Summit closes Madhabdi plant as govt power deal expires

Originally posted in The Daily Star on 19 December 2021

The Summit Power has closed its gas-fired Madhabdi Power Plant Unit-2 as the plant’s power purchase agreement with the government has expired.

Through a disclosure published on the website of the Dhaka Stock Exchange, the listed power company today said the agreement of the 24.30 megawatt plant expired on December 15 this year.

On February 18 this year, the company had applied for extension of the contract for supply of electricity to the Power Division of the power, energy and mineral resources ministry, which is under active consideration, the disclosure added.

The company has also informed that the plant is in shut-down condition from the midnight of December 15 until further instruction from the ministry, as the term of the power purchase agreement is over.

Today until 12.48 pm, Summit Power’s stock price fell 2.76 per cent to Tk 38.70.