Download Link for Energy & Power Vol 21 Issue 23 (May 16, 2024) as PDF//userfiles/EP_21_23(2).pdf

Bangladesh has long been suffering from an energy supply shortage with domestic gas resources depleting fast and increasing demand. To meet the widening demand-supply gap, the country consequently started importing energy. However, the volatility in the international energy market often creates uncertainty in imports, causing short supply and forcing the surplus power generation capacities to remain idle. The utilities then have to resort to load-shedding, causing immense suffering to the people and the economy across all sectors. Amid this sorry state of the energy sector, experts have been suggesting efficient use of the scarce energy resource. The Institute for Energy Economics and Financial Analysis (IEEFA), a US-based global think-tank, recently surveyed Bangladesh’s 51 industries comprising 124 gas-fired captive generators with a combined capacity of around 250MW. It found that Bangladesh can reduce LNG imports by 238.72 billion cubic feet (Bcf) annually if industries use efficient generators and can utilize waste heat in the industrial processes. This may help save the country’s foreign currency equivalent to US$ 460 million annually and ignore a conditional loan from the International Monetary Fund (IMF) amid the country’s shrinking foreign exchange reserves. Not only the industrial processes, it’s also well-known that the country’s limited energy resources are being wasted in many ways, including pilferages and theft.


Well-planned efficiency improvement measures with policy support may yield substantial savings in energy and cut import expenditures. Unless Bangladesh finds ways to reduce fossil fuel imports, its vulnerability to the international fossil fuel market may intensify further.

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