
Bangladesh has rolled out a trio of renewable energy initiatives this week a Tk 24.83 crore ADB-funded rooftop project across 16 northern districts, a Tk 119.56 crore allocation to union parishads, and a new incentive scheme offering Tk 10.50 per unit for surplus solar power. Together they signal intent. But a close reading of the fine print reveals an energy transition still searching for scale, coherence and a way to pay for itself.
The Arithmetic Problem: 2.4 Megawatts
Northern Electricity Supply PLC (NESCO) will install rooftop solar systems across 16 districts of Rajshahi and Rangpur divisions under a project approved last week by the Planning Commission's Special Project Evaluation Committee. The Asian Development Bank is providing Tk 24.36 crore as a grant-98.09 percent of the cost-while NESCO contributes just Tk 47.31 lakh.
The project will generate 2.40 megawatts-up from the originally proposed 1.955MW after the commission cut training, honorarium and management costs, saving about Tk 3 crore.
The arithmetic is stark. Bangladesh aims for 10,000MW of renewable electricity by 2030. This project, spanning three years and 16 districts, delivers 0.024 percent of that target. To put it another way: 2.40MW is roughly the capacity of a single large industrial rooftop.
The project will install 15 battery energy storage systems of 20 kilowatt-hours each-300 kWh in total, enough to power a few dozen homes for a few hours. Solar panels will go on 33/11kV substations, a switching station, data and disaster recovery centres, rest houses and office buildings. Three customer institutions, schools and community health centres in remote char areas will also receive systems.
The CSR Muddle: Beauty Kits and Block-Batik
The project's most contested element was never the solar panels. It was the sewing machines.
The Planning Commission questioned the rationale for spending project funds on entrepreneurship training and items including 240 sewing machines, 33 computers, 240 beauty kits, 240 mobile servicing kits, 240 tool boxes and 240 block-batik sets-asking under which government Allocation of Business a power distribution company was distributing beauty kits.
The explanation raises its own questions. If the primary purpose is solar installation, why does 2,400 people need training on 10 business concepts? If the primary purpose is livelihoods, why is the solar component only 2.4MW? And what happens when the grant ends in June 2029-does the CSR component disappear with it?
The commission also sought clarification on training costs, the role of NGOs in delivering training, the number of jobs expected during and after implementation, and whether solar panels would need to be installed at consumer premises under the grant agreement's GD-2, Lot-3 package.
Tk 120 Crore to Union Parishads-With a Tight Clock
The Local Government Division has allocated Tk 119.56 crore as a one-time special allocation to union parishads for projects supplying solar-generated electricity to the national grid. The funds fall under the Annual Development Programme for FY2026-27, with the Finance Division conveying consent on September 15.
The disbursement framework is tightly controlled. Union parishad chairmen must prepare Treasury Rules Form-32 bills countersigned by Upazila Nirbahi Officers, who act as Drawing and Disbursing Officers. Cheques will flow through Sonali Bank. The DDO will be held personally accountable for irregularities.
The Subsidy Paradox: Paying Above Retail
The Verdict So Far
Bangladesh's first energy transformation brought electricity to the people. The second-building a resilient, low-carbon system-has now begun in earnest, with ADB grants, union parishad allocations and consumer incentives all pointing the same direction.
But this week's announcements also reveal a transition still operating at pilot scale, still dependent on foreign grants, still muddled between energy infrastructure and social welfare, still paying above-market rates to a narrow class of early adopters, and still without a plan for the waste its panels and batteries will one day become.