Government Promotes Rooftop Solar Installations with Financial Incentives

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Dhaka:The government is actively encouraging households to install rooftop solar panels to not only meet their own electricity needs but also to earn income by supplying excess power to the national grid through a net metering system.

According to Bangladesh Sangbad Sangstha, the net metering system offers consumers an incentive of Tk 10.50 per unit for surplus electricity supplied to the grid. Payments for this surplus will be deposited directly into consumers' bank accounts every three months. This initiative is part of a government strategy to boost renewable energy use and enhance energy security.

The Net Metering Guidelines 2025 outline that consumers who install rooftop solar systems by February 28, 2027, will be eligible for this incentive until February 28, 2030. Energy expert Hasan Mehedi has lauded this initiative as a positive step but emphasized the need for extensive publicity campaigns to raise awareness of the financial benefits. He suggested extending the incentive period to encourage further investment.

Experts have highlighted the need for simplifying the process of obtaining net metering connections and ensuring that electricity distribution companies facilitate these connections within a month. This is seen as crucial to the program's success. Additionally, the government has implemented the Special Solar Power Installation Ordinance, 2026, to facilitate solar projects with a maximum capacity of 5 megawatts across various types of properties.

The ordinance prioritizes the OPEX model for service providers to finance and maintain solar systems, while the CAPEX model allows institutions to self-finance installations. It also includes penalties for illegal connections or obstruction of solar installations.

The government has made rooftop solar installations mandatory at government establishments and reduced import duties on solar equipment from 17 percent to one percent. Prime Minister Tarique Rahman, a proponent of the initiative, has been utilizing solar electricity at his residence. The government anticipates increased public participation as the program helps consumers meet their electricity needs and earn additional income.