The government has issued an open tender to establish 12 grid-tied solar power plants at various locations across the country in the private sector.

The Bangladesh Power Development Board (BPDB), as the sole authority in the power sector, published the tender notice in multiple newspapers on Sunday, inviting potential bidders for the projects.

The 12 power projects, with a total capacity of 323 MW, are 10 MW at Shudharam, Noakhali, 18 MW at Hathazari, Chattogram, 20 MW at Sabujpara, Nilphamari, 25 MW at Moulvibazar, 25 MW at Bajitpur, Kishoreganj, 25 MW at Chandraghona, Rangamati, 30 MW at Ukhiya, Teknaf (Cox’s Bazar), 35 MW at Nawabganj, Dhaka, 45 MW at Kurigram, 45 MW at Fatikchhari, Chattogram and 45 MW at Bhaluka, Mymensingh.

According to official sources, the government will purchase electricity for a period of 20 years at a fixed tariff rate once the projects are set up and become operational.

A senior BPDB official noted that this time a new provision has been introduced for investors. "The sponsor must quote at least 30 percent of the total tariff in local currency (Taka), while the remaining 70 percent can be quoted in US cents," he said.

"Previously, the entire tariff was quoted in US cents, and sponsors were allowed to receive payments in local currency but could convert the entire payment into US dollars," the official added.

This tender notice is in line with the announcement made by Energy Adviser Dr Fouzul Kabir Khan.

Since assuming office, Dr Khan has emphasised that all future projects will be awarded through an open bidding process, and no contracts will be granted based on personal relations or without competition.

Industry insiders suggested that the government’s move follows the cancellation of 37 solar power plants, for which the BPDB had issued Letters of Intent (LoI) to selected bidders.

These bidders had been chosen under the Speedy Increase of Power and Energy Supply Act 2010. However, following a High Court order, the interim government recently repealed this law.

BPDB's tender floating for 10 key grid-connected plants faces setback

Officials mentioned that the tender for the 12 grid-tied solar power plants was issued in response to requests from some of the previously selected bidders, who had received LoIs for the 37 cancelled projects.

"The government wants these bidders to secure projects through a competitive bidding process, not based on relationships with government officials," said a senior BPDB official.

At a function on Saturday, Energy Advisor Dr. Fouzul Kabir Khan revealed that the government plans to establish a total of 40 grid-tied solar power projects. "However, the tenders for these projects will be published gradually, not all at once," he clarified.

Another senior BPDB official involved in the tender process stated that the successful bidder or sponsor for the 12 projects will be responsible for securing the necessary land for their respective projects. However, the government will provide the required land for future solar projects, though not immediately.

Meanwhile, the government issued a gazette notification extending tax exemptions for grid-tied solar power projects.

According to the notification, issued on November 27, companies that begin commercial operations of their renewable energy-based power generation projects on a Build-Own-Operate (BOO) basis under the Private Sector Power Generation Policy of Bangladesh between July 1, 2025, and June 30, 2035, will enjoy a tax holiday for 15 years.

The tax exemption details are—100 percent tax exemption for the first 10 years, 50 percent tax exemption for the next 3 years and 25 percent tax exemption for the remaining 2 years.

This tax incentive aims to support the long-term growth and development of renewable energy projects, according to the National Board of Revenue (NBR) notification.

According to the Sustainable and Renewable Energy Development Authority (SREDA), Bangladesh currently generates 1,374.35 MW from renewable sources, including 230 MW from hydropower and 1,080.36 MW from solar energy.

As per a Power Cell document, projects totaling 3,963.5 MW are at various stages of implementation of which 943.5 MW are under construction, 609 MW have received Letters of Intent (LoI) or Notifications of Award (NOA) and 228 MW are in the tendering process and 2,183 MW are in the planning stage.