The Bangladesh Sustainable and Renewable Energy Association (BSREA) has urged the government to extend customs duty concessions on solar equipment and extend project implementation deadlines, warning that short-term incentives and policy uncertainty could hamper investment in the renewable energy sector.
The association made the call at a press conference at Dhaka Reporters Unity in Segunbagicha today (27 October), marking the conclusion of a four-day visit by an Australian clean energy delegation to Bangladesh from 24 to 27 October.
BSREA President Mostafa Al Mahmud said the existing six-month validity of the 1% customs duty concession on solar equipment imports was inadequate, given the time required to arrange financing, obtain approvals, procure equipment and complete installation.
He urged the government to extend the concession for a realistic period and establish a predictable, long-term tax and duty framework to give investors greater certainty.
The association also sought extensions, where necessary, for solar power projects offered a purchase price of Tk10.50 per unit, saying developers needed sufficient time to assess financial viability, arrange financing and complete contractual formalities.
The demands come as Australian clean energy companies explore investment opportunities, technology transfer and joint ventures in Bangladesh's renewable energy sector.
The delegation's visit was organised with support from the Renewable Energy Council Asia-Pacific, the Smart Energy Council and the Australian Trade and Investment Commission, with BSREA serving as the local coordinator.
BSREA seeks unified renewable energy law
The association also called for the government to replace the Special Solar Power Ordinance with a comprehensive Renewable Energy Enhancement Act covering all major renewable energy technologies.
Mostafa Al Mahmud said the existing ordinance's focus on rooftop solar should be expanded to cover ground-mounted solar, solar-powered irrigation, floating solar, wind power, waste-to-energy and battery energy storage.
The proposed legislation should establish clear provisions for project approvals, investment protection, incentives and implementation, helping domestic and foreign investors make long-term investment decisions, he said.
BSREA believes a unified legal framework would provide greater policy consistency and help unlock investment across a wider range of renewable energy technologies.
Australian delegation explores investment opportunities
The four-day visit focused on potential partnerships between Australian and Bangladeshi companies, particularly in renewable energy investment, technology transfer and joint ventures.
BSREA identified rooftop solar, battery storage and decentralised power generation as promising areas for cooperation. Local manufacturing of solar panels, inverters and batteries could also create opportunities for industrial development alongside the expansion of clean energy.
The association said recent policy support, growing awareness of renewable energy and engagement between public- and private-sector stakeholders had created a positive environment for the sector.
However, it stressed that investment interest needed to be supported by predictable incentives, adequate project timelines and a comprehensive legal framework to translate opportunities into projects.