Power overcapacity worsening in Bangladesh: Switch in focus from coal and LNG to renewables and grid can address the problem

Bangladesh’s overall power system utilisation has fallen again in FY2019-20 to just 40%, down from 43% in the prior year. Instead of replacing the coal power projects with LNG, the Bangladesh government should consider using the land set aside for these projects for renewable energy installations. Another key part of a successful response to Bangladesh’s overcapacity problem would be investment in the transmission and distribution system.

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