From TIME · Charlie Campbell · · 1m 50s
Bangladesh’s Garment Industry Faces Energy Crisis
Bangladesh’s garment factories struggle with power shortages as global energy prices surge.
In brief
Bangladesh’s garment factories struggle with power shortages as global energy prices surge. Bangladesh’s garment industry faces rising energy costs and production disruptions amid global energy shortages. Originally reported by TIME.
Ha-Meem Factory Operations
Ha-Meem Group produces 9.3 million apparel items monthly using 90,000 staff.
“In Bangladesh, the grid electricity is bad, there are frequent interruptions”
Energy Crisis in Bangladesh
Bangladesh’s grid electricity is unreliable, with diesel being the most reliable energy source after gas.
“After gas the most reliable energy in Bangladesh is diesel. Grid electricity is third.”
Economic Impact of Energy Shortages
Bangladesh’s economy is $510 billion, with garment industry generating $38.7 billion in exports.
“Bangladesh’s economy is worth $510 billion”
Rising Fuel Costs
Industrial gas prices rose 150% since Russia’s invasion, diesel prices increased by 70%.
“Since Russia’s invasion, industrial gas prices have risen by 150%”
Global Energy Crisis Effects
Developing nations face energy shortages, with diesel prices rising 86% in Philippines and 50% in Nigeria.
“But the strain extends across the Global South”
Power Shortfall in Dhaka
Dhaka faces 3,000 megawatt power shortfall, with blackouts lasting up to 16 hours daily in rural areas.
“With the national power shortfall exceeding 3,000 megawatts”
Impact on Daily Life
Residents face early mornings to cook, limited fan usage, and long gas station queues.
“Residents are forced to rise before dawn in the hope that their stove's gas pressure might be strong enough to cook”
Food Insecurity Risk
18.1 million Bangladeshis may face food insecurity due to energy shortages.
“global malnutrition monitors warn that 18.1 million Bangladeshis may soon face food insecurity”
Energy Import Reliance
Bangladesh imports nearly half its energy from the Middle East, with LNG imports plummeting 83%.
“Bangladesh imports nearly half its energy from the Middle East”
Political Pressure on Government
Thousands of opposition supporters marched to pressure Prime Minister Tarique Rahman on energy costs.
“Last month, thousands of opposition supporters staged a long march to pressure Prime Minister Tarique Rahman”
Energy Diplomacy Shifts
Bangladesh seeks nuclear power from Russia and U.S. trade deals for energy alternatives.
“Dhaka invested $12.65 billion, chiefly via Moscow-backed loans”
U.S. Energy Agreement
Bangladesh and U.S. signed a trade deal for $15 billion in energy products over 15 years.
“On Sept. 25, Bangladesh and the U.S. signed a memorandum of understanding (MoU) on strategic civil nuclear cooperation”
China Energy Ties
Bangladesh and China signed renewable energy agreements, but U.S. sanctions cause tension.
“But two of the agreements involved corporate groups subject to U.S. sanctions”
Solar Energy Efforts
Bangladesh offers incentives for rooftop solar, adding 200 MW capacity in six months.
“The government recently launched a special incentive package for rooftop solar”
At a glance
Bangladesh’s garment industry faces rising energy costs and production disruptions amid global energy shortages.
