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INTRODUCTION

 AREA : 147,570 km 2

 CAPITAL : DHAKA

 OFFICIAL LANGUAGE : BENGALI

 POPULATION : 16,22,21,000

 CURRENCY : TAKA

 GDP annual growth rate : 3.2 %

 Human Development Index : 0.543


BANGLADESH BEFORE CRISIS

 It is the most densely populated agriculture nation in world, having 1300 million
people in 2000,per capita GNP of $380,with an overall illiteracy rate of 59%(1999)
and a life expectancy of 61 years.

 Most of the population lives in rural areas and most of them engaged in subsistence
farming.

 It has a high population growth rate- 1.6%(1999-2000) and due to a high illiteracy
rate unemployment and underemployment exceeds 20%.

 The economy had a low domestic savings rate and a larger balance of payments
deficit. Country's imports in 2000 was $8.5 billion while exports amounts only to
$5.7 billion.

 Despite repeated natural distruptions,Bangladesh had made significant


improvements in many areas like exports and per capita GDP.
MAJOR CRISIS IN BANGLADESH

 POWER CRISIS
The demand for around 5,500MW of electricity is not met by a supply of
only 3,800MW.

 The country is currently facing 1700 MW of power shortage causing


serious dislocation in all spheres of life including production in fields and
factories.

 After failing to implement the 3 years' rental power projects in time, the
ministry faced difficulties to implement all its mid-term projects.

 The power projects - 210MW plant in Khulna, 150MW plant in Sylhet and
three330MW-450MW independent power plants, already seven to eight
years behind schedule, will be getting further delayed.

 Lack of regular electricity has severely affected jute mills, the country's
second largest industry, whose management partly blame lack of power
supply for unprofitability, have withheld wages for months at a time.
This has sparked strikes and violent clashes.
CAUSES OF POWER CRISIS

 High gas dependence. Many power plants are idle due to shortage of gas supply
and poor maintenance.

 An inefficient transmission and distribution system operated by state owned


companies are the main factor behind huge system loss (15-20%).

 Unprecedented delay in finalizing a coal policy. We have a probable coal reserve of


3.3 billion tones, which is around 5 times higher than our current proven gas
reserve in terms of its heating value.

 A lack of transparency in power generation procurement and tendering in the past.


Highly inefficient decision making process .

 The inadequacies of energy supply are a direct result of the corruption and short
term greed of all previous governments. Every energy project has had funding and
progress dissipated by institutional corruption and pilfering of funds at every level
of government and business.
WATER CRISIS

 Random contamination of surface and ground water, absence of


comprehensive water sharing with neighboring countries and mismanagement
in preserving rain water leads to water crisis in Bangladesh.

 Dhaka, a mega city of 12.5 million people, has to rely mostly (about 87 percent) on
ground water, but aquifers take decades to recharge while the population growth
in the city is exponential.

 Bangladesh is destroying its surface and ground water by throwing wastes in water
bodies and over extracting ground water.

 As farmers have become dependent on village pumps for crop irrigation, they
are also dependent on the irregular electricity supply to deliver the water to the
fields.

 Main rivers of Bangladesh is outside the country and those rivers depend on
upstream water to continue its flow.  About 92 percent of the catchments area of the
Ganges, Brahmaputra and the Meghna (GBM) rivers are located outside
Bangladesh while the GBM river basin is around 64 percent in India, 18 percent in
China, 9 percent in Nepal, and 3 percent in Bhutan.
CONTD. . . .

 Over 200 dams are to be built by China and India on the Himalayan rivers
including the Brahmaputra and the Ganges to meet their water demands that
will force Bangladesh to a big water crisis.

 Due to building of such dams, water flow of Bangladesh rivers will change
in dry season and up to 22 percent water supply will decrease over the next
two decades .
OTHER CHALLENGES BEFORE BANGLADESH

 POVERTY

 ILLITERACY

 UNEMPLOYMENT

 UNSKILLED LABOR FORCE

 NATURAL DISASTERS
PESTEL ANALYSIS

POLITICAL

 unitary state and parliamentary democracy


 Unstable political environment

ECONOMICAL

 Domestic influence
 Limited exposure to global economy
 Major Exports : Garments and Jute products

SOCIAL

 Low human development index


 Illiteracy affect
 Mass poverty and low standard of living
PESTEL ANALYSIS

Technological
 Lacking behind in technological aspects
 Immense requirement for technological upgradation

Legal
 Corruption in government and administrative authority
 Weak legal system
 Inefficiency in management

Environmental
 High risk of natural disruption
RECOMMENDATIONS

 More Rental Power Plants need to be installed to overcome the short term
power crisis.

 The government can set up some small coal fired power plants and can import
coal from India on a temporary basis before developing our own coal mines .

 Several large barge mounted power plants can be contracted on short term basis
which can supply additional 600 MW by the end of the year. This will ease the
power crisis for a few years while other fuel sources are developed and the
required power plants constructed.

 Using energy efficient appliances and immediate removal of taxes on them

 Importing Liquefied Natural Gas (LNG) from gas exporting countries like Indonesia,
Qatar to meet urgent need.

 Nation-wide power and water conservation awareness program.


Thank you

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