Civil society organisations (CSOs) in Bangladesh have called on the government to undertake sweeping fiscal reforms and establish a dedicated Tk25,000 crore green financing facility in the upcoming national budget to accelerate renewable energy expansion and improve national energy security.
The demand was raised at a press conference titled “Renewable Energy for Energy Security: Policy Shifts Needed in the National Budget,” held in Dhaka on Saturday.
Energy experts, environmental advocates, and civil society representatives warned that without strong policy intervention, Bangladesh could remain locked into costly fossil fuel dependence, rising import bills, and long-term economic vulnerability.
The programme was jointly organised by the Coastal Livelihood and Environmental Action Network (CLEAN) and the Bangladesh Working Group on Ecology and Development (BWGED), along with support from organisations including the Bangladesh Environmental Lawyers Association (BELA), Ethical Trading Initiative Bangladesh, Lawyers for Energy, Environment and Development (LEED) and Manusher Jonno Foundation.
Speakers at the event proposed reducing all taxes, VAT, and import duties on renewable energy equipment to a symbolic 1 per cent for at least the next ten years. They argued that the current tax burden - ranging between 27 per cent and 61 per cent - has become a major barrier to investment in clean energy technologies.
They also recommended setting up a Tk25,000 crore revolving fund under Bangladesh Bank to provide low-interest financing below 5 per cent for renewable energy projects. Additional proposals included rooftop solar subsidies, battery storage requirements for new projects, and the introduction of carbon taxation policies.
According to the speakers, Bangladesh’s renewable energy capacity remains significantly underdeveloped compared to its potential, despite growing demand for sustainable energy solutions.
