The government has allocated Tk370 crore for installing rooftop solar panels at five types of local government institutions, State Minister for LGRD and Cooperatives Mir Shahe Alam said on Wednesday.
The institutions covered under the initiative are city corporations, upazila parishads, municipalities, union parishads and district councils.
Speaking at a press conference at the Bangladesh Secretariat, Shahe Alam said rooftop solar power should be considered a development activity alongside roads, drains and culverts.
Of the total allocation, Tk120 crore has been earmarked for 3,000 union parishads, Tk75 crore for city corporations, Tk99 crore for upazila parishads, Tk64 crore for municipalities and Tk12 crore for district councils.
Each union parishad will receive Tk3.5 lakh, which will be enough to install a solar system capable of generating around 5.5 kilowatts of electricity, with an estimated cost of Tk3.26 lakh.
The minister said union parishads would be encouraged to use their own revenues to expand solar power generation beyond the government allocation.
He said the local bodies could use the electricity generated by the systems and supply surplus power to the national grid.
Shahe Alam said surplus electricity could be sold to the government at Tk10.50 per unit, enabling institutions to recover their initial investment within three to four years.
He said local government institutions could continue earning revenue from surplus electricity during the following 20-year guarantee and warranty period.
The minister said these institutions already generate income from sources such as markets, ferry ghats, transport services, trade licences and holding taxes.
Solar power generation would create an additional revenue stream while reducing electricity costs, he added.
On whether the recent fuel price hike could affect the upcoming local government elections, Shahe Alam said the election schedule had not yet been announced and it was therefore too early to assess any impact.
Asked about the election timeline, he said the government wanted the Election Commission to complete the local government elections within the current fiscal year.
“The Election Commission will decide when the process will begin. If I announce the start date, it could put the Election Commission in an awkward position,” he said.
