{"id":364728,"date":"2026-03-29T19:44:10","date_gmt":"2026-03-29T19:44:10","guid":{"rendered":"https:\/\/www.newsbeep.com\/il\/364728\/"},"modified":"2026-03-29T19:44:10","modified_gmt":"2026-03-29T19:44:10","slug":"bangladesh-faces-perfect-storm-extra-800m-monthly-energy-cost-finds-study","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/il\/364728\/","title":{"rendered":"Bangladesh faces ‘perfect storm’: Extra $800m monthly energy cost, finds study"},"content":{"rendered":"

Bangladesh’s energy sector faces a “perfect storm” of global shocks and domestic inefficiencies, adding $760-830 million in monthly import costs in early 2026, according to Lion City Advisory Research.\u00a0<\/p>\n

Their report, Bangladesh Energy Sector: Crisis, Cost & Transition, warns that rising global fuel prices following the Iran-Israel conflict have pushed the country toward a “fiscal emergency.” Brent crude surged to $105 per barrel in four weeks, while spot LNG prices jumped 125% to\u00a0 $22.51 per MMBtu.<\/p>\n

Power sector inefficiencies, especially at the Bangladesh Power Development Board (BPDB), exacerbate the crisis. Installed capacity has grown fivefold to 28,919 MW since 2006, yet nearly 63% remains idle, generating annual capacity payments of Tk38,000 crore.\u00a0<\/p>\n


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Blended generation costs now range Tk18-22 per kWh, more than doubling monthly subsidy needs to Tk7,500-9,500 crore.<\/p>\n

The “Bapex Paradox” highlights domestic gas underperformance: only eight of 34 planned wells were drilled in FY2025, increasing reliance on costly LNG. Each additional 10 million cubic feet\/day of domestic gas could save $82 million annually. Industrial energy efficiency could yield 50 bcf of “free LNG,” replicating 13-27 new wells.<\/p>\n

Renewable energy is more cost-effective: recent utility-scale solar bids stand at 8.27 US cents\/kWh (Tk9.09), far below diesel (Tk32.53) or heavy fuel oil (Tk26). Policy uncertainty, including the IA framework cancellation, stalls private investment and 5,200MW of solar projects.<\/p>\n

The report advocates the Bangladesh Energy Independence Program (BEIP): solar expansion, diesel replacement, and industrial efficiency to achieve 60-70% renewables by 2040 and potentially export $500 million-$1 billion annually. “At $105 oil per barrel, Bangladesh cannot afford not to transition,” the report concludes.<\/p>\n","protected":false},"excerpt":{"rendered":"Bangladesh’s energy sector faces a “perfect storm” of global shocks and domestic inefficiencies, adding $760-830 million in monthly…\n","protected":false},"author":2,"featured_media":364729,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[114,184,85,46],"class_list":["post-364728","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-economy","tag-il","tag-israel"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/364728","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=364728"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/364728\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/364729"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=364728"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=364728"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=364728"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}