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Policy options for energy supply diversification in Bangladesh | |
Author | Islam, Md. Anwarul |
Call Number | AIT Thesis no.ET-08-05 |
Subject(s) | Energy policy--Bangladesh |
Note | A thesis submitted in partial fulfillment of the requirements for the degree of Master of Engineering in Energy Economics and Planning |
Publisher | Asian Institute of Technology |
Series Statement | Thesis ; no. ET-08-05 |
Abstract | A major goal of energy system modeling is to create tools for decision support in energy planning and policy making. A long term integrated energy policy along with appropriate strategies should formulated for Bangladesh to meet the growing energy demand of different zones, consuming sectors in a sustainable and least cost manner. This study provides a long term energy system model for Bangladesh based on MARKAL framework. Most of the commercial energy used in Bangladesh is derived from domestic natural gas and imported oil. Natural gas now accounts for about 70% of the country’s commercial energy supply. Power sector is the single largest consumer of gas, and at present nearly 90% of the electricity generated is gas based. To reduce this high dependency on a single source of primary energy, resource diversification is required. This study analyzes the policy options for energy resource diversification in Bangladesh. In reference case, the base year primary energy supply is 1031.6 PJ, and during the study period of 2005 to 2035, the total primary energy supply is expected to rise with the annual average growth rate of 3.5%. Natural gas and coal play dominant role throughout the study period which come from domestic extraction. The domestic natural gas resource of Bangladesh is exhausted over the study period. Throughout the study period, the electricity generation is expected to rise with an annual average growth rate of 6.1%. And most of the electricity generation comes from natural gas and coal based technologies. The final energy demand is estimated to rise, starting from 830.7 PJ, with the annual average growth rate of 3.2%. The highest energy consuming sector is industry followed by residential and transport. The total CO 2 emission from combustion of all primary fuels of Bangladesh in 2005 amounted to 39.6 million tons. CO 2 emission is expected to increase at the average rate of 5.0% annually. The electricity generation sector is the largest CO 2 emitting source. And concerning the system cost, investment in technologies account highest share in the total system cost. To make energy system more diversified compared to base case and to keep gas for other uses, Bangladesh can adopt supply limit on natural gas with minimal increase of system cost. Under the Renewable Portfolio Standard scenarios, the energy system of Bangladesh is more diversified compared to the base case as there is addition of biomass, solar and wind energy for electricity generation. In addition, RPS targets can assist in limiting the use of fossil fuels; hence there is reduction of emissions. Despite the fact that there is increase of total system cost, the RPS targets can be adopted to improve the energy supply situation in Bangladesh. Carbon tax has significant effect on the supply of coal and natural gas, and also in emission reduction. With the introduction of carbon tax, there is a shift in energy mix fro m coal to natural gas in electricity sector. In addition, nuclear and renewables technologies are also selected under carbon tax scenarios. Under the energy tax schemes, there is shifting of fuel from petroleum products to electricity and selection of efficient technologies |
Year | 2008 |
Corresponding Series Added Entry | Asian Institute of Technology. Thesis ; no. ET-08-05 |
Type | Thesis |
School | School of Environment, Resources, and Development (SERD) |
Department | Department of Energy and Climate Change (Former title: Department of Energy, Environment, and Climate Change (DEECC)) |
Academic Program/FoS | Energy Technology (ET) |
Chairperson(s) | Shrestha, Ram M. |
Examination Committee(s) | Kumar, S.;Mithulananthan, N. |
Scholarship Donor(s) | ADB;JSP |
Degree | Thesis (M.Eng.) - Asian Institute of Technology, 2008 |