MCCI pitches energy sector to German investors

Peter Clasen, left, head of OAV-German Asia-Pacific Business Association mission to Bangladesh, speaks, while Abdul Hafiz Choudhury, second from left, president of Metropolitan Chamber of Commerce and Industry, looks on at a programme in Dhaka yesterday.Photo: STARStar Business Report

Metropolitan Chamber of Commerce and Industry (MCCI) yesterday called upon German investors to exploit business potentials by investing in the power sector of energy-hungry Bangladesh.

“At this juncture, Bangladesh needs urgent investment in power sector. German investment in producing electricity through coal-based power plants, windmill and solar energy will be of great value,” said Abdul Hafiz Choudhury, president of the chamber.

He made the call at a meeting with a visiting mission of OAV-German Asia Pacific Business Association at the office of MCCI, one of the oldest trade lobby group, representing leading companies and business houses in Bangladesh.

Peter Clasen, head of the delegation, said they are interested in exploring business prospects in solar energy and environmentally protective coal-based power plants.

The MCCI president's call came as Bangladesh suffers from an average 900MW of electricity shortage daily against the maximum generation of about 3,800MW with stakeholders saying economy might grow faster if power crisis could have been solved.

Bangladesh economy, spurred by growth in exports, remittance and rising domestic demands, grew more than 6 percent per year before the global financial turmoil.

Economy however grew 5.9 percent in fiscal 2008-09.

The government, according to the MCCI president, offers incentives like 15-year tax holiday to private sector electricity producers to accelerate the growth of the economy by addressing power shortage.

“Incentives provided to the power sector investors are excellent and any investment in this sector will enjoy a win-win situation,” said Choudhury.

He also invited German investors to tap business potentials in other infrastructure projects such as port, transport and communications, especially under public-private partnership.

“We feel that potential of the commercial relationship between our two countries can yield mutually beneficial results if German investments can be attracted to Bangladesh,” the chamber president said.

Such investment can ensure production of goods and services, which have demand in Bangladesh and the prospects for export to third countries with the advantage of LDC tariff benefits, he said.