BDT 2,000 crore budgeted to turn consumers into power producers.
Government Targets 2 GW Solar Power Capacity
- The government unveiled a 5-year strategy to expand renewable solar power engineering capacity to 2 gigawatts
- Utilizing BDT 2,000 crore from the budget, electricity consumers will be transformed into active energy producers
- Smart net-metering and tech-based financing frameworks aim to save thousands of crores in fuel subsidies
Leveraging modern energy science and electrical engineering technologies, the government has announced an ambitious 5-year roadmap to expand the country's solar power capacity to two gigawatts (GW). An allocated BDT 2,000 crore from the national budget will be directly funneled into this technology initiative. Furthermore, the strategy utilizes smart online grid integration to empower everyday consumers, turning them into active power producers.
Rashed Al Mahmud Titumir, Adviser to the Prime Minister on Finance and Planning, disclosed these developments during a press interaction on Saturday, August 29, at the NEC Auditorium of the Ministry of Planning. The event reviewed progress on 180-day action programs across 22 foundations, including PKSF, alongside the government's 5-year strategic development framework.
The adviser stated that to mitigate inherited power shortages, the country is shifting from fossil fuel imports toward renewable solar technology and sustainable engineering models. Under the new financial architecture, consumers will contribute 20% of the initial cost, aggregator entities will provide 20%, and the remaining 60% will be financed via government-backed loans with effective interest rates capped between 6% and 7%. Institutions like the Bangladesh Infrastructure Finance Fund Limited (BIFFL) and BIFC will support the financing model alongside NGOs acting as aggregators.
Regarding online net-metering systems and digital power management, the adviser noted that over 300 applications have already been processed, successfully feeding nearly 200 megawatts of solar power into the national grid. Compared to LNG-based power generation costing up to BDT 64 per unit, scaling up solar engineering to 1 GW is projected to save nearly BDT 3,000 crore annually in government subsidies.
He emphasized that implementing tech-enabled renewable systems across rural and urban landscapes will create widespread engineering and technical employment while establishing long-term national energy security.
//DBTech/BNTO/SMP/MIST//
