Power-energy gets Tk 22,520cr in new budget

The national budget has proposed an allocation of Tk. 22,520 crore aiming at ensuring energy security and modernizing the distribution system and generating 3,400 MW of electricity from clean sources by 2028.

Finance Adviser Dr Salehuddin Ahmed unveiled this at his budget speech on Monday.

“The process of formulating a new policy by updating the Renewable Energy Policy 2008 is in its final stage. It has been decided that 30 percent of the country's total electricity will be generated from renewable sources by 2040,” he said. 

In the budget speech, he proposed to allocate Tk. 20,342 crore for power division and Tk. 2,178 crore for energy division in the fiscal 2025-26 (FY26) to ensure transparency and accountability and modernize distribution system, carryout various development works for mineral resources. 

Ahmed said an Integrated Power Sector Master Plan was prepared and under this plan, a target was set to generate 3,400 MW of electricity from clean sources by 2028.

He said a project was taken to establish Eastern Refinery Limited, Unit-2, which will have the capacity to refine 3 million metric tons of crude oil every year to meet the growing demand for refined oil. 

The state-run BAPEX has a plan to carry out a 270 km geological survey, a 700 km 2-D seismic survey and a 700 square km 3-D seismic survey between FY202526 and FY2027-28, he added.