and Gazaria (RPCL) are appropriate for construction site and the
subject to this study. Additionally, GTCC power plant is appropriate to cope with power shortage in
Bangladesh and H Series or J Series that is high efficiency gas turbine is effectiveness from the view point
of efficiency, construction cost, construction period and experience of commercial operation. However, the
further detail survey is required.
12.2 Suggestion
12.2.1 Feasibility of candidate construction sites
Siddhirganj, Feni and Gazaria site are feasible for GTCC construction site. To meet with the expected
commissioning schedule of the projects under the Long List (Power Generation Capacity Addition Plan), the
generation companies are expected to perform any required formalities related to construction of CCPP,
including EIA (Environmental Impact Assessment), determination of the procurement method, preparation
of site (embankment, access road and etc.), approval etc. , Meanwhile, this study suggests that relevant
companies should contact generation companies them for preparation of early project development.
12-1