The draft renewable energy policy published early this month offers limited scope for renewable energy expansion and is deviated far from the goal of ensuring energy security by reducing fossil fuel dependence, said energy experts.
This is the fourth draft published since the government started updating the renewable energy policy in 2021. The renewable energy policy was first formulated in 2008 with the target of sourcing 10 per cent of electricity from renewable sources by 2025.
Of the nearly 28,000 megawatts of installed power generation capacity, renewable energy currently accounts for only about 4 per cent.
鈥楻enewable energy can never compete with the massive fossil fuel industry unless there is a policy to discourage fossil fuel and encourage the expansion of renewable energy,鈥� said Khondaker Golam Moazzem, research director of the Centre for Policy Dialogue.
But, the draft policy rather encourages dependence on fossil fuels, allowing businesses to earn higher profits, ultimately adding to the current fiscal burden of the power sector, energy experts said at a press conference held to share the civil society鈥檚 views on the draft policy published on February 2.
The press conference was organised by the Coastal Livelihood and Environmental Action Network in the capital Dhaka on Sunday.
The policy sets ambitious renewable energy targets of generating 6,145MW or 20 per cent of electricity in 2030 from renewable energy sources and 17,470MW or 30 per cent of electricity in 2041, said Hasan Mehedi, chief executive of CLEAN, in the keynote paper.
鈥業t feels bizarre having a renewable energy policy before formulating an energy policy,鈥� he said, adding, 鈥業t鈥檚 like putting the cart before the horse.鈥�
The policy lacks a road map for decarbonisation and fails to include a green taxonomy, potentially leading to greenwashing, the keynote paper said.
There is no coordination plan among ministries or an implementation strategy, nor is there a financing or investment plan.
Mehedi also noted that while companies implementing renewable energy projects were fully exempted from income tax for 10 years and partially for five years, ordinary citizens receive no tax benefits or incentives for installing such renewable energy sources.
In the other countries, rooftop solar panel installations receive up to 30 per cent direct financial support.
鈥楾he policy plans to increase renewable energy share in energy mix by 16 per cent over the next five years and then by another 10 per cent over the decade after that,鈥� said Shahriar Ahmed Chowdhury, director of the Centre for Energy Research.
鈥業t does not make any sense. This is exactly opposite to the expected scenario. This is impossible to implement,鈥� he said.
Energy experts criticised that the draft policy needed years to come to the current stage while it remains open for experts鈥� opinions for only 21 days, the deadline that ends today.
The policy also overlooks the critical role of foreign direct investment, which is essential in the current context, when Bangladesh is suffering from a severe dollar crisis, said Moazzem.
Bareesh Hasan Chowdhury, coordinator of the Friends of the Earth Asia Pacific, an alliance of member groups representing 13 countries across the Asia Pacific region, found the definition of the policy confusing.
Experts also pointed out the differences existing in different policies 鈥� such as the renewable energy targets made in the Integrated Energy and Power Master Plan, which is being reviewed, and the Mujib Climate Prosperity Plan.
While the IEPMP undermines renewable energy potentials for decades to come, the MCPP plans to get 100 per cent renewable energy by 2050.
The policy also heavily relies on the Sustainable and Renewable Energy Development Authority, the institution poorly equipped with manpower of 56 staff.
Experts said that SREDA was in no position to carry out the task, particularly when renewable energy expansion involved coordination among many ministries.