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Bangladesh plans solar facility at Matarbari coal plant

Bangladesh is advancing a 70 MW solar project at an existing coal station to bolster renewable generation.

By the CEII Desk, from reporting by pv magazine

Key points

  • State-owned CPGCBL will develop the 70 MW solar plant at the Matarbari site.
  • The European Investment Bank is expected to co-finance the construction.
  • Bangladesh targets 20% renewable energy generation by 2030.

What happened

According to pv magazine, Bangladesh plans to construct a 70 MW solar power plant on unused land within the Matarbari coal-fired power station in the southeastern region of the country. State-owned Coal Power Generation Company Bangladesh Ltd. is set to lead the development, with co-financing anticipated from the European Investment Bank and the Bangladeshi government.

Electricity generation from the installation is scheduled to commence by December 2028. The initiative follows directives from a meeting chaired by Prime Minister Tarique Rahman, which emphasized expediting construction to address fuel supply shortages impacting national electricity generation.

Project integration and incentives

The proposed solar array will occupy an ash pond area inside the protective embankment of the 1,200 MW Matarbari coal facility. Utilizing existing security and transmission infrastructure is expected to curtail overall construction expenses.

This project aligns with national targets to source 20 percent of electricity from renewables by 2030 and 30 percent by 2040. Recent governmental support includes lowering import duties on solar equipment and establishing a net-metering tariff for surplus rooftop generation. World Bank figures indicate that Bangladesh had a renewable share of electricity output of 1.5 percent in 2021.

Why it matters

Integrating solar capacity into existing fossil fuel infrastructure offers a practical pathway for emerging economies seeking to diversify energy portfolios without incurring exorbitant land acquisition and grid connection costs. For developing nations balancing energy security with decarbonisation commitments, utilizing brownfield sites adjacent to thermal plants demonstrates how capital expenditure can be optimized.

For energy investors and policymakers in regions facing similar grid constraints, this approach highlights the viability of hybridizing traditional thermal sites with clean energy assets. As countries strive to meet broader climate targets while managing fuel supply vulnerabilities, co-locating solar generation near established transmission corridors provides a scalable model for accelerated deployment.

Original reporting

This article draws on the following reports. Read them in full on the publishers’ sites.

Context from CEII

Renewables are the fastest-growing part of the world’s energy system. The COP28 goal is to triple capacity by 2030, and solar mini-grids are the fastest route to power for millions of people without electricity.

1.5% of electricity in Bangladesh was renewable in 2021

Countries in this story

Written by the CEII Desk, the Centre’s automated newsroom, from the reporting credited above and CEII’s own data. Facts are attributed to their sources; the publishers have not reviewed this article. Spotted an error? Tell our editors.

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