Power and energy crisis
Capitalism and industrialization are intimately linked. In Europe capitalism developed alongside the industrial revolution. Capitalist market economies have had successfully achieved sustained periods of economic growth, and industrial capacity with Power and energy as one of the key factors of production and industrialization. Unfortunately Bangladesh faces a power and energy crisis. The quality of governance in the energy sector is marred by:
(1) Political considerations;
(2) Short term planning horizons of successive governments;
(3) Lack of incentives for bureaucrats and the private sector and
(4) The absence of an effective regulatory body.
It does not attempt to examine all pertinent areas of the energy sector where governance may play a pivotal role, but focuses instead on how governance, or lack thereof, impacts the institutional and policy framework, supply constraints and reform implementation in the power and gas sector. Frequent outages have prompted industries, shops and households to install their own back-up power supplies, pushing up the cost of living and doing business.
Although, Bangladesh has been producing gas for over three decades, the major gas fields remain underdeveloped and exploration activities have remained almost stagnant in the last decade. This shows that little research and exploration occurs.