Bangladesh Unveils Ambitious Plan to Address Fuel Crisis with LNG and Renewables
Prime Minister Tarique Rahman has unveiled plans to address Bangladesh's fuel crisis by harnessing domestic gas and increasing LNG regasification facilities. The ambitious plan includes drilling 150 new gas wells by fiscal year 2030-31, establishing a new deep-sea LNG terminal, and industrial use of natural gas found in the southern coastal district of Bhola.
Regarding short-term solutions to prevent industrial gas shortages, the government plans to utilize existing floating LNG terminals, which currently supply around 935 million cubic feet of gas daily. Two new facilities are under construction: a floating LNG terminal at Kutubjom and a land-based terminal at Matarbari. The Prime Minister announced that regasified LNG will be available from the Kutubjom terminal in 2028 and from the land-based terminal by December 2030.
To manage sudden crises, the government is also exploring the possibility of establishing an emergency floating terminal at a suitable location in the deep sea. Additionally, initiatives have been taken to supply gas from Bhola to the mainland in LNG form for interested industries, prioritizing planned industrial zones such as economic zones and BSCIC industrial estates.
The Prime Minister emphasized the government's commitment to renewable energy, outlining plans to achieve at least 20% of total electricity generation from renewables by 2030 and at least 30% by 2040. The National Renewable Energy Development Strategy has been formally formulated for the 2026-2030 period, aiming to generate 5,500 megawatts from rooftop solar installations and another 4,500mw from large-scale ground-mounted solar projects.