(Part III)
Challenges or barriers to Just Energy Transition :
1. Raising Energy Tariffs: The government has enhanced electricity tariffs several times during 2023-24. There is also a discussion on the probability of significantly increasing gas tariffs for operational industries (for consumption beyond the sanctioned loads) and new industries.
Stakeholders have registered concerns (Just Energy Transition in Bangladesh’s Apparel Sector: Opportunity and Challenges by Shafiqul Alam, Lead Energy Analyst, IEEFA, Presented on a Civil Dialogue on ‘JET in RMG Sector of Bangladesh’ by Safety and Rights Society and Oxfam in Bangladesh on March 25th of 2025 ).
2. Pressure for De-carbonization and Sustainability: a) The BGMEA has signed the UNFCCC Fashion Charter to reduce 30% of the sector’s GHG emissions by 2030, b) Besides the global buyers, along with the rapidly escalating energy sector, challenges amid the hefty subsidy burden, the government also expects enhanced energy efficiency and the adoption of renewable energy in the sector. (Just Energy Transition in Bangladesh’s Apparel Sector: Opportunity and Challenges, Ibid).
3. Scarcity of land: However, scaling up solar energy through the installation of grid-connected solar plants faces several challenges, particularly the scarcity of land. Agricultural land is prioritized for food production, and strict regulations prohibit its use for solar projects, complicating the identification of suitable sites due to fragmentation and competing land needs ( Toward A Just Energy Transition: Embracing RE For A Sustainable Future, Ibid).
4. Bureaucratic and Financial Hurdles: Even when viable locations are found, land acquisition can be delayed by disputes and bureaucratic hurdles. Furthermore, establishing solar power plants requires navigating a complex regulatory environment, involving up to 38 different licenses and certificates. This cumbersome process can discourage investors which involves slow project implementation. ( Toward A Just Energy Transition: Embracing RE For A Sustainable Future, Ibid) .
5. Massive job cut or growing unemployment of the RMG workers: Use of new technologies in the transition process and moving away from fossil fuel sector (as the coal and gas industries offer a number of jobs) may make a good number of workers initially jobless.
6. Financial Constraints: Lack of planned or targeted financial solutions and incentives hinders the development of the renewable energy sector and curtails the achievement of the country’s energy goals.
7. Infrastructure Development: Bangladesh’s energy infrastructure, particularly in rural areas, is still not too developed. Investing in grid infrastructure, storage, and energy distribution is crucial for extending renewable energy systems to off-grid communities.
8. Social Resistance to Change: Social resistance to energy transitions often stems from fears of economic disruption, job losses, and changes to familiar lifestyles. (Achieving a Just Energy Transition in Bangladesh: Balancing Sustainability, Social Equity, and Climate Resilience - The Green Page).
9. International Collaboration and Global Market Integration: Bangladesh requires international assistance in technology, funding, and expertise to meet global climate goals and enhance market integration. Challenges in international markets, like energy trade and complex climate financing, can hinder progress (The Green Page, Ibid).
10. Other difficulties: Integrating solar energy into the existing grid poses additional difficulties. The national power grid struggles with frequent outages and voltage fluctuations, which complicates the incorporation of intermittent solar power ( Toward A Just Energy Transition: Embracing RE For A Sustainable Future, Ibid).
Opportunities for Energy Transition- Energy Efficiency Improvement
Bangladesh’s shift from a largely domestic, fossil fuel-driven energy framework to a diversified mix that includes renewables like solar and wind is an opportunity to strengthen energy security and economic independence.
Today, solar power leads Bangladesh's renewable energy transition, with an installed capacity of 1,084.552 MWp, making it the country's most promising renewable energy source ( Toward A Just Energy Transition: Embracing RE For A Sustainable Future, Ibid).
To summarize, Bangladesh possesses the following ‘opportunities’ too for JET:
1. Potential of Solar Power: Bangladesh has immense potential for solar energy, thanks to its abundant sunlight. With an average of 200–250 watts per square meter, solar power can help meet our energy needs sustainably.
By expanding solar power, Bangladesh can build a more sustainable and affordable energy future (Achieving a Just Energy Transition in Bangladesh: Balancing Sustainability, Social Equity, and Climate Resilience - The Green Page).
2. Foreign Funding: A key enabler for Bangladesh’s renewables transition is the support from global organisations. Since the country’s independence, the World Bank has provided over $30 billion in grants and interest-free credits.
Another success story is the partnership between the World Future Council, the local Coastal Development Partnership organization, and the German development organization, Bread for the World. In 2018, it kicked off the “100% Renewable Energy for Bangladesh – Access to renewable energy for all within one generation” project.
There are also long-lasting and ongoing initiatives with partnering Organizations like REEP (Viktor Tachev, Renewable Energy in Bangladesh - Trends and Future Opportunities).
3. Technical Opportunities:
a. Boiler Efficiency- Proper combustion control and periodic maintenance can save 5-6% energy. An economiser can save around 20% of energy.
b. Steam Use Efficiency- Insulation, condensate recovery, and leakage management can save 5% to 10% energy.
c. Compressed Air Leakage- Periodic check and maintenance can save around 5%.
d. Energy Efficiency in Captive Power Generation- By using waste heat released by generators and jacket cooling water, industries can save significant gas consumption.
e. Energy Efficiency Improvement- On a conservative estimate, by utilizing waste heat released by captive generators and jacket cooling water in productive applications, the Apparel sector can roughly save 24 Bcf of gas per annum (roughly 16.5% of the sector’s gas consumption).
f. Rooftop Solar- This can reduce grid power consumption and save money. The LCOE is less than Tk 5/kWh now. Yet, the adoption rate is low. Rooftop solar capacity of several thousand MW can be installed in the industry sector.
g. Lighting- While switching to LED lights offers up to 50% energy savings, most industries are already using these efficient lights.
h. Efficient motor and Variable Frequency Drives- These can save electrical energy of around 10%. (Just Energy Transition in Bangladesh’s Apparel Sector: Opportunity and Challenges, Ibid).
‘Actually, Rooftop Solar is the lowest hanging fruit that we do have to use it at an optimum level for ensuring renewable energy in the RMG sector of our country,’ mentioned Dr. Shafiqul Alam, Lead Energy Analyst of IEEFA, mentioned to this columnist over the phone.
‘Dhaka city produces thousands of tons of waste each day, which can be used as renewable energy. We, in addition, need to introduce and exercise some ethical practices like not to wear heavy coats or suits as prevails in western countries of cold in huge summer like in Japan so that extra use of fans or air conditioner gets reduced,’ explained Mr. Rajekuzzaman Ratan, one leading face of various social movements and initiatives in Bangladesh in the ‘Citizen’s Dialogue on JET in the RMG Sector,’ organized by S& R and Oxfam in Bangladesh on March 25.
How much will the ‘Just Energy Transition’ affect the workers?
Mr. Abul Kalam Azad, Joint General Secretary of Bangladesh Trade Union Center, while asked about the probable job cut effects on the workers during JET, told to this columnist over the phone: ‘We have been hearing about JET for a long period.
Now you see how many a number of workers have been jobless since the introduction of automation in the RMG. The same will happen during the full implementation of JET. But how these jobless workers can be skilled in new technologies and how ‘green jobs’ can be created for them, should be the major areas of concern for the government and the policy planners.’
Syed Sultan Uddin Ahmed, Chairperson of the Labor Reform Commission and the Executive Director of Bangladesh Institute of Labor Studies, opined: ‘In any transition, a lack of coordination results in one group being disproportionately affected. We must consider how to ensure their compensation.’
Rubaiya Nasrin Sejuti, Program Officer at Oxfam in Bangladesh, stressed, "A just energy transition is not just a technological shift; it is also a social and economic issue. The voices of workers must be included in this transition so that they can adapt and benefit from the changes."
Sekender Ali Mina, Executive Director of Safety and Rights Society (SRS), specified, "The transition to renewable energy in the garment industry is not just about combating climate change—it is also about securing workers' futures."
Conclusion: ‘And miles to go before we sleep!’
To attain a ‘Just Energy Transition (JET)’ at the optimum level, Bangladesh needs to undertake the salient measures noted below:
1. Upgrading Renewable Energy Projects: Ensuring expansion of solar, wind, and other renewable energy capacities to guarantee a more balanced energy mix.
2. Grid Modernization: Upscaling infrastructure to accommodate the enhanced integration of decentralized and renewable energy sources.
3. Gender Inclusion: Raising women's participation in the energy workforce and leadership positions via goal-oriented training, financing, and policy support.
4. Policy Alignment and Financing: Using the available funds and creating new fiscal mechanisms to assist small and medium-sized renewable energy projects, particularly for female entrepreneurs.
6. Green Work Opportunities and Stakeholders’ Involvement: Financing in renewable energy generates facilities for opportunities for quality jobs in the green energy sector. By involving local communities in energy initiatives, Bangladesh can guarantee that the transition to renewable energy along with job creation.
7. Environmental Sustainability: Protecting ecological sustainability at the core of energy projects will lessen emissions, minimize environmental impact, and adhere to the global climate pledges.
Author: Audity Falguni is an author and a freelance journalist- right now she is working in the ‘Media Fellowship Programme’ on ‘Just Energy Transition in the RMG Sector of Bangladesh’ with Safety & Rights, supported by Oxfam of Bangladesh. She can be reached at [email protected]. Views expressed in this article are the author's own.
