Energy Policy Scenarios
ofBangladesh
.
[Past-Present-Future(~2030) Aspects]
Department of Environmental
Science
Bangladesh Agricultural University
Presentation on
Presented by-
Saida Islam Sejuti
ID no: 24221323
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Energy Policyrefers to a comprehensive
plan and set of laws, regulations, and
strategies that guide the management,
development, and use of a country’s energy
resources.
Energy Policy
It aims to ensure a sustainable, secure,
and affordable supply of energy while
addressing environmental, economic,
and social concerns.
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Key Components ofEnergy Policy
• Energy Production
--for the exploration, extraction, and
production of energy resources
• Energy Consumption
--guidelines for managing and regulating
energy usage across sectors like transportation,
industry, and residential consumption.
• Energy Efficiency
--measures to reduce energy waste through
technology upgrades, building standards, and
efficient appliances.
• Energy Security
--strategies to minimize dependence on
imported energy and increase domestic
production to ensure a stable supply.
• Environmental Impact
--regulations to mitigate the
environmental consequences of energy
production and use.
• Innovation and Research
--investment in new technologies and
renewable energy research to advance
sustainability.
• Pricing and Subsidies
--policies on setting energy prices,
taxation, and subsidies to influence
consumption behavior and market
dynamics.
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How Energy PolicyWorks ?
Policy
Formulatio
n
Regulations
and
Legislation
Energy
Market
Managemen
t
Implementatio
n and
Monitoring
Internationa
l
Collaboratio
n
Responsibl
e
Personnels
-
government
agencies
industry
experts
Scientists
stakeholders
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Bangladesh's energypolicy focuses on promoting renewable energy and
energy efficiency to reduce greenhouse gas emissions and improve
living standards.
Energy Policy of Bangladesh
Energy efficiency
• Promote low-carbon and low-pollution
technologies
Energy sector development
• Ensure environmentally sound energy
development programs
• Encourage public and private sector
participation in the energy sector
• Electrify the entire country
Objective
s-
Renewable energy
•Increasing the share of renewable energy in
electricity production to 15% by 2030, 40% by 2041,
and 100% by 2050
•Developing sustainable energy supplies to replace
non-renewable energy
•Encouraging public and private sector investment
in renewable energy projects
The government has outlined its energy policy through documents
such as the National Energy Policy (NEP)
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Energy Production andConsumption
Bangladesh's Total Primary Energy
Supply by Source 1990-2016 (IEA, 2018)
Bangladesh's Total Energy
Generation by Source
2016-2017 (Suntrace, 2018)
Bangladesh's Total Energy
Consumption 1990-2016 (IEA,
2018)
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Historical and
Current Energy
Policies
1)National Energy Policy (NEP) 1996 and Update
in 2004
2) Renewable Energy Policy (REP) 2008
3) Energy Efficiency and Conservation Master Plan
(EECMP) 2015 up to 2030
4) Power Sector Master Plan (PSMP) 2016
5) Renewable Energy Implementation Action Plan
(2021)
6) Nationally Determined Contributions (NDCs) 2021
7) Integrated Energy and Power Master Plan (IEPMP)
2024
List of Existing and Potential Energy
Policies in Bangladesh
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Potential
Policies by
2030
1. AdvancedRenewable Energy Expansion Plan
2. Implementation of Mandatory Energy Auditing
3. Development of Nuclear Energy
4. Enhancement of Energy Storage and Grid
Infrastructure
5. Electric Vehicle (EV) Promotion Policy
6. Energy Market Reform
7. Energy Storage Development Strategy
8. Nuclear Energy Expansion
List of Existing and Potential Energy
Policies in Bangladesh
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Policy
Year
(Updated/T
arget)
Objectives
Responsibl
e Authority
Major
Actions
Outcomes Challenges
National
EnergyPolicy
(NEP)
1996 (Updated
2004)
- Reliable,
sustainable,
cost-effective
energy supply -
Increase
renewables -
Improve
efficiency,
reduce imports
Ministry of
Power, Energy,
and Mineral
Resources
(MPEMR)
- Develop
energy
infrastructure -
Promote
private sector
energy
production
- Expanded
electricity
coverage -
Increased gas-
based power
generation
- Limited
energy
diversification -
Heavy reliance
on natural gas
Energy
Efficiency and
Conservation
2015 (Target
2030)
- 20% energy
reduction per
GDP (compared
to 2013) -
Sustainable
and Renewable
Energy
Development
- Mandatory
energy audits -
Energy-efficient
appliance
- Increased
energy
efficiency
awareness -
- Weak
regulation
enforcement -
Slow
Current Energy Policies of BD At A Glance
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Policy
Year
(Updated
/Target)
Objectives
Responsibl
e Authority
Major
Actions
Outcomes Challenges
Renewable
EnergyPolicy
(REP)
2008
- 10% renewables in
power generation -
Encourage private
sector investment
Power Division,
SREDA
- Solar home
systems -
Small-scale
wind power
- Global
leader in
solar home
systems
- Land scarcity
for large projects
- Limited grid
integration
capacity
Power Sector
Master Plan
(PSMP)
2016
- Meet electricity
demand - Diversify
fuel sources (coal,
LNG, nuclear)
Bangladesh
Power
Development
Board (BPDB)
- Expand power
plants -
Develop
Rooppur
Nuclear Power
Plant
- Improved
power
reliability -
Increased
generation
capacity
- Financial
constraints -
Project delays
Integrated
Energy and
- Clean energy
transition by 2050 - Power Division,
- Focus on
solar, wind - (Expected
- High capital
costs -
Current Energy Policies of BD at a Glance
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Policy
Year
(Updated/
Target)
Objectives
Responsib
le
Authority
Major
Actions
Outcomes Challenges
Renewable
Energy
Implementati
on ActionPlan
2021
- Increase
renewables for
security - Reduce
fossil fuels,
mitigate
emissions
SREDA,
MPEMR
- Utility-scale
solar, rooftop
solar - Expand
wind energy -
Biomass/bioga
s integration -
Grid upgrades
- Increased
renewable
capacity -
Widespread
rural solar
adoption -
Enhanced
energy security
- Land scarcity -
High capital costs
- Grid integration
issues -
Regulatory
delays
Nationally
Determined
Contributions
2021 (Target
2030)
- Reduce GHG
emissions by
21.85% (BAU) -
Strengthen
renewables,
MoEFCC, DoE,
MPEMR
- Increase solar,
wind,
hydropower -
Promote
energy
- CO₂ emissions
reduction -
International
collaboration -
- Financial
constraints -
Limited
technology
access - Weak
Current Energy Policies of BD At A Glance
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Current Energy Policiesof Bangladesh
1) National Energy Policy (NEP) 1996
(Updated in 2004)
•Establishment Year: 1996; Updated in 2004
•Objectives:
• Ensure reliable, sustainable, and cost-
effective energy supply.
• Increase the use of renewable energy
resources.
• Improve energy efficiency and reduce
dependency on imports.
•Responsible Authority:
• Ministry of Power, Energy and Mineral
Resources (MPEMR)
•Major Actions:
• Development of energy
infrastructure.
• Promotion of private sector
participation in energy
production.
•Outcomes:
• Expanded electricity coverage.
• Increased gas-based power
generation.
•Challenges:
• Limited diversification of energy
sources.
• Heavy reliance on natural gas.
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Current Energy Policiesof Bangladesh
2) Renewable Energy Policy (REP) 2008
•Establishment Year: 2008
•Objectives:
• Increase renewable energy
contribution to 10% of the total
power generation.
• Encourage private sector
investment in renewables.
•Responsible Authority:
• Power Division, SREDA
•Major Actions:
•Development of solar home systems and
small-scale wind power.
•Outcomes:
•Bangladesh became a global leader in
solar home systems.
•Challenges:
•Land scarcity for utility-scale renewable
projects.
•Limited capacity for grid integration.
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Current Energy Policiesof Bangladesh
3) Energy Efficiency and Conservation
Master Plan (EECMP) 2015 up to 2030
•Establishment Year: 2015
•Objectives:
• Achieve 20% reduction in primary
energy consumption per GDP by
2030 (compared to 2013).
• Promote energy-saving technologies
in industries and households.
•Responsible Authority:
• Sustainable and Renewable Energy
Development Authority (SREDA)
•Major Actions:
• Introduce mandatory energy audits.
• Establish standards and labels for
energy-efficient appliances.
•Outcomes:
• Increased awareness of energy
efficiency.
• Energy-saving measures in industrial
sectors.
•Challenges:
• Lack of enforcement of regulations.
• Slow adoption of efficient
technologies.
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3. Efficiency andConservation Master Plan
(EECMP) 2015 up to 2030
Energy Efficiency &
Conservation Master Plan
(EE&CMP) is positioned at the
summit of all national
documents on EE&C plan,
regulation and implementation
Fig. Basic structure and relation of the policy documents,
organization and action plans
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3. Efficiency andConservation Master Plan
(EECMP) 2015 up to 2030
Table. EE&C Implementation Roadmap (2015-30)
Fig. Future Scenarios of Primary Energy
Consumption in 2030
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3. Efficiency andConservation Master Plan
(EECMP) 2015 up to 2030
Overall roadmap up
to 2030 where we aim
to accomplish the
EE&C target, and
realize the Self-reliant
EE&C Society by 2030
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Table. EE&C ImprovementPlan
3. Efficiency and Conservation Master Plan
(EECMP) 2015 up to 2030
Fig. EE&C Policies and Financial Support/ Incentives
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Current Energy Policiesof Bangladesh
4) Power Sector Master Plan (PSMP)
•Establishment Year: 2016
•Objectives:
• Meet growing electricity demand.
• Diversify fuel sources, including
coal, LNG, and nuclear power.
•Responsible Authority:
• Bangladesh Power Development
Board (BPDB)
•Major Actions:
• Expansion of power plants and
transmission networks.
• Construction of Rooppur Nuclear
Power Plant.
•Outcomes:
• Improved power supply reliability.
• Increased total generation
capacity.
•Challenges:
• Financial constraints.
• Delays in major projects.
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Current Energy Policiesof Bangladesh
5) Integrated Energy and Power Master Plan
(IEPMP) 2024
•Establishment Year: 2024 (anticipated full
implementation)
•Objectives:
• Transition towards clean energy by
2050.
• Enhance grid stability and energy
storage solutions.
•Responsible Authority:
• Power Division, MPEMR
•Major Actions:
• Focus on solar and wind
development.
• Integration of battery storaage
technology.
•Outcomes:
• Expected future outcomes.
•Challenges:
• High capital costs and
intermittency of renewables.
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Current Energy Policiesof Bangladesh
6) Renewable Energy Implementation
Action Plan (2021)
•Establishment Year: 2021
•Objectives:
• Enhance renewable energy capacity to
meet future power demands sustainably.
• Increase the share of renewables in the
national energy mix, aiming for at least
10% by 2025 and a higher target by 2030.
• Reduce dependency on fossil fuels to
mitigate climate change impacts.
•Responsible Authorities:
• Sustainable and Renewable Energy
Development Authority (SREDA)
• Ministry of Power, Energy and Mineral
Resources (MPEMR)
•Major Actions/Action Plans:
•Develop utility-scale solar parks and rooftop solar systems.
•Explore and deploy coastal and offshore wind energy projects.
•Implement biomass and biogas systems for rural and
industrial use.
•Strengthen policies to attract private sector investments in
renewable energy.
•Outcomes: (Projected and Current):
•Increased renewable energy production capacity with new
solar and wind projects.
•Enhanced access to clean energy in off-grid and rural areas
through solar home systems.
•Challenges:
•Limited availability of suitable land for large-scale renewable
projects.
•High initial investment costs for renewable energy
infrastructure.
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Current Energy Policiesof Bangladesh
5) Nationally Determined Contributions
(NDCs) 2021
•Establishment Year: 2021
•Objectives:
• Reduce greenhouse gas (GHG) emissions by
21.85% by 2030 relative to the Business-as-
Usual (BAU) scenario.
• Strengthen renewable energy capacity and
energy efficiency across sectors.
• Increase climate resilience and adaptation
strategies in energy, transportation, and industry.
•Responsible Authorities:
• Ministry of Environment, Forest and Climate
Change (MoEFCC)
• Department of Environment (DoE)
• Ministry of Power, Energy and Mineral Resources
(MPEMR)
•Major Actions/Action Plans:
• Increase the capacity of solar, wind, and
hydropower to reduce dependency on fossil
fuels.
• Promote energy efficiency in industrial sectors
through mandatory energy audits.
•Outcomes (Expected):
• Reduction of CO emissions through greater
₂
use of renewables and energy-efficient
technologies.
• Enhanced collaboration with international
partners for financing and technical support.
•Challenges:
• Financial Constraints
• Technology Access
• Policy Coordination
• Public Awareness
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Potential Energy Policiesof BD By 2030
Policy Objectives
Responsible
Authority
Major Actions Outcomes Challenges
Advanced
Renewable
Energy
Expansion Plan
Increase
renewable
energy share to
15% by 2030.
SREDA, BPDB
Incentives for
solar parks and
offshore wind
farms.
Enhanced
energy security
and reduced
emissions.
Land availability
and cost of
technology.
Electric Vehicle
(EV) Promotion
Policy
Reduce
transportation
sector emissions
by promoting
EVs.
Ministry of
Transport
Develop
charging
infrastructure
and financial
incentives.
Cleaner air and
reduced fuel
imports.
High upfront
cost of EV
infrastructure
and vehicles.
Energy Market
Reform
Create a
competitive
energy market.
Bangladesh
Energy
Regulatory
Commission
Deregulation
and
transparency
measures.
Increased
investment and
efficiency.
Resistance from
monopolistic
stakeholders.
Energy Storage
Development
Strategy
Improve grid
reliability and
storage capacity.
Power Division
Implement
battery and
thermal storage
systems.
Better grid
integration of
renewables.
High capital
investment and
technology
maturity.
Nuclear Energy
Enhance nuclear
power capacity
Nuclear Power
Company
Begin
construction of Diversified
Safety concerns
and financial
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•Energy Supply Shortages:
•Growing energy demand exceeding supply, frequent
power outages, and gas shortages.
•Inadequate Infrastructure:
• Outdated power generation, transmission, and
distribution systems causing inefficiencies.
•Financial Constraints:
• Limited financial resources for large-scale renewable
energy projects and infrastructure upgrades.
•Energy Pricing and Subsidies:
• Heavily subsidized energy prices leading to
inefficiencies and financial strain on the government.
•Regulatory and Policy Gaps:
• Lack of clear regulations, inconsistent policy
implementation, and bureaucratic inefficiencies.
Challenges for Bangladesh Energy Policies
•Environmental Concerns:
• Heavy reliance on fossil fuels, contributing to
air pollution and greenhouse gas emissions.
•Climate Change Vulnerability:
• Increased risks of natural disasters and rising
sea levels disrupting energy infrastructure.
•Limited Public Awareness:
• Insufficient public knowledge about energy
conservation, renewable energy options, and
their benefits.
•Rural Energy Access:
• Challenges in providing reliable energy access
to remote and off-grid rural areas.
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Future prospects ofBD Energy Policies
•Renewable Energy Expansion
-Increased investment in solar, wind, and hydropower to
reduce fossil fuel dependency.
•Energy Efficiency
-Adoption of energy-efficient technologies and demand-
side management programs.
•Rural Electrification
-Expansion of off-grid renewable energy solutions (solar
home systems, mini-grids) for rural access.
•Infrastructure Modernization
-Development of smart grids, energy storage, and
climate-resilient infrastructure.
•Policy Reforms
-Transition to cost-reflective energy pricing and market
reforms to ensure sustainability.
•Regional Cooperation
-Increased cross-border electricity trade for efficient
energy sharing and security.