BD’s Power Subsidies Highest Regionally at $18.53 Per Capita

Industry: Energy & Power, Power

Bangladesh has the highest per capita power subsidy among its neighbors at $18.53 in FY 2023-24, despite second-lowest per capita power consumption (553 kWh). Domestic users consume 56% of electricity, the highest share among neighbors. Power subsidies cost Tk 40,000 crore, with inefficiencies, capacity payments, and corruption increasing costs. Outstanding dues to power producers total Tk 21,000 crore, delaying payments by 120-180 days and adding Tk 3,200 crore in interest costs. High fuel prices, aging plants, and international market conditions have further strained resources. Experts urge strategic reforms to cut inefficiencies.

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