Rapid growth in power consumption seen in Bangladesh within 10 years

This is thanks to its booming garment industry, Fitch Solutions reported.

Power consumption in Bangladesh is expected to rapidly grow in the next ten years due to its booming garment industry, Fitch Solutions reported.

Individual consumption is seen to rise to 797 kilowatt-hours (kWh) per capita in 2031 from 513kWh recorded by the end of 2021.

“The booming garment industry in Bangladesh provides opportunities for businesses and work, driving up the market’s already-high population density as people relocate from rural to urban areas,” the report read in part.

Fitch estimated the urban population will increase to 46% in 2031 from 40% of the total population in 2022, reflecting a 17-million increase within the next decade.

“As electricity is more readily available in urban centres than in rural areas, we expect an increase in individual consumption of electricity,” Fitch noted.

In addition, the increase in urbanisation rate will also drive-up demand for urban infrastructure, which could ultimately boost power consumption in the construction industry.

In this light, Fitch expected the demand for electricity in Bangladesh over the coming decade will be driven also by rising individual power consumption and industry consumption.