Power and energy minister Iqbal Hasan Mahmood recently said the government was prioritizing private investment to achieve its target of generating 10,000 megawatts of solar electricity by 2030.
He said that they were also accelerating new gas exploration onshore and offshore to address the country’s long-standing gas shortage.
Speaking during the general discussion on the proposed national budget for the financial year 2026-27 at the budget session of the 13th Jatiya Sangsad, the minister said that the international bidding process for new exploration blocks was expected to be completed by November this year.
Iqbal Hasan said that the government had introduced tax exemptions and customs duty waivers on solar equipment and batteries, along with tax holidays until 2031, to attract both domestic and foreign investments in the renewable energy sector.
He said that alongside solar power, investments would also be encouraged in wind energy and waste-to-energy projects.
The minister said that despite the expansion of renewable energy, gas and oil-based power plants would need to remain available as standby capacity to ensure uninterrupted electricity supply, given the variability of renewable sources.
To boost domestic gas production, the minister said that the government had already issued international tenders for exploration in both onshore areas and offshore blocks in the Bay of Bengal.
