BD to increase renewable energy to reduce imports

Energy specialists and environmental advocates in Bangladesh have called for urgent action to accelerate the country’s transition towards renewable power, warning that continued reliance on imported fossil fuels leaves the economy increasingly exposed to global shocks.

The appeal came during a round-table discussion held at the Jatiya Press Club, where policymakers, academics and industry representatives highlighted the growing risks facing the country’s energy system. They argued that recent instability in the Middle East has further exposed vulnerabilities in Bangladesh’s fuel supply chain, reinforcing the need for a more resilient domestic energy mix.

Speakers at the event pointed to a significant shift in the economics of clean energy, noting that the cost of solar technology and battery storage has declined sharply in recent years. This trend, they said, creates an opportunity for Bangladesh to accelerate deployment at scale, potentially reaching long-term generation targets well ahead of schedule if supported by strong policy measures.

According to participants, the country’s current energy structure remains heavily dependent on fossil fuels, which account for the vast majority of electricity generation. This reliance has contributed not only to financial pressure through rising import bills but also to worsening air quality. Analysts estimate that pollution linked to energy use is having a measurable impact on public health, reducing life expectancy and increasing mortality rates.

The discussion also highlighted structural challenges within the power sector. Declining domestic gas supply has led to the underutilisation of generation capacity, while some industrial operations are running significantly below their potential due to energy shortages. These constraints are already affecting economic productivity and could intensify if global fuel markets remain volatile.

Comparisons with regional peers underscore the scale of the challenge. While countries such as India and Pakistan have made notable progress in expanding renewable energy, Bangladesh’s share remains relatively low. Experts argue that without a substantial increase in investment and policy support, the gap could widen further.

Policy proposals discussed at the event included the introduction of a carbon pricing mechanism to generate domestic funding for clean energy projects, alongside the development of carbon trading systems. Participants also suggested innovative financing approaches, including the mobilisation of social funds, to support the transition.

In addition, calls were made for stronger institutional oversight, including the creation of a high-level body to coordinate and accelerate implementation of energy reforms. Experts emphasised that current budgetary allocations to the energy sector remain insufficient relative to the scale of the challenge, urging a reassessment of national spending priorities.

The broader message from the discussion was clear: Bangladesh’s long-term energy security will depend on its ability to diversify away from imported fuels and invest in sustainable alternatives. As global energy markets become increasingly unpredictable, the urgency of that transition is only expected to grow.