Hydrocarbon Unit
Hydrocarbon Unit
জ্বালানির সাশ্রয়
Energy Scenario
of
Bangladesh
2022- 23
February 2024
Preface
Report on Energy Scenario, Bangladesh was prepared and published by Hydrocarbon Unit
for the first time in October 2009. The present one is the issue of Energy Scenario, Bang-
ladesh for the period of July 2022 to June 2023. In this report, Energy Scenario of Bangla-
desh has been reflected. Daily average gas production rate has been included in the report
as well. Moreover, Share of Primary and Commercial energy, Sector-wise Liquid fuel con-
sumption, Historical Gas production and Net Energy Generation along with the graphical
presentation have been depicted.
This report has been prepared based on the data available from the Monthly Reserve and
Gas Production Report of HCU and Monthly Information System (MIS) of Petrobangla.
Bangladesh Petroleum Corporation (BPC), Bangladesh Power Development Board
(BPDB).
It is expected that the report will be helpful as reference book and elements of interest for
the concerned.
CHAPTER 1 ............................................................................................................................................................. 1
BACKGROUND AND ENERGY SECTORAL MECHANISM OF BANGLADESH ....................................................... 1
1.1 INTRODUCTION ......................................................................................................................................... 2
1.2 BACKGROUND OF ENERGY SECTOR OF BANGLADESH .......................................................................... 2
1.3 BANGLADESH ENERGY RESOURCES: ....................................................................................................... 3
1.4 ENERGY SECTORAL MECHANISMS .......................................................................................................... 4
CHAPTER 2 ............................................................................................................................................................. 5
ENERGY SECTORAL ACHIEVEMENT OF CURRENT GOVERNMENT .................................................................. 5
2.1 MAJOR INITIATIVES IN THE ENERGY SECTOR: ............................................................................................ 6
2.2 ACHIEVEMENT OF CURRENT GOVERNMENT IN ENERGY SECTOR: ........................................................... 7
CHAPTER 3 ............................................................................................................................................................. 9
ENERGY SECTOR: CURRENT STATUS OF BANGLADESH.................................................................................... 9
3.1 CURRENT POSITION OF ENERGY RESOURCES ..................................................................................... 10
3.2 PRIMARY ENERGY: .................................................................................................................................. 10
3.3 TOTAL COMMERCIAL ENERGY: .................................................................................................................... 11
3.4 HISTORICAL COMMERCIAL ENERGY: .......................................................................................................... 12
CHAPTER 4 ........................................................................................................................................................... 13
ENERGY SECTOR: DETAILED PRIMARY ENERGY ............................................................................................. 13
4.1 NATURAL GAS .......................................................................................................................................... 14
4.1.1 ORGANIZATIONAL STRUCTURE ......................................................................................................... 14
4.1.2 NATURAL GAS RESERVE ..................................................................................................................... 14
4.1.3 HISTORICAL GAS PRODUCTION: ........................................................................................................ 15
4.1.4 GAS PRODUCTION BY COMPANIES: ................................................................................................... 15
4.1.5 NATURAL GAS CONSUMPTION .................................................................................................................. 16
4.1.6 NATURAL GAS DEMAND ............................................................................................................................ 17
4.2 LNG ............................................................................................................................................................ 18
4.2.1 LNG IMPORT TO SUPPLEMENT INDIGENOUS SUPPLY .................................................................... 18
4.2.2 LNG SCENARIO: ........................................................................................................................................... 20
4.3 NATURAL GAS EXPLORATION ..................................................................................................................... 20
4.3.1 GEOLOGICAL ACTIVITIES .............................................................................................................................. 20
4.3.2 2D SEISMIC SURVEY ................................................................................................................................... 21
4.3.3 3D SEISMIC SURVEY ................................................................................................................................... 21
CHAPTER 5 ........................................................................................................................................................... 35
POWER GENERATION ......................................................................................................................................... 35
5.1 PRIMARY ENERGY MIX FOR POWER GENERATION ................................................................................... 36
5.2 POWER SECTOR AT A GLANCE ..................................................................................................................... 36
5.3 POWER GENERATION CAPACITY ................................................................................................................. 37
5.4 NET POWER GENERATION ........................................................................................................................... 39
5.5 POWER GENERATION BY FUEL TYPE .......................................................................................................... 39
5.6 POWER CONSUMPTION ................................................................................................................................ 40
5.7 POWER IMPORT............................................................................................................................................. 41
CHAPTER 6 ........................................................................................................................................................... 42
RENEWABLE ENERGY RESOURCES ................................................................................................................... 42
6.1 RENEWABLE ENERGY ................................................................................................................................... 43
6.1.1 TRADITIONAL BIOMASS FUELS ................................................................................................................ 43
6.1.2 CONVENTIONAL HYDROPOWER ............................................................................................................... 45
6.1.3 NEW-RENEWABLE ENERGY RESOURCES ................................................................................................ 45
Bio fuel ........................................................................................................................................................... 48
Wind Energy .................................................................................................................................................. 48
Tidal Energy .................................................................................................................................................. 49
Wave Energy ................................................................................................................................................. 50
River Current................................................................................................................................................. 50
Waste to Electrical Energy ........................................................................................................................... 50
CHAPTER 7 ........................................................................................................................................................... 52
ENERGY TARGETS AND PROJECTIONS TOWARDS ENERGY TRANSITION .................................................... 52
7.1 ENERGY TRANSITIONS AND PROJECTIONS: RATIONALE OF IEPMP ....................................................... 53
CHAPTER 8 ........................................................................................................................................................... 66
ALTERNATE FUELS ............................................................................................................................................. 66
8.1 HYDROGEN AS ENERGY SOURCE ................................................................................................................. 68
8.2 AMMONIA ....................................................................................................................................................... 69
8.3 MUNICIPAL WASTE TO CLEAN ENERGY/FUEL .......................................................................................... 71
8.4 BIOMASS GASIFICATION TO BIOMETHANE AND BIOFUEL ....................................................................... 71
CHAPTER 9 ........................................................................................................................................................... 73
List of Figures
Bangladesh is a mid-income country. Her GDP growth rate is one of the world’s
largest. For any country, development is the precondition for continued growth of GDP.
And the main driving force of the country's development is energy. Proper use of energy
is essential to meet the country's growing energy demands as well as to lift up from a
mid-income country to a developed country. Energy is playing a vital role in implement-
ing Vision-2121, Vision-2041 and achieving Sustainable Development Goals.
In Bangladesh, about 54 percent of energy demand is met from natural gas. Among
other fuels- oil, coal, biomass etc. are vital. There is a huge reserve of coal in our country,
but coal is less produced as well as less used here. On the other hand, natural gas reserve
is not that substantial, but its production and consumption are the highest among the
available resources. Besides those, energy demand is being met through imported oil and
LPG. Moreover, the government has already started importing LNG to meet increasing
gas demand. Biomass is being used as a lion’s share of energy. The energy demand is also
being met by importing electricity from India.
The use of renewable energy instead of gas, coal and oil has been started in the
whole world and is essential for sustainable development and keeping up with the envi-
ronment by preventing carbon emissions. Many countries in the world like Sweden, Ger-
many, China and USA are currently using renewable energy as a significant part of their
energy demand. Bangladesh is also using renewable energy, but it’s very less than neces-
sity. The government has taken various steps to increase the use of renewable energy in
the future, including solar home system, solar irrigation system, Rooppur nuclear project,
etc.
1.2.1 Establishment of state ownership over energy and mineral resources (Arti-
cle 143 (1) (b) of the Constitution)
1.2.2 Formation of Bangladesh Minerals, Oil and Gas Corporation (BMOGC)
1.2.3 Formulation of Petroleum Act and Petroleum Policy
1.2.4 Introduction of 'Production Sharing Contract' system in Bangladesh
1.2.5 Purchase of the country's five largest gas fields at nominal prices
1.2.6 Formulation of 'The Territorial Waters and Maritime Zones Act' to protect
the sea and maritime boundaries of Bangladesh etc.
With a population of 165.16 million1, Bangladesh is one of the world's most popu-
lated countries. Agriculture used to be the main source of income for the people of this
country. However, the Gross Domestic Product (GDP) in Bangladesh is 5.78% in the FY
2022-23 and 7.1 in the FY 2021-22.2 Rapid urbanization and industrialization is fueled by
stable economic growth has created a huge demand of energy.
North eastern folded basin are enriched for the indigenous natural gas of Bangla-
desh. North western basin are enriched for coal and hard rock of Bangladesh.
The main indigenous energy resources of Bangladesh are Natural Gas and Coal. To elabo-
rate Energy sectoral mechanism, we can delineate it among-
Upstream
Midstream
Downstream
In the following figure, the energy (fuel) value chain is represented briefly-
3 https://cpd.org.bd/wp-content/uploads/2019/03/The-Power-and-Energy-Sector-of-Bangladesh.pdf
To accelerate economic and social development, the Government of Bangladesh (GoB) has
emphasized on the energy and power sector of Bangladesh. International experience has
demonstrated that government policies have a significant impact on attracting private
sector participation in the power and energy sector, and Bangladesh is no different in this
regard.
The GoB has a crucial role to play in creating a climate which makes investment in energy
and power infrastructure development attractive, thus supporting the strategic goal of
“affordable, reliable, sustainable and modern energy for all” in Bangladesh through the
development of conventional and non-conventional energy infrastructure, with both pub-
lic and private sector participation.
Exploration Well 76 97 21
Workover Well 22 93 71
Moreover, power is also generated by capitalizing Solar Home System (SHS) in on-
grid and off grid areas. The amount of Renewable Energy (Solar+ wind) is currently about
964.17 MW. The amount of power generation from such plants is currently about 0.69
MW. Generation of electricity by Bio-Mass Gasification Method is 0.4 MW in the country.5
Bangladesh also has a bright potential to produce electricity from wind and mini-
hydro. Recently, solar
Historical Commercial Energy (2009-23), MTOE
power-based irrigation
45
pump has been used in
40
a number of areas of 35
30
the country. Its wide
25
42.95
42.12
42.9
40.52
39.85
use will lessen the pres- 20
34.5
33.1
32.8
29.82
26.48
15
sure on diesel and elec-
19.3
10
tricity. 5
0
Bangladesh Oil, Gas, and Mineral Corporation, short named Petrobangla, under the
Energy and Mineral Resources Division of the Ministry of Power, Energy and Mineral Re-
sources is entrusted with the responsibility of exploration of oil and gas, and production,
transmission and marketing of natural gas in the country.
Since first discovery in 1955 as of today 26 gas fields, 24 in the onshore and 2 in
the offshore have been discovered in the country. Of them 20 gas fields are in production,
one offshore gas field have depilated after 14 years of production while other offshore
field has not been viable for production due to small reserve. The estimated proven plus
probable recoverable reserve was 40.09 Tcf. As of June 2020, a total of 20.35 Tcf gas has
already been produced leaving only 9.57 TCF recoverable reserve in proven plus proba-
ble category. Some key information about the natural gas sector is presented in the Table
3.
Table 3: Natural Gas Sector at a Glance, FY 2022-2310
Description Amount
Total number of gas fields 29
Number of gas fields in production 20
Number of producing wells 145
Number of producing wells 105
Present gas production capacity 2750 MMcfd
Highest Production (6th May, 2015) 2785.80 MMcfd
Total recoverable (Proven + Probable) reserve 40.09 Tcf
Recoverable reserve (2P) 29.93
Cumulative Production (June,2023) 20.35 Tcf
Annual Production by NOC 300.70 (37%)
Annual Production by IOC 502.91 Bcf (63%)
Remaining Reserve (Proven + Probable) 9.57 Tcf
Present Demand 3508 MMcfd
Present Deficit 530 MMcfd (along with LNG)
Number of Customer 43 Lakh (Appx.)
10 Petrobangla MIS Report June, 2023; Gas and Coal Reserve & Production-June 2023, Hydrocarbon Unit
240.56
203.41
216.1
400
203
116
200
0
0
0
0
0
From the above Figure 8, it is very clear that natural gas production is declining after the
FY 2016-17. Simultaneously, LNG import introduced from 2018. Due to the rapid indus-
trial growth, to meet energy demand, LNG import is increasing. Hence, GoB has taken im-
mediate initiatives to expedite national gas exploration activities and gas augmentation
activities.
NOC IOC
485.62
218.68
In the FY 2022-23, gas production by National Oil companies (NOC) i.e. Bapex, BGFCL,
SGFL is 300 BCF. In the same time, International Oil Companies (IOC) i.e. Chevron, Tullow
produce 502.9 BCF which is approx. 63% of the total national gas production.
Captive, 164.294 ,
18%
Fertilizer,
50.109 , 5%
Year Power Ferti- Captive Indus- Do- CNG Com- Tea Total
lizer Power try mestic mer-
cial
FY2020-21 1,412.00 188.00 614.00 615.00 369.00 124.00 22.00 3.00 3,346.00
FY2022-23 1,433.00 263.00 663.00 771.00 361.00 124.00 22.00 3.00 3,650.00
FY2024-22 1,454.00 269.00 685.00 873.00 347.00 124.00 22.00 3.00 3,777.00
FY2026-27 1,601.00 337.00 735.00 1,132.00 335.00 124.00 22.00 3.00 4,288.00
FY2028-29 1,738.00 337.00 772.00 1,319.00 328.00 124.00 22.00 3.00 4,643.00
FY2030-31 1,827.00 337.00 782.00 1,467.00 323.00 124.00 22.00 3.00 4,885.00
FY2032-33 2,009.00 337.00 802.00 1,627.00 315.00 124.00 22.00 3.00 5,238.00
FY2034-35 2,249.00 337.00 813.00 1,759.00 307.00 124.00 22.00 3.00 5,612.00
FY2036-37 2,391.00 337.00 816.00 1,889.00 299.00 124.00 22.00 3.00 5,880.00
FY2038-39 2,438.00 337.00 810.00 2,010.00 291.00 124.00 22.00 3.00 6,035.00
FY2040-41 2,682.00 337.00 809.00 2,089.00 291.00 124.00 22.00 3.00 6,356.00
15 Source: Petrobangla
Two terminal use agreements (TUAs) were signed with Excelerate Energy Bangladesh
Limited (EEBL) and Summit LNG Terminal Co. (Pvt.) Ltd. to install 2 FSRUs at Moheshkhali
approximately 90 kilometers south of Chattogram for supplying 500 MMscfd of LNG each.
After installation of the FSRU by EEBL, commissioning started on 12 August, 2018 and
RLNG supply to the national gas grid commenced commercially on 19 August, 2018. Total
LNG imports from this terminal were 10.01 million tons and the total RLNG supply to the
national gas grid was 482,446 million cubic feet from inception to 31 December, 2022.
After the set-up of the 2nd FSRU by Summit, commissioning took place on 29 April, 2019
and RLNG supply to the national grid commenced commercially on 30 April, 2019. Total
LNG import from this terminal was 7.87 million tons and the total RLNG supply to the
national grid was 378,20 million cubic feet from inception to 31 December, 2022.
The proposal from Summit Oil and Shipping Co. Ltd. (SOSCL) to set up an FSRU at
Moheshkhali has been approved in principle by the Government. Negotiations with SOSCL
To import LNG from Qatargas, a sale and purchase agreement (SPA) was signed on 25
September, 2017 with Ras Laffan Liquefied Natural Gas Company Limited (3), a Qatar-
based Government agency, to ensure the supply of 1.8 - 2.5 MTPA LNG for 15 years. A total
volume of 10.64 million tons of LNG was imported from Qatar through 176 cargoes from
inception to 31 December, 2022. Another SPA was signed with Oman Trading
International Ltd. (present name: OQT), an Oman-based Government agency, on 6 May,
2018 for supplying 1.0-1.5 MTPA LNG for 10 years. A total volume of 5.42 million tons of
LNG was imported from OQT through 86 cargoes from inception to 31 December, 2022. 16
In addition, a master sale and purchase agreement (MSPA) was signed with 21
organizations (suppliers/ traders) to purchase LNG from the spot market. The first cargo
from the spot market was
imported on 25 September,
2020. A total volume of 1.83
million tons of LNG was
imported from the spot market
through 29 cargoes from
inception to 31 December, 2022.
During 2022, a 95 line-km geological survey has been completed in Jatinga and Jaldi-Mat-
amohri, Cox’s Bazar-Bandarban structure of Sylhet, Chattogram & Bandarban districts. A
complete geological map of the structure is being prepared after analyzing the collected
data and information. Well proposals for Srikail-5 well, Sundalpur-3 appraisal-cum devel-
opment well, Begumganj-4 (west) appraisal-cum development well and 1 exploratory
well Jamalpur-1 have been prepared after analyzing relevant 2D and 3D seismic data and
information as well as the information collected from the previously drilled wells in the
surrounding areas. In line with the study, well locations for and Kailastila-8 exploratory
and Kailashtila-9 appraisal-cum development wells under SGFL have been confirmed
through field surveys. In order to meet the growing demand for gas in the country, explore
the presence of gas in the deeper zone of the existing gas field, well proposals have been
prepared for Srikail Deep-1 exploratory well and Mubarakpur Deep-1 exploratory well.
Two consultants have been appointed to ensure smooth implementation of the geological
and geophysical survey. In order to explore gases from dry, abandoned and suspended
17 RPGCL
With a view to identifying locations of exploratory wells under the scope of a pro-
ject titled ‘2D Seismic Survey over Exploration Block 15 & 22’ financed by the gas devel-
opment fund (GDF) and its own fund, a total of 3,000 line kilometer of 2D seismic data
acquisition (1,000 line kilometer by BAPEX and 2,000 line kilometer by SINOPEC), pro-
cessing, interpretation, and resource estimation have been underway in 8 districts namely
Chattogram, Cumilla, Noakhali, Feni, Khagrachari, Rangamati, Bandarban and Cox’s Bazar.
The project duration is from July 2021 to June 30, 2024. In the 2022-23 fiscal year, 1106-
line kilometer data has been acquired with the expenditure of Tk. 70.75 crore taka. A total
of 3000-line kilometer data has already been acquired under the project. Data processing
and preliminary data interpretation have been completed.
With a view of identifying locations of exploratory wells under the scope of a pro-
ject titled ‘2D Seismic Survey over Exploration Block 6B South & 10’ financed by the gas
development fund (GDF) and its own fund to conduct a total of 3220 LKM 2D Seismic Sur-
vey over several districts of Dhaka, Barishal and Chittagong Division. The estimated cost
of the project is 15,195.00 lac taka including 8,496.00 lac foreign currency. Implementing
period of the project is 01 July, 2022 to 30 June, 2025. 2D Seismic Survey Data Acquisition,
Processing and Interpretation of 2352 LKM will be done by own crew of BAPEX and 868
LKM in Transition zone will be done be hiring foreign Seismic service crew. In the 2022-
2023 fiscal year, a total of 282.775 LKM 2D Seismic Data has been acquired at a cost of
700.00 lac taka. The Project has achieved its 100% RADP target with 20% physical pro-
gress of the whole project.
To ensure long-term energy security of the country, maximum gas production from
existing wells and to strengthen gas exploration and production activities from potential
undiscovered gas fields a project titled ‘3D Seismic Survey Over Zakiganj and Patharia
4.3.4 Drilling
Drilling of the Tabgi-1 well: Drilling of the Tabgi-1 well under the project “Drilling of
2Nos. Exploratory Wells (Tabgi-1 & Illisha-1) and 1No. Appraisal cum Development Well
(Bhola North-2)” started on June, 2022 and completed on November, 2022 by GAZPROM.
The well was drilled up to 3,524 meters. Perform DST & testing activities from this well
there is a possible to 19.5-20.0 MMscfd of gas are supply to the national grid.
Drilling of the Bhola North-2 well: Drilling of the Bhola North-2 well under the project
“Drilling of 2Nos. Exploratory Wells (Tabgi-1 & Illisha-1) and 1No. Appraisal cum Devel-
opment Well (Bhola North-2)” started on December, 2022 and completed up to 3,006 me-
ters within December by GAZPROM.
Shariatpur-1 Exploratory Well Drilling Project: The project has been undertaken with
a view to drilling 1 exploratory well in Naria Upazila of Shariatpur. The project has already
Srikail North-1A Exploratory Well Drilling Project: The project has been undertaken
with a view one exploratory (Srikail North-1A) and two appraisals cum development
(sundulpur-3 & begumgonj-4, west) drilling well. Drilling started June, 2022 & completed
on January, 2023 at Muradnagar Upazila of Cumilla district with Bijoy-12 rig. The project
has already been approved by the Energy and Mineral Resources Division. The estimated
cost of the project is Tk. 2,841.90 million and the tenure is from 1 March, 2022 to June,
2024.
[Source: Petrobangla Annual Report, 2022]
4.3.5 Workover
Kailastila-7: The workover activities started on February, 2022 with BAPEX’s (Bijoy-11)
rig and manpower without foreign consultants and the workover was successfully com-
pleted on May, 2022. About 10 MMscfd of gas is being supplied to the national grid from
this well at initial stage.
Bianibazar-1: The workover activities started on September, 2022 with BAPEX’s (Bijoy-
11) rig and manpower without foreign consultants and the workover was successfully
completed on November, 2022. At present, about 10 MMscfd of gas is being supplied to
the national grid from this well.
Semutang-5: The workover activities started on March, 2022 with BAPEX’s (XJ650T) rig
and manpower without foreign consultants and the workover was successfully completed
on July, 2022.
Saldanodi-2: The workover activities started on January, 2022 with BAPEX’s (ZJ50DBS)
rig and manpower which ended successfully on March, 2022. At present, about 03 MMscfd
of gas is being supplied to the national grid from this well.
Fenchuganj-3: After successfully completed the workover activities with BAPEX’s (Bijoy-
10) rig on March, 2022 rig down & rig dismantling job done. At present, about 9 MMscfd
gas is being supplied to the national grid from this well.
Petrobangla has undertaken a project to assess the potentiality of coal bed me-
thane in Jamalganj coal deposit, the largest and deepest coal deposit in the country.
Petroleum products viz. diesel, petrol, octane, furnace oil etc. account for about
24% commercial energy supply in the country. Liquid fuel used in Bangladesh is mostly
Table 7: Sale of Petroleum Products by BPC during last 10 Year in MT, FY 2022-2321
Products 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 2021-22 2022-23
Octane 117452 126114 147557 186911 230280 266988 262943 303917 395,602 393,557.00
Petrol 178674 166823 137360 232359 284668 318593 321940 378846 446,647 454,556.00
Diesel 3242554 3396061 3606404 4000044 4835712 4593486 4015633 4597585 4,850,700 4,935,483.00
Kerosene 289871 263029 213685 170993 138403 121497 106195 101783 86,117 77,487.00
Furnace 1202505 906771 711889 806440 925150 683725 362713 559032 571,586 880,702.00
Oil
Jet A-1 323327 338829 347323 376700 408272 429951 350605 237894 428,024 471,535.00
Others 130583 123796 91802 115283 125851 129982 68639 120673 136,334 132,775.00
Total 5484966 5321423 5256020 5888730 6948336 6544222 5488668 6299730 6,915,010 7,346,095.00
Diesel is the dominant liquid fuel used in the country. Petroleum products used during
last ten years are shown in the above table.
Agriculture,
Transport,
1,138,482.00 ,
4,250,880.00 ,
15%
58%
Power,
1,305,218.00 ,
18%
Industry,
432,563.00 , 6%
Eastern Refinery Limited (ERL) installed in 1968 at Chittagong with the processing
capacity of 1.5 million tons annually.
The refinery was the first to start production with three main processing units.
These three processing units are-
In the FY 2022-23, a total of 165.55 KT is refined from the public sector refineries.
Product Haripur Kailashtila Rashidpur Kailashtila, Bakharabad Titas 4000 BPD Total
Gas Gas Field, Gas Field, RPGCL Gas Field, Gas Condensate
Field, SGFL SGFL BGFCL Field, Fractiona-
SGFL BGFCL tion Plant,
SGFL
Octane - - 226.00 - - - 64,700.00 64,926.00
Petrol - - - - - - 68,666.00 68,666.00
Diesel - - 606.00 - - - 13,767.00 14,373.00
Kerosene - - 1,042.00 - - - 16,547.00 17,589.00
Condensate - - - - - - - -
Total - - 1,874.00 - - - 163,680.00 165,554.00
In the FY 2022-23, a total of 411.12 KT is refined from the private sector refineries.
Table 11: Petroleum Productions from Refineries (Private Sector) in MT, FY 2022-2326
Single Point Mooring (SPM) project is now in commissioning stage which will
enable BPC to receive Crude Oil and Diesel from
large size vessels of 120,000 metric tons carry-
ing capacity through subsea pipeline, from near
Kutubdia of the Bay of Bengal, within 48 hours
instead of present required time of 9/10 days.
Construction of Storage facility 0.24 million metric tons, for crude oil 0.15 million metric
tons and for diesel 0.09 million tons, at Maheshkhali under SPM Project is going to be a
new dimension to ensure energy security in the petroleum sector of Bangladesh. Opera-
tional flexibility will improve amazingly after completion of the SPM project.
Demand of Liquefied Petroleum Gas (LPG) in Bangladesh is very high. In the public
sector 15,215 MT is produced during 2022-23 FY whereas 1,278,859 MT is imported thru
private entity. Therefore, public and private sector combining do the marketing of 1.29
million MT of LPG in 2022-23, which is meeting a certain portion of LPG demand of the
country.
Considering the rising demand for LPG, government has decided to enhance LPG bottling
facilities for marketing more imported LPG. For this purpose, two LPG bottling plants,
each having capacity of 100 thousand MT per annum, will be set up in the coastal area.
Of them, one plant will be installed by Bangladesh Petroleum Corporation (BPC) and the
other in public private partnership with BPC.
4.6 Coal
Energy is the main indicator of economic growth for a country and constitutes one
of the vital infrastructural inputs in socio-economic development. At present, natural gas
is the main indigenous primary energy source of Bangladesh. Several studies reveal that
domestic production of natural gas will be depleting soon in the near future. Considering
the uncertainty of sustainable supply of primary energy, it is imperative to diversify the
primary energy sources in the country. In that case, domestic coal can be a major alterna-
tive energy source for the energy security of the country. At present 6.24% of electricity
has been produced from domestic and imported coal.
Total = 7,823
Coal might be the alternative fuel to natural gas. These coals can conveniently meet
the energy needs of Bangladesh for 50 years. It is notable that the coal of Bangladesh is
considered to be high quality in terms of its high level of heat generation capacity as well
as low Sulphur content.
5,000,000.00
4,000,000.00 3,394,534.24
1,160,657.81
923,276.00
808,358.00
803,315.00
767,307.80
753,973.00
3,000,000.00
488,724.19
2,000,000.00
1,000,000.00
-
2016-17 2017-18 2018-19 2019-20 2020-21 2021-22 2022-23
Commercial coal production started from September 2005 with a capacity of 1 mil-
lion metric tons per annum and currently the production rate is 2500-3000 metric tons
per day. Till December 2022, total 13.47 million metric tons of Coal has been produced
4.7 Peat
The peat deposits of Bangladesh are located in the low-lying areas of the alluvial
plain which are generally submerged under water for a large period each year. Peat oc-
curs in Baghia-Chanda beel under Madaripur and Gopalganj district, Kola Mouza of
Khulna district, Chatal beel area of Moulavibazar district, Pagla, Dirai and Shalla area of
Sunamganj district, Chorkai area of Sylhet district, Brahmanbaria Sadar upazila of Brah-
manbaria district and Mukundapur area of Habiganj district. It has a carbon content of
50-60% and has a calorific value between 5500 Btu/lb. and 7000 Btu/lb. The peat occurs
at the surface or at shallow depths below the surface. The total peat reserve (dry peat)
discovered in Bangladesh is 146.36 million tons. There is no commercial utilization of
peat in Bangladesh at present. Peat can be conveniently used in the form of briquette,
ovoid and compressed tablets as an alternative fuel to household work, in brick and lime
industries and in small capacity thermal power plant (10 MW) in rural areas. Three ex-
ploration licenses of peat is granted in Rajoir Upazila of Madaripur and Kotalipara
Upazila of Gopalganj district.
Some of the gas fields located in the north-eastern part of Bangladesh contain high con-
centrations of liquid hydrocarbons or condensate. This condensate has been processed
in refineries and turned into petrol, diesel and kerosene since the beginning. In FY 2022-
23, a total of 2,738,229.25 barrels of condensate has been produced as gas byproducts
from the gas fields operating under national gas production companies and production
sharing contracts (PSCs).
Power Generation
Bangladesh has started importing 500MW electricity from India (started in Octo-
ber 2013) additional 100 MW from March’16, 560 MW from December 2018, and rest is
imported from Adani Power cumulatively 2656 MW which is contributing 11% of total
power generation.
Types Amount
As of June 2023, the total installed power generation capacity on-grid and off-grid
is 28,134 MW. On-grid installed power generation capacity is 24,911 MW.
Offgrid
(Captive),
2,800.00
Grid, 24,911.00
Fossil Fuel, 5.00
Offgrid
(Renewable),
418.00
Figure 19: Grid wise Total Installed Capacity 24,911 MW (FY 2022-23)
As of June 2023, grid wise total installed capacity is 24,911 MW which is presented in the
above figure.
Hydro, 230.00 , 1%
Natural Gas,
11,372.00 , 45%
Coal, 2,692.00 ,
11%
Import, 2,656.00 ,
11%
Diesel, 1,010.00 ,
4%
Renewable Energy,
459.00 , 2%
Furnace Oil,
6,492.00 , 26%
As of June 2023, grid wise (on grid 24,911 MW) total power generation by fuel type is
highlighted in the above figure. In this figure, it is obvious that power generation by indig-
enous natural gas plays the major share (45%).
Reciprocating
Engine,
Combined 8,023.00 , 32%
Cycle, 8,363.00
, 33%
Steam Turbine,
3,742.00 , 15%
As of June 2023, grid wise (on grid 24,911 MW) total power generation by technology wise
88,450.00
85,607.00
80,423.00
100,000.00
71,419.00
70,533.00
90,000.00
62,678.00
80,000.00
57,276.00
52,193.00
70,000.00
45,836.00
60,000.00 42,195.00
38,229.00
35,118.00
31,355.00
50,000.00
29,247.00
26,533.00
24,946.00
23,268.00
22,978.00
40,000.00
30,000.00
20,000.00
10,000.00
In the FY 2022-23, Net Electricity Generation (GWh) in Bangladesh is 88,450 GWh repre-
sented in the above figure.
Renewable
Energy, 671 , 1%
Of the total electricity generated in 2022-23, 52% is generated from indigenous natural
gas, 21% from furnace oil, 11% from coal, 12% from import and rest is from Diesel, hydro
and renewable energy.
Domestic,
Industrial, 21,901 , 44,148 , 56%
28%
From the above figure, it is clear that major power consumer is the domestic sector (56%).
Industrial sector, commercial sector and others are consuming 28%, 11% and 5% respec-
tively.
Bangladesh has entered into the era of cross border energy trade in October 2013
by importing electricity from India. Additional 160 MW from March 2016 from Tripura.
From 2023, 1496 MW (Capacity 1600 MW) is imported from Adani power (Jharkhand,
India).
Renewable energy resources used in Bangladesh may be classified into three major
types- (i) traditional biomass fuels, (ii) conventional hydropower, (iii) new-renewable
resources (e.g., solar PV, wind, biogas etc.) of energy.
Agriculture
Residues 582.33 PJ
43%
The power generation of the country largely depends on the non-renewable (fossil
fuel) energy sources, mainly on the natural gas. This trend causes rapid depletion of non-
renewable energy sources. Thus, it is necessary to trim down the dependency on non-
renewable energy sources and utilize the available renewable resources to meet the huge
energy demand facing the country. Most of the people living in rural, remote, coastal and
isolated areas in Bangladesh have no electricity access yet. However, renewable energy
resources, especially biomass can play a pivotal role to electrify those rural, remote,
coastal and isolated areas in the country.
Humankind has been using biomass as an energy source for thousands of years. In
a study (Paul & Others) assesses the bio-energy potential, utilization and related Renew-
able Energy Technologies (RETs) practice in Bangladesh. Improved cooking stove, biogas
It was reported that a feasibility study was undertaken in 1998 to establish addi-
tional hydropower units (Nos. 6 & 7) at Kaptai with generation capacity of 100MW. There
is potential to install hydropower plant at the Sangu and the Matamuhury rivers in the
Chittagong Hill Tracts and possibility of constructing a second dam, six kilometers down-
stream of existing Kaptai dam to generate hydropower. Though in Chittagong Hill Tracts
local population are already conscious about the negative impacts of existing hydro-
power plants at Kaptai proper rehabilitation programed should be under taken. Consid-
ering the energy scarcity of the country, the feasibility of harnessing additional electricity
through conventional hydropower technologies and mini & micro hydropower technol-
ogies should be explored to meet a part of future energy needs.
In line with the policy, government has already taken different initiatives in renew-
able energy development, in which some projects/programs have been completed and
some are under implementation.
Solar Energy
The country's largest solar power plant at Mymensingh has been connected to the
national grid. The plant has the capacity to generate 73 MW of electricity, which will help
meet the government’s target of generating 10% of the country’s total electricity through
using renewable energy by 2021.
Figure 28: Bangladesh’s Largest (73 MW) Solar Power Plant, Mymensingh
With a 173K solar panel and 332 inverters, the solar power plant was fully installed with
Huawei Smart photovoltaic (PV) solution to connect to the national grid.
Solar Home System (SHS) provides reliable power for lighting and operating low
powered appliances such as radio, television, small electric fans. The electricity provided
by a SHS can also be used to run Direct Current (DC) driven equipment such as DC shoul-
dering irons, drilling machines etc. and to charge the battery of mobile phones. Larger
systems can run computers, refrigerators, pumps etc. IDCOL and BREB are distributing
Solar Home System (SHS) to the people living in the off-grid areas. IDCOL through differ-
ent partner organization has already distributed about 60 lakhs (installed capacity 250
MW) SHS and BREB distributed about 30 thousand SHS throughout the country.
Solar powered irrigation is the breakthrough technology for energy stricken agro-
based economy. Solar powered irrigation is the innovative and environment friendly so-
lution for the irrigation system, which currently depends on hugely inefficient electric
and diesel pumps.
Bio fuel
Bio fuels can be produced from a variety of plants like rapeseed, mustard, corn,
sunflower, canola algae, soybean, pulses, sugarcane, wheat, maize, and palm. The most
popular option for producing bio-fuels is from non-edible oilseed bearing trees. The two
most suitable species are:
Jamal gota (Jatropha curcas) and Verenda (Ricinus Communis). Both of these trees
can grow virtually anywhere in any soil and geo- climatic condition.
Bio-fuel use is not new in Bangladesh. In the early 20th century, bio-fuel was used
for lighting lamps or lanterns. In an agriculturally based country like Bangladesh, bio-fuel
can be a better alternative because a 30 percent blend of bio-fuel can be used along with
our diesel or petrol. This can also be an excellent fuel to kindle lamps in rural Bangladesh.
The use of bio-fuel is increasing in most European countries. Germany has thou-
sands of filling stations supplying bio-fuel and it is cheaper than petrol or diesel. The Ger-
man government declared that 5 percent of every liter of fuel must be bio-fuel by 2020.
Wind Energy
Bangladesh is exploring the potential of wind power. In the coastal area of Bangla-
desh, windmills with a capacity of 2.9 MW are in operation. Bangladesh has had to wait
for a breakthrough in wind power technology to be competitive against other conven-
tional commercial energy sources. A pilot project to install windmills along the seashore
with a capacity of 20 MW has been planned by the government.
Based on the results of the pilot project, another 200 MW of power could be har-
nessed from wind power. Rising fossil fuel and CO2 prices, technological advances and
economies of scale with wider deployment are expected to make renewable-based sys-
tems increasingly cost-competitive in coming decades (IEA 2011).
Tidal Energy
In the year 1984, an attempt was made from the EEE department of BUET, Dhaka
to access the possibility of tidal energy in the coastal region of Bangladesh, especially at
Cox’s Bazar and at the islands of Maheshkhali and Kutubdia. The average tidal range was
found to be within 4-5 meter and the amplitude of the spring tide exceeds even 6 meter.
From different calculation it is anticipated that there are a number of suitable sites at
Cox’s Bazar, Maheshkhali, Kutubdia and other places, where a permanent basin with
pumping arrangements might be constructed which would be a double operation
scheme. Tidal energy might be a good alternative source for Kutubdia Island where about
500 kw power could be obtained. At present there are only 2x73kVA diesel generator
sets to supply electricity for 5-6 hours/day for 72,000 people and there is practically no
possibility of main grid supply in the future.
Until to now no attempt has been made by Government of Bangladesh to assess the
prospects for harnessing energy from sea waves in the Bay of Bengal. Wave power could
be a significant alternative source of energy in Bangladesh with favorable wave condi-
tions especially during the period beginning from late March to early October. Waves are
generally prominent and show a distinct relation with the wind. Waves generated in the
Bay of Bengal and a result of the south-western wind is significant. Wave heights have
been recorded by a wave rider buoy and correlated with wind data. Maximum wave
heights of over 2 m, with an absolute maximum of 2.4 m, on the 29 July were recorded.
The wave period varies between 3 to 4 sec for waves of about 0.5 m, and about 6 sec. for
waves of 2 m.
In Bangladesh wind speeds of up to 650 kmph (400mph), 221 kmph (138 mph)
and 416 kmph (260 mph) have been recorded in the years 1969, 1970 and 1989 respec-
tively. Severe cyclonic storms and storm surge of up to 15 m have been reported. Plant
must also be able to survive the exceptional occurrence of very high waves in storm con-
ditions.
River Current
A network of rivers, canals, streams etc. numbering about 230 with a total length
of 24140 km covers the whole of Bangladesh flowing down to the Bay of Bengal. Different
sizes of boats are the main carriers of people and goods for one place to another. Boatmen
usually use the water-sails to run their boasts against the wind direction. But until now
no research has been reported to utilize the energy of river current properly.
Dhaka City has been suffering for a long time from a tremendous environmental
pollution caused by municipal solid waste, medical waste and various industrial wastes.
In order to save the city from environmental pollution the waste management as well as
electricity generation from the solid wastes program is being taken by the Government.
Construction Commercial
Unit Type Capacity
starts Operation
VVER-
Rooppur 1 1200 MW Oct 2017 2023 or 2024
1200/V-523
VVER-
Rooppur 2 1200 MW 2018 2024 or 2025
1200/V-523
All fuel for Rooppur is being provided by Rosatom, and all used fuel is to be repat-
riated to Russia, in line with standard Russian practice for such countries. A draft agree-
ment on used fuel was signed in March 2017, totaling about 22.5 ton/yr. from each reac-
tor (42 fuel assemblies, each with 534 kg of fuel). A further agreement for repatriation of
used fuel for reprocessing was signed in August 2017.
The Bangladesh Atomic Energy Commission (BAEC) has taken an initiative to con-
duct a survey in eight char areas of southern region to select one or two suitable sites to
set up the country's second nuclear power plant, aiming to meet the future demand of
huge electricity. The study will cover a demographic survey over a 5-km diameter, seis-
mic stability, geological location, and power infrastructure and communication system.
To focus on energy sector, an integrated plan was necessary and in this context,
Integrated Energy & Power Master Plan (IEPMP) has been formulated in 2023. To imple-
ment the roadmap of IEPMP, EMRD is working to formulate the operational roadmap with
all the stakeholders. The main step of this operational roadmap is to understand the de-
mand/supply forecast.
So, the forecasts and projections of different types of energies together are going to be
discussed in the following.
This Master plan adopts the PP 2041 GDP case, the basis for the present national develop-
ment plan, as the main scenario and an exercise case is run on the In-Between GDP case.
On evolution of energy related technologies and policies that will guide the direc-
tion and indicate the goal to be pursued in this Master Plan, three scenarios are considered
as below:
a. Reference Scenario (REF): a so-called business as usual case where en-
ergy consumption will follow the past trends. Technology development
and improvement in quality of life will progress likewise as observed in
the past.
b. Advanced Technology Scenario (ATS): on top of REF, utmost efforts will
be made to keep energy-based emissions of GHGs as low as possible,
while assuring adequate and stable supply, introducing energy conser-
vation measures and adopting cleaner energy options that are afforda-
ble and practicable.
c. Net-zero Scenario (NZS): Under the NZS, Bangladesh is assumed to
achieve net-zero emissions of energy-based GHGs by 2050 applying
every possible option and, if insufficient, harnessing energy consump-
tion.
The energy demand/supply forecast is run on the Advanced Technology Scenario (ATS)
with two GDP projections of PP2041 case and In-Between Case.
Preliminary evaluation was made on the three scenarios in terms of their appro-
priateness and practicability applying two indices, namely, energy efficiency index and
decarbonization index.
350 3.00
Energy Efficiency Index Decarbonization Index
toe/million USD (2010 price)
t-CO2/toe
300
(TPES/GDP) (CO2/TPES) 2.48
2.50
278
250
2.00
2.04
200
1.80
210
1.50
150
1.00 1.14
100 76
50 66 0.50
47
0.07
0
0.00
2000 2010 2020 2030 2040 2050
2000 2010 2020 2030 2040 2050
REF PP2041 ATS PP2041 NZS PP2041
REF PP2041 ATS PP2041 NZS PP2041
The energy demand/supply forecast is run on the Advanced Technology Scenario (ATS)
with two GDP projections of PP2041 case and In-Between Case.
38 Primary Energy Supply, Executive Summary 14, Integrated Energy & Power Master Plan (IEPMP), 2023.
0.53,
TPES 2022 0.17, 0%
0, 0%
1% 0, 0%
(57.2 Mtoe) 0, 0% 0, 0% 0, 0%
0.86, 2%
Biomass
Coal
14.3, 25% Oil
Natural Gas
25.1, 44%
4.19, 7% Power Import
Nuclear
Natural Gas - CCS
12.05, 21%
Hydro
Solar PV
For Reference case- PP2041 and Advanced Technology Scenario, TPES of Bangla-
desh in 2030, 2041 and 2050 is 74.4 Mtoe, 118.4 Mtoe and 168.9 Mtoe respectively.
3.5, 3% Oil
30.7, 27%
Natural Gas
39.9, 35%
Power Import
Nuclear
Natural Gas - CCS
Oil 27.35
21.07 23.69 26.79
Coal 6.62
7.33 17.77 13.26
Nuclear 8.25
0.00 5.92 7.68
Hydroelectric 0.06
0.30 0.13 0.09
Solar-PV 1.58
0.93 0.94 1.13
Wind 2.71
0.00 0.13 1.40
Hydrogen 9.01
0.00 0.00 4.28
Ammonia 0.38
0.00 0.27 1.05
Biomass 1.20
25.00 8.34 3.23
Total 100
100 100 100
40 Total Primary Energy Supply, Page-59, Integrated Energy & Power Master Plan (IEPMP), 2023.
Natural gas consumption will expand 2.8-folds between 2019 and 2050 for PP
2041 GDP case and 1.7-folds for In-Between case. Main driver is the power sector.
100 100
Mtoe
Mtoe
PP2041 In-Between
Loss, etc. Loss, etc.
80 80
72.4 Grid Grid
Captive Captive
60 60
Non-energy Non-energy
47.4
Agriculture Agriculture
50.6 40.4
40 Commercial
40 34.8 Commercial
30.1 28.2 Residential
25.5 26.5 25.5 26.6 25.6 22.9 Residential
17.5
13.7 Other transport
20 16.6 11.4 20 16.6 10.8 11.5 9.9 Other transport
10.8
6.4 Road 6.4
7.4 7.4 Road
14.1 Industry3.3 9.2 12.3
3.3 7.0 9.6 4.7 7.0
2.8 3.9 4.7 0 0.9 2.8 3.9 Industry
0 0.9
2000 2010 2019 2022 2030 2041 2050 2000 2010 2019 2022 2030 2041 2050
PETROBANGA scenario-3
80.0
70.0
68.2
Power
60.0 55.5 12.7
Fertizer
50.0 11.5 13.9
0.0
0.3 Domestic
40.0 12.4 1.6
4.0
0.0
0.3 2.8 CNG
30.0 1.6
4.0
2.8
20.0 Commercial
32.9
10.0 22.9
Tea
0.0
Mmtoe Mmtoe Captive Power
Because of its lower carbon footprint among fossil fuels, natural gas consumption
by power sector will expand 3.6-folds in PP2041 and 1.6-folds in In-Between during the
same period.
41 Natural Gas Demand Outlook, page- 115, Integrated Energy & Power Master Plan (IEPMP), 2023.
42 Natural Gas Demand Outlook, page- 115, Integrated Energy & Power Master Plan (IEPMP), 2023.
43 Forecast of Domestic Natural Gas Production, page- 117, Integrated Energy & Power Master Plan (IEPMP),
2023.
44 Outlook of Natural Gas Supply Balance, page- 119, Integrated Energy & Power Master Plan (IEPMP), 2023.
60 60
Mtoe
Mtoe
Dist. loss, etc.
PP2041 Dist. loss, etc. In-Between
50 50 Power
Power
43.4
Refinery loss 39.7 Refinery loss
40 3.8 40
Non-energy Non-energy
3.0
30.7 8.1
Agriculture 28.8 Agriculture
30 30 8.9
2.7
8.1 Commercial 2.3 Commercial
6.0 6.3
6.3
20 17.6 Residential
20 17.3 Residential
4.3
3.6
1.6 Other transport 1.5 Other transport
3.2 18.3 3.1
10 1.9 10 17.3
5.7 14.4 Road 5.7 1.7
13.9 Road
3.1 3.8 3.1 3.8
1.1 8.1 8.0
0.9 Industry 0.9 Industry
0.7 1.2 2.1 0.7 1.2 2.1
0 0
2000 2010 2019 2030 2041 2050 2000 2010 2019 2030 2041 2050
45
Oil demand Outlook, page- 125, Integrated Energy & Power Master Plan (IEPMP), 2023.
25 25 25 25
Mtoe
Mtoe
Mtoe
Mtoe
PP2041 PP2041 In-Between
In-Between 22.2
22.2
20.4
20.4
Dist. loss,Dist.
etc.loss, etc. Dist.Dist.
loss,loss,
etc. etc.
20 20 20 20
Power Power Power
Power
16.7
16.7
15.2 15.2 Non-energy Non-energy
Non-energy Non-energy
15 15 15 15 14.7
13.2 14.7
13.2 Agriculture
Agriculture Agriculture
Agriculture
14.1
14.1
Commercial
Commercial
10.5 Commercial
Commercial
10.5
8.7 11.4
11.4
10 8.7 10
10 7.9 10
2.0 Residential Residential
7.9 2.0 Residential Residential
Other transport Other transport
Other transport Other transport
5 4.0 5 4.0
5 4.0 8.4 5 Road 4.0 Road
8.46.4 Road 0.3 7.5 Road
0.3 6.2 7.5
6.4 5.3 5.3 6.2
Industry 3.7 5.3 Industry
0.3
3.7 0.8 5.3 3.7 Industry 0.3 0.8
0.8
3.7 Industry
0.3 0.8 0.30 0.3 0.6
0 0.6
0.6 0 0.3 0.6
0 2000 2010 2019 2030 2041 2050 2000 2010 2019 2030 2041 2050
2000 2010 2019 2030 2041 2050 2000 2010 2019 2030 2041 2050
46
Coal Demand Outlook, page- 129, Integrated Energy & Power Master Plan (IEPMP), 2023.
47 Coal Production Outlook by scenarios,
To build a low carbon economy, clean energy supply must expand rapidly, which
include hydro, nuclear, solar PV, wind, modern biomass as well as CCS, ammonia and hy-
drogen.
The total supply of clean energy will amount to 45.5 MTOE in 2050 for the PP2041 GDP
case and 37.3 MTOE for the in between case.
48 Coal Production Outlook by scenarios, , Integrated Energy & Power Master Plan (IEPMP), 2023.
400 400
Mt-CO2
Mt-CO2
ATS PP2041 ATS In-Between
305
300 300
245 266
136 235
62 Natural Gas
Natural Gas
200 94 200 172 69
170
Oil Oil
65 54 116
89 85
100 90 127 Coal 89
100
50 53 52 Coal
55 50
21 55
37 60
21 81 88
18 52 41 37 18 66
12 10 16 12
0 0 10 16
2000 2010 2019 2030 2041 2050 2000 2010 2019 2030 2041 2050
The emissions of ATS PP2041 will be relatively moderate at 305 million tons-CO2
in 2050. That of ATS In-between will be even slower at 266 million tons-CO2 in 2050.
Energy Intensity is measured by the quantity of energy required per unit output
or activity, so that using less energy to produce a product reduces the intensity. The nu-
merical value is traditionally calculated by taking the ratio of energy use (or energy sup-
ply) to gross domestic product (GDP), indicating how well the economy converts energy
into monetary output. Typical units for energy intensity are joules (or Btu) per US dollar;
however, there are other equivalent metrics used. For Bangladesh, Ktoe per billion BDT is
used. The smaller the energy intensity ratio is, the lower the energy intensity of a partic-
ular nation.
Concepts:
Total energy supply is made up of production plus net imports minus international
marine and aviation bunkers plus-stock changes. Gross Domestic Product (GDP) is the
49 Energy-Related CO2 Emissions by Source, Executive Summary 20, Integrated Energy & Power Master Plan
(IEPMP), 2023.
Table 20: Energy intensity measured in terms of primary energy and GDP50
In FY 2021-22 it was 1.44 while in FY 2015-16 it was 2.22; therefore, energy inten-
sity is reduced by 35% over this period.
Alternate Fuels
The 2015 Paris Agreement signatories pledged to NZE 2050. In August 2021, Bang-
ladesh submitted its updated Intended National Determined Contributions (NDC). We
have a mandate to reduce carbon emission. Moreover, from the provision of Perspective
Plan (Vision- 2041), 8th Five Year Plan, Mujib Climate Prosperity Plan 2022-2041, SDG
2030 and respective other plans and mandate, it is obvious to emphasize on the Develop-
ment of renewable energy and its generation and the use of alternative sources of energy.
At COP26, Prime Minister Sheikh Hasina envisaged more sustainable energy mix with up
to 40% renewable & alternate energy share in the primary energy mix by 2041". 51 With
all of those visions, GoB has initiated Integrated Energy and Power Master Plan (IEPMP)
to materialize sustainable renewable and alternate energy in the national primary energy
mix to ensure energy security of Bangladesh.
Integrated Energy and Power Master Plan (IEPMP) 2023- In the PP2041 case, Total Pri-
mary Energy Supply (TPES) will expand by about four times to 169 million tons oil equiv-
alent (Mtoe) in 2050 from 2019.52
Traditional biomass consumption will almost disappear by 2050 and will be replaced by
modern fossil fuels such as coal, oil or natural gas etc. On the other hand, clean energies
such as solar PV, wind, CCS, nuclear, ammonia and hydrogen will be introduced. These
clean energies will exceed almost 20% (27.2 Mtoe) of the TPES by 2041 and reach almost
51 Page no-12, Integrated Energy and Power Master Plan (IEPMP) 2023
52 Page no-14, Integrated Energy and Power Master Plan (IEPMP) 2023
Since the beginning of the 1990s, hydrogen generation has been studied as a method for
decarbonizing the mix of energy sources. Hydrogen is demanded by energy-consuming
sectors like industry, transport, commercial, residential, etc. Besides, hydrogen is greatly
demanded as a feedstock for many industrial processes such as the production of ammo-
nia and methanol, glass making, food processing, petroleum refining, and metal treatment.
According to the International Energy Agency (IEA)54, hydrogen demand reached 94 mil-
lion tons (Mt) in 2021 (40 Mt in the refineries and rest in other H2 consuming industries)
and containing energy equal to about 2.5% of global final energy consumption. Most of
the increase came from traditional uses in refining and industry, though demand for new
applications grew to about 40 thousand tons (up 60% from 2020, albeit from a low base).
Considering policies and measures that governments around the world have already put
in place, Hydrogen demand could reach 115 Mt by 2030. This is the high time to explore
the Hydrogen potential in Bangladesh.
Among the different colors of hydrogen, we envisage that the production of Blue Hydro-
gen would be at the forefront of the decarbonizing scheme entrusted by the world com-
munities. Blue Hydrogen is derived from fossil fuels, with integrated carbon capture and
storage (CCS). Globally, approximately 95% of all hydrogen is produced by the Steam Me-
thane Reforming (SMR) process.
Hydrogen energy can be produced from methane (CH4) through SMR reaction.
CH4 + H2O → CO + 3H2
53
Page no-113, Integrated Energy and Power Master Plan (IEPMP) 2023
54
Global Hydrogen Review 2022, IEA
Probable way forward on Hydrogen Energy: Being a new technology, following task
should be carried out to analyze the viability and readiness of Hydrogen Energy in Bang-
ladesh.
8.2 Ammonia
Figure 43: Production and utilization routes of ammonia in the energy sector55
55 Aziz, Muhammad et. al., Ammonia as Effective Hydrogen Storage: A Review on Production, Storage and Utilization, En-
ergies 2020, 13, 3062; doi:10.3390/en13123062.
• Grey ammonia is derived from hydrogen produced by fossil gas or coal. More than
99% of ammonia produced today falls within this category.
• Blue ammonia is also derived from fossil fuels, with integrated carbon capture and
storage (CCS). Less than 1% of ammonia is produced in this way.
• Green ammonia is produced through water electrolysis powered by renewable
electricity. Only 0.01% of ammonia was produced with renewable power in 2021.56
Bangladesh is able to produce only 30% of the demand whereas the rest 70% is imported
from countries such as Russia, China, Saudi Arabia, Qatar, United Arab Emirates (UAE).57
To address low carbon pathway, it is the high time to explore Ammonia market’s feasibil-
ity and piloting Ammonia co-firing in Bangladesh.
• Task 1: Feasibility of production potential of Ammonia and its preferred produc-
tion method along with available feedstock in Bangladesh
• Task 2: Feasibility of potential Ammonia market (end-users/ industries)
• Task 3: Feasibility of Piloting Ammonia co-firing in coal based power plants in
Bangladesh
• Task 4: Formulation of Ammonia Policy
• Task 5: Knowledge Transfer and Technology Transfer through capacity Building.
56 https://www.e3g.org/news/explained-why-ammonia-co-firing-with-coal-in-southeast-asia-is-a-risky-ap-
proach/#:~:text=The%20%E2%80%9Cco%2Dfiring%20ratio%E2%80%9D,serve%20as%20an%20energy%20car-
rier.
57 https://theconfluence.blog/bangladesh-opens-southeast-asias-largest-fertilizer-factory/
Being a founding member of the Global Biofuel Alliance (GBA), Bangladesh bears the re-
sponsibility to achieve various UN Sustainable Development Goals (SDG), in particular,
SDG-7 (provide access to affordable, reliable, sustainable, and modern energy for every-
one).
Potential way forward on Biomass gasification to Biomethane and biofuel: Being a new
technology, following task should be carried out to analyze the viability and readiness of
Biomass gasification to Biomethane and biofuel in Bangladesh.
Task 1: Feasibility of potential of “Biomass gasification to Biomethane and biofuel”
in Bangladesh
Task 2: Study to develop policy framework for promoting biofuel production and
utilization in Bangladesh
Task 3: Knowledge Transfer and Technology Transfer through capacity Building.
58https://indianexpress.com/article/india/india-clean-energy-g20-global-biofuel-alliance-8932129/
59https://www.eurasiareview.com/11092023-bangladesh-joins-global-biofuels-alliance-opportunities-
and-challenges-for-biofuel-development-analysis/
While surface gasifiers (e.g., fixed-bed gasifier, fluidized bed gasifier, etc.) for coal
utilization is very popular in the world for exploiting the resource to produce hydrogen
and biofuel, subsurface gasification is further capable of being the instrument which does
not involve surface coal extraction, handling, transportation, etc. Therefore, Underground
Coal Gasification (UCG) has been popularized as an environmentally beneficiary tech-
nique and economical way of producing pure energy, by extracting and making use of the
vast unmineable coal resources around the world and considered as a clean coal technol-
ogy (CCT). UCG is advancing to achieve the status of other universally-accepted industrial
methods, such as open-cast and underground coal mining, coking, oil refining. UCG can be
tested to produce hydrogen and biofuel. Bangladesh can also be benefitted by extracting
the resource through this unconventional method as the deepest and largest coalfield of
Bangladesh has long been untapped due to the problems of adopting any conventional
coal mining method.
Potential way forward UCG to produce hydrogen and biofuel: Being a new technol-
ogy, following task tasks could be broadly identified-
Task 1: Feasibility of UCG Technology adoption at Jamalganj coalfield
Task 2: Feasibility of piloting UCG at Jamalganj coalfield
Task 3: Feasibility of production efficiency of hydrogen and biofuel through UCG at
Jamalganj coalfield
Task 4: Knowledge Transfer and Technology Transfer through capacity
Building
The role of CCUS is pivotal in clean energy transitions for the world. CCUS can be
retrofitted to existing power and industrial plants, allowing for their continued operation.
It can tackle emissions in hard-to-abate sectors, particularly heavy industries like cement,
steel or chemicals. CCUS is an enabler of least-cost low-carbon hydrogen production,
which can support the decarbonization of other parts of the energy system, such as indus-
try, trucks and ships. Finally, CCUS can remove CO2 from the air to balance emissions that
According to the IEA published report entitled “Tracking Clean Energy Progress 2023”,
around 40 commercial facilities are already in operation applying carbon capture, utiliza-
tion and storage (CCUS) to industrial processes, fuel transformation and power genera-
tion. CCUS deployment has trailed behind expectations in the past, but momentum has
grown substantially in recent years, with over 500 projects in various stages of develop-
ment across the CCUS value chain. Since January 2022, project developers have an-
nounced ambitions for around 50 new capture facilities to be operating by 2030, captur-
ing around 125 Mt CO2 per year. Nevertheless, even at such a level, CCUS deployment
would remain substantially below (around a third) the around 1.2 Gt CO2 per year that is
required in the Net Zero Emissions by 2050 (NZE) Scenario.61
60 https://www.iea.org/energy-system/carbon-capture-utilisation-and-storage
61 https://www.iea.org/reports/tracking-clean-energy-progress-2023
62
https://twitter.com/ProsperoEvents/status/1493555694771085317/photo/1
CCUS being an emerging technology, following task tasks could be broadly identified-
The main indigenous energy resource Natural gas is depleting at a fast rate. But
among the depleted gas fields, some fields have lost the optimum pressure to produce the
remaining substantial amount of gas. This remaining gas can be boosted through injecting
CO2 into those depleted fields (e.g., Bakhrabad gas field).
When CO2 is injected into a gas reservoir, it can act as a displacement agent, push-
ing the remaining gas towards the production wells. CO2 also has a lower viscosity than
natural gas, which can reduce the pressure drop in the reservoir and improve the effi-
ciency of gas production. Moreover, CO2 can also interact with the natural gas in the res-
ervoir, leading to a process called miscible flooding. Miscible flooding occurs when CO2
mixes with the natural gas in the reservoir and creates a single-phase fluid, which can
more easily flow through the reservoir and be extracted. This process can result in a sig-
nificant increase in gas recovery rates.
Worldwide initiatives: There are information of new initiatives around the world
such as, BP plc: in Oman 2021, Total SE: in Argentina 2020, Eni S.p.A.: in Indonesia 2020,
The K12-B CO2 injection project in the Netherlands - A pilot-scale EGR project was started
in the K12-B gas field in the Dutch sector of the North Sea in 2004.
Strategic Development:
In 2021, Chevron Corporation announced its plans to increase its investment in the
Permian Basin, one of the largest oil and natural gas producing regions in the
United States. The company plans to use advanced drilling techniques and en-
hanced oil recovery methods, including EGR, to improve the efficiency and produc-
tivity of its operations in the region.
In 2020, Royal Dutch Shell plc announced its plans to invest $10 Billion in its EGR
program over the next decade. The company aims to increase the recovery of nat-
ural gas from its existing reserves using advanced technologies, including carbon
capture and storage.
In 2019, Exxon Mobil Corporation announced its plans to invest $10 Billion in EGR
and carbon capture and storage technologies over the next decade. The company
aims to reduce greenhouse gas emissions and improve the efficiency of its opera-
tions by using these advanced technologies.
To identify EGR opportunity and detailed geological characterization and model building
studies as part of the feasibility and pilot planning phase, as such the following tasks could
be broadly identified-
The government has taken several steps to deal with the reduction in the produc-
tion of gas. Exploitation and exploration of domestic resources have been emphasized.
Power Sector Master Plan has already been formulated and initiative has been taken to
produce a large portion of the electricity using coal. Gas exploration activities
by BAPEX have been strengthened and some prospective wells have already been iden-
tified. Discoveries of more new wells are much expected in the future. Besides on-
shore, exploration activities are being undertaken in the offshore and fields with
large amount of gas are expected. In some old gas fields, the 3D Seismic survey has re-
vealed more reserves of gas than before.
For example, using new technology Bibiyana gas field found an increase of its re-
serve and a further production for some additional periods will continue. The govern-
ment has taken initiative to meet the demand of energy through import of LNG, already
LNG supplies have started and more LNG will be added to the national grid in the next
few years. Moreover, government has taken several steps to boost up the coal sector. ERL
expansion is underway and SPM project has been initiated and the progress of the project
work is ongoing. When the ongoing & future planning of development work of BPC will
be implemented then the energy security will be enriched for the mass people of Bangla-
desh. New horizon has been exposed in sea after settlement of maritime boundary with
Myanmar and India. Cross border energy trade will get momentum. Considering all the
perspectives, we hope that in the near future, Bangladesh is well prepared to meet
the Energy demand and ensure the supply of uninterrupted energy for achieving the 8th
FYP, Vision-2021, SDG-2030 and Vision-2041.