The government is set to formulate an investment-friendly policy by June 2026 to attract investment in the country’s renewable energy sector, Power, Energy and Mineral Resources Minister Iqbal Hassan Mahmood said on Thursday.
Speaking as chief guest at a market sounding workshop on the Sonagazi 130 MW Solar PV with BESS PPP Project organised by BEZA, the minister said a committee has already been formed to determine what the government can offer to help investors in this sector.
“Investment must come first before revenue. After five years, the government will naturally receive taxes,” he said, adding that the matter will be proposed for discussion among policymakers.
The minister recalled how a favourable policy adopted by former president Ziaur Rahman helped boost the garment sector. He expressed interest in introducing a similar policy in the solar sector to attract investors and accelerate growth.
Citing Pakistan as a success story, the minister noted that the country imported solar equipment and offered it to investors with incentives, yielding positive results. Bangladesh could adopt a similar approach by either directly importing solar equipment or permitting private-sector imports at zero duty.
The minister suggested that entrepreneurs would be encouraged if the government imposed minimal duties and taxes on imports and offered a five-year tax holiday.
Emphasising the vast solar energy potential in the capital, the minister said leasing rooftops in Dhanmondi, Mohammadpur and other residential areas to private investors under a net metering system could generate up to 1,000 MW of electricity from Dhaka alone.
The initiative would reduce pressure on the national power grid and allow conserved electricity to be supplied to industries, he added.
The minister also said the government may revoke taxes on frames, photocells, batteries and other components to reduce business costs, enhance storage capacity and facilitate the solar energy business.
State Minister Aninda Islam Amit, speaking as a special guest, said the private sector has a very important role to play in Bangladesh’s renewable energy journey.
He noted that Bangladesh must now move toward a more balanced power generation mix, as excessive dependence on imported energy exposes the country to international price shocks, foreign exchange pressure and fiscal burden.
The Sonagazi project, located at the National Special Economic Zone, brings together key institutions including BEZA, BPDB, PGCB, SREDA and PPPA, he said, calling it an important “test case” for future projects.
The event was chaired by BEZA Executive Chairman Chowdhury Ashik Mahmud Bin Harun.
