50253-001: Reliance Bangladesh Liquefied Natural Gas and Power Project | Asian Development Bank

Bangladesh: Reliance Bangladesh Liquefied Natural Gas and Power Project

Nonsovereign (Private) Project | 50253-001 Status: Proposed

The proposed Project will include a natural gas fired power plant (CCPP) and a liquefied natural gas (LNG) terminal. The LNG terminal, located near Kutubdia Island, consists of a mooring point, jetty and pipeline infrastructure to connect an off-shore FSRU to the mainland. The 718 MW CCPP, utilizing re-gasified LNG (RLNG) as fuel, is proposed to be located on land allotted by Bangladesh Power Development Board (BPDB), in Meghnaghat, Narayanganj District.

Project Details

Project Officer
Tang, Sonali Private Sector Operations Department Request for information
Country
  • Bangladesh
Sector
  • Energy
 
Project Name Reliance Bangladesh Liquefied Natural Gas and Power Project
Project Number 50253-001
Borrower/Company
Country Bangladesh
Location Kutubdia Island, Meghnaghat
Type or Modality of Assistance
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Regional integration
Drivers of Change Partnerships
Private sector development
Sector / Subsector

Energy / Conventional energy generation

Gender Equity and Mainstreaming Some gender elements
Responsible ADB Department Private Sector Operations Department
Responsible ADB Division Infrastructure Finance Division 1
Responsible ADB Officer Tang, Sonali
Project Sponsor(s)
Description The proposed Project will include a natural gas fired power plant (CCPP) and a liquefied natural gas (LNG) terminal. The LNG terminal, located near Kutubdia Island, consists of a mooring point, jetty and pipeline infrastructure to connect an off-shore FSRU to the mainland. The 718 MW CCPP, utilizing re-gasified LNG (RLNG) as fuel, is proposed to be located on land allotted by Bangladesh Power Development Board (BPDB), in Meghnaghat, Narayanganj District.
Objectives and Scope The Project is expected to generate significant development impact for Bangladesh: easing a key energy infrastructure constraint; generating employment during construction and operation; providing an alternative to depleting domestic gas reserves and creating conditions for greater private sector participation. The Project also contributes to increasing the supply of clean energy to Bangladesh and thereby result in improved social and economic conditions.
Linkage to Country/Regional Strategy The project will support economic growth in Bangladesh, promote private sector development in the energy sector, catalyze long-term private financing, which are in line with ADBs country partnership strategy (CPS) 2016-2020. The Project is fully aligned with Strategy 2020 Midterm Review as it belongs to one of ADBs core areas of operations (infrastructure) and is structured on a PPP basis.
Safeguard Categories
Environment A
Involuntary Resettlement B
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects The project is classified category A for impacts on environment. While the impacts are not unprecedented and the project is not expected to adversely affect an environmentally sensitive area, they are diverse and the potential construction, operational and safety risks due to the nature and scale of the project are considered significant. The environmental impact assessment reports showed that key environmental issues concerning biodiversity, air emissions, effluent quality, domestic waste, and noise pollution can be reduced and mitigated through adequate measures taken during the design phase and implementation of sound engineering practices during the construction and operational phases, which are presented in the Environmental management plans. Stakeholder consultations with communities and affected people have been conducted at project locations and will be continued during project implementation. Reliance Power Limited has a well-established environment, health and safety (EHS) cell at the corporate level which will support Reliance Bangladesh LNG and Power Limited and Reliance Bangladesh LNG Terminal Limited for management of EHS issues at project sites. Occupational and community health, safety and security procedures are in place including the establishment of an Emergency Response and Disaster Management Plan.
Involuntary Resettlement The project is classified as category B for involuntary resettlement in compliance with ADB's Safeguard Policy Statement (2009). No land acquisition or involuntary resettlement impacts are envisaged from the power plant and the LNG terminal. Land acquisition of approximately 3.97 acres belonging to 23 households will be required for development of land based custody transfer metering system which is connected to the LNG terminal through a pipeline. The land acquisition and resettlement for the pipeline will be undertaken by Petrobangla and is expected to be completed in 2018. Based on the assessment of the preliminary pipeline alignment, involuntary resettlement impacts are not expected to be significant given that all land acquired for the pipeline will be compensated at replacement costs and will also be available to land owners for continued use after the laying of pipeline is completed. Petrobangla will prepare and implement a Resettlement Plan (RP) following the Resettlement Framework, consistent with World Bank Operational Policies and ADB's SPS to address involuntary resettlement impacts.
Indigenous Peoples The project is classified Category C for impacts on Indigenous Peoples. The ESIA confirms that there are no indigenous communities in the project locations that will be impacted due to the project. The project is not expected to affect territories or natural and cultural resources owned, used, occupied, or claimed by indigenous peoples as their ancestral domain.
Stakeholder Communication, Participation, and Consultation Meaningful consultations with relevant stakeholders at the project sites were conducted and information disclosure done in accordance with ADB SPS. Community liaison officers will be deployed to develop, implement and manage the stakeholder engagement and grievance redress mechanisms in the project.
Timetable for assistance design, processing and implementation
Concept Clearance 10 Aug 2016
Credit Committee Meeting 20 Oct 2017
Approval -
Last PDS Update 31 Oct 2017

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Safeguard Documents See also: Safeguards

Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.

Evaluation Documents See also: Independent Evaluation

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Related Publications

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