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Bangladesh Faces LNG Shortage Amid Cancellation of 31 Renewable Projects

NATURAL GAS

Qatar's suspension of LNG production affects Bangladesh's fuel supply, leading to increased load shedding. The Yunus government canceled 31 renewable projects totaling 3,300 MW capacity in September 2024, shortly after taking office, which could have alleviated the LNG shortfall.

These projects were criticized for their cancellation, and the High Court ruled in favor of their initial agreements. The government later opened tenders for over 5,000 MW of renewable energy but secured only 900 MW due to weak participation.

The canceled projects could have reduced fossil fuel imports by $820 million and created 10,000 jobs. Bangladesh's renewable energy target is 15% by 2030, but it currently stands at around 3%.

Bangladesh Faces LNG Shortage Amid Cancellation of 31 Renewable Projects
Mar 4, 2026, 5:38 PM

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