Bangladesh hits milestone in power generation

Perennially starved for electricity, in just five years Bangladesh more than doubled its production capacity, thanks to dozens of new power plants and co-operation with India.
By Kamran R Chowdhury for Khabar South Asia in Dhaka
November 22, 2013

Bangladesh this month celebrated a milestone in electrical generation that could ease crippling power cuts endured by the country for decades. In the past five years, generation capacity more than doubled, from 4,900mw in 2009 to 10,000mw, government officials announced.

Vendors sell onions at a Dhaka wholesale market in September. Bangladesh began importing electricity from India in October and announced that it now had capacity to generate 10,000mw of energy daily. [Munir uz Zaman/AFP]

"It's a joyous day for us. It's a successful and historic day for our government. It's a day of setting a milestone and materialising our commitment to people," Prime Minister Sheikh Hasina told thousands of people gathered for a fireworks and laser show November 12th at Dhaka's picturesque Hatirjheel Lake. The doubling of capacity was made possible by heavy government investment in the power sector since 2009. The import of electricity from India also helped boost supply, while opening a new vista of cooperation between the neighbours. Filling the power gap Bangladesh's energy demand had been rising each year, as its economy registered a 6%-plus growth rate over the last decade.

Government figures set Bangladesh's highest daily production of electricity at 6,350mw, while peak demand is 8,400mw a gap that leads to frequent nationwide power outages. Assuming an annual 10% increase in demand, the government plans to generate over 30,000mw of additional power by 2021. Currently, over 60% of Bangladeshis have access to electricity. A common power market Under a bilateral agreement, Bangladesh began importing 175mw of Indian electricity last month, mainly distributed in the south-western and southcentral parts of the country. The volume was set to peak at 500mw before December. Launching the trade deal on October 5th, Hasina told Indian counterpart Manmohan Singh via video conference that, with help from India, she hoped to make Bangladesh "poverty- and hunger-free" by 2021. "The initiative we took during your historic visit to India in January 2010 is being realised," Singh said, praising Bangladesh's progress under Hasina's leadership. Experts termed the electricity deal with India a historic move. "This is a watershed event in Bangladesh and (for the) whole of South Asia. Bangladesh must co-operate with India to ensure continued power import in the future," Mohammad Tamim, who managed the Power and Energy Ministry in 2008 during the caretaker government, told Khabar South Asia. "This grid connectivity will help Bangladesh supplement its energy deficit on the one hand and build confidence between the two countries," he said. Bangladesh's energy deficit increases at night, while India's increases by day due to its massive industrial activities. That pattern underlines how countries can benefit from regional co-operation. "Bangladesh can easily benefit from India's power surplus at night," said Q.A.M.A. Rahim, former secretary-general of the South Asian Association for Regional Co-operation (SAARC), who helped negotiate a proposed SAARC power grid that would "ultimately set up a common power market in the region".

"Bhutan and Nepal have huge potentials of hydroelectricity," Rahim said. "Bangladesh must connect with the Indian distribution network to import power from any of its neighbours and be a part of the proposed SAARC grid." SR Trading owner Salauddin Ripon told Khabar, "People want electricity. I see nothing wrong if it comes from India or Bhutan or Nepal." The number of power outages in the south-central Barisal region has dropped significantly since Bangladesh began importing electricity from India, he said.