Restoring Balance :
Bangladesh's Rural Energy Realities

Bangladesh is one of the world's
poorest countries. Nearly 80 percent of the nation's
140 million people reside in rural areas; of these, 20
percent live in extreme poverty. Geographically, many
low-lying areas are vulnerable to severe flooding, while
other regions are prone to drought, erosion, and soil
salinity. Such an unfavorable agricultural landscape,
combined with mismanagement of natural resources and
increasing population pressure, is pushing many of the rural
poor to the brink. Because Bangladesh is such a poor
country, it also is one of the world's lowest energy
producers. Total annual energy supply is only about 150
liters of oil equivalent per capita (International Energy
Agency, or IEA 2003); in rural areas, conditions are even
worse. Compared to other developing countries, Bangladesh
uses little modern energy. Despite its successful rural
electrification program, close to two-thirds of households
remain without electricity and, with the exception of
kerosene, commercial fuels are beyond reach for many.
Moreover, biomass fuels are becoming increasingly scarce.
Collected mainly from the local environment as recently as
two decades ago, bio-fuels are fast becoming a marketed
commodity as access to local biomass continues to shrink.
This study, the first to concentrate on Bangladesh's
energy systems and their effects on the lives of rural
people, drew on these background studies, as well as other
World Bank-financed research on indoor air pollution (IAP)
and rural infrastructure, to present a rural energy strategy
for the country. Much of this study's analytical
underpinning was based on several background studies. This
study also reanalyzed data from earlier research to better
understand the benefits of modern energy use for rural
households, farm activities, and small businesses.