Bangladesh plans to expand its solar power capacity to 10,000 megawatts (MW) during the current government's tenure as part of a broader strategy to reduce fuel imports, ease pressure on foreign exchange reserves and strengthen long-term energy security. Power, Energy and Mineral Resources Adviser Iqbal Hassan Mahmud Tuku said achieving the target would lower the country's dependence on imported energy and allow savings to be redirected to other development priorities.
Speaking at a national workshop at the Bangladesh-China Friendship Conference Centre in Dhaka on Monday, Tuku urged non-government organisations (NGOs) to increase investment in renewable energy projects, particularly rooftop solar installations in rural areas.
According to the Bangladesh Power Development Board (BPDB) and the Power Cell, Bangladesh currently has 797MW of installed solar power generation capacity, highlighting the scale of expansion required to meet the government's target.
Tuku said NGOs could play a significant role by developing cluster-based rooftop solar projects and selling surplus electricity through the net metering system, enabling them to recover their investments while contributing to the national grid.
He also identified solar-powered irrigation as a commercially viable opportunity, comparing its potential to the business model used by deep tube-well owners who sell irrigation water to farmers.
The minister said financing should not be a major barrier, noting that concessional funding from the World Bank and other development partners is available through commercial banks for renewable energy investments.
Highlighting growing public interest in clean energy, he referred to an easy-bike driver who powers his vehicle using a small solar panel and two used batteries. He also cited the example of a woman in Faridpur who produces biogas from cattle waste and supplies cooking gas to neighbouring households, saying such initiatives demonstrate the commercial potential of decentralised renewable energy.
Tuku said Bangladesh spent around US$2 billion on petroleum and other fuel imports during the first two months after the government assumed office, placing considerable pressure on the country's foreign exchange reserves.
He warned that global geopolitical instability, including the Iran-Israel conflict, has increased uncertainty in international energy markets and reinforced the importance of reducing reliance on imported fuels through greater renewable energy deployment.
The minister said declining domestic natural gas production has forced Bangladesh to increase imports of liquefied natural gas (LNG), pushing up government subsidy costs. He added that while neighbouring countries are already producing gas from offshore fields, Bangladesh remains at the exploration stage, although the government has invited bids for offshore oil and gas exploration to strengthen future domestic supply.
To accelerate investment in renewable energy, Tuku said the government has introduced tax incentives for solar panels and batteries. He encouraged NGOs to move beyond grant-dependent projects and adopt commercially sustainable business models backed by concessional international financing.
"Why rely on aid? Take the money, invest it, run a business and repay it. You'll get the funds at concessional rates," he said.
Responding to requests from NGO representatives for a meeting with the prime minister, Tuku said he would forward their proposal.
