By Asif Showkat Kallol (Dhaka Bureau)
In an era defined by global climate urgency, energy inequality, and volatile international fuel markets, Bangladesh has taken a decisive and forward-looking step toward securing a sustainable energy future. To support rapid industrialization, swift urbanization, and the rising living standards of its citizens, the government has unveiled an ambitious three-year investment plan worth Tk 128,013 crore (approximately USD 10.8 billion) to overhaul its power and energy infrastructure.
According to the government’s latest Annual Development Programme (ADP), the master plan aims to bridge the electricity supply-demand gap, construct a modern, technology-driven smart grid, and establish a balanced and inclusive energy ecosystem in alignment with Bangladesh’s international climate commitments.
Investment Roadmap and Long-Term Objectives
The Government of Bangladesh has allocated Tk 32,691.54 crore for the power and energy sector in the 2026–27 fiscal year, accounting for nearly 10.9% of the national development budget (excluding self-financed projects). Planned funding will expand steadily over the following years:
* FY 2027–28: Tk 38,684 crore
* FY 2028–29: Tk 42,552 crore
* FY 2029–30: Tk 46,807 crore
According to Planning Secretary SM Shakil Akhtar, the strategy goes beyond merely boosting generation capacity; it places equal emphasis on reinforcing transmission networks, minimizing system losses, and enhancing power distribution for end-users.
Megaprojects and the Push for Renewable Energy
To fortify national fuel security, the plan prioritizes the rapid commissioning of key flagship installations. These include the Matarbari coal-fired power plant, the Rupsha gas-fired power plant, the Ghorashal power plant, and the Rooppur Nuclear Power Plant- a landmark project reflecting the peaceful application of nuclear energy.
Simultaneously, in alignment with global climate benchmarks and Bangladesh’s 2030 sustainability commitments, renewable energy stands as a vital pillar of the strategy. Government and private investments will accelerate grid-connected solar parks alongside off-grid solar initiatives designed to empower remote and agricultural communities.
Strategic Priorities
The ADP outlines six strategic priorities to guide the sector’s evolution:
1. Affordable & Reliable Power: Expanding generation capacity cost-effectively to meet industrial and household demand.
2. Balanced Energy Mix: Blending domestic gas with imported LNG, liquid fuels, and alternative energy sources in an environmentally conscious manner.
3. Scaling Renewable Energy: Increasing the share of green energy to mitigate climate risks.
4. Modern & Secure Grid: Constructing high-capacity transmission lines to link power hubs like Rooppur and the southern region with key urban demand centers.
5. Technological Modernization: Deploying SCADA systems and smart-grid technologies to ensure grid reliability and efficiency.
6. Loss Reduction & Service Delivery: Upgrading distribution networks to reduce technical losses and improve customer satisfaction.
Pipeline Projects and Fuel Independence
Beyond ongoing initiatives, the government has integrated 47 new projects into the current fiscal pipeline. These encompass 11 power generation projects, 2 transmission projects, 10 distribution projects, 21 energy-related schemes, and 3 mineral resource exploration projects. Furthermore, authorities aim to complete 29 existing projects within the current year.
To reduce dependence on refined fuel imports and ensure long-term energy autonomy, the plan intensifies domestic gas exploration through 2D/3D seismic surveys and exploratory drilling. Additionally, the construction of Unit 2 of the Eastern Refinery is set to significantly boost domestic fuel refining capabilities.
Viewed through the lens of human rights, social equity, and ecological resilience, Bangladesh’s comprehensive energy plan is more than an economic engine it represents a pivotal stride toward realizing the energy rights of millions while fostering long-term stability across South Asia.
: Works for the German-based online outlet The Mirror Asia as Head of News and is a Contributor at Pressenza-Dhaka Bureau.
