In power generation, reducing overheads is usually very difficult, particularly when the global crude oil prices are on a firm upward trend.
But migration to low-cost solar energy could help the state-run liquid-fuelled power plants in Bangladesh offset the financial stress caused by a costlier crude.
This suggestion has come from key players in the renewable energy industry, who cite the recent rise in diesel prices to pester the government to invest heavily in renewable energy sources.
In fact, the government increased the diesel rates to Tk 80 a litre from Tk 65 per litre in November last year, while the furnace oil prices remained static at Tk 60 per litre.
As per the 2020-21 annual report of the Bangladesh Power Development Board (BPDB), a whopping Tk 779.40 crore was spent on diesel to generate electricity from its own liquid-fuelled power plants.