BD raises duty waiver issue but fails to get response from India

Implementing a 765kv double circuit cross-border electricity interconnection between Katihar (India), Parbatipur (Bangladesh), and Bornagar (India), Indian-financed 100 MW solar park and the status of 1,320 MW Maitree Super Thermal Power Project (Rampal power plant) dominated the 20-round meeting of Joint Steering Committee (JSC) on India-Bangladesh Cooperation in Power sector.
This interconnection will help India to supply power from its national grid to the Indian Northern part of India, if there BBIN agrees to establish any grid line Bangladesh will get some benefits from it.
The meeting however concluded on Sunday without any solid remarks on Bangladesh's pleas on tax and duties waiver issues, meeting sources told the Daily Observer on Sunday.
Md Habibur Rahman, Secretary Power Division, led the Bangladesh's team at the JSC meeting while Alok Kumar, Secretary, Department of Power, India led the Indian side. The meeting which underscored the boosting sub-regional cooperation in energy with Bhutan and Nepal  concluded on Sunday at Dharmapasa in Himachal.
Earlier, a meeting of the Joint Working Group on Cooperation in Power Sector (JWG) was held on May27 and 28 at the same venue.
    During the meeting the Indian side emphasized on finalization of regulations and guidelines for cross-border trade in electricity and requested early finalization of modalities for implementation of the Katihar - Parbatipur - Bornagar cross border electricity interconnection.
Bangladesh side wanted to know the development of GMR power generation project in Nepal to tap the potential of cheap electricity.
India also requested Bangladesh to extend contract for importing 160 MW power through existing Cumalia Tripura) through G2G negotiations.
The steering committee took stock of the progress of implementation of the decisions taken during the last meeting of the Joint Working Group (JWG) and Joint Steering Committee.
Detailed discussions were held on power trade between India and Bangladesh on various interconnections. The meeting discussed ways for further enhancing the cooperation in the energy sector.
India and Bangladesh have set up the institutional mechanism of JSC and JWG for reviewing and enhancing bilateral cooperation in the power sector between the two countries.
The Steering Committee reviewed the progress of implementation of various decisions of the last JWG / JSC meeting and the status of the 1320 MW Maitri Super Thermal Power Project at Rampal.
During the meeting Bangladesh sought waiver of all kinds of customs duties (CDs), duties and Value Added Tax (VAT) on the import of electricity from India. It would also want exemption of all financial implications due to political events and changes in law in India.
This is not the first time Bangladesh raised the duty waiver issue but failed to get proper response.
"Bangladesh wrote to the Indian side to resolve the issue but did not get any response in last few years," a senior official of the Power Division said.