18/08/2026
Considering Bangladesh’s ecological vulnerability, biodiversity, public health, dependence on imported energy, and long-term economic risks, adopting a time-bound and just transition plan to phase out coal-fired power as quickly as realistically possible should now be treated as a national priority. However, this should not mean abruptly shutting down all coal plants and creating a new electricity supply crisis.
Each coal-fired power plant should be assessed in terms of its debt obligations, remaining economic life, grid dependence, employment implications, and available alternative generation capacity. Based on this assessment, Bangladesh should prepare a Phased Retirement and Repurposing Roadmap. The International Energy Agency (IEA) has also stressed that rapidly reducing coal dependence requires simultaneous expansion of renewable energy capacity, grid flexibility, and energy storage.
In particular, Bangladesh should immediately examine the feasibility of transforming Rampal, Payra, and Matarbari into future Renewable Energy and Storage Hubs. These locations already have power-generation facilities, grid connections, transmission infrastructure, and industrial support systems, parts of which could be repurposed after coal phase-out. This could accelerate the clean-energy transition while reducing the risk of stranded assets.
In the case of Rampal, this idea is no longer entirely theoretical. In 2026, BPDB planned a 442 MW solar project near the Rampal coal-fired power plant, although the project is still at the planning stage. At Matarbari, projects of 50 MW solar and 100 MW wind have also been listed under CPGCBL. These should not yet be considered full conversions of the existing coal plants, but they demonstrate the potential direction of transition.
In my view, the planning framework should be:
Coal Plant → Planned Retirement → Renewable Generation + Battery Storage + Grid Services + Just Transition.
In other words, creating new coal-related liabilities would be economically and environmentally self-defeating. Bangladesh should instead progressively reduce coal dependence at existing plants, avoid new coal investments, and rapidly build an integrated system of nature-compatible renewable energy, solar power, battery energy storage systems, and the grid flexibility required to support them.
Most importantly, new renewable-energy infrastructure in environmentally sensitive coastal areas such as Rampal, Payra, and Matarbari must not create additional pressure on land, wetlands, biodiversity, water systems, or the livelihoods of local communities. The transition from coal to renewable energy will be genuine only if it does not replace one form of ecological degradation with another form of damage to nature.
Bangladesh’s policy should therefore not focus on finding arguments to prolong coal-fired generation. Instead, it should immediately begin a time-bound plan to repurpose existing coal infrastructure into renewable-energy hubs, while minimising financial losses, reducing the economic burden of coal, protecting millions of people living in vulnerable coastal regions, and maximising ecological and public-interest benefits.
PMO Bangladesh - প্রধানমন্ত্রীর কার্যালয়
Ministry of Power, Energy & Mineral Resources, Bangladesh
Ministry of Environment, Forest and Climate Change, Bangladesh
Finance Division, Ministry of Finance
The Climate Watch
The New York Times