Govt mulling tax imposition on industries' water use 

The government is considering imposing a charge on groundwater usage, said Water Resources Adviser Syeda Rizwana Hasan today (11 February). 

"The government is now considering a charge for industrial water usage and will categorise industries based on water consumption while offering incentives for recycling initiatives," she said while addressing the inaugural ceremony of the "Sustainable Apparel Forum (SAF) 2025", organised by the Netherlands Embassy at Radisson Blu Dhaka Water Garden.

Rizwana, also the adviser to the Ministry of Environment, Forest and Climate Change, said the water resources ministry is finalising an industrial water use policy to this end.

"So far, groundwater has been freely available to most industries, but the government must stop that process. We will categorise the industries, and extremely water-intensive ones will be required to start paying for the water they extract."

This policy will undoubtedly incentivise recycling activities, she said, adding, "We want to engage with our business leaders to ensure they use less water and prioritise recycling and reusing water." 

"Bangladesh, a very good thing is, is a country abundant in water. However, that is not always the case."

In the industrial belts, groundwater levels are declining, creating a negative impact on communities who rely on groundwater for their everyday needs, she added.

Being a water-intensive sector, it is crucial for the garment industry to adopt production processes that are less water-intensive, said the adviser, adding, "They must ensure the reuse of water and avoid creating additional pressure on the aquifer." 

"On electricity, our supply has not been consistent. We are well aware of the challenges in the energy sector."

She further said the garment sector is an energy- and water-intensive industry. It also requires good practices for chemical management.

She pointed out that energy supply shortages in the past two years have severely impacted industries, making sustainable energy solutions a necessity for both the country and the sector.

"Having green factories or the highest number of environmentally certified factories does not automatically mean the sector is operating sustainably," she said.

Addressing chemical waste management, she revealed that the government, in collaboration with German partners, is working on a Chemical Waste Management Rule, which is expected to be finalised soon. She emphasised the importance of having nationally endorsed chemical handling and management regulations to ensure environmental and workplace safety.

On the issue of labour practices, the adviser called for a shift in mindset regarding Bangladesh's garment industry. 

"The term 'cheap labour' should be removed from our vocabulary when discussing sustainability. It must be a shared responsibility between producers and consumers," she asserted, emphasising ethical sourcing and fair business practices.

She encouraged greater engagement with innovative organisations and technology providers to drive sustainability in the apparel industry, which remains the backbone of Bangladesh's economy. 

"We look forward to strengthening partnerships that are responsible and set new standards of excellence," she said.

Michael Miller, European Union (EU) ambassador to Bangladesh; Andre Carstens, ambassador of the Netherlands; and Chowdhury Ashik Mahmud bin Harun, executive chairman of the Bangladesh Investment Development Authority, also spoke at the inaugural ceremony.

Miller stated that the EU's focus on competitiveness and decarbonisation is central to its agenda.

"The EU is committed to promoting development and industrial strategies that align with global best practices and target sustainable development components," he said, adding that their focus remains firmly on supporting Bangladesh's economic and social development goals.

Andre Carstens, Netherlands' ambassador to Bangladesh, highlighted the remarkable progress made by Bangladesh's RMG sector, particularly in the establishment of green factories. However, he pointed out challenges related to resource management, transitioning to renewable energy, and supply chain transparency.

"The Netherlands is committed to working with Bangladesh to address these challenges. We strongly support efforts to raise awareness, standardise sustainability goals, and enhance circularity and traceability," he said.

Carstens also emphasised the importance of collaborative efforts in implementing sustainable solutions. He noted that empowering workers is crucial, which requires prioritising their well-being through strengthened social dialogue, fair wages, and improved working conditions.

Chowdhury Ashik Mahmud bin Harun, Executive Chairman of the Bangladesh Investment Development Authority, and Mostafiz Uddin, founder and CEO of Bangladesh Apparel Exchange, also spoke at the opening event.

The session, titled Bangladesh 2040: The Roadmap for a Resilient and Sustainable Apparel Sector, was moderated by Secretary (West) M Riaz Hamidullah.