Shasha Denims Limited wants to sell its 55-megawatt (MW) power plant which has remained closed since July 2019 after the expiration of its power purchase agreement with the government.
Energis Power Corporation Ltd, a subsidiary company of Shasha Denims, is the operator of the plant located in Shikalbaha, Chattogram.
Commissioned on January 10, 2010, the plant started commercial operations from May 6 of the same year and supplied power to the national grid.
Energis signed a Power Purchase Agreement (PPA) with the Bangladesh Power Development Board (BPDB) on December 28, 2008 for a three-year term to provide 55MW of net electricity. This agreement was subsequently renewed on May 12, 2014 for another five years.
Seeking anonymity, an official of Shasha Denims said: "We filed an application with BPDB for extension of the power purchase agreement last year. But they have not considered the application yet. Now we have no prospect of profiting from this plant. So, the company is trying to sell it."
Shasha Denims Ltd, a three-time National Export Trophy (Gold) winner, has been experiencing an uphill struggle with production costs.
