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21 Sep 2022

Shahnaj Begum, The Third Pole (UK)

Bangladesh: China remains key player in energy transition after pledge to end coal investment

"China the ‘biggest player’ in Bangladesh’s energy transition" 21 September 2022

Ahead of the UN climate summit in Glasgow last year, Bangladesh pledged to produce 40% of its electricity from renewables by 2041. To meet this target, the country is shifting investments away from coal, oil and gas. The role of Chinese investments in Bangladesh in driving this transition will be key, experts have told The Third Pole. [...] Siddique Zobayer, a sustainable energy expert at the Asian Development Bank, told The Third Pole: “China, currently Bangladesh’s largest trading partner, is investing in most of the renewable projects.” [...]

Now, China’s Belt and Road Initiative energy investment package offers an opportunity for a transition from coal to renewable energy. In 2020, Bangladesh’s North-West Power Generation Company Limited and Chinese engineering contractor National Machinery Import and Export Corporation (CMC) formed a joint venture for renewable energy. It plans to build 450 MW of new solar capacity and a 50 MW wind farm, Hossain of Power Cell said.

These projects will run under the public-private partnership model. The government will provide land for these projects, while China will invest an estimated USD 500 million to develop them. [...]