National Budget FY2023-24: Energy and Power

    The Energy and Power sector plays a vital role in driving economic development. The remarkable progress made by the sector in recent years has contributed significantly to country’s economic growth, poverty reduction, and job creation. Thanks to the advancements in power generation and distribution capacity, electricity facilities now cover 100 per cent of the population in Bangladesh. The country’s generation capacity has increased by approximately five and a half times, from 492 MW in 2009 to 26,700 MW today.

    To sustain this success, the government has been actively pursuing the development of the power sector with two primary objectives: the ‘Power Sector Master Plan’, aiming to increase power generation to 40,000 MW by 2030 with 10 per cent of the energy being generated from renewable sources and ‘Vision 2041′ which seeks to achieve a power generation capacity of 60,000 MW by 2041 with 40 per cent of the energy coming from clean and renewable sources. Consequently, the government is significantly emphasising various power generation using diverse energy mixes including renewable energy.

    The national parliament approved the budget for FY2023-24 on 26 June 2023.In line with this focus, the FY2023-24 budget prioritises the energy and power sector. The budget outlines an increased allocation for the Energy and Power sector, reflecting the government’s commitment to enhancing power generation capacity. Furthermore, the budget emphasises initiatives including improvement of regional and sub-regional collaboration for power generation, promotion of the use of versatile and environmentally friendly energy sources for power generation, enhancement of the power transmission and distribution systems, investment in energy storage solutions, and ensuring the safety of the overall energy infrastructure.

    Publication Period: June 2023

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