Beximco Limited is going to set up the country's largest solar power plant with a capacity to generate 280 megawatts at a cost of Tk1,700 crore.
The company has recently got the go-ahead from the Power Division to build the new plant in Gaibandha.
The business conglomerate will also build another solar power plant with a capacity of 45MW.
The two plants, which are expected to go into operation by mid-2022, will make Beximco the undisputed leader in utility-scale solar power production in Bangladesh.
"We are extremely proud to be leading the way in supporting the government's aggressive efforts and commitment to promote the energy generation from renewables," Osman Kaiser Chowdhury, managing director at Beximco Limited, told The Business standard.
"As a socially responsible corporation, we constantly strive to make a positive impact and believe we have a very central role to play in the area of sustainability and implementation of clean energy initiatives," he added.
To build the new solar power project, LONGI Solar technology, Rays Power Infra Private Limited, Zetwerk Manufacturing Businesses Private Limited and ABB Limited also got permission to provide technical assistance to Beximco.
In the price sensitive information letter, Dennis She, senior vice-president of LONGI Solar, said, "LONGI always aims to provide the highest quality and most competitive mono-crystalline solar products to support Beximco fulfilling its commitment to delivering clean and sustainable energy in Bangladesh."
Confidence Infrastructure Limited got the contract to install a 35.35km transmission line from Gaibandha to Rangpur grid substation.
"We are delighted and proud to be selected for this very prestigious project," said Salman Karim, managing director at Confidence Infrastructure Limited.
The government adopted the renewable energy policy in 2008 and set a goal for renewable sources to account for 5% of the total electricity generation by 2015 and 10% by 2020.
Later, the target has been revised to 10% to be attained by 2025.
Currently, 766.51MW are generated from renewable sources, accounting for 3% of the total electricity produced.
Meanwhile, Beximco has two solar power plant projects with a combined capacity of 230MW, which are now under construction. The two power plants are located in Gaibandha and Panchagarh.
The company launched a green Sukuk bond for raising a fund of Tk3,000 crore to build the projects.
Beximco Limited was listed on the capital market in 1989. Its share price jumped by seven times in the last one year at the Dhaka Stock Exchange.
At the end of Thursday's trading session, its shares closed at Tk140.80, which was 4.54% lower than in the previous day.