Implementing industrial energy efficiency (IEE) in Bangladesh lessons learned from the textile and garment industry

Manufacturing sectors in developing countries such as Bangladesh offers the greatest potential in achieving climate benefits through adopting energy efficient practices. While it is commonly termed as a “low hanging fruit”, implementing such practices in Bangladesh faces a wide range of challenges. Considering the national energy supply shortfall, it is only rational to adopt industrial energy efficiency measures. This paper identifies new policy goals and implementation barriers in widespread adoption of industrial energy, and offers some recommendations in overcoming barriers. The paper also documents innovative practices in the textile and garment industry of Bangladesh, which can be further explored to achieve synergistic benefits. It is suggested that soft and targeted support for addressing high-quality competency gap, easing application process for access to finance, and addressing market failures such as low energy price can go a long way for widespread adoption.