Dhaka: Power, Energy and Mineral Resources Minister Iqbal Hassan Mahmood has called upon non-governmental organizations (NGOs) to invest in the renewable energy sector. 'NGOs have significant opportunities to promote solar power in rural areas. Expanding solar power generation and usage would reduce energy import costs, allowing the government to redirect the savings toward development projects,' he said.
According to Bangladesh Sangbad Sangstha, the minister was speaking as the chief guest at the national workshop titled 'Voice of Development' organized by the National Development Programme (NDP) at the Bangladesh-China Friendship Conference Centre. He emphasized that achieving 10,000 megawatts of renewable energy generation would decrease dependence on imported fuel, with the savings channeled into development initiatives.
The minister highlighted government policies promoting solar energy, stressing that NGOs could play a pivotal role in expanding rooftop solar power in rural areas via cluster-based projects. Through the net metering system, these organizations could recover their investments by selling surplus electricity to the grid. He drew parallels between the potential profitability of solar-powered irrigation systems and existing deep tube well operations.
Minister Iqbal also noted that financing would not be a significant hurdle, with institutions like the World Bank showing interest in funding renewable energy projects. He pointed out the reluctance of financial institutions to support fossil fuel-based projects amidst global climate change concerns.
Highlighting public interest, he cited the example of a woman in Faridpur who produces biogas from livestock waste. This example, he said, underscores both public enthusiasm and the commercial viability of renewable energy initiatives. He also discussed the financial pressures on Bangladesh due to fuel imports and the constraints on foreign exchange reserves, exacerbated by global conflicts.
The minister criticized the previous government's failure to develop offshore energy resources despite securing maritime boundaries. He mentioned that while neighboring countries have made strides in offshore gas extraction, Bangladesh remains in the exploration phase. He informed the audience of ongoing bids for offshore oil and gas exploration projects, requiring substantial investment.
To encourage renewable energy investments, the government has offered tax incentives for solar panels and batteries. Minister Iqbal urged NGOs to shift from grant dependency to developing commercially viable projects using international financing. He encouraged taking advantage of tax holiday incentives to invest in sectors like solar energy and biofuels, which would aid rural economic development and bolster the financial sustainability of NGOs.