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Dhaka, May 6, 2025: Various environmental organizations in Bangladesh have demanded the cancellation of Orion Group’s proposed 635 MW coal-based power plant project in Matarbari, Cox’s Bazar, along with a five-point charter of demands. The demands were raised during a press conference held on Tuesday at the Shafiqul Kabir Milanayatan of the Dhaka Reporters’ Unity (DRU).
The event was organized by the Bangladesh Working Group on Ecology and Development (BWGED) and the Coastal Livelihood and Environment Action Network (CLEAN), with co-organizers including the Bangladesh Environmental Lawyers Association (BELA), Forum for Environment and Development (FED), Maheshkhali Public Protection Forum, and Shangshaptak.
The environmental groups called for:
Cancellation of the Environmental Impact Assessment (EIA) for the Orion Matarbari coal power plant.
Termination of the 2013 Public-Private Partnership (PPP) agreement with Orion.
Annulment of the BDT 10,579 crore loan provided to Orion Power by state-owned banks.
Cancellation of the coal project lease and adoption of renewable solar and wind projects.
A declaration to halt the establishment of fossil fuel-based power plants.Hasan Mehedi, Member Secretary of BWGED, stated, “The agreement to build this coal power plant using outdated technology under a controversial law is entirely illegal. If implemented, it will impose an additional annual capacity charge burden of BDT 3,059 crore on the public.” He noted that in 2013, the then-government approved the project for Gajaria, Munshiganj, but Orion Group failed to commence construction within the stipulated time. In 2022, the project was relocated to Matarbari, with its deadline extended to December 2030.
Mehedi further argued, “It is impossible to complete this project by 2026. If it becomes operational later, achieving the goal of 100% renewable energy by 2050 will be challenging. Due to the change in location, land lease and fuel transportation costs should be lower, necessitating the cancellation of the Power Purchase Agreement (PPA).”
On May 4, a public petition with mass signatures was submitted to Chief Adviser Dr. Muhammad Yunus, demanding the cancellation of Orion’s 635 MW coal power plant. Additionally, 144 citizen organizations have submitted four separate petitions to the advisers of the Ministries of Finance, Environment, Forest and Climate Change, and Power, Energy and Mineral Resources, as well as to the Coal Power Generation Company Bangladesh Limited (CPGCBL).
Ahsan H. Mansur of the Policy Research Institute opposed the BDT 10,579 crore loan for the project, advocating for investments in renewable energy. While a loan for a solar power project was canceled in 2024, the loan for the coal project remains active.
The environmental groups emphasized the risks to the environment, climate, public health, and economy, strongly urging the cancellation of Orion’s coal-based project.
AI/MR
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