BANGLADESH鈥橲 depleted gas fields and brine aquifers offer vast potential for carbon dioxide sequestration, enabling significant emissions reduction. The formations can store millions of tonnes of carbon dioxide, positioning Bangladesh to generate revenue through carbon credits, participate in global carbon markets and advance sustainable development while it combats the effects of climate change.
In recent decades, the threat of climate change has become one of the most pressing global challenges, primarily driven by rising concentrations of carbon dioxide in the atmosphere. The increased concentrations of carbon dioxide are the key drivers of global warming, which is causing catastrophic environmental changes worldwide. To mitigate the severe impact of climate change and keep global temperature rise below 2 degrees Celsius, countries are expected to drastically reduce their greenhouse gas emissions, aiming for an 80 per cent reduction by 2050.
This requires not only reducing carbon dioxide emissions from major sources but also developing technologies to capture and sequester carbon dioxide. The global effort to achieve these goals is guided by the Paris Agreement of 2015, where countries have committed to reducing emissions in order to fight global warming.
Bangladesh, one of the world鈥檚 fastest-growing economies, faces a dual challenge. It must rapidly expand its economy to provide better living standards for its growing population while it simultaneously deals with the adverse effects of climate change. As a low-lying delta, Bangladesh is particularly vulnerable to the impact of rising sea levels, flooding and natural disasters. The country is in the process of rapidly industrialising and as energy demand grows, the development of power plants is inevitable. These plants contribute significantly to carbon dioxide emissions, which further exacerbate the country鈥檚 climate vulnerabilities.
In 1946, Bangladesh emitted around 0.12 million tonnes of carbon dioxide annually into the atmosphere. By 1986, this figure surged to 11.46 million tonnes, nearly 100 times the 1946 amount. By 2000, the annual emission reached 26.52 million tonnes and by 2021, it rose to 93.18 million tonnes. In 2019, carbon dioxide emissions came from various sectors were 9.8 million tonnes from buildings, 11.66 million tonnes from transport, 24.93 million tonnes from manufacturing and construction and 39.48 million from electricity and heat production.
Bangladesh is now working on three major coal-based power plants: the 1,200MW Matarbari power station, the 1,320MW Rampal power station and the 1,320MW Payra thermal power plant. Each megawatt of electricity generated from coal-based power plants results in the production of approximately 1023.758 kilograms of carbon dioxide. As a result, the three plants will contribute significantly to carbon dioxide emissions, exacerbating global warming. To achieve the net-zero emissions goal, capturing and injecting this carbon dioxide into the subsurface is essential.
Given this growing threat, Bangladesh must act decisively to reduce its carbon emissions in line with global efforts to curb climate change. One promising solution is carbon dioxide sequestration, the process of capturing carbon dioxide from the atmosphere and storing it underground in geological formations. This technology has the potential to help Bangladesh to meet its climate targets while also contributing to global efforts to fight climate change.
The Bengal basin, renowned as one of the thickest sedimentary basins globally, hosts numerous reservoirs. Among them, the Miocene-aged Bokabil Formation is considered one of the most productive reservoirs in the basin. In the Bangladesh part of the Bengal basin, 29 gas fields have been discovered so far, estimated to possess a total recoverable gas reserve of 29.808 trillion cubic feet. Among the fields, 11 are situated in the Surma basin, containing an estimated total recoverable gas reserve of about 10.768 trillion cubic feet. As of 2021, about 19.11 trillion cubic feet of the gas reserves have been extracted in the Bengal basin.
Bangladesh consumes around 1 trillion cubic feet of natural gas annually and the production rate from existing gas fields is about 900 billion cubic feet a year, suggesting that commercial natural gas production in fields will continue for the next 10听years, after which the reservoirs will deplete and be abandoned at some point. These gas fields, along with the existing infrastructure, present significant opportunities to contribute to the journey towards achieving net-zero emissions and create potential for carbon trading in Bangladesh.
A recent research conducted at the Imperial College London has showed that Sylhet, Kailashtila, Habiganj and Fenchuganj gas fields hold immense potential for carbon dioxide sequestration. According to the Carbon Sequestration Leadership Forum methodology, the theoretical carbon dioxide storage capacity of the fields has been estimated to range from 1,399 to 4,285 million tonnes. However, when adjusted for effective storage capacity, the range could be between 84 to 257 million tonnes per field. This potential opens the door for Bangladesh to participate in large-scale carbon sequestration projects. Bangladesh鈥檚 storage capacity is comparable to some of the world鈥檚 leading carbon sequestration projects, such as Weyburn in Canada, Salt Creek in the United States, Sleipner in Norway and In Salah in Algeria.
The vast carbon storage potential in Bangladesh offers the country an opportunity to not only mitigate its own emissions but also to become a key player in the global carbon market. Through carbon trading, Bangladesh could generate carbon credits by storing carbon dioxide in its geological formations. Carbon trading is part of emissions trading schemes which allow countries and companies to trade carbon credits to meet emission reduction targets. The carbon market is already well-established in regions such as Europe, the United States, Canada and China; and, Bangladesh can participate in this market to reduce emissions globally while it generates revenue.
Bangladesh鈥檚 involvement in carbon trading could have significant economic implications. By using its gas fields for carbon sequestration, the country can earn carbon credits, which could be sold on the international market. Carbon credits under the European emissions trading system are valued at approximately 鈧�90 ($96.30) a tonne while on the voluntary carbon market, carbon credits are typically priced at around $20 a tonne. Based on its estimated carbon storage capacity, Bangladesh could generate substantial revenue from the sale of carbon credits.
Bangladesh鈥檚 four gas fields such as Sylhet, Kailashtila, Habiganj and Fenchuganj have the potential to store carbon dioxide in amounts ranging from 84 million tonnes to 257 million tonnes, with the economic value of the resulting carbon credits varying by market price. On the EU emissions trading system market, at $96.30 a tonne, the potential revenue could range from $8.09 billion to $24.75 billion while on the voluntary carbon market, priced at $20 a tonne, the revenue could range from $1.68 billion to $5.14 billion. Additionally, Bangladesh has significant geological storage capacity, including hydrocarbon reservoirs and brine aquifers, with a broader revenue potential estimated between $500 billion to $1 trillion, depending on the use and market conditions.
The economic opportunity from carbon credits positions Bangladesh to not only reduce its carbon emissions but also tap into a growing global market. The revenue generated from carbon credits could support Bangladesh鈥檚 transition to a more sustainable, low-carbon economy. Furthermore, it offers the country an opportunity to attract international investment, create jobs, and contribute to global climate change mitigation.
In conclusion, Bangladesh鈥檚 carbon sequestration potential offers both environmental and economic benefits. By leveraging its geological resources to store carbon, Bangladesh can help to mitigate the global impacts of climate change while generating significant revenue from the sale of carbon credits. The country鈥檚 participation in the global carbon market could be a game-changer, positioning Bangladesh as a leader in the fight against global warming while providing new economic growth opportunities. With the right infrastructure and regulatory frameworks, Bangladesh can capitalise on this emerging market, driving both economic and environmental sustainability for the future.
As demand for carbon credits continues to rise globally, Bangladesh鈥檚 vast carbon sequestration potential, combined with its rich geological resources, positions the country to play a crucial role in global climate action. By monetising these resources, Bangladesh has a unique opportunity to secure both financial and environmental benefits, ensuring a sustainable future for the nation and contributing to the global effort to combat climate change.
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Naymur Rahman is a geologist at the Bangladesh Water Development Board.