Bangladesh is attracting foreign investment and companies to develop its power system. The government plans to expand power generation capacity, despite stagnant electricity demand, leading to increased financial burdens on consumers. Additionally, the country is inviting international companies for oil and gas exploration and extraction, and establishing floating LNG terminals to meet energy needs. Prices of key energy sources, such as crude oil, increased by more than 40 percent in recent years. The average LNG and coal prices increased from significantly as well.

The government has installed 533,023 prepaid meters to modernize the energy distribution system, with Titas Gas distributing 416,018 in Dhaka, Karnaphuli Gas distributing 67,005 in Chittagong, and Jalalabad Gas distributing 50,000 in Sylhet. Additionally, approximately 14 million tons of coal have been extracted from the Barapukuria coal mine for use in the Barapukuria Thermal Power Plant.The Bangladeshi government plans to reduce the 10% system loss in the natural gas sector by raising public awareness about efficient energy use, implementing energy efficiency programs, and cracking down on illegal connections.

The government’s goal is to increase electricity access and affordability. This will be achieved by diversifying the fuel mix, promoting alternative fuels, and using modern technology for energy efficiency and lower emissions, collaboration between the public and private sectors on onshore and offshore gas exploration through attractive Production Sharing Contracts to encourage International Oil Companies (IOCs) to invest, formulate coordinated policy framework, Bangladesh could access hydropower from Nepal and Bhutan, transmitted through India to reduce reliance on imported fuels. The plan also includes phasing out quick rental power plants in favor of cleaner energy sources, such as nuclear power.

The government is steadfast in its commitment to transitioning towards green energy, with a clear target of generating 40% of electricity from renewable sources by 2041. With the strategic discontinuation of coal-fired power plants and the proactive consideration of measures to promote renewable energy, including the reduction of duties and taxes on solar equipment, we are poised to catalyze this impactful transformation. The significant potential for solar power generation from solar irrigation and solar developments, coupled with the deliberate emphasis on smart grids and renewable energy storage systems, positions us at the forefront of reshaping our energy landscape for a sustainable and resilient future