B-R Powergen Limited, a government-owned power generation company, will be listed with the local stock exchanges, said the Finance Minister AHM Mustafa Kamal.
A press release from the ‘finance ministry’, after a meeting of the standing committee on non-concessional loans on Tuesday, said that B-R Powergen Limited is in the process of implementation of a 150-Megawatt HFO (Heavy Fuel Oil)-based power plant project in Shreepur, Gazipur.
“If the plan for the enlistment of the power generation company sees the light of the day, it will be a significant instance of a government-owned profitable company being listed with the stock exchanges,” said the finance minister. He hoped that more government companies will follow at the wake of stock market listing of B-R Powergen.
Finance ministry further informed that the 150-Megawatt power plant will be established from capital that consists of both debt and equity.
German lender KFW IPEX-Bank will provide loan to bring the plant in commercial production within March, 2021, and B-R Powergen will start to pay back the loan with interest from 2023-2024.
The company is also in the process of establishing another 150-Megawatt power plant, financed by the government, at Mirsharai Bangabandhu Industrial Park in Chattogram that is scheduled to start production in January, 2020.
The revenue from Chattogram plant will help the company increase its liquidity, and return the loan taken for Shreepur plant, according to the finance ministry.
Financing big government projects with the stock market investments as an integral part of the plan was also discussed at the meeting.