Summit Power Limited (SPL) has announced the sale of its Narayanganj Unit I – a 102 MW HFO-fired power plant – to UAE-based Sabson Energy.
The decision follows the expiration of the plant’s power supply agreement with the Bangladesh Power Development Board (BPDB), the company said in a regulatory filing. The transaction value was not disclosed, however.
The plant, which began operations on April 1, 2011, had its contract with BPDB renewed twice. The most recent agreement expired on March 22, 2024, and the plant continued to operate under a ‘No Electricity No Pay’ clause based on a consent letter from BPDB dated April 29, 2024.
However, no power has been dispatched from the plant since August 19, 2024.
In a meeting held on May 8, 2025, SPL’s Board of Directors resolved to proceed with the sale of the plant. The company engaged two interested buyers, with an agreement being finalized with Sabson Energy.
The sale marks the end of the plant’s operational life in Bangladesh, as BPDB confirmed that there is no further scope for renewal of the power purchase agreement. The move reflects SPL’s strategy to adapt to changing energy sector dynamics in the country.
The transaction highlights the evolving landscape of Bangladesh’s energy sector, with SPL focusing on new priorities after the expiration of the plant’s operational lifespan.
Summit Power shares, with a face value of Tk10, fell by 0.68 percent to Tk14.6 apiece on the Dhaka Stock Exchange on Wednesday.