Bangladesh Merchant Solar: Network Charges, Settlement and Electricity Demand
Bangladesh’s October 2026 merchant-power billing framework gives qualifying electricity users a clearer basis for comparing contracted renewable supply. The important questions concern the price of energy, the network that carries it and the hours when it can meet actual demand.
The October framework and who it covers
Bangladesh Energy Regulatory Commission Order 2026/34 is dated 30 September 2026 and applies from the October 2026 billing month until further direction. The commission posted it on 11 October. It establishes electricity purchase tariffs, network charges and operating arrangements for the specified merchant renewable-power framework. These dates distinguish the order’s issue, online publication and billing effect. BERC, section 9 and appendices.
The underlying Merchant Power Policy 2025 allows qualifying merchant plants to supply defined large or bulk electricity users through contractual arrangements. Eligibility depends on the policy’s categories and technical requirements; it does not extend automatically to every business or installation. Relevant permissions, licensing or waiver, network availability and metering requirements also apply under the order. 2025 policy, scope and Annex I; BERC, Appendix B.
Separate the energy price from network costs
For solar merchant plants selling to public-sector distribution utilities or BPDB under the specified arrangement, the order gives purchase tariffs of Tk 6.98 per kWh at 33 kV and Tk 7.11 per kWh at 132 kV. These figures concern that purchase transaction. They are not universal retail prices, rooftop net-metering rates or a guarantee of payment for every unit generated. Energy supplied under a merchant plant’s customer agreement is accounted for under that agreement and the settlement rules. BERC, section 9.4 and Appendix B, section 7.5.1.
Delivery costs depend on the network route. The order separates transmission, distribution, and BPDB’s Tk 0.05 per kWh energy-management and settlement charge. Applicable losses are also accounted for. In the defined case where the plant and customer use the same distribution utility without using the transmission system, the listed open-access charges total Tk 1.22 per kWh: Tk 1.17 for distribution plus Tk 0.05 for settlement. Distribution losses remain separate. BERC, section 9.2 and Appendix A(c).
This example is not an all-inclusive delivered electricity price for Bangladesh. A comparison of supply proposals needs to identify the connection route, treatment of losses and utility charges that remain payable. Two contracts with the same energy price can therefore lead to different costs at the point of use.
Why matching supply and consumption matters
Appendix B provides for daily real-time matching of merchant supply and customer consumption, followed by central monthly settlement by BPDB. It does not provide energy banking. Consumption outside the matched supply is billed at the applicable regulated peak or off-peak tariff. The order also permits a merchant plant to use its own battery energy storage system to supply contracted customers when generation stops. BERC, Appendix B, section 7.5.1.
APsolway’s assessment is that a demand profile is consequently more useful than a monthly energy total alone. Equal monthly generation and consumption do not establish that electricity was available at the hours it was needed. A site operating primarily during daylight may have a different overlap with solar output from one that continues into the evening.
Storage can change the timing of supply, but its contribution depends on usable energy capacity, output power and the duration of demand. The relevant contract and settlement conditions must also be considered. Adding a battery does not, by itself, make all consumption eligible for merchant supply or remove applicable network costs.
Treat continuity of supply as a separate requirement
A remote merchant-solar contract depends on the network delivering electricity. It does not establish that equipment at the customer’s site will continue operating during a local outage. Suitable inverter operation, storage and electrical configuration are separate engineering requirements for solar backup. U.S. Department of Energy: Solar and Resilience Basics.
For APsolway, understanding these different objectives helps frame inverter and energy-system choices: reducing purchased energy costs, shifting electricity to another time and maintaining essential equipment during interruptions each place different demands on a system. Model documentation, installation design and applicable local requirements must be checked together; a product image does not establish project eligibility.
The October framework therefore supports a more complete assessment of merchant solar. Electricity users can consider the cost of energy alongside its delivery route, timing and remaining utility requirements, while treating site-level resilience as an explicit design objective.