Power and energy sector is likely to get Tk38,463 crore in the upcoming budget for the development of these sectors and continuing the development work of the ongoing projects.
"Power sector to gets TK 34,000 and the energy sector to get Tk 4,463 crore for the fiscal year 2024-2025 to keep continuing its work to ensure countrys energy and power supply to the consumers," a senior official of the Ministry of Power, Energy and Mineral Resources told the Daily Observer on Monday.
All these amounts should be spent as subsidy, as there are no new projects in the pipeline, all new renewable projects are going to be installed as Independent Power Projects (IPP) where the BPDB has no monetary involvement like base load power plants.
To increase the energy output from its own sources, the Energy Division plans to complete the drilling of 46 more exploration wells by next two years as supplying the primary fuel (gas) into the national grid is the main challenge of the government that is shadowing the government achievement in the power sector.
However, all these well drilling projects have been in Petrobanglas development plan for ages without little output.
"The government allocation in the Energy Sector is still a little as it is only TK 4,463 crore but the LNG import issue should be discussed in subsidy areas," a senior official who was involved in developing the budget planning.
At the same time, initiatives have been taken to construct several LNG terminals which will enhance LNG storage re-gasification daily capacity by 2,500 million cubic feet by the end of 2025, he added.
Meanwhile, the proposed budget is going to discuss some issues for the first time, these are cost efficiency in the power and energy sector, the government emphasises the construction of a regional pipeline for inter-country fuel transport and regular price adjustment of fuels based on international market price.
The government also emphasised the capacity expansion of fuel refineries, installation of prepaid meters for both electricity and gas, and domestic gas exploration through both onshore and offshore surveys.
The government has also formulated short, medium, and long-term plans to ensure sufficient power generation, transmission and distribution capacity.
In line with the target of the 8th Five Year Plan for generating 10 per cent of total electricity through renewable energy, the current capacity of such power generation stands at about 900 MW.
Besides, the document said, 26 solar power plant projects with a total capacity of 1,149 MW are being implemented by the government.
"Besides, 2570 solar irrigation pumps with a total capacity of about 50 MW as well as 6 million solar home systems for people living in off-grid regions have already been established, we have a plan to go for expansion of this project," the official said.
To meet the growing demand for energy, various programmes on both the production and supply sides have been implemented.
"With the target of transforming Bangladesh into a developed country by 2041 and fulfilling its commitment to implement the carbon reduction plan, the government has put the highest emphasis on the clean and green power and energy sector," an official document said.
