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Official Name:
People’s Republic of Bangladesh

National Designated Entity

Type of organisation:
Dr. A.K.M. Rafique Ahammed
Director General
+88 02 81 81800

Energy profile

Bangladesh (2012)

Energy profile
Energy profile
Extent of network

Population Access to Electricity (2009): 41%Rural: 28%Urban: 76%Lack of access to electricity is one of the major issues affecting the socioeconomic conditions of the people. According to International Energy Agency statistics, nearly 96 million people, making up 38% of the total, do not have access to electricity. While some other estimates suggest that only 32% of the total population is connected to national electric grid. After India, Bangladesh has the largest population base in the world without access to electricity. In terms of per capita electricity consumption, the country has a ranking of 177 in the world with an annual value of 148 kWh. 

Renewable energy potential

Solar EnergyThere is a strong potential for solar energy, with an average daily insolation of 4-6.5 kWh/m2.The abundant sunshine available in Bangladesh makes it a good place to promote solar energy. A solar powered electricity generating system called solar home system (SHS) has been very popular since the solar power development project was initiated in rural Bangladesh in 2003 by IDCOL (Infrastructure Development Company Limited), an organisation created by the Bangladesh government. IDCOL implements its SHS installation programme in villages through several non-governmental organisations (NGOs) working as partners. By September 2005, a total of 50,000 SHS were installed in rural households. This number increased to about 400,000 by December 2008 and to about 801,358 by January 2011, generating about 36.5 MW of electricity in total  . The very rapid growth of SHS in rural households in Bangladesh puts it on the map of one of the faster growing solar energy programmes. IDCOL now plans to increase the total number of households with SHS in the country to one million by 2012. There is no doubt that solar powered electricity through SHS is benefiting millions in the rural households in Bangladesh, but in the context of total national output it will be quite some time before solar energy becomes a significant constituent of the energy mix of the country .  The Bangladesh Power Development Board (BPDB) has also implemented an excellent Solar PV electrification project in the Chittagong hill tracts region. Solar PV electrification has emerged as the most appropriate technological option for electrifying these areas . Wind Energy Wind energy has also made some inroads, but its potential is mainly limited to coastal areas, and offshore islands with strong wind regimes. These coastal settings afford good opportunities for wind-powered pumping and electricity generation. Presently there are 2 MW of installed wind turbine capacity at Feni and Kutubdia.Biomass  Biomass has been used traditionally as a domestic fuel in rural Bangladesh for ages, keeping the rural energy technology base inefficient and primitive. There has been increasing interest in improving the energy efficiency of biomass (cow dung, agricultural waste, etc.) by converting it to biogas, thus upgrading the rural energy consumption patterns. Biogas (methane), similar in nature and property to natural gas, is used in rural households for cooking, lighting and other purposes. About 10,000 biogas plants were installed in rural households up to December 2009. The ongoing programme of promoting biogas technology in rural Bangladesh has the people’s support and is destined to grow further. Biomass is not generally considered as commercial energy and therefore the drive to increase the energy efficiency of biomass is not always a priority with government agencies. But considering that the vast majority of people in rural Bangladesh depend on biomass, the biomass to biogas conversion technology deserves to be furthered in order to raise the standard of living of rural people.Biogas Biogas mainly from animal and municipal wastes may be one of the promising renewable energy resources for Bangladesh. Presently there are tens of thousands of household- and village-level biogas plants throughout the country. There is the potential to harness basic biogas technology for cooking and rural and peri-urban electrification, to provide electricity during periods of power shortfalls.Hydropower Micro-hydro and mini-hydro have limited potential in Bangladesh, with the exception of the Chittagong and the Chittagong Hill tracts. Hydropower assessments have identified some possible sites from 10 kW to 5 MW, but no appreciable capacity has yet been installed. There is currently one operating hydropower plant at Kaptai, established in the 1960s, with an installed capacity of 230 MW.Other renewable energy sources include biofuels, gasohol, geothermal, river current, wave and tidal energy. Potentialities of these sources are yet to be explored. 

Energy framework

Development of the energy sector has been prioritised via the Five-Year Development Plans of Bangladesh. Development of the energy sector appears to be a major constraint for continued development of the nation.  The objectives and targets set out for the energy sector for the Sixth Five Year Plan (SFYP) 2011-2015, in line with the Vision 2021 a national development plan, are as follows:Accelerated exploration, appraisal and development of existing and new gas fields, the upgrade of possible gas resources into proven reserves, and balanced expansion of the transmission and distribution network;Integrated reservoir management in both public and private gas companies, and where possible, the provision of standby wells for supply security and reservoir data collection;Institute administrative, financial and legal reform in Petrobangla and companies;Reduce system losses and improve energy use efficiency;Improve the supply security of petroleum products;Encourage public-private partnerships for LNG import and marketing;Encourage public-private partnerships in the exploration and distribution of indigenous oil and gas;Expand LPG use for domestic consumption to discourage piped gas.National Energy Policy (NEP) To set out the overall framework for the improved performance of this sector, the National Energy Policy (NEP) was prepared and adopted by the government in 1996. To introduce competition, attract foreign direct investment and, more importantly, to increase power supply to alleviate the acute shortage, in line with the NEP, the government has adopted the following policy measures:the Private Sector Power Generation Policy of Bangladesh, adopted in 1996,Policy Guidelines for Small Power Plants (SPP) in the Private Sector” in 1998,Guidelines for Remote Area Power Supply Systems (RAPSS) in July 2007,Policy Guidelines for Enhancement of Private Participation in the Power Sector in 2008,the Renewable Energy Policy of Bangladesh, adopted in January 2009. This policy has the following objectives:to harness the potential of renewable energy resources and the dissemination of RETs in rural and urban areas;to enable, encourage and facilitate public and private sector investment in RE projects;to develop sustainable energy supplies to substitute indigenous non-renewable energy supplies;to scale up the contribution of RE to electricity production;to facilitate the use of renewable energy at every level of energy usage;to promote development of local technology in the field of RE;to promote clean energy for the clean development mechanism (CDM).The Ministry of Environment and Forests Government of the People's Republic of Bangladesh in 2008 released the Bangladesh Climate Change Strategy and Action Plan, which will be the main basis of the Bangladesh government’s efforts to combat climate change over the next ten years.Government of Bangladesh unveiled a Power and Energy mega-plan in the recent budget of FY2011–2012 to generate additional 11,698MW of electricity by 2015. In this plan, a 5-year power generation and investment roadmap is designed to stimulate both public and private investments for power generation to accelerate the GDP growth in the country . 

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