The government has signed a power purchase agreement (PPA) with Summit Group to buy electricity from Gazipur 300 MW Power Plant.
As the state-owned body, the Bangladesh Power Development Board (BPDB) on behalf of the government signed the contract on Sunday with Summit.
An implementation agreement (IA) was also signed between the Summit, Power Division and Power Grid Company of Bangladesh (PGCB) in this respect.
According to the contracts, the Summit Group will set up the plant at Kodda of Gazipur and start its commercial operation by May 9 next year.
State Minister for Power and Energy Nasrul Hamid, Summit Group chairman Mohammad Aziz Khan and PDB chairman Khaled Mahmud was present at the function, reports UNB.
Officials said Summit is setting up the power plant as part of the government's plan to generate about 2000 MW power before October next year ahead of the general election.