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Solar energy powers 2 crore people in Bangladesh: WB

BI Report || BusinessInsider

Published: 00:45, 9 April 2021   Update: 01:07, 9 April 2021
Solar energy powers 2 crore people in Bangladesh: WB

File photo of a privately run solar power plant in Jamalpur

Bangladesh has the largest off-grid solar power programme in the world, which offers experiences and lessons for other countries for expanding access to clean and affordable electricity.

By harnessing solar power, the programme enabled 20 million Bangladeshis to access electricity, World Bank said it on Thursday.

The global lender, which is supporting Bangladesh to implement the programme, said it in a launching ceremony of a book titled “Living in the Light-The Bangladesh Solar Home System Story.”

Starting from 2003 as a 50,000 household pilot, the programme at its peak, has already provided electricity to approximately 16 percent of the rural population in Bangladesh, said the WB.

“Bangladesh is known for its innovative development approaches. In remote and hard to reach areas, the government successfully introduced affordable off-grid renewable energy solutions through a public-private partnership. Clean electricity meant better health and living conditions for families and more study time for children,” said Mercy Tembon, the WB country director for Bangladesh and Bhutan.

“Our partnership with the government for this programme spans nearly two decades and now our support has expanded to include other renewable energy options,” she said.

Successive financing through the Rural Electrification and Renewable Energy Development (RERED) Project, the WB supported the Infrastructure Development Company Ltd (IDCOL) to implement the programme. IDCOL combined its expertise in infrastructure financing with Bangladesh’s pioneering work in micro-financing and private sector solar electrification initiatives to build a scalable off-grid electrification business model.

“Our government is committed to driving up renewable energy and has a host of incentives such as tax breaks on offer to drive net-metered solar rooftop installation,” said Nasrul Hamid, state minister, for power, energy and mineral resources, who attended the programme as chief guest.

Between 2003 and 2018, the project reduced greenhouse gas (GHG) emissions by approximately 9.6 million tonnes of CO2.

The programme helped reduce indoor air pollution by avoiding the consumption of 4.4 billion liters of kerosene.

“The RERED I and II projects promoted a sustainable market-driven approach where clean energy solutions were provided by local entrepreneurs with financing from IDCOL.

Around 58 non-government organisations supplied and installed the solar home systems made affordable with micro-loans,” said Amit Jain, senior energy specialist of the WB and a coauthor of the report.

Building on the success of the programme, the WB extended support to scale up other clean renewable energy options including solar irrigation, solar mini-grids, rooftop solar and solar farms.

The World Bank financing in two consecutive RERED projects stands at $726 million.