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THURSDAY, JULY 17, 2025
Reform without rhetoric: A working model from the energy sector

Thoughts

Ashfaq Zaman
15 July, 2025, 02:50 pm
Last modified: 15 July, 2025, 06:21 pm

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Reform without rhetoric: A working model from the energy sector

Ashfaq Zaman
15 July, 2025, 02:50 pm
Last modified: 15 July, 2025, 06:21 pm
Reform without rhetoric: A working model from the energy sector

No press conferences. No social media fanfare. No credit-taking speeches. Just quiet, focused work that delivered results.

In a country where political promises are often louder than action and where the word "reform" is more likely to show up in party manifestos than in the day-to-day machinery of government, one ministry has shown what meaningful change can look like. Not in theory, not on paper, but in practice.

This is the story of how Bangladesh's energy sector, long written off as too captured, too corrupt, too complex to fix, began to turn a corner. What's important is not just that it's happening, but how it's happening.

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Once the poster child for inefficiency and rent-seeking, the energy sector had become a drain on the public purse and a source of widespread public frustration. It was riddled with quick-rental power plants, many of which had been awarded without competitive bidding. The majority of such contracts went to politically connected entities. Opaque deals and inflated costs were par for the course. Load-shedding was a daily ordeal. Energy subsidies ballooned. Imported electricity came at eye-watering premiums. It was a system that didn't just malfunction—it did so predictably and expensively.

But over the last year, a shift has been quietly unfolding. Instead of dramatic clean-ups or sweeping anti-corruption drives, the ministry began removing the rot piece by piece. One of the most telling steps was a simple one: many of the expensive rental contracts were allowed to expire. They weren't renewed, renegotiated, or defended; they just slipped out of the system. No court cases, no grand declarations. Just decisions are made with long-term public interest in mind.

And the impact was immediate hundreds of crores in subsidies saved, not through austerity or hardship, but by refusing to prop up inefficient, overpriced arrangements that had outlived their usefulness. No headlines, no blowback, just outcomes.

Even more remarkable was how energy tariffs were managed during this transition. Rather than passing the cost onto consumers as is often the case when subsidies are cut, the ministry worked to restructure the burden intelligently. Cross-subsidies were introduced. Pricing shocks were flattened. The usual panic that accompanies fuel price hikes was conspicuously absent. This allowed households to plan their expenses without anxiety, and businesses to budget without fearing sudden policy swings.

And then there's renewable energy. A sector that, for over a decade, lived mostly in PowerPoint presentations and press releases. Everyone talked about it, yet very little got built. This time, though, the groundwork was laid for actual investment. Solar and LNG-based projects moved forward not because of a single charismatic speech, but because the environment was finally conducive to long-term planning. This focused approach shows we are finally on the way to a future with truly sustainable energy.

Transparency, too, returned without a ribbon-cutting ceremony. Competitive bidding was quietly restored. Capacity payments were renegotiated. The procurement process, long derailed by political interference, began to run again on merit. The ministry didn't make a show of cleaning house. It simply went about rebuilding systems that had been sidelined.

And the numbers speak volumes. For the first time in five years, the energy sector's budget deficit narrowed. Load-shedding in the first quarter of 2025 was the lowest since 2019. These aren't abstract metrics. They represent real improvements in the lives of ordinary people. Fewer hours without electricity, lower risk of blackouts, and more stable prices.

Why does this matter so much? Because in Bangladesh, energy isn't just infrastructure. It's politics. Power outages have sparked mass protests. Fuel prices have contributed to the downfall of governments. From the fall of BNP in 1996 to the unrest during Awami League's multiple terms, energy has always been a political powder keg. Reforming this sector wasn't just an administrative puzzle. It was a political risk.

It wasn't that the obstacles weren't there. There were former ruling party-aligned unions, deeply embedded patronage networks, regional dependencies—including controversial agreements like the Adani power deal. The same hurdles that are often used as excuses for inaction were all very much in place.

But the difference this time wasn't in the circumstances but rather in the approach.

Heading this quiet overhaul is Dr Muhammad Fouzul Kabir Khan, the current Energy Adviser. A veteran in public policy, Dr Khan brought a different style to the table. One that didn't involve chasing cameras or launching PR campaigns. He chose instead to focus on what could be fixed, and then quietly got to work fixing it. His leadership has been pivotal, not in being larger-than-life, but in being methodical, steady, and largely immune to the usual political theatrics.

This isn't to make the story about one man. In fact, what makes this case so powerful is precisely that it isn't a one-man show. The real lesson here is that systems can be rebuilt. Even ones that seem hopelessly compromised. That reform isn't a mythical idea, but a living, breathing process. That if done right, and done quietly, it can survive the noise and cynicism that so often drowns out public trust.

The energy sector isn't "solved." There's more work needed on pricing, on diversification, on ensuring grid stability. But what's already been achieved is substantial enough to matter. And more importantly, it offers a replicable model.

Because if reform can happen here in a sector so deeply politicised and historically inefficient, then it can happen elsewhere too. In health. In education, in banking, in public transport. But it won't happen through slogans. It'll happen through systems that produce less noise and more work.

It's time we recognised the value of quiet competence. That we stopped confusing loudness with leadership and looked beyond drama for change-makers who deliver, not declare.

What's happened in the energy sector over the last year is not just a rare success. It's a reminder. Reform is not a fantasy. It's not out of reach. It's already underway.

We just need to listen closely enough to hear it.


Disclaimer: The views and opinions expressed in this article are those of the author and do not necessarily reflect the opinions and views of The Business Standard.

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