The Ministry of Finance of Bangladesh has approved a subsidy release of Tk 2,067 crore and 5 lakh to clear the March 2026 outstanding bills of private power producers. The directive, issued on April 21, states that the funds will be disbursed to the Bangladesh Power Development Board for payment to independent power producers (IPPs) and rental power plants (RPPs). The amount will come from the electricity subsidy allocation under the revised budget for the 2025–26 fiscal year.
According to the directive, the subsidy was calculated based on the actual shortfall of 85 IPPs and 9 RPPs for March, while dues up to February have already been settled. The Finance Division imposed conditions that no funds will be released for two unapproved power plants or for electricity imports from India. It also instructed the concerned entities to obtain necessary approvals promptly.
The ministry further directed that the subsidy be used strictly for the designated IPP and RPP payments, with full compliance to financial regulations. Monthly shortfall reports must be submitted to enhance transparency, and future audits will reconcile the subsidy with verified liabilities.