Energy adviser warns of load shedding in areas with excessive AC use

Power, Energy, and Mineral Resources Adviser Muhammad Fouzul Kabir Khan today (24 February) announced that the government may implement load shedding in areas where the cooling load from air conditioning exceeds a reasonable demand during the upcoming Ramadan and summer seasons.

Speaking at a conference titled "Building Sustainable Futures: Connectivity and Energy," organised by the Centre for Policy Dialogue, Fouzul stressed the importance of regulating air conditioning usage. 

"If people don't follow our request to set thermostats at 25 degrees Celsius, how can we enforce it? Many people ask if I'm going to check their thermostats. No, we won't do that," he said.

"Electricity is supplied through feeders, and we can monitor the demand and supply in each area. If there's excess demand with no clear reason other than cooling load, we will implement load shedding in those feeders. We have formed teams in the distribution companies to monitor cooling loads across the city," he added.

Fouzul acknowledged the challenge of implementing this plan but stressed its importance in reducing load shedding during Ramadan and summer. "It's easier said than done," he admitted.

The adviser reiterated that air conditioning is responsible for consuming a significant amount of electricity, ranging from 4,000-5,000MW.

"If the AC temperature is set to 25 degrees Celsius, it could save 2,000MW of electricity," he said.

Fouzul also announced that this year, load shedding would be implemented fairly, with no distinction between rural and urban areas. "This time, we will not make a distinction between rural and urban areas for load shedding. If we need to implement load shedding, we will do it fairly," he said.

Addressing the high cost of primary fuels, including coal, gas, and liquid fuel, Fouzul explained, "The problem we face is that energy procurement costs are extremely high. The average tariff we receive per unit of power is Tk8.9, but the average cost of purchasing electricity is more than Tk11."

Despite the high costs, he assured that the government had not increased electricity tariffs in the past six months, although a price hike was planned every two months. "Our focus is on reducing costs in the power and energy sector, and our strategy to achieve this is to open up the markets," he said.

Fouzul also highlighted a change in energy procurement, saying, "We are now competing through an open tender process. Previously, there were only four oil suppliers due to a restriction that fuel suppliers must own a refinery. We found this restriction unnecessary and lifted it, increasing the number of fuel suppliers from four to twelve."

As a result of opening up fuel suppliers, Fouzul noted a 35% reduction in freight and other charges. "Based on our six-month projection, we could save Tk750 crore. If this trend continues, we could save Tk1,500 crore annually."

Looking ahead to the summer, Fouzul mentioned that power demand during the winter is around 9,000-10,000MW, while in summer, it rises to 17,000-18,000MW. 

"A portion of this increased demand is due to irrigation, which requires about 2,000 MW," he said, stressing the importance of uninterrupted power supply to ensure food security.