The government is reviving plans to extract coal through open-pit mining, a method that has been opposed strongly by locals and environmentalists due to its devastating impact on the environment and livelihoods.
Fulbari and Barapukuria in Dinajpur are once again on the table for open-pit coal mining. However, local residents and environmentalists have strongly opposed the move. In 2006, three young men lost their lives in Fulbari while staging protests against open-pit mining.
Locals have told The Business Post that they are determined to prevent the bid for open-pit coal mining at any cost.
Eyeing coal production after import disruption
The Bangladesh Power Development Board reports that the capacity of the country's coal-based power plants is 11,329 megawatt, mostly depending on imports. Energy and Mineral Resources Division states that there is a need for 33.6 million tonnes of coal annually, costing $6 billion.
Experts warn the import-dependent energy sector, straining the economy and leading to a USD crisis. Consequently, the government prioritises domestic energy production. Plans include reconsidering domestic coal mines and exploring extraction methods such as open-pit mining in Barapukuria’s northern part and Fulbari, underground mining in Rangpur’s Khalaspir and Dinajpur’s Dighipara, and coal gasification in Joypurhat’s Jamalganj.
State Minister for Power, Energy & Mineral Resources Nasrul Hamid has recently said that it is not possible to leave so much coal underground and import it. “Sooner or later, we will have to extract coal locally. For this, local people will be paid adequate compensation.”
Open-pit coal mining at the centre of controversy
Open-pit coal mining is a global controversy. Green activists argue that it disrupts local ecosystems, agriculture, climate, human health, and water sources. Consequently, it is avoided in densely populated or environmentally sensitive regions.
However, India stands out as an exception, where open-pit coal mining has damaged over a million hectares of land in Jharkhand, displacing millions of people.
In Bangladesh, the dispute over open-pit coal mining first emerged in 2004 when the government signed a contract with UK-based Asia Energy to mine coal in Fulbari. Locals staged protests, fearing damage to agricultural land, groundwater, and the environment.
Tragedy struck in August 2006 when three protestors were killed and over 200 injured after Bangladesh Rifles (currently BGB) opened fire on them during a demonstration against open-pit coal mining. Following this incident, the issue was put on hold.
Then opposition leader and current Prime Minister Sheikh Hasina supported the locals' movement, vowing not to sacrifice agricultural land for coal extraction.
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Former Jahangirnagar University professor Anu Muhammad told The Business Post that investing in coal-fired power plants was a ‘misguided’ choice. He cautioned that attempting to compensate for this error by extracting more coal would lead to further calamities.
He emphasised the sacrifices made by the people of Fulbari in 2006 and their readiness to do so again if required.
Geologist Badrul Imam asserted that open-pit coal mining is impractical in Bangladesh. He advocated for prioritising underground mining due to Bangladesh's unsuitability for open-pit operations.
Compensation and rehabilitation plan
Hydrocarbon unit recently told Energy Division that Fulbari holds $83 billion worth of coal and $17 billion worth of other resources.
Mining both Barapukuria north and Fulbari using the open-pit method could yield 620 million tonnes of coal, meeting 70-80 per cent of the country's demand and saving $4 billion annually.
For Fulbari mining, 2,000 hectares of land will be needed, but it will be restored for agriculture within 3-5 years after extraction. Fulbari mine area spans 54.8 square kilometres, with a population of 46,500, requiring 10-12 years for rehabilitation.
A model town will be constructed in Fulbari's western part, with farming allowed until mining starts. This rehabilitation plan will cost $1 billion.
Nasrul Hamid has given assurance that groundwater will be managed during coal extraction, and locals will be employed and rehabilitated.
He highlighted that coal mining may reduce crop production of Tk 5,000 crore annually but importing coal could cost about Tk 70,000 crore yearly in future.
Five mines surrounding Fulbari
Five mines have been discovered in Bangladesh's northern district of Dinajpur. Among these, three are coal mines, one is a hard rock mine, and another is an iron mine.
These mines are situated in the centre of Fulbari upazila town. Barapukuria coal mine, located just 6 kilometres north of Fulbari, has severely impacted the environment due to ongoing mining activities.
Underground mining at Barapukuria has led to the submersion of settlements and agricultural land. Locals say they face water scarcity in tube-wells during the dry season due to excessive water pumping from the mine.
Madhyapara Granite Mining Company, the country’s lone hard rock mine is located 12 kilometres east of Fulbari, is facing local discontent.
Similarly, New Dighipara Coal Mine, located 25 kilometres southeast of Fulbari, is currently under development.
Additionally, the country's sole new iron mine is situated 30 kilometres southwest of Fulbari.
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Asia Energy becoming active
Despite the 2006 disaster, Asia Energy persisted with the activities at Fulbari. In 2014, CEO Gerry Lyne faced local protests during his visit.
Professor Anu Muhammad noted that Asia Energy continued trading on the London Stock Market, featuring Fulbari coal mines. Presently, a Chinese company has acquired the majority of Asia Energy's shares, prompting their return to business in Fulbari.
