Bangladesh’s RE Shift Lags as Region Races Ahead

Bangladesh has significantly expanded its electricity generation capacity over the past decade, but its shift to renewable energy remains among the slowest in Asia. While countries across the region are rapidly replacing fossil fuels with cleaner sources, Bangladesh still generates less than 6% of its total power from renewables.

updated figures from the Sustainable and Renewable Energy Development Authority (SREDA) show the country’s installed generation capacity at 27,424 megawatts.

of this, only 1,687.07 MW, about 6%, comes from renewable sources. Solar provides the bulk at 1,393.98 MW from both on-grid and off-grid systems. Wind contributes 62 MW, hydropower 230 MW, and biogas and biomass barely 1 MW.

the regional contrast is striking. According to the International Renewable Energy Agency’s (IRENA) 2024 report, solar power now supplies 24% of electricity demand in India, 17.16% in Pakistan, and nearly 40% in Sri Lanka.

in Bangladesh, solar meets just 5.6% of national demand.

The Push To Unlock Carbon Credit Potential

At the COP30 in Belem, Brazil, the global conversation around climate finance is gaining renewed urgency. For Bangladesh, one of the most climate-vulnerable nations on Earth, the stakes could not be higher. Despite contributing less than 0.5% of global greenhouse gas emissions, Bangladesh finds itself on the frontlines of rising sea levels, intensifying cyclones, river erosion, and salinity intrusion.

the country is, in every sense, a victim of climate injustice – suffering disproportionately for a crisis it did not create.

the Financing Challenge To achieve its updated Nationally Determined Contributions (NDCs) and pursue a resilient, low-carbon development pathway, Bangladesh requires tens of billions of dollars over the next decade. Government resources alone cannot meet this scale of financing need. Public budgets are stretched across competing priorities, such as infrastructure, health, and social protection.

therefore, mobilizing private sector participation – both domestic and international – is not optional; it is indispensable. Leveraging Carbon Credit Opportunities One of the most promising avenues to attract climate finance lies in carbon markets.

the topic is getting a huge focus at COP30.

the ASEAN countries have formed a regional alliance for the development of a vibrant carbon market.

there were numerous discussions on how the countries with the largest Mangrove forests can take advantage of Blue Carbon.

there were also discussions on how nature could be captured as infrastructure and mobilize private financing without extraction. Bangladesh, with the largest mangrove forests and other natural assets, can position itself as a credible carbon credit hub.

the rapid growth of renewable energy, especially rooftop and utility-scale solar, offers measurable emission reductions. Similarly, the expansion of solar irrigation pumps, clean cooking initiatives, and biogas programs creates verifiable carbon savings. These sectors are not only advancing Bangladesh’s energy transition but also represent significant carbon credit potential under both the Voluntary Carbon Market (VCM) and the emerging regulated market under Article 6 of the Paris Agreement. Harnessing the Power of Article 6 Bangladesh is in the process of implementing its National Framework for Article 6, which governs international cooperation in carbon trading.

once operational, this framework will allow Bangladesh to generate, certify, and trade carbon credits in compliance with global standards. Such a move would attract foreign investment, enhance project bankability, and support national climate targets. Several pilot projects are already engaging with the VCM, signaling the market’s growing confidence in Bangladesh’s potential.

as global demand for high-quality credits rises, Bangladesh stands to gain – provided it strengthens transparency, governance, and monitoring systems. Debt-for-Nature Swaps and Blue Carbon Potential Beyond traditional carbon credits, innovative financing mechanisms such as debt-for-nature swaps can provide dual benefits – reducing sovereign debt while protecting ecosystems.

the Sundarbans, the world’s largest mangrove forest, presents a unique opportunity in this regard. Recognized for its immense carbon sequestration capacity and biodiversity value, the Sundarbans could anchor a blue carbon strategy for Bangladesh, integrating conservation with financial sustainability.

islamic Finance and Green Sukuk Bangladesh can also explore Sukuk structures – Islamic bonds – linked to carbon credit revenues or environmental outcomes. Such Green or Climate Sukuk instruments could mobilize Shariahcompliant capital from domestic and international investors, complementing conventional climate finance.

this approach aligns well with Bangladesh’s broader ambition to expand Islamic finance in the infrastructure and sustainable development sectors. Building a National Carbon Market Vision To realize this potential, Bangladesh must embed carbon credit development into its national climate strategy.

this means: ? Strengthening institutional capacity under the Ministry of Environment, Forest and Climate Change (MoEFCC) and relevant agencies. ? Creating clear regulatory guidelines and MRV (Measurement, Reporting, and Verification) systems. ? Engaging the private sector, development partners, and financial institutions through incentives and co-investment mechanisms. ? Aligning carbon market initiatives with NDC implementation to ensure coherence and credibility. Learning from Global Leaders Bangladesh can draw valuable lessons from countries such as Malaysia and Indonesia, which are progressively developing the carbon market, and China, which has successfully established one of the world’s largest national carbon markets. China’s experience shows that a phased approach – beginning with specific sectors and scaling gradually – can build investor confidence and ensure robust oversight. Bangladesh has the opportunity to redefine its role – not only as a vulnerable nation seeking support but as a forward-looking player in the global carbon economy. By integrating carbon markets, private finance, and innovation into its climate strategy, Bangladesh can attract the billions it needs to achieve its NDC targets while driving sustainable growth

Urban Green Space Continues to Decline Globally

Husqvarna Group recently presents the Urban Green Space Insights (HUGSI) Report 2025, which uses AI and satellite data to measure green spaces in cities worldwide. The report reveals that the 516 cities analyzed have lost green areas equivalent to nearly the size of Paris.

in contrast, the Nordic region stands out as a green hub, hosting some of the greenest cities globally. Since 2019, Husqvarna Group’s HUGSI has provided objective data on urban green space development. HUGSI’s tools are used in international research and serve as a foundation for city planning decisions.

this year, a total of 516 cities in 80 countries on six continents have been analyzed on each city’s greenest day of the year, offering valuable insights into how urban greenery has evolved over time.

the analyzed cities range from 5,000 inhabitants in Netherlands to mega cities like Chongqing in China with over 30 million inhabitants

EU, Germany and Bangladesh Launch Agrivoltaics Pilot to Accelerate Green Transition

Bangladesh has launched its first structured Agrivoltaics Pilot Project alongside the establishment of the National Working Group on Agrivoltaics and Floating Solar, marking an important step in promoting innovative renewable energy solutions that make efficient use of limited land resources.

the event, titled ‘Sun, Soil, and Sustainability: Kick-off of Agrivoltaics Pilot and National Working Group,’ was jointly organized by the Power Division, Ministry of Power, Energy and Mineral Resources, and the Green Energy Transition-Policy Advisory Partnership (GET-PAP) project, implemented by GIZ Bangladesh. GET-PAP is co-funded by the European Union and the German Federal Ministry for Economic Cooperation and Development (BMZ). ‘We are not just inaugurating a new facility, we are laying the foundation for future generations to thrive. By harnessing the sun not only to grow crops up but also to generate clean electricity, we are addressing two of he most pressing challenges of our time — food security for a growing population and accelerating the transition to renewable energy,’ said Mr. Nur Ahmed, Additional Secretary of the Power Division during his remarks as chief guest at the event held recently.

Adani Group Announces Strategic Entry into Battery Energy Storage Sector

Adani Group announces its foray into the Battery Energy Storage Systems (BESS) sector with a pioneering 1126 MW / 3530 MWh project. This means that BESS would be able to store 3530 MWh of energy – extending power capacity of 1126 MW by ~3 hrs). This project, entailing deployment of more than 700 BESS containers, will be the largest BESS installation in India and one of the world’s largest single-location BESS deployments.

this historic project will be commissioned by March 2026.

this strategic initiative is a major step toward enhancing India’s energy security, enabling round-the-clock clean electricity and supporting the country’s transition to a low-carbon future. The BESS will play a critical role in easing peak load pressures, reducing transmission congestion, and mitigating solar curtailment, thereby improving grid reliability and efficiency.

the project is in the advance stages of deployment at Khavda, the worlds’ largest renewable energy plant.

the project is being developed with cuttingedge lithium-ion battery technology and is being integrated with advanced energy management systems to ensure optimal performance and reliability.

Adani Group to Invest $7.17b in Power Projects in India’s Assam State

India’s Adani Group said on 14 November it will invest about 630 billion rupees ($7.17 billion) in two major energy projects in the north-eastern state of Assam, including what will be the region’s largest privately built coal-fired power plant.

adani Power (ADAN.NS) had emerged as the lowest bidder for a 3.2 gigawatt (GW) coal power supply tender floated by the state.

adani said that its coal power plant operating unit will spend about 480 billion rupees ($5.46 billion) to build the facility.

the plant is expected to start commissioning in phases from December 2030, the company said.

the investment marks the acceleration of private investment in India’s greenfield coal-based power projects after more than a decade of lull.

in August, Adani Power announced investments of about $5 billion in two coalpowered plants.

the company aims to expand capacity to 42 GW from 18 GW by fiscal 2032 at an investment of 2 trillion rupees.

Summit Power Sees Fall in Revenue, Rise in Net Pro?t in Q1

After suffering an 87.86% drop in annual profit in the 2024-25 fiscal year, Summit Power Limited, an independent power producer, has reported a 13.89% rise in net profit in the first quarter of the current fiscal year, despite a significant fall in revenue.

according to its interim condensed consolidated financial statement for the July-September period, Summit Power’s revenue declined 43.89% year-onyear to Tk945.30 crore, down from Tk1,684 crore in the same period of the previous fiscal year. Despite the revenue slump, the company’s net profit rose to Tk145.62 crore in Q1, compared to Tk127.85 crore a year earlier.

earnings per share (EPS) stood at Tk0.62, compared to Tk0.85 in the July- September quarter of FY25. Summit Power’s net finance costs decreased to Tk59.34 crore in Q1 of FY26, from Tk77 crore in the corresponding period of FY25.

its share of profit from equity investments increased to Tk26.82 crore, up from Tk18 crore, the report showed.

in a price-sensitive disclosure on 23 October, the company said that 7 of its 15 power plants had remained shut during FY25.

together, the 15 plants have a combined generation capacity of 930.55MW, of which the seven non-operational plants accounted for 234MW

Belém’s Hard Lesson

COP30 in Belem delivered mixed outcomes amid rising geopolitical tensions and record climate impacts. While countries agreed to triple adaptation finance by 2035, adopt 59 GGA indicators, mobilize USD 300 billion annually, and launch a Just Transition Mechanism, the summit failed to produce a fossil fuel phase-out roadmap-the most critical missing piece. Finance pledges for forests, health, and loss and damage exceeded expectations, but consensus politics limited ambition. Belem exposed widening gaps between scientific urgency and political will as the world heads toward COP31.COP30 unfolded in Belem at a moment when the world felt unusually fragile. Delegates arrived in the Amazon carrying the weight of record-breaking heat, devastating climate disasters, and a global political climate that seemed to shift by the week. Expectations were modest from the start. With the United States once again withdrawing from the Paris Agreement and geopolitical tensions rising, many feared the summit might deliver even less than usual. Yet, despite its limitations, Belém sparked a debate that is still ongoing: Was this COP a step forward, or simply another reminder of how difficult global climate action has become? Those debates began almost as soon as the gavel fell.

one seasoned negotiator, hardened by years inside the UN process, noted that-with a few exceptions-no previous COP has delivered significantly more than Belém. ‘Has any COP done better?’ he asked rhetorically, before answering himself: ‘No.’ Others saw a different picture. Negotiators with decades of experience argued that the quality of discussions in Belém fell short of earlier summits, reflecting the fractures of an increasingly polarized world.

even so, Belém was not without progress. Countries adopted the Global Goal on Adaptation with 59 indicators and agreed-at least politically-to triple grantbased public adaptation finance by 2035. The climate finance agenda advanced as developed countries committed to providing USD 300 billion annually starting next year, supported by a roadmap to scale combined public and private finance to USD 1.3 trillion by 2035. Meanwhile, the launch of the Just Transition Mechanism, pushed strongly by Brazil, stood out as one of the summit’s most meaningful structural achievements. Beyond the formal negotiating rooms, Belém carried a sense of civic energy that many felt the official talks lacked. The People’s Summit, vibrant and vocal, adopted its own positions on issues that governments failed to agree on, adding pressure that is expected to shape future COPs.

at the same time, key areas such as forest protection, health, and loss and damage attracted more new funding than many had expected.

these gains do not erase the frustrations or widen the narrow window for climate action, but they show that even in an unsettled world, pockets of ambition remain alive. Dr. Mizan R. Khan, Technical Lead at LUCCC, described COP30 as ‘lowgrade’ in terms of negotiations. While Brazil has long been visible in climate diplomacy, it took softer positions in Belém on critical issues such as fossil fuel phase-out and climate finance. He noted that no new pledges were made for climate finance, Loss and Damage, or adaptation, and expressed doubt that meaningful progress would be achieved in the next two years toward finalizing thenew NCQG roadmap. ‘The Presidency did its homework well, but the outcome is disappointing,’ he said.

as anticipated, the Global Goal on Adaptation (GGA) was adopted with 59 indicators. While developing and climate-vulnerable countries had sought a commitment to triple adaptation finance by 2030, negotiators settled on tripling grant-based public adaptation finance by 2035.

on climate finance, COP30 delivered several outcomes. Developed countries are committed to providing USD 300 billion annually starting next year through 2035. Parties also agreed to develop an inclusive roadmap to scale total climate finance-public and private-to USD 1.3 trillion annually by 2035.

another significant outcome was the global agreement to launch the Just Transition Mechanism, even before the Just Transition Work Program formally concludes. Brazil’s leadership on this issue garnered strong international support.

a standout feature in Belem was the People’s Summit. While formal negotiations failed to reach decisions on several critical issues, the Summit adopted its own positions.

although not legally binding, these outcomes are expected to exert pressure on negotiators in future COPs. COP30 also adopted the decisions of the Loss and Damage Fund board, including its financing arrangements and modalities for operations. Despite low expectations for new financial commitments amid shifting global dynamics, Belém delivered more than anticipated. Brazil’s proposed Tropical Forests Forever Fund secured USD 9 billion in pledges.

the Loss and Damage Fund, which had previously accumulated only USD 779 million since Dubai, received an additional USD 817 million from six countries. COP30 also adopted a Global Health Action Plan accompanied by USD 100 million in pledged support. These developments suggest that even in a turbulent geopolitical moment, targeted climate priorities continue to draw interest. Nearly 60,000 delegates traveled to the heart of the Amazon for what was described as the ‘COP of Truth.’ COP30 took place during a year marked by record global temperatures, widespread climate disasters, and rising geopolitical tensions.

expectations for breakthroughs were tempered by uncertainty. Belém delivered progress in climate finance, adaptation, and just transition. But it also underscored the widening gap between what climate science demands and what governments are willing to commit. Most critically, the conference failed once again to reach an agreement on phasing out fossil fuels-the central driver of the climate crisis.

engr. Shah Adnan Mahmood, Climate and Renewable Energy Financing-Certified Expert and Co-Founder of Klifin, noted that while the Just Transition Mechanism is a major achievement, the absence of concrete climate finance commitments and the omission of fossil fuel phase-out language from the final text is deeply disappointing for vulnerable countries.

the Fossil Fuel Roadmap that Never Materialized For many, COP30 was expected to deliver a clear roadmap for phasing out fossil fuels. More than 80 countries expressed early support, including Latin American nations, European states, and many vulnerable countries.

even Norway signaled openness. But political reality quickly overtook early momentum. Major oil producers and several emerging economies rejected any text referencing fossil fuel transitions.

afterlong nights of negotiations, all language hinting at a structured fossil fuel phaseout was removed.

the final text contained no reference to fossil fuels-an omission compared by observers to holding decades of anti-smoking conventions without mentioning cigarettes.

to prevent a collapse of the talks, Brazil proposed an alternative: two voluntary roadmaps, one on fossil fuel transition and one on ending deforestation, to be developed outside the UNFCCC. While useful, these roadmaps lack formal authority and cannot substitute for negotiated commitments.

the failure to secure a fossil fuel roadmap stands as one of COP30’s defining outcomes. Climate Finance: Advances, Commitments, and Persistent Gaps Countries reaffirmed the COP29 commitment to mobilize USD 300 billion annually by 2035 and recommitted to the broader goal of USD 1.3 trillion annually from mixed sources.

these commitments signal progress but also highlight the fragility of the global climate finance system. Forest finance received a boost, with Brazil’s Tropical Forests Facility securing over USD 9 billion. However, this remains far short of what rainforest nations require. Dr. M. Masrur Reaz, Chair of Policy Exchange Bangladesh, warned that global financial flows may shrink further amid instability. Bangladesh requires USD 116 billion to implement its NDC 3.0-USD 26 billion of which must come from domestic sources, an enormous challenge. He emphasized that Bangladesh must improve project preparation to secure grants and concessional loans and added that achieving 100 percent renewables by 2050 is unrealistic.

adaptation: Progress, But Not Enough COP30 produced an agreement to triple adaptation finance by 2035-an improvement, though far from what vulnerable nations demanded. Work on the Global Goal on Adaptation advanced, but many felt that the final indicators were diluted.

ahsanul Wahid, Manager (Climate Change) at Manusher Jonno Foundation, argued that while the political signal is important, global adaptation needs of USD 310-365 billion annually far outstrip current promises. LDCs’ expectation of USD 220 billion by 2035 appears unrealistic. Just Transition: A Key Structural Advancement One of COP30’s most meaningful outcomes was the establishment of the Belém Action Mechanism (BAM) for just transition.

the mechanism is designed to support workers and communities in fossil fuel-dependent sectors and guide countries in developing fair, inclusive transition strategies.

trade, Cooperation, and a Shifting Geopolitical Landscape Trade issues took center stage in Belém, particularly concerns over carbon border measures such as the EU’s import levy.

as a result, countries agreed to initiate dialogues on trade and climate cooperation.

the absence of the United States made geopolitical shifts starkly visible, with China, India, Russia, and Saudi Arabia asserting strong positions. Forests and Nature: Momentum without Structure Brazil spotlighted forests throughout COP30. More than 90 countries supported ending deforestation, and finance pledges increased. But because no formal roadmap was negotiated, the process was moved outside the UNFCCC. Consensus Politics and Brazil’s Ambitions President Lula’s proposals to phase out fossil fuels and end deforestation received wide support but could not overcome the constraints of consensus-based negotiations. While Brazil prevented collapse, the final text fell short of the presidency’s ambitions.

is the COP Process Still Fit for Purpose? Belém reignited debate over the future of the COP system. Some countries arguedthat unanimous decision-making is no longer adequate for the climate crisis. While discussions on reform began, no concrete steps were taken. Climate and energy expert Dr. Mushfiqur Rahman stressed that keeping 1.5°C within reach requires major investments- investments the global system is not prepared to make. COP30 made this reality more visible. Looking Ahead to COP31 COP31 will be hosted by Trkiye, with Australia playing an unusual role in the presidency.

the year ahead will revolve around strengthened NDC submissions, Brazil-led voluntary roadmaps, and continued negotiations on finance, adaptation, and trade.

the stakes for 2026 could not be higher. Decisions taken before COP31 will shape the credibility of the COP system and the future of the Paris Agreement. Five Outcomes from COP30 1.

a Political Signal to Triple Adaptation Finance by 2035 Countries signalled that adaptation finance should triple by 2035-a major political message, though not binding. 2. New Initiatives to Raise Ambition The ‘Belem Mission to 1.5’ and ‘Global Implementation Accelerator’ aim to strengthen ambition and implementation of NDCs. 3.

a New UNFCCC Just Transition Mechanism The Belém Action Mechanism (BAM) will coordinate global support for fair and inclusive transitions. 4.

agreed Indicators for the Global Goal on Adaptation COP30 delivered the first agreed set of GGA indicators-imperfect but foundational. 5. Fossil Fuel Phase-Out Language Blocked, but Momentum Persists Despite opposition from major producers, Brazil launched voluntary roadmaps to keep fossil transition discussions alive. Conclusion Understanding what the world-especially climate-vulnerable nations-gained from Belém is not straightforward. Some precedents were broken, including the African Group’s call to review the 1.5°C target. Fossil-fuel-rich countries argued that the world has already surpassed 1.5°C and pushed for a new global temperature threshold, but this did not enter the final text.

experts emphasize that the People’s Summit’s parallel decision-making process should be strengthened in future COPs to increase pressure on negotiators. They also stress that countries must determine sources of climate finance before COP32, ensuring that major polluters contribute adequately and that Article 9 of the Paris Agreement is fully operationalized. Securing climate finance is becoming more difficult in today’s shifting global landscape.

implementing the Work Program needed to reduce carbon pollution has never been more urgent. Achieving net-zero emissions by 2050 requires transformational investment- yet the global system remains unprepared to deliver it. Despite strong efforts from the Global South, breakthroughs in the next two years seem unlikely. Brazil’s diplomacy was active and determined, but Belém’s limited outcomes highlight the immense challenges ahead

Editorial

COP30 in Belem was never expected to save the world, but many hoped it might at least change its direction.

instead, the summit offered something far more sobering: a clear, human reminder of how difficult it has become to move nearly 200 countries toward meaningful climate action, even as the crisis grows more urgent by the day. Delegates arrived in the Amazon during a year of record heat and devastating climate disasters. Against that backdrop, Belem did deliver progress. Countries signalled that adaptation finance should triple by 2035. For the first time, they agreed on indicators to measure global resilience efforts. Developed nations recommitted to mobilizing USD 300 billion annually for climate finance, and the long-awaited Just Transition Mechanism finally took shape. Pledges for forests and loss and damage exceeded expectations, reflecting a genuine, if fragile, willingness to help vulnerable communities. But the heart of the story lies in what didn’t happen.

the world still could not agree to reference, let alone phase out, fossil fuels. Political pressure from major producers erased every mention of transition from the final text. Brazil tried to keep hope alive with voluntary road maps, but without formal backing, they remain only that: hope. Belem revealed the limits of a system built on consensus in an increasingly divided world. As nations turn toward COP31, one message rings painfully clear: small steps are no longer enough.

the world doesn’t just need promises-it needs courage, and the will to act before the window finally closes.

Bangladesh to be 2nd-Largest LNG Importer in South Asia by 2035: IEA

B a n g l a d e s h ‘ s liquefied natural gas (LNG) imports are likely to outpace Pakistan’s by 2035, making it the secondlargest importer in South Asia after India, according to a projection by the International Energy Agency (IEA). Pakistan and Bangladesh together would import around 75 billion cubic meters (bcm) of LNG in 2035, up roughly 60 percent from 2024 levels, projected the intergovernmental organization, which provides policy recommendations, analysis, and data.

the Stated Policies Scenario reflects reading of country specific energy, climate and related industrial policies that have been adopted or put forward, even if not yet codified in law.

though the report did not specifically state the share of each country, the outlook data and infrastructural trends showed that Bangladesh would import around 42-44 bcm of LNG in 2035, while Pakistan would import around 33-36 bcm.