Power, energy: Govt unveils new 25-year master plan

The government has unveiled a new 25-year power and energy master plan, to be implemented from 2026 to 2050.

According to a press release from the chief adviser's press wing, implementing the plan will require an estimated $177 billion to $192 billion.

Muhammad Fouzul Kabir Khan, adviser to the Ministry of Power, Energy and Mineral Resources, submitted the master plan to Chief Adviser Prof Muhammad Yunus at State House Jamuna in presence of several advisers and senior officials.

Policy gaps in the previous three master plans -- prepared in 2005, 2010, and revised in 2016 -- were identified and briefly reviewed during the meeting, the release added.

The new plan projects peak electricity demand of 59,000 megawatts (MW) by 2050, compared to 70,500 MW in the 2023 plan. Current demand is around 16,700 MW.

The 2023 integrated power and energy master plan, prepared with JICA's support, was criticised by local experts for overestimating demand and including high-cost fuel sources. Following the formation of the interim government, various quarters called for a review with input from local experts.

The new plan aims to ensure reliable, affordable, and sustainable energy for all through optimal use of domestic resources, energy security, efficiency improvements, and environmental responsibility, the press release said.

The plan emphasises on efficiency gains and clean energy for reducing climate impacts while creating economic opportunities, despite rapid energy sector growth. Although high electricity generation may create environmental and social pressures, the plan incorporates cleaner and more efficient technologies, cutting emissions per megawatt-hour from 0.62 to 0.35 tonnes of carbon dioxide.

The statement said this could reduce 64.5 million tonnes of carbon dioxide annually and a total of 1,600 million tonnes by 2050.

According to the release, the master plan will be implemented in three phases: 2026–2030, 2030–2040, and 2040–2050.

Priority projects in the first phase include offshore exploration, increased gas production, LNG supply security, refinery capacity expansion, and strategic energy storage development.

Long-term strategic projects include offshore gas development, large-scale refining and petrochemical expansion, hydrogen and ammonia infrastructure, geothermal energy, and tidal and ocean wave energy.

Thanking officials for the presentation, Prof Yunus said, "This is the lifeline of Bangladesh's economy. If this sector becomes strong, the economy will stand."

He emphasised establishing a separate, autonomous research and development institute for power and energy. "It cannot function under a ministry. It should be a strong institution linked to similar organisations worldwide, assisting the government in policy formulation," he said.

Referring to past shortcomings, he added, "Everything done in the past was fragmented. Many projects were implemented in wrong locations and with flawed structures. This must not happen again. We have to ensure a proper framework and discipline. That is why a research centre is essential."

He also stressed the importance of alternative energy sources.

Several recommendations were presented at the meeting on power generation, transmission, distribution, environmental and economic sustainability, and institutional reform, aiming to make the primary energy sector more secure, efficient, less import-dependent, and financially sustainable by 2050.

More details of the new master plan were not available.

The Daily Star's attempts to contact Fouzul Kabir Khan and Energy Secretary Mohammad Saiful Islam were unsuccessful.

Finance Adviser Salehuddin Ahmed, Commerce Adviser Sheikh Bashir Uddin, Industries Adviser Adilur Rahman Khan, BIDA Executive Chairman Chowdhury Ashik Mahmud Bin Harun, Special Assistant for ICT and Telecommunications Faiz Ahmad Taiyeb, and senior officials of relevant ministries attended the meeting.