CIP, COP Propose to Build Multi-Billion-Dollar Wind Project Offshore Bangladesh

Business development

July 14, 2023, by Adnan Memija

Copenhagen Infrastructure Partners (CIP) and Copenhagen Offshore Partners (COP) have submitted an investment proposal to the Government of Bangladesh to develop a commercial, utility-scale offshore wind project valued at USD 1.3 billion off the coast of the Bay of Bengal.

Once implemented, the project, with an initial capacity of 500 MW, will be the first of its kind in Bangladesh and possibly in South Asia, enabling a technology transfer that would accelerate the learning curve for a nascent industry and reduce barriers to entry for future projects, the companies said.

The preliminary study findings suggest that hundreds of direct and indirect jobs could be created during the construction phase, in addition to dozens of permanent positions during the 30-year operational phase of the project.

CIP and COP have proposed that Bangladesh-based Summit Power International joins its consortium.

In early June, Bangladesh and Denmark approved a Joint Action Plan for the next five years under the 2022 Sustainable and Green Framework Engagement.

During a recent Dhaka visit by Dan Jørgensen, the Danish Minister for Development Cooperation and Global Climate Policy, agreed to a partnership in green and clean technologies, and investment for sustainable development, according to the press release.

CIP and COP said that the offshore wind project represents an opportunity for the country to maximise the utilisation of its coastal resources, supporting the development of the ‘Blue Economy’.

YOU MIGHT ALSO LIKE

The proposal comes at a point in time for Bangladesh that despite ambitious clean energy targets remains reliant on fossil fuel imports, a costly decision due to inflation-related price shocks, the companies said.

In 2022, the Bangladesh Sustainable and Renewable Energy Development Authority (SREDA) has set a target of generating 5 GW of onshore and offshore wind power by 2030.

Bangladesh identified 26 potential blocks in both deep and shallow seas in the Bay of Bengal.

A few months ago, the Power Division, the Ministry of Power, Energy and Mineral Resources awarded BLIX, together with its partners CESI and Synotech, the Pre-Feasibility and Detailed Feasibility study to develop offshore wind farms in Bangladesh.

During the pre-feasibility study, the project team will assess which of the 26 blocks has the best potential for wind energy. In contrast, in the detailed feasibility study, the two most prospective blocks will be further investigated.