Bangladesh has announced a special incentive package to promote rooftop solar systems integrated with battery energy storage.

Under the program, eligible consumers will receive BDT10.5 (~$0.086)/kWh for surplus electricity exported to the national grid after meeting their own consumption requirements.

The incentive applies to hybrid systems that will be installed by February 28, 2027, under the country’s Net Metering Guidelines, 2025.

The renewable energy division of Bangladesh’s Ministry of Power, Energy and Mineral Resources said the incentives will be available for three years, until February 28, 2030.

Incentive Structure

The government has considered the cost of generating electricity from rooftop solar systems with battery storage at a maximum of BDT8 (~$0.065)/kWh, based on prevailing market prices and prices received in various tenders by the Power Division.

The tariff was fixed by considering a 20% return on the generation cost and an 11.25% premium as part of the special incentive package.

Consumers who can install rooftop solar-plus-storage systems at a cost lower than the generation cost determined by the government will be allowed to retain the resulting savings as additional returns.

Payments Every Three Months

Electricity distribution companies will maintain records of participating consumers, electricity supplied to the national grid, and electricity payments, including incentives.

The incentive payments will be transferred to consumers’ bank accounts every three months in accordance with the Net Metering Guidelines, 2025.

Equipment used in the rooftop solar systems, including solar modules, batteries, inverters, and meters, must comply with technical standards prescribed by the Bangladesh Standards and Testing Institution and the Sustainable and Renewable Energy Development Authority.

The Power Division’s existing one-stop service center will provide policy-related assistance for the program. Support will also be available through electricity distribution companies’ offices at the district and subdistrict levels.

In August, Electricity Generation Bangladesh floated a global tender to develop a 220 MW solar project in Sonagazi, Feni district.

In June, the Bangladesh Power Development Board issued a tender to install 95 MW of grid-connected solar projects across Rangamati and Cox’s Bazar districts.

Subscribe to Mercom’s real-time Regulatory Updates to ensure you don’t miss any critical updates from the renewable industry.