World Bank okays $300mn to boost gas system efficiency in Bangladesh
The World Bank has approved a $300mn project to assist Bangladesh in enhancing the efficiency of its gas distribution and usage systems, it said on July 27.
The Gas Sector Efficiency Improvement and Carbon Abatement project aims to introduce pre-paid metering systems for both residential and industrial consumers to reduce wastage and improve monitoring capabilities. It will also focus on addressing natural gas leakage and losses along the gas transmission and distribution network.
As part of the project, over 1.2mn prepaid gas meters will be installed in Dhaka and Rajshahi division. Among these, 1.1mn prepaid meters will be deployed in Greater Dhaka, covering 54 percent of residential customers of Titas Gas Transmission and Distribution Company.
Additionally, 128,000 prepaid meters will be installed in Rajshahi division, covering the entire residential customer base of Pashchimanchal Gas Company (PGCL). Furthermore, about 50 smart meters will be piloted to larger industrial users to showcase the benefits of smart metering in monitoring and managing gas use in the industrial sector.
To help reduce methane leaks, a Supervisory Control and Data Acquisition (SCADA) and Geographic Information System will be implemented on PGCL's network, which will enhance gas flow monitoring, World Bank said.
“Improving energy efficiency will be important for Bangladesh to achieve its 2021 Nationally Determined Contributions (NDCs) commitment of reducing greenhouse gas emissions by 2030,” said Abdoulaye Seck, World Bank country director for Bangladesh and Bhutan. “The project will help cut down natural gas wastage in households and industries and reduce fugitive methane emissions in gas pipelines, which are often caused by leaks from gas production, processing, transmission, and distribution.”
Natural gas accounted for 68% of the country’s primary energy consumption in 2021. Methane leakages in the oil and gas value chain – which are 25 times more potent than CO2 at trapping heat in the atmosphere – amounts to an estimated 257 kilotons, which is roughly equivalent to 7.7mn tonnes CO2, according to World Bank.