WB okays $55m for renewable energy in rural areas

The government has taken up a massive plan to electrify a large area of shoals and islands of the country under "Green Climate Fund (GCF) of the World Bank." Under this project, around four million solar home systems (SHS), 1,000 solar irrigation pumps and 30 solar mini-grids will be installed in off grid, shoals, and islands areas, according to the Power Division.
The World Bank has approved 55 million US dollars to implement the project to expand use of clean renewable energy in rural areas of the country where grid electricity cannot reach easily. It will enable about 10 million people living in villages, shoals, and islands to access to electricity and use energy efficient cook stoves.

 "As per power sector master plan, we need to produce around 550- MW of electricity from the renewable energy sources (excluding the Kaptai hydropower).We are moving first, these interventions will help the country reduce carbon emissions," Power Cell DG Mohammad Hossain told the Daily Observer. According to him, the government has installed 14 mini grid and 1018 solar irrigation pumps across the country under the Green Fund, the farmers are enjoying the low cost water and power (government gives subsidy to the investors) in rural areas.

"This time we received the "Second Rural Electrification and Renewable Development (RERED II) Project", which
aims to increase access to clean energy in rural areas through renewable energy and more efficient energy consumption," Siddique Zobayer, senior official of SREDA said.
However, the World Bank will provide $20 million to support the energy efficient cook stoves project to ensure clean energy supply among the consumers. Infrastructure Development Company Limited (IDCOL) and Power Cell are the implementing agencies of these projects.
The project, including the additional financing, will enable about 10 million people living in villages, shoals, and islands to access electricity and use energy efficient cook stoves, Zobayer said.
Government books says that only two-thirds of rural homes in Bangladesh have access to grid electricity, and even these consumers suffer power cuts due to lack of supply and network congestions. "Under this scenario, we need to take more RE projects in off grid areas," Power Cell DG said.
These will provide about 28,000 connections to households and businesses, including small and medium-sized enterprises.

However, energy demand in Bangladesh increased on an average of 10 per cent per annum. Unreliable power supply is estimated to cost the country about 2 per cent of GDP.