Government Ensures Uninterrupted Power Supply Nationwide

The interim government has prioritized ensuring an uninterrupted power supply while reducing subsidies and inefficiencies in the power sector through enhanced transparency and accountability.

"Bangladesh is transitioning from subsidies and inefficiencies to a new era of transparency and accountability in power and energy. This transformation is essential for the sustainability of this import-dependent sector," said Dr Muhammad Fouzul Kabir Khan, Adviser to the Ministry of Power, Energy, and Mineral Resources.

He expressed optimism that electricity and energy prices would decrease in the future, as efforts are underway to boost renewable energy production and enhance efficiency across the sector.

"We have restored the Energy Regulatory Commission's (BERC) authority to determine electricity tariffs. Additionally, we are revising the Integrated Energy and Power Master Plan (IEPMP) and reassessing the renewable energy policy to increase its contribution to the overall energy mix," Khan added.

Investment & Sustainability Initiatives
Speaking at a recent event, the energy adviser highlighted that Bangladesh needs an estimated $3.5 to $4 billion annually in transition finance to achieve net-zero emissions by 2050.

He also noted that the government is shifting away from independent power producers (IPPs) and adopting a more sustainable power policy.

According to an official from the Bangladesh Power Development Board (BPDB), the country generated 11,541 MW of electricity on February 6, while the peak generation stood at 16,477 MW on April 30, 2024. Bangladesh currently has a total power generation capacity of 31,144 MW from 133 captive and renewable plants, with an additional 2,656 MW imported from foreign sources.

As of June 30, 2024, the power transmission network spans 16,060 circuit kilometres, and the grid substation capacity has reached 73,991 megavolt-amperes (MVA). The distribution network extends over 648,724.72 kilometres nationwide.

Bangladesh currently serves 4.77 crore electricity consumers, including 4.87 lakh irrigation connections. The system loss has been reduced to 7.25 percent.

Reform Measures for Greater Transparency
Since assuming office in August 2024, Dr Khan has introduced several reforms in the power and energy sector in the national interest.

The government has implemented new transfer and recruitment policies to prevent malpractices. Additionally, to enhance transparency in power production, the Quick Enhancement of Electricity and Energy Supply (Special Provision) Act 2010 was repealed through an ordinance on November 30, 2024.

Key Agreements & Renewable Energy Expansion
To secure energy supply, the government signed a Heads of Agreement (HOA) with US-based Argent LNG to import up to 5 million tonnes of liquefied natural gas (LNG) per year for the next 20 years.

The non-binding agreement was signed on January 24, 2025, at the Bangladesh Embassy in Washington, DC, by Ashik Chowdhury, Executive Chairman of the Bangladesh Investment Development Authority, and Jonathan Bass, Chairman and CEO of Argent LNG.

Additionally, the government has launched an open tender for 12 grid-tied solar power projects in the private sector. The BPDB invited potential bidders to establish solar plants across various locations, with a combined capacity of 323 MW.

The proposed solar projects include:

• 10 MW in Shudharam, Noakhali
• 18 MW in Hathazari, Chattogram
• 20 MW in Sabujpara, Nilphamari
• 25 MW in Moulvibazar
• 25 MW in Bajitpur, Kishoreganj
• 25 MW in Chandraghona, Rangamati
• 30 MW in Ukhiya, Teknaf (Cox's Bazar)
• 35 MW in Nawabganj, Dhaka
• 45 MW in Kurigram
• 45 MW in Fatikchhari, Chattogram
• 45 MW in Bhaluka, Mymensingh

These initiatives mark significant progress in Bangladesh's journey toward a more efficient and sustainable power sector.