LNG Projects Could Cost Bangladesh $50B, Threaten Future

A new report by Market Forces, Waterkeepers Bangladesh, and Dhoritri Rokkhay Amra (DHORA) reveals that the development of liquefied natural gas (LNG) power projects and import terminals in Bangladesh could cost the country up to $50 billion. The report warns that these projects pose significant health and environmental risks, exacerbating pollution and contributing to the intensification of climate-related disasters such as floods and cyclones.

The findings were presented at a press conference held at the Jatiya Press Club on Saturday. Dr. Mujibur Rahman Howladar, former Chairman of the National River Protection Commission, chaired the event, which was moderated by Sharif Jamil, Member Secretary of DHORA and Coordinator of Waterkeepers Bangladesh. Munira Chowdhury, Asia Energy Analyst at Market Forces, presented the key findings.

The report highlights the severe consequences of investing in LNG infrastructure, noting that as Bangladesh faces increasing heatwaves and energy demands, the $36 billion earmarked for LNG power plants could be better spent on renewable energy sources. The $50 billion invested in LNG projects could instead be used to generate 62 gigawatts of renewable energy, more than double the country’s current electricity capacity.

The report also exposes the involvement of foreign corporations such as GE Vernova (USA) and JERA (Japan) in the expansion of LNG infrastructure in Bangladesh, raising concerns about the influence of international entities like Japan’s JICA and the Institute of Energy Economics Japan (IEEJ) in shaping the country's energy master plan.

The analysis warns that the 41 new LNG power plants proposed in the plan would release harmful emissions, worsening the already severe air pollution in Bangladesh, which ranks among the worst in the world for air quality.

Dr. Mujibur Rahman Howladar called for accountability, stating, "These LNG projects are exploiting our resources, and strict actions must be taken against those who have pushed them through. If necessary, criminal charges should be filed. We do not want projects that harm the public."

Munira Chowdhury criticized foreign companies for leading Bangladesh into an LNG dependency, emphasizing the need for clean, renewable energy. “The people of Bangladesh deserve sustainable, renewable energy and breathable air, not toxic fossil fuels," she said. She also highlighted the long-term financial burden of LNG, noting that the country would face annual costs of $7-11 billion just to import LNG.

The report advocates redirecting funds from LNG projects toward renewable energy, suggesting that Bangladesh has the potential to generate 240 gigawatts of solar power and 30 gigawatts of onshore wind energy.

Sharif Jamil, Coordinator of Waterkeepers Bangladesh, urged a revision of the Integrated Energy and Power Master Plan (IEPMP) formulated by JICA and IEEJ, stressing that the current plan dangerously locks Bangladesh into LNG dependence, threatening the country’s energy security.

Prof. Anu Muhammad, a former economics professor at Jahangirnagar University, warned that the country’s reliance on LNG would financially burden Bangladesh while causing significant environmental harm. He criticized the past government’s energy planning, which he said was heavily influenced by international financial institutions and transnational corporations.

The report also raised concerns about the involvement of Japanese companies like Mitsui, JERA, Sumitomo, and Mitsubishi, as well as Japanese banks, in the LNG projects, further complicating Bangladesh’s transition to a sustainable energy future.

Dr. Khandaker Golam Moazzem, Research Director at the Center for Policy Dialogue, called for a shift in energy policy. “We don’t need more LNG infrastructure. We need energy audits, corruption reforms in the energy sector, and investments in renewable energy,” he said, stressing that future energy policy should prioritize national interests over corporate ones.

The report concludes by urging Bangladesh to move away from fossil fuels and invest in renewable energy, a shift that could secure a cleaner, more sustainable future for the nation.