DHAKA, Nov 1, 2026 (BSS)- The government has moved for establishing a 70-megawatt (MW) grid-tied solar power plant on unused land in Matarbari of Maheshkhali upazila in Cox’s Bazar district.

“A Development Project Proposal (DPP) for the project has already been sent to the Planning Commission for consideration. The project is expected to be completed by 2028,” Managing Director of Coal Power Generation Company Bangladesh Limited (CPGCBL) Md Nazmul Haque told BSS here today.

He said the project will use 171 acres of previously unused land within the boundary of the 2x600MW Matarbari ultra-supercritical coal-fired power plant.

According to the draft DPP prepared for the Project Evaluation Committee (PEC) meeting of the Planning Commission, the project will run till December 31, 2028.

It said the estimated cost stands at Tk 604.9762 crore, including Tk 42.8706 crore from the government, Tk 532.3912 crore in project financing and Tk 29.7144 crore from the implementing agency’s own resources.

A Planning Commission official described the proposed project as consistent with the government’s electoral commitments to expand renewable energy.

He said the European Investment Bank (EIB) will provide financial support under its Bangladesh Renewable Energy Facility framework loan, which includes 350 million euros in loans and 45 million euros in grant assistance.

The Planning Commission official noted that the project would add electricity to the national grid, reduce dependence on fossil fuels and cut carbon emissions, contributing to long-term energy security and a sustainable power system.

According to the project details, the coal-fired power plant authority initially allocated around 630 acres for ash disposal but constructed an ash pond on only 105 acres, leaving the remaining 525 acres unused.

The proposed solar project will occupy part of this unused land, which was kept for ash disposal, eliminating the need for fresh land acquisition.

It said the existing 14-metre-high embankment surrounding the ash pond will also eliminate the need to construct a separate protective embankment.

The project will install solar photovoltaic (PV) modules, inverters and other associated equipment. It will also construct a one-kilometre, 132-kilovolt overhead transmission line to connect the solar plant with the nearby Matarbari 132/33kV grid substation.

In addition, the project will install a 17.5-kilometre second-circuit overhead conductor between the Matarbari and Chakaria 132/33kV grid substations and construct four 132kV air-insulated switchgear (AIS) bays – three at Matarbari and one at Chakaria.

The project authorities expect the proximity of Matarbari deep-sea port to facilitate the quick unloading and transportation of imported equipment. The feasibility study, completed in February 2026, recommended increasing the initially considered 50MW solar project to 70MW.

Talking to BSS, Joint Chief of the Power Wing of the Planning Commission Mohammad Ashraful Islam told BSS that the Project Evaluation Committee (PEC) meeting on the draft project will be held soon.

“The project is consistent with the government’s electoral manifesto and will contribute to the implementation of its election pledges,” said the official.

The green energy project is aligned with the Sustainable Development Goal (SDG) 7, which aims to ensure access to affordable, reliable, sustainable and modern energy for all.

The Renewable Energy Policy 2025 sets a target of meeting 20 percent of the country’s total electricity demand from renewable sources by 2030 and 30 percent by 2040.

The Planning Commission’s assessment said Bangladesh currently has an installed power generation capacity of 32,688-MW, including captive and renewable energy, while renewable sources account for 1,934.54MW, or 5.91 percent.

These include a comparative analysis of the proposed prices of major equipment against similar ongoing or completed projects, prior approval from the Finance Division for the proposed financing structure, and increasing the implementing agency’s own contribution.

The Commission observed that although the project appears financially viable, CPGCBL has proposed contributing only Tk 29.71 crore, or 4.91 percent, of the total project cost.

The PEC meeting will also examine the quality and prevailing market prices of solar PV modules and inverters, the justification for Tk36.50 lakh in allocations for vehicles, office equipment and furniture, and the need to specify the number of motorcycles rather than indicating them by lots.

However, the Planning Commission has raised several issues for discussion before finalising the project proposal.

The Planning Commission has also asked the implementing agency to provide a detailed account of the country’s public and private power generation capacities, renewable energy targets and existing solar generation capacity, including a breakdown by agency and location.

The proposed project is included in the list of new, yet-to-be-approved projects in the Annual Development Programme for FY2026-27 to facilitate foreign financing.