Bangladesh power outages are expected to ease from next week, although a complete end to load shedding remains unlikely, Energy Minister Iqbal Hassan Mahmood has said, highlighting fuel supply constraints, rising import costs and structural inefficiencies in the power sector.
Speaking on Monday at the Fourth Bangladesh-China Renewable Energy Forum, organised by the Centre for Policy Dialogue in Dhaka, he said current load shedding stands at between 1,200 and 1,500 megawatts and is projected to fall to 800 to 900 megawatts. “From next week the figure should drop to 800 to 900 megawatts. A complete halt, however, is not possible at this moment,” he said.
The minister stressed that Bangladesh must move faster to stabilise its energy sector. “If we have been running in second gear so far, we actually have to drive a car in fifth gear now; otherwise, it will never be possible for us to bring in global investment by competing with our rival nations,” he said.
He attributed the ongoing electricity shortfall to mounting financial strain and fuel supply disruptions. Outstanding dues to power-importing entities have risen sharply to Tk 56,000 crore, while the ongoing Middle East crisis has already added around $2 billion to the country’s energy import bill. The global volatility in oil and gas markets has forced the government to manage fuel imports and subsidies with caution.
Iqbal Hassan Mahmood said structural inefficiencies continue to undermine the sector. “Every time I have taken charge of this ministry, I have had to start from a deficit — in 2001 and again now in 2026. Unnecessary projects were executed whose financial liabilities we are now bearing,” he said.
He pointed to a mismatch between installed capacity and actual demand. While electricity demand currently stands at around 18,000 megawatts, installed generation capacity was expanded to 30,000 megawatts in previous years. Despite this surplus, shortages of fuel and raw materials have left many plants idle, even as the government continues to pay for their upkeep, adding to fiscal pressure.
As an example, he cited the Rupsha power plant in Khulna, which has remained shut for three years after a plan to supply it with gas from Bhola failed to materialise.
Turning to long-term solutions, the minister identified renewable energy, particularly solar, as the most viable path to reducing reliance on imported fuels and stabilising electricity supply. “The government has set a target of generating 10,000 megawatts of solar power within five years,” he said.
He added that Prime Minister Tarique Rahman wants work to begin immediately, although land scarcity remains a major barrier. To address this, the government plans to lease state-owned khas land to private investors and offer tax incentives to accelerate solar deployment. He said the prime minister has already directed an inter-ministerial effort to prepare a comprehensive inventory of such land.
The minister criticised previous policies mandating rooftop solar installations on multi-storey buildings. “The previous fascist government forced solar panels onto every multi-storey building by diktat. Panels were installed, but electricity never came from them. We want to bring people to solar energy through encouragement, not compulsion,” he said.
He added that solar proposals rejected during the interim government period would be revisited, urging the private sector to work with the government through public-private partnerships to expand renewable capacity.
The government’s strategy reflects a broader effort to manage fuel supply constraints, rising global energy costs and domestic financial pressures, while accelerating the transition towards renewable energy to secure long-term stability in Bangladesh’s power sector.
