Home ›› 30 Nov 2021 ›› Front
Bangladesh’s power and energy sector needs $63 billion in investment to improve infrastructure and electricity generation capacity to meet the growing demand, State Minister for Power, Energy and Mineral Resources Nasrul Hamid said on Monday.
He made the remark at a dialogue titled ‘Power and Energy: Charge Ahead’ on the second day of the International Investment Summit-2021 held in Dhaka. Bangladesh Investment Development Authority (BIDA) organised the summit to attract investment in different sectors.
“Bangladesh needs an investment of $63 billion in its power and energy sector to upgrade transmission and increase capacity. Of the investment, around $50 billion is required for power generation, $8 billion for transmission and $5 billion for distribution,” said Nasrul.
Bangladesh is already cutting back on coal and looking for renewable, cross-border and nuclear power options. He said Bangladesh was opting for LNG base load to synergise with the current gas infrastructure in fuel diversity.
He said that Bangladesh was working on more efficient power plants and reopening old plants.
In distribution, Dhaka utilities have started net metering and will move into residential net-metering outside Dhaka soon.
Nasrul said, “Bangladesh is moving towards renewable energy and decarbonisation technologies, taking environment into account. Saudi Arabia, UAE, some European countries and China are investing in Bangladesh’s power and energy sector. Now, we’re looking for investors from India and Nepal. In fact, Bangladesh soon will sign a deal with Nepal for 7,000MW hydropower.”
“Foreign investors have invested in Mymensingh, Chattogram, Gazipur and several other areas in Bangladesh. So, you (investors) see investors have big trust in us. That’s why you (investors) can invest here,” the minister said.
Bangladesh has already cancelled 10 coal–fired power plants with the capacity of over 8450MW. The government plans to decommission more coal-fired power plants.
Bringing renewable and clean power to the table is a strategic priority. The Power Sector Masterplan gets revised every five years to keep pace with technological advancements, he said.
The minister said the government also plans to generate 40 per cent of electricity from renewable energy by 2041.
Attending the event virtually, Prime Minister Sheikh Hasina’s energy advisor Tawfiq-e-Elahi Chowdhury said Bangladesh produces thousands of diploma technicians every year. So we have enough technical manpower.
“So, I am asking all the investors to invest in our country,” he said.
Bangladesh will support zero-emission activities, such as improved energy efficiency using digital technologies and promoting EV’s. He said that Bangladesh plans to have 15 per cent of all new vehicles registered to be powered by electricity by 2030.
He added that 12 million people are in the medium-income affluent bracket and the segment is growing at a rate of 10 per cent per year. By 2030, Bangladesh plans to produce 10 per cent of electricity from renewable sources.
“Ongoing mega projects are expected to drive up demand for electricity in the coming years. Bangladesh has the potential to utilise wind farms and tidal energy to ensure sustainable energy development,” he said.
