Bangladesh’s Summit Group is making a significant move towards clean energy by planning a $3 billion investment in solar, wind, and hydroelectricity generation projects in South Asia.
The Chairman of Summit Power International, Aziz Khan, revealed this strategy, emphasizing the shift away from fossil fuels.
Summit Power International, the Singapore-based holding company for all of Summit Group’s power generation assets, will construct 1,000 megawatts of solar and wind energy projects, including battery storage, in India.
This initiative aims to provide Bangladesh with more cost-effective electricity compared to natural gas-based power.
Summit Group intends to establish 700 megawatts of hydroelectric power plants in Bhutan and Nepal. Khan highlighted the adverse effects of high global liquefied natural gas (LNG) prices, which have impacted various sectors in Bangladesh, leading to economic challenges and frequent power outages.
LNG played a crucial role in Bangladesh’s economic growth over the last decade, powering the majority of its electricity generation.
However, recent high global LNG prices, coupled with difficulties in paying for fuel imports due to declining forex reserves and currency devaluation, have resulted in the country’s worst power crisis in ten years.
Gas prices are likely to trend downwards after the upcoming winter, providing hope for a more stable energy landscape in the region.