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Outline of the Project

Project Name

The Project for Gas Network System Digitalization and Improvement of Operational Efficiency in Gas Sector in Bangladesh

Date R/D Signed

Oct. 21, 2019

Project Site

All Bangladesh nationwide

Term of Cooperation

January 27, 2020 to December 22, 2022

Implementing Organization

- Energy and Mineral Resources Division (EMRD) Ministry of Power, Energy and Mineral Resources MoPEMR)
- Bangladesh Oil Gas & Mineral Corporation (Petrobangla)
- Bangladesh Energy Regulatory Commission (BERC)
- Gas Transmission Company Limited (GTCL)
- Titas Gas Transmission and Distribution Company Limited (TGTDCL)
- Bakhrabad Gas Distribution Company Limited (BGDCL)
- Karnaphuli Gas Distribution Company Limited (KGDCL)
- Jalalabad Gas Transmission and Distribution System Limited (JGTDSL)
- Pashchimanchal Gas Company Limited (PGCL)
- Sundaban Gas Company Limited (SGCL)
- Rupantarita Prakritik Gas Company Limited (RPGCL)

Background

The energy supply of the People's Republic of Bangladesh (hereinafter referred to as "Bangladesh") has been widely dependent on domestic production of natural gas. According to Power Sector Master Plan (PSMP2016), the average gas demand increase up to 2041 is 3.3% per year. The reserve of main domestic gas field is reported to be around 10 years. Considering the foreseen decrease in the production of natural gas, the Government of the People's Republic of Bangladesh (hereinafter referred to as GoB) started the Liquefied Natural Gas (LNG) import in 2018 by the country's first unit of floating storage and regasification unit (FSRU). In addition to the FSRU, GoB plans to introduce the land-based LNG terminal, which is under procurement of the contractors.

Under these circumstances, JICA conducted a survey completed in 2018 named "Data Collection Survey on Computerization of Gas and Power Network Infrastructure in Bangladesh" (hereinafter, the surevey). The challenges and recommendations the survey summarized are;
- Missing system integrity and lack of common design standard,
- Operation mode change ("allocation" to "demand-based"),
- Insufficient pipeline capacity for future LNG import,
- Absence of LNG import regulation,
- Lack of gas and power infrastructure integrated plan,
- Lack of centralized data and document management system, and
- Insufficient coordination of infrastructure plan among government agencies, companies and development partners.

With the above challenges, Energy and Mineral Resources Division (hereinafter referred to as "EMRD") under GoB have requested the technical cooperation project for Gas and Power Soft Infrastructure Building Project in 2017, which was adopted by the Government of Japan in 2018. Based on the minutes of meeting on the Detailed Planning Survey signed on 16 July 2019, the Record of Discussion (R/D) for the Project "the Project for Gas Network System Digitalization and Improvement of Operational Efficiency in Gas Sector" (hereinafter, the "Project") was agreed on 21 October 2019.

The Overall Goal

Reliable, effective and efficient gas and power supply for economic development of the country is achieved.

Project Purpose

Operation of gas network system and power stations is digitalized and operational/planning efficiency, system reliability, and process safety are enhanced.

Output

[Output 1] Digitalization of gas transmission network, and Priority Area of gas distribution system, including major power stations
[Output 2] Strengthening institutional capacities for gas network planning and operation
[Output 3] Unification of Design Standard and specifications for gas system infrastructure
[Output 4] Introduction of process safety management:
[Output 5] Legal framework for LNG terminal operators or suppliers to use pipeline system, and Guide for LNG purchase contract and FSRU/Terminal service contract
[Output 6] Framework for operation entity for gas and power digitalized system

Project Activities

[Output 1]

1.1 Gas Sector
1.1.1 Update of Gas Flow Diagram including schematic diagrams
1.1.2 Update line and valve station list
1.1.3 Modeling and digitalizing gas transmission pipeline systems
1.1.4 Modeling and digitalizing a part of gas distribution systems for Priority Area
1.1.5 Prepare training material and conduct training and OJT for operation of the digitalized system prepared above
1.2 Power Sector

Update a list of power plant with associated data including types, capacity, gas consumption and other performance indicators, to include in the digitized model

[Output 2]

Prepare training material and conduct training for operation and planning in the following areas

2.1 Design of SCADA system for monitoring and process control
2.2 Gas (transmission and distribution) flow analysis
2.3 Existing system improvement and future pipeline infrastructure planning
2.4 Propose measures for improving operational efficiency in gas utility companies

[Output 3]

3.1 Review of existing design standard, material specifications, and standard construction drawings
3.2 Prepare guideline for design standard and material specification for new project
3.3 Prepare revised material identification coding system

[Output 4]

4.1 Provide training program, manual, and exercise for (i) LNG terminal (ii) gas transmission and distribution system, including or in line with a scope of OHSAS 18001
4.2 Review and propose the revised safety rules for authorization

[Output 5]

5.1 Identify responsible body to formulate legal framework for LNG in general and LNG terminal operators or suppliers to use gas transmission system
5.2 Propose legal framework for Capacity Right (gas transmission capacity allocated to each LNG terminal operators or suppliers) and Quality Compensation system (setting price compensation system to level the gas quality difference)
5.3 Provide Capacity Building exercise in contract affairs (fuel purchase contract and facility service contract)

[Output 6]

6.1 Study and analysis for optimal system operation entity
6.2 Prepare recommendation about framework of appropriate system operation entity

Inputs
[Japanese side]

12 Exparts: Team Leader / Gas Supply Improvement Plan 1, Deputy Team Leader / GIS & Database (Gas&Power) 1, Gas Transmission & Distribution Specialist 1, GIS & Database (Topography) 1, Digitalizing System (Programing) 1, Digitalizing System (Modeling) 1, Digitalizing System (Training 1) / Capacity Assessment 1, SCADA Specialist 1, Gas flow analysis / Gas system design & Piping Material Engineer 1, LNG Terminal Operator Training / Fire and Safety Training 1, Legal & Contract Specialist / Institutional Specialist 1, GIS & Database (Environment) / Digitalizing System (Training 2) 1.

[Training in Japan]

  • 1st Training: LNG Safety Management
  • 2nd Training: Pipeline safety management and Digitalization System

[Equipment procurement for output1, 2] : Network infrastructure management software, Gas flow simulator, Pipe locator, Other equipments.

[Expenditure] : Needed expenditure for the project activitie

Inputs
[Bangladesh side]

[Working group ]
Chairperson of the JCC/ Project Director
- Additional Secretary of Energy and Mineral Resources Division, Ministry of Power, Energy and Mineral Resources

Project Manager (working group leaders)
- Gas Technical Working Group
- Director (Operation & Mines), Petrobangla
- 1-3 Engineers from GTCL, RPGCL, TGTDCL, BGDCL, JGTDSL, KGDCL, SGCL, PGCL

Gas Legal Working Group
1-3 officers from BERC, Petrobangla, and LNG Cell

[Facilities and equipment]
provision of the needed office space and other facilities needed for the project achievement

Photo


Project Concept

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