Bangladesh – Energy Transition Platform

November 11, 2024 Rachana Desale No Comments

Just Energy Transition: Bangladesh’s step towards transition to renewable energy

Background:

Bangladesh is at a pivotal moment in its energy journey. As the nation emerges from the 2022 power crisis, new opportunities are on the horizon to reshape its energy landscape. With a bold target to generate 40% of its electricity from renewable sources by 2040, the country is positioned to take significant strides toward a cleaner and more resilient energy future. However, balancing the move toward renewables while securing long-term LNG contracts will be key to ensuring a stable transition. Accelerating the shift to sustainable energy will help safeguard the power grid against potential disruptions and unlock economic growth.

The challenges ahead are substantial, driven by rapid population growth, urbanization, and industrial expansion. With near-universal electrification, Bangladesh’s power needs are growing, particularly in the ready-made garments sector, which contributes over 10% of the GDP and nearly 80% of exports. Diversifying the energy mix is now more crucial than ever to maintain momentum in economic development.

In 2021, over 99% of the country’s energy came from fossil fuels—primarily natural gas, oil, diesel, and coal—with natural gas alone accounting for around 67% of the supply, of which 26% was imported. This reliance has been instrumental in reaching electrification milestones, yet it also highlights the need for a more balanced energy strategy.

The shift from relying solely on domestic resources to embracing a diversified energy mix—including imports and renewables—presents an opportunity to enhance energy security, autonomy, and price stability. By accelerating the adoption of renewable energy, Bangladesh can build a more resilient grid that supports long-term economic growth, meets evolving energy demands, and positions itself as a leader in sustainable development.

Renewable Energy Potential:

Bangladesh holds significant potential for renewable energy development, with solar, wind, and biomass resources offering promising prospects. The government has set ambitious targets to achieve 40% of its energy generation from renewable sources by 2041, a goal that is essential given the country’s rapidly growing energy demands and the need to reduce dependence on fossil fuels. Currently, solar power contributes approximately 4.5% to the total installed capacity, generating around 1,183 MW from various projects. With an estimated potential of 50,174 MW, solar energy could meet nearly 80% of Bangladesh’s projected energy demand by 2041. The draft National Solar Energy Action Plan aims for around 41 GW of solar power by that year.

Wind energy also presents a substantial opportunity, particularly in Bangladesh’s coastal regions, which offer favorable conditions for wind power generation. The potential wind capacity is estimated to be as high as 30,000 MW, with average wind speeds ranging from 5 to 8 m/s—ideal for turbine operation. Additionally, biomass remains a viable option for renewable energy, though its expansion is limited by competing demands for agricultural waste. Innovations such as biogasification could improve biomass utilization while ensuring sustainability.

As of the end of 2021, Bangladesh’s total installed power capacity exceeded 29 GW, which included nearly 16 GW of oil-fired and 11 GW of gas-fired power. Renewable energy remained marginal, with only 230 MW from hydropower and 329 MW from solar. However, by 2022, renewable capacity had surpassed 950 MW. Under the updated Nationally Determined Contribution (NDC) from August 2021, Bangladesh aims to achieve 4.1 GW of renewable capacity by 2030, including 2.3 GW of solar. The country also plans to expand its nuclear capacity, targeting up to 7 GW by 2041, with two 1.2 GW reactors at the Rooppur nuclear plant expected to be operational by 2024, and another nuclear facility under consideration.

Despite these plans, current renewable energy targets fall short of their potential. The Integrated Energy and Power Master Plan from 2023 outlines a goal of 18% clean energy by 2030 and 40% by 2041. While these figures may seem ambitious, they include controversial technologies such as carbon capture and storage (CCS), ammonia, and hydrogen—which, despite being fossil fuel-based, are counted within the clean energy targets. In reality, only 5.7% of the 18% clean energy target by 2030 will come from renewables, rising to 8.8% of the 40% target by 2041. Currently, renewables make up just 2% of the national energy mix.

To meet its solar targets, Bangladesh plans to deploy the following:

16 GW through solar hubs
4 GW via electric utilities
5 GW by private developers
2.5 GW for irrigation pumps
12 GW from rooftop installations

However, scaling up solar energy faces several challenges, particularly the scarcity of land. Although Bangladesh’s tropical climate is suitable for solar, large-scale installations are hampered by limited available land. Agricultural land is prioritized for food production, and strict regulations prohibit its use for solar projects, complicating the identification of suitable sites due to fragmentation and competing land needs. Even when viable locations are found, land acquisition can be delayed by disputes and bureaucratic hurdles.

Furthermore, establishing solar power plants requires navigating a complex regulatory environment, involving up to 38 different licenses and certificates. This cumbersome process can discourage investors and slow project implementation. Financing solar projects is also challenging, as the initial investment is substantial and local financial institutions often do not offer favorable terms.
Integrating solar energy into the existing grid poses additional difficulties. The national power grid struggles with frequent outages and voltage fluctuations, which complicates the incorporation of intermittent solar power. Additionally, solar energy production varies due to changes in sunlight throughout the day and across seasons, necessitating advanced grid management and energy storage solutions to ensure a reliable power supply.

The challenges of establishing large-scale solar plants in Bangladesh have led the government to promote rooftop solar installations as a viable alternative for renewable energy transition. This strategy leverages the abundant rooftop space available in urban and industrial areas, addressing land scarcity while contributing to the country’s renewable energy goals. Rooftops of residential, commercial, and industrial buildings can be utilized without requiring additional land, making it an efficient use of space in a densely populated country. The government has introduced a net metering system, allowing users to connect their rooftop solar systems to the national grid. This enables them to sell excess power back to the grid, providing financial incentives and reducing electricity costs. The rapid installation of rooftop solar systems could significantly reduce carbon emissions. For instance, installing 2,000 MW of rooftop solar could potentially decrease CO2 emissions by about 15 million tonnes from 2023 to 2030, supporting Bangladesh’s Nationally Determined Contributions (NDCs) under international climate agreements. Grameen Shakti as a pioneer of solar system installation has installed more than 350 solar roof top system both on Grid and Off grid which helped to reduce more than 11500 metric ton of carbon emission in the country. This is a step toward a just energy transition.

Just energy Transition:

A just energy transition refers to the process of shifting from fossil fuel-based energy systems to renewable energy sources in a manner that is fair, inclusive, and equitable for all stakeholders involved. It emphasizes:

Social Equity: Ensuring that the benefits and costs of the transition are distributed fairly, particularly for marginalized and vulnerable communities.
Decent Work Opportunities: Creating sustainable jobs in the renewable energy sector while protecting the livelihoods of those affected by the transition away from fossil fuels.
Community Engagement: Involving local communities in decision-making processes to ensure their needs and voices are prioritized.
Environmental Sustainability: Promoting clean, resilient energy systems that contribute to climate goals without exacerbating social inequalities.

Bangladesh’s Path Towards a Just Energy Transition

Bangladesh is making considerable progress toward a just energy transition, emphasizing climate resilience, sustainable energy development, and inclusivity in its policies and initiatives. This shift towards clean energy is not only addressing the country’s rising energy demands but also creating new opportunities for sustainable economic growth and gender equality.

Energy Landscape and Renewable Energy Development

Bangladesh currently boasts an installed energy capacity of 26,025 MW, with renewable energy sources contributing 1,201.85 MW. This includes 259 MW connected to the national grid and 418 MW generated off-grid. Although renewable energy represents a modest share of the total energy mix, solar energy plays a vital role, especially through decentralized systems such as Solar Home Systems (SHS), which have provided electricity to approximately 20 million people. The SHS initiative is one of the fastest-growing solar programs in the world, with over 6 million systems installed in off-grid areas.

The country aims to provide universal electricity access, and as of 2023, approximately 85% of the population has access to electricity, up from just 20% in 2000. However, around 40% still lack reliable electricity access, particularly in rural areas. To bridge this gap, the government has been expanding renewable energy projects, including a target to install 10,000 solar irrigation pumps by 2027 to support sustainable agricultural practices. Currently, around 1,515 solar pumps with a total capacity of 40 MWp are operational.

Challenges in the Transition

The journey toward a just energy transition involves addressing challenges such as scaling renewable energy projects, integrating them into the existing power grid, and replacing traditional energy sources like diesel-operated water pumps, which still number around 1.34 million and irrigate 3.4 million hectares of land. These pumps are costly and environmentally harmful due to fluctuating fuel prices and emissions. Shifting to solar-powered solutions can alleviate these concerns and further support the nation’s clean energy ambitions.

Employment Growth in the Clean Energy Sector

Bangladesh’s clean energy transition is creating sustainable employment opportunities. From 2011 to 2016, the solar sector experienced an annual job growth rate of 18.5%, significantly outpacing the national average of 1.9%. The workforce expanded from 60,000 to 140,000 during this period, showcasing the sector’s potential for generating sustainable livelihoods. The expansion of renewable energy projects is likely to continue driving job creation as the country scales its clean energy capacity.

Gender Inclusion in the Energy Sector

Women’s inclusion in the energy sector is critical to ensuring a just transition. In Bangladesh, women make up only 10% of the energy workforce, compared to the global average of 32% in the renewable energy sector. Closing this gender gap is essential for achieving a more equitable transition. Studies, such as one by McKinsey & Company, have shown that companies with greater gender diversity on executive teams are 21% more likely to experience above-average profitability. This underscores the economic benefits of including women in decision-making roles within the energy industry.

Grameen Shakti’s Role in Women’s Empowerment

Grameen Shakti is actively working to bridge the gender gap through initiatives such as capacity-building training under the WePOWER project. It has trained around 100 women annually, focusing on renewable energy knowledge and technical skills. These programs not only enhance women’s understanding of clean energy technologies but also empower them to become technicians capable of independently addressing electrical issues in their communities. Grameen Shakti’s training of female technicians and other capacity-building programs are vital steps toward increasing the installation of SHS and promoting the acceptance of clean energy solutions at the household level.

Additionally, the government has established a dedicated fund through Bangladesh Bank to support women entrepreneurs in the energy sector, although this fund remains underutilized. Leveraging this financing could further promote women’s participation and entrepreneurship in clean energy.

Policy Initiatives and Government Goals

The government of Bangladesh integrates climate action into its national development strategies, with 6-7% of the annual budget allocated to climate adaptation. It aims for universal electricity access by expanding generation and distribution networks to connect an additional 450,000 households per month. Renewable energy projects, especially solar energy, will play a crucial role in meeting these targets. Scaling up investments and addressing grid integration challenges are essential for accelerating the energy transition and making it more inclusive.

The Path Forward

To fully achieve a just energy transition, Bangladesh must address several key areas:

Scaling Renewable Energy Projects: Expanding solar, wind, and other renewable energy capacities to ensure a more balanced energy mix.
Grid Modernization: Upgrading infrastructure to accommodate the increased integration of decentralized and renewable energy sources.
Gender Inclusion: Increasing women’s participation in the energy workforce and leadership positions through targeted training, financing, and policy support.
Policy Alignment and Financing: Utilizing existing funds and creating new financial mechanisms to support small and medium-sized renewable energy projects, particularly for women entrepreneurs.

Bangladesh’s ongoing efforts in the energy sector highlight the country’s commitment to a sustainable, resilient, and inclusive future. By continuing to integrate gender equity into the energy transition and addressing current challenges, Bangladesh can further solidify its path toward a just and prosperous clean energy future.

November 11, 2024 Rachana Desale No Comments

As an emerging nation, Bangladesh is currently grappling with various challenges in securing its energy needs, particularly the requirement for dependable and sustainable energy sources. The country primarily depends on natural gas, coal, and oil to fulfill its energy requirements. However, these conventional energy sources are limited and non-renewable, and their utilization contributes significantly to environmental issues, including air pollution and greenhouse gas emissions. In contrast, hydrogen fuel presents itself as a clean and renewable energy alternative that could transform Bangladesh’s energy landscape.

Hydrogen fuel is a fuel produced by extracting hydrogen from sources like water or natural gas, which can then be utilized to power vehicles or generate electricity. The adoption of hydrogen fuel as an energy source is increasing because of its clean and renewable characteristics. Hydrogen fuel cells generate electricity by merging hydrogen and oxygen, with water vapor being the only byproduct of this process. One of the primary benefits of hydrogen fuel is its environmental advantages. Hydrogen fuel generates no greenhouse gasses or toxic pollutants, rendering it a clean and sustainable energy option. Another benefit of hydrogen fuel is its widespread availability. Hydrogen is the most plentiful element in the universe and can be sourced from various materials, such as water and natural gas. This indicates that hydrogen fuel is a renewable energy source that can be generated locally, thereby decreasing dependence on imported fossil fuels.

Bangladesh is investigating hydrogen fuel as a viable clean energy alternative. With an increasing need for energy, the nation finds its conventional energy sources, like natural gas and coal, to be limited. Implementing hydrogen fuel could enable Bangladesh to satisfy its energy needs while decreasing dependence on non-renewable resources. The use of renewable energy technologies for producing green hydrogen holds great promise for Bangladesh. Establishing hybrid renewable energy facilities along the coast of the Bay of Bengal, including locations like Kuakata, Sandwip, St. Martin, Cox’s Bazar, and Chattogram, could effectively address the power demand issues in Bangladesh.

One sector where hydrogen fuel may be especially beneficial in Bangladesh is transportation. The nation has a substantial transportation industry, with most vehicles utilizing fossil fuels. Implementing hydrogen fuel in this sector could greatly cut down on greenhouse gas emissions and air pollution, resulting in better air quality and enhanced public health. Apart from transportation, hydrogen fuel has the potential to produce electricity in Bangladesh. The nation has been putting resources into renewable energy, including solar and wind, yet these options are variable and can lack reliability. Employing hydrogen fuel cells for electricity generation could offer a steady and dependable supply of clean energy.

While hydrogen fuel offers many potential advantages, there are also significant challenges to overcome. A primary challenge is the high expense associated with producing and storing hydrogen fuel. At present, the production costs of hydrogen fuel surpass those of conventional fossil fuels, and the necessary infrastructure for its storage and distribution is also costly. Another issue is the safety related to hydrogen fuel. As a highly combustible gas, hydrogen requires stringent safety protocols to prevent accidents. Furthermore, there are worries about the possibility of hydrogen leaks, which could pose risks to both the environment and public health.

Bangladesh has established its first hydrogen energy laboratory along with a small hydrogen production facility in Chittagong, a coastal city in the southeastern region of the country. This facility was officially opened by the Bangladesh Council for Scientific and Industrial Research (BCSIR) on January 20th, 2021. The plant will initially utilize waste and biomass as its input materials. It is anticipated that this facility will significantly contribute to the hydrogen sector in Bangladesh and achieve an important research and development milestone that will facilitate the establishment of large-scale hydrogen production plants for commercial and industrial use. Additionally, there are plans to incorporate water electrolysis technology for hydrogen production in the near future. This project aims for the research and quality control related to hydrogen production, storage, supply, and infrastructure development. However, study and research shows that the Solar PV based green hydrogen production is considered promising and cost effective. The potential of this approach is yet to be explored in Bangladesh. This is a solar boom country. Using solar power to produce green hydrogen might become a prospective business, here. A study of Hydrogen Energy Storage Based Green Power Plant (Solar-Wind hybrid model) in the seashore of Bangladesh shows that per unit cost of the system is 0.09$/kWh. It identifies that the green hydrogen production scheme can be used to store renewable energy in an environmentally safer way. However, the study does not analyze the production cost of hydrogen separately. Beside this the power production model includes a power generator which uses hydrogen as fuel.

Also, Rupantarita Prakritik Gas Company Limited (RPGCL) has established a team to examine data from current research and initiatives in developed countries regarding sustainable and dependable hydrogen production methods for fuel. This team will draft a project proposal once they gather satisfactory information. It is anticipated that experimental use of hydrogen fuel in the country will be feasible by 2035.

Hydrogen fuel holds the promise of transforming the energy landscape in Bangladesh. With the increasing energy needs of the country, hydrogen fuel could satisfy this demand while decreasing dependence on fossil fuels. Implementing hydrogen fuel in the transportation sector could greatly lower greenhouse gas emissions and air pollution, thereby enhancing public health. Nonetheless, there are challenges that must be tackled, such as the significant expenses related to hydrogen fuel production and storage, as well as the safety issues that arise from its use.

S.M. B.Baque, M. K.Kazi, O. M.Islam, S.Barua, S. M. Mahmud andM. S.Hossain, “Hydrogen Energy Storage Based Green Power Plant in Seashore of Bangladesh: Design and Optimal Cost Analysis”, IEEE Intl. Conf. on Innovations in Green Energy and Healthcare Technologies, 2017.

Bangladesh

October 30, 2021 Rachana Desale No Comments

Introduction Global economies faced unprecedented chaos as COVID-19 pandemic spread throughout the world in the early months of 2020. Energy, particularly the use of electricity, is strongly related to the economic activity of any country. However, due to the COVID-19 pandemic, there have been short-term and long-term impacts on the power sector globally. For instance, the International Energy Agency reported that primary energy demand and global energy-related CO2 emissions reduced by 4% and 5.8%, respectively, in 2020; the CO2 emission reduction was 3.3% in the power sector in 2020. In the developing world, the impact of this pandemic has been devastating and has hindered the achievement of sustainable development goals by 2030. Goal-7 is one of the crucial sustainable development goals and is associated with “affordable and clean energy for all,” and developing countries’ energy sector impact assessment is an utmost priority for this pandemic situation. As for Bangladesh, well on its way to becoming a middle-income country by 2024, the outbreak of COVID-19 has wreaked havoc within the nation and caused major setbacks in its development pathways. Current Scenario of Power Sector in Bangladesh The electricity generation system in Bangladesh is dominated by fossil fuel generation. According to the Bangladesh Power Development Board (BPDB) and the Sustainable and Renewable Energy Development Authority (SREDA), fossil fuel and renewable generation capacities are at about 21,902 MW (including power import) and 766.8 MW (including Hydro), respectively (as of September 2021). The total electricity generation from fossil fuel in Bangladesh was 70,532 GWh (including power import) in the financial year 2019-20, of which the share of Natural gas was 72.7%, 13.6% from Liquid fuels (HSD & HFO) and 4.2% from coal. The country has been mainly dependent on domestic natural gas for energy. Over the five years, the share of natural gas in electricity generated from fossil fuel has ranged between 64% to 73%.

	2019-20	2018-19	2017-18	2016-17	2015-16
Natural Gas	72.7%	69.2%	64.6%	67.6%	69.9%
Liquid Fuels	13.6%	19.3%	24.9%	22.3%	21.0%
Coal	4.2%	1.8%	2.7%	1.8%	1.7%
Power Import	9.5%	9.7%	7.8%	8.3%	7.5%

Bangladesh’s government started undertaking the reform initiatives to ensure necessary energy supplies for its users to support steady socio-economic development. To promote fuel diversification for power generation, while balancing production costs and electricity tariffs, the government of Bangladesh intends to lower its dependence on natural gas and explore other fuel sources. As the energy mix is set for a radical shift, the country’s current policies suggest that the energy demand will be met by a significant expansion of coal-based energy sources and Liquefied Natural Gas (LNG). Plans of replacing domestic gas with imported coal and LNG will have additional costs such as setting import terminals, storage, and regasification facilities. As such, this shift will ultimately lead to an increase in the overall cost of power generation in the long term and place an additional financial stress on government budgets as well as power consumers. While the unsustainability of fossil fuels has been discussed widely among the country’s energy experts, the reality of its risks has now been brought to the forefront by the recent pandemic. It is important that the country explores renewable energy sources more seriously, and it is doing so as well though not at the pace required.

The prospect of renewable energy in Bangladesh is bright, particularly for solar due to the high solar radiation (4.0 to 6.5 kWh/m²/day). Bangladesh is recognized as one of the first countries in the world to implement Solar Home Systems (SHSs) in reaching consumers outside the national grid (Off-grid) or in places where the grid connection is delayed. And throughout the years, the installed capacity of Solar energy has been increased.

*Figures are in MW unit

Achievement in Renewable Energy Sector of Bangladesh in the last five years:

Installation of 730 MW capacity power plants/systems from Renewable Energy);
Installation of 6 million Solar Home System (SHS);
Replacement of 2225 diesel driven pumps by solar irrigation pumps;
Implementation of 27 solar mini grid projects;
Distribution of 10,000 solar systems among the poor people of Chattagram hill tracts and taking projects to bring about 42,000 another poor people under electrification;
Establishing central database system to renewable energy information;
Processing 1665.413 MW solar power plant;
Signing of 200 MW wind power station
Completion of wind mapping in 13 places;
Kick off the establishing 1 MW waste to electricity station in at Keraniganj municipality in Dhaka;
Formulation of “Net Metering Guideline” and installation of 24 MW grid tied solar system under this guideline.

Impact of COVID-19 on Bangladesh’s Power Sector

When COVID-19 started to spread in Bangladesh, the country’s economic growth momentum suddenly faced a downturn. The pandemic consequently caused significant reductions in power demand and revenue. The country’s excessive capacity is also a key contributor to the financial losses suffered. COVID-19 has widened the gap between the power demand and the power generation capacity of the existing power plants. To make matters worse, Bangladesh also has numerous coal-fired plant projects in the pipeline. This combined with plans of additional LNG based power, will leave Bangladesh with the power capacity to generate at least fifty-eight percent more power than needed in 2029-30.

To observe the Covid-19 pandemic effect on Bangladesh’s energy sector, the electricity demand from 2019 and 2020 is shown in the below figure. The electricity demand in March 2020 is found to be higher than in 2019. However, it started declining sharply from April 2020 till June 2020, it is still lower than the 2019 level. This is due to the fact that Bangladesh declared a nationwide general holiday on March 24. However, electricity demand is catching up at a high rate because of the relaxation of general holiday measures in the subsequent period, and in June 2020, it is just below the 2019 level.

Sustainable Renewable Energy: A Way towards COVID Recovery

Compared to fossil fuels, renewable investments are more stable, environmentally friendly, and increasingly cost-effective. Despite the sometimes-high initial costs of infrastructure setup, they offer consistent and predictable returns while delivering greater benefits to the wider economy, society, and environment. Bangladesh’s potential for availing renewable energy options, which has been considered limited due to issues of cost and land availability, is now far more viable than previously anticipated.

As Bangladesh focuses on the long-term gains from availing more flexible renewable energy options, it is important to invest in solutions that overcome some of the existing RE barriers in the country and explore more economically viable opportunities.

Due to the adverse impact on the environment for utilizing fossil fuels, many developed and developing countries are now inclined toward various forms of renewable energy like solar power, wind power, bioenergy, hydropower, etc. More renewable generation options for the electricity generation system in Bangladesh need to be explored. Due to the scarcity of land, it is difficult to achieve a substantial effect through solar generation in the country. There are also other options that require further research, which could be used as potential renewable sources to generate electricity, such as waste to energy schemes.

Cross-border electricity trading might be another option to reduce demand in a fossil fuel-dominated electricity generation system, along with the security of supply. For instance, Bhutan, Nepal, and India have a total estimated capacity of 263 GW hydropower potential. If these renewable energy potentials can be utilized through cross-border energy trading, a large amount of GHGs from the electricity sectors of Bangladesh could be saved.

As Bangladesh is a least developed country, research in the energy management and sustainability field is limited due to many constraints, such as inadequate funding. Thus, a lot of research needs to be conducted to identify potential solutions that could help reduce emissions from the electricity sector. One such area could be waste-to-green hydrogen generation and its application in the electricity generation sector.

Bangladesh

July 30, 2021 Rachana Desale No Comments

Transportation sector is one of the largest sources of emission (14%) that consumes 27% of energy in Bangladesh. In Bangladesh environmental pollution especially, air pollution is increasing amidst rapid urbanization and industrialization. Air pollution is one of the culprits that intensifies toxic particulates & GHGs in the atmosphere. Bangladesh has been named the world’s most polluted country for PM2.5 exposure while Dhaka has emerged as the second most polluted city in the 2019 World Air Quality Report. Combustible engines’ carbon emission is excessive and one of the culprits of global warming. However, in Bangladesh a silent revolution in energy transition is taking place through Electric Mobility, mostly in the form of electric three-wheelers (e-3Ws).

The global electric vehicle market promises significant growth as concerns for sustainable growth rise around the world. Globally, the mandate for Zero Emission Vehicle dictates that the vehicle should make up 10% of total sales by 2025. According to the International Renewable Energy Agency (IRENA) Electric two- and three-wheeled vehicles could outnumber four-wheeled vehicles, with as many as 900 million on the roads by 2030. As per the International Energy Agency (IEA), electric vehicles will make 40% of all passenger vehicles by 2040. The global auto market is witnessing a held-back demand from many consumers as the horizon clearly points towards the adoption of electric vehicles by 2025. Bangladesh’s growing population and an increasing purchasing power coupled with the government’s concern regarding environmental issues makes it a viable for

for booming Electric Mobility.
Micro-mobility, consisting of, but not limited to two- and three-wheelers, is the fastest growing form of transport in emerging markets due to its small size and relative affordability (UNEP, 2021). These e-3Ws have created jobs for 1,500,000 people and carry nearly 10,000,000 people every day. This growing market has drawn the attention of the Bangladesh government as well and a draft Automobile Industry Development Policy has been drafted in 2020. Core concerns for the Bangladesh government are sustainable energy consumption, environmental impact and stakeholder benefits to sustain the market. A Local automobile company Bangladesh Auto Industries Ltd (BAIL) is eyeing on setting up EV manufacturing facility in the country. BAIL envisions to annually deliver 2,00,000 units to EV in the local and international market

Along with the flourishing of e-3Ws, over the last few years the demand for hybrid vehicles has also gone up. In terms of volume, the figure had been rising sharply up until the COVID-19 pandemic in 2020.

Credit: LightCastle Partner, Bangladesh

Considering the socio-economic context of the country, these e-3Ws are an ideal mode of transportation due to their inexpensive nature and faster means of transportation considering paddled Rickshaws. Moreover, sharing rides is one of the distinctive features that make this transport more popular as it reduces fare. Also, as a consequence of COVID-19, low income generating people who are lost jobs are inclined to run e-3Ws for earning, resulting in an increase in e-3Ws.

In the context of Bangladesh, Electric Mobility holds the answer to solving the power overcapacity conundrum, which can be mitigated through the adoption of electric and hybrid vehicles. According to the Bangladesh Power Development Board, only 40% of the power generation capacity is currently being utilized in Bangladesh. As per the records, over the last several years power utilization has remained below 50% of the generation capacity and in the last decade the government has paid a massive US$ 7,000 million as capacity payment penalty to the power producers for simply keeping their plants idle. Introducing EVs and hybrid vehicles in the country can optimize the power generation scenario resulting in more revenue for the government and reduced operational cost for vehicle owners, which is basically a win-win for all.

Even though the source to powering the EVs are conventional fossil fuel-based energy mostly and so far, the country implemented only 14 EV charging stations with a total capacity of 278 kW, powered by solar. Still, Transition to EVs reduces net carbon emissions and lowers air pollution as compared to fossil fuel powered Internal Combustion Engine (ICE) based vehicles.

Poor charging infrastructure is one of the biggest bottlenecks for the growth of e-3Ws. It takes 8-10 hours to charge a e-3Ws and due to unstable grid electricity, in most of the cases only 30-40% of the battery capacity can be charged. To facilitate the adoption of greener and cost-efficient EVs in Bangladesh, accessible and robust charging infrastructure is a prerequisite.Technological development and introduction of fast charging technology can be a groundbreaking solution for sustainable Electric Mobility. In this context and having net metering in practice, using the surplus energy of the Solar Irrigation pumps (SIP) for charging EVs can be a great combination. So far Bangladesh has installed 2,240 nos of SIPs with installed capacity of nearly 50MWp and in the current practice more than 70% of generation capacity of the SIPs are utilized.

The possibilities in the field of Electric Mobility in Bangladesh is immense. Developing industrially while taking care of the environment is essential, and electric vehicles provide that exact opportunity. In parallel to this increasing flux of Electric vehicles, injecting more renewable energy sources in the energy mix would ensure cleaner means of transportation in future and net GHG reduction.