Bangladesh can boost its solar market by leveraging European technical and market know-how, says a new EU-backed report
Closer cooperation between European firms and Bangladeshi companies can speed up technology transfer
The report recommends the country to focus on strong quality, performance, cybersecurity, and recycling requirements in its procurement guidelines to support a sustainable, long-term market
A nascent market in the global solar industry, Bangladesh can leverage European technologies and competitive advantages to scale its on-grid utility scale solar market in a sustainable fashion, says a new report by the European Union (EU).
Taking stock of the current trends and requirements of this market, the report writers recommend the country to prioritize procurement of advanced n-type modules such as TOPCon for higher energy yield, pairing these with advanced inverters with grid-forming capability. Integrating battery energy storage systems (BESS) where feasible will also support grid integration and ancillary services.
Currently Bangladesh has a Merchant Power Plant Policy 2025 in place that opens the market to direct private-to-private electricity sales. The report writers recommend the government should issue clear guidelines and standardized contracts for merchant and corporate PPA projects, while also calling for bringing in transparency in PPA templates.
The report with contribution from SolarPower Europe also stresses on the country to establish extended producer responsibility (EPR) schemes and advanced recycling processes for PV modules and batteries to align with the future market needs. Cybersecurity being one of them.
Mandating quality and resilience in procurement will discourage under-priced bids while bringing in quality. All utility-scale solar EPC contracts should include minimum performance guarantees and measures that hold them accountable for delivering high-quality, sustainable projects, recommend the writers.
The EU report recommends strengthening partnerships between European firms and Bangladeshi companies to combine international expertise with local know-how and speed up technology transfer. It also calls for incentives for EU-Bangladesh joint ventures in solar tenders and targeted capacity-building for public institutions.
“This will speed up technology transfer – allowing Bangladeshi engineers to learn cutting-edge practices and European firms to navigate local procedures more easily,” stress the writers.
The country can also address land scarcity by encouraging the deployment of innovative applications such as agrivoltaics and floating solar beyond the pilot stage. Guidelines and technical standards will be required in this direction that can be incorporated into national renewable energy plans of Bangladesh.
These are among the measures the report writers recommend while highlighting the role European companies can play in the scheme of things. “A key insight is that improving the enabling environment will attract more world-class developers (including European firms), bringing in capital and expertise that elevate quality,” reads the report.
Commissioned by the EU Delegation to Bangladesh, the report provides a comprehensive understanding of the on-grid utility-scale solar market in the country which will help the European Investment Bank (EIB), the EU Delegation, and other stakeholders feed the information in the design of subsequent programs targeting the country.
Titled Boosting Solar in Bangladesh: Stocktaking of Global Solar Solutions and Complementarity of Bangladeshi and European Solar Industries, the report is available for free download on the commission’s website.
