In Bangladesh’s pursuit of a sustainable future, the Teesta Solar Power Plant stands as a symbol of renewable energy, energy crisis resolution, and environmental conservation.
Teesta Solar Limited, the country’s largest solar power plant, was unveiled yesterday by Prime Minister Sheikh Hasina in the grand rally of Rangpur Zila School. This 200-megawatt plant, constructed by Beximco Power Limited, represents a significant solution to the power crisis in the northern region.
Teesta Solar holds the key to a greener and more sustainable future for Bangladesh, given the country’s expanding reliance on imported primary fuels and the strain it places on its foreign exchange reserves.
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Since December 6 of last year, the Teesta Solar Plant has been generating power on a trial basis and supplying electricity to the national grid. It is the largest solar power plant in Bangladesh and also in Asia, spanning 700 acres of non-arable land in Sundarganj Upazila of Gaibandha district. The Teesta Solar Limited is a joint effort between Beximco Group and its subsidiary Beximco Power Limited.
A milestone in renewable energy
In 2017, construction on the massive facility containing approximately five million solar panels commenced. From Teesta Ghat in Sundarganj to Rangpur, a 132-kilovolt, 35-kilometer-long power transmission line was constructed to connect the generated electricity to the national grid. In addition to substations, the undertaking includes all necessary equipment and inverters.
The 200 MW plant, surpassing the 134.3 MW plant in Mongla owned by Energon Renewables Ltd, a subsidiary of the industrial conglomerate Orion Group. In contrast, the 3.28MW plant at Sarishabari in Jamalpur became operational in 2017 as the nation’s first grid-connected solar power facility. Bangladesh’s solar industry supplies over 230MW to the national grid every day, with seven additional small units operating in various regions of the country.
The Bangladesh Power Development Board (BPDB) and Teesta Solar Limited have signed a 20-year power purchase agreement (PPA) to purchase electricity from this plant. According to the power purchase agreement signed on October 26, 2017, the government will purchase electricity for twenty years at a cost of Tk13.9 per unit.
It has become a local tourist attraction due to its proximity to the Teesta River.
Teesta Solar Power Plant to address power crisis and environmental challenges
Prime Minister Sheikh Hasina emphasized during her visit to Rangpur that the inauguration of this power plant demonstrates her government’s commitment to sustainable development and environmental protection in regards to global warming. Salman F. Rahman, chairman of Beximco Power Limited, noted that this initiative marks the introduction of green bonds in Bangladesh, with an approximate $300 million investment.
“We think, the renewable energy sector will be very important for future energy. So, we have taken decision to invest here,” he added.
He described the project as a vital means of alleviating the power shortage in the north, which is a problem because of the strain it puts on the country’s forex reserves due to its reliance on primary fuels that must be imported.
Beximco raised approximately $400 million through green Sukuk bonds, sharia-compliant bonds, in order to construct the project on 700 acres of land in Khodda and Latshal in the Sundarganj upazila of the Gaibandha district. A portion of these funds also went toward the group’s 30-megawatt solar power plant in Panchagarh, a northern district.
Due to the Covid-19 pandemic and the global economic crisis caused by the Russia-Ukraine conflict, the Teesta Solar Limited project encountered delays. International shipments of construction materials and equipment were halted.
A consortium of Rays Power Infra and Zetwerk Manufacturing Businesses provided engineering, procurement, construction, commissioning, operation, and maintenance services for the plant. Longi Solar supplied the plant with HI-MO 5 series modules, an overall superior solar module in terms of durability attributes. A seven-kilometer-long road was constructed for the plant’s accessibility and protection against natural disasters such as floods and erosion, to the advantage of locals.
Bangladesh’s clean energy journey and ongoing projects: Paving the way for overall growth
Since 1996, Bangladesh has installed over six million Solar Home System (SHS) units, in addition to thousands of rooftop units, solar-powered street lighting and telecom BTS, and solar irrigation units. In addition, many private companies have installed small solar power plants that are not connected to the grid, contributing to the promotion of renewable energy.
The solar share is anticipated to increase rapidly over the next few years, thanks to the government’s prompt actions to transition to renewable energy in stages. This project is anticipated to facilitate regional economic development and reduce reliance on power imports as solar power production acquires strength in global environmental conservation. Its importance extends beyond the borders of North Bengal, sustaining regional commerce and employment.
To join China, India, and the UAE in the gigawatt club, Bangladesh is implementing and contemplating over a dozen massive solar power plants, including three with a capacity of 1,000MW each. One of the three is being constructed in Noakhali at Swarna Dwip (formerly Jahazzair Char). Pacific Energy Group, LLC (Pacific Energy) of the United States, through its Hong Kong subsidiary Eleris Energy Limited, signed a Joint Venture Agreement (JVA) with the Bangladesh Army Welfare Trust to construct the plant in February of last year.
Since 2013, the 33rd Infantry Division of the Bangladesh Army has been in charge of the 370-square-kilometer island, implementing various development initiatives and establishing an exercise base.
According to Energy Ministry sources, the government is presently reviewing or implementing major projects in Sreemangal, Moulvibazar (300MW), Mongla, Bagerhat, and Thakurgaon (both 200MW).
According to State Minister for Energy and Power Nasrul Hamid, Bangladesh generates 1,194 MW from renewable sources, but only 825.23 MW enters the national grid. Another 1,262MW of renewable energy power plants are being constructed through 30 projects, while 8,668MW of projects are in the planning stages.
NBR study reveals solar energy could save Bangladesh over $1 billion per year
A recent study by the U.S.-based National Bureau of Asian Research (NBR) demonstrates that solar power has the potential to save Bangladesh over $1 billion per year in LNG and diesel imports. By increasing solar power capacity to 2,000 MW and replacing diesel-powered irrigation systems with solar power, 5.58 million tons of CO2 could be avoided annually. The author of the study, Shafiqul Alam, views the current energy crisis as an opportunity to reduce reliance on expensive and volatile fossil fuels such as LNG.
Rooftop systems generate electricity at a cost of 5.25 taka per kilowatt-hour, allowing businesses to reduce daytime electricity costs by 40 percent compared to grid electricity. Utility-scale solar can generate electricity at a cost of Tk7.6/kWh, which is 14% less than BPDB’s average cost of electricity generation in FY2021-22.
The study recommends installing more than 12,000 MW of renewable energy capacity without compromising agricultural land. Bangladesh’s renewable energy potential could be unlocked by utilizing industrial rooftops, special economic zones, and replacing diesel-powered irrigation systems with solar-powered ones.
To conclude, the inauguration of Bangladesh’s largest solar power plant, Teesta Solar Limited, demonstrates a commitment to sustainable development and energy crisis resolution. With the consideration of numerous additional solar projects, the nation intends to become a global leader in renewable energy. Adopting clean energy not only ensures environmental sustainability, but also fuels Bangladesh’s future economic growth and prosperity.
