The world is now more aware of the pressing need to promote alternate energy sources. The world energy crisis is severely impacting certain key countries in the western half of the world. Not an exception is Bangladesh.
Energy-related resilience in the nation is very strong. But the issue in Bangladesh has also been worsened by the current global uncertainty in the energy market.
Nepal can be a practical choice, and Bangladesh is looking for newer prospects. The newly named Nepalese minister to Dhaka urged Bangladesh to cooperate with Nepal in the energy industry.
He discussed his ideas with Bangladesh’s prime minister. Over the past few years, the relationship between the two governments regarding energy cooperation has become more structured.
The bilateral ties between Bangladesh and Nepal regained impetus with the approval of an energy partnership deal in August 2018 that governs hydroelectricity trade, development, and investment between the two countries. According to this deal, Bangladesh will purchase up to 9,000 MW of hydroelectric from Nepal by 2040.
The agreement also established a Joint Taskforce (JWG) to improve coordination and a Joint Advisory Board (JSC) to evaluate the JWG’s progress. Meeting frequently and speeding up the agreement’s implementation is among the duties assigned to the two committees.
While the JSC has held only two meetings, the JWG has engaged in multiple rounds of discussion. To boost the partnership, there was even a discussion of a tripartite pact that included India.
However, Bangladesh has positioned itself as one of the fastest-growing economies in the world, with an average GDP growth rate of 7.5% during the past ten years. To fulfill the increased demand from the industrial and infrastructure sectors, the target of transforming into a high-income country by 2041 should be combined with continued energy production.
To slow the depletion of its natural gas reserves, Bangladesh is scrambling to acquire energy from other countries to replace the situation where non-renewable natural gas makes up 75% of its total fuel use.
There are many possibilities, but given their historical ties, proximity, and viability, Bangladesh-Nepal energy cooperation may be useful for Bangladesh shortly as it tries to meet the rising need for energy.
The article will throw light on the potential of shared energy sectors. These collaborative efforts will benefit Bangladesh in some ways. Bangladesh is prepared to buy 500 MW of the 900 MW electricity produced by the Upper Karnali hydropower project.
Bhandari added that his country is interested in using Banglabandha Land Port for trade because it is nearer to Burimari Port. As a first step in strengthening energy cooperation, a contract between Bangladesh and Nepal should be inked straight away.
It is necessary to create a more comprehensive framework that considers both public and private sector involvement, the construction of international power lines, research and development, and technology transfer, especially in the field of renewable energy, as well as industry training and development initiatives.
These will enable long-term energy cooperation between Bangladesh and Nepal, giving the two countries stable economies and energy supplies.
