What is Bangladesh's pathway to limit global warming to 1.5°C?

Industry

Decarbonising the industry sector

In 2019, industry was the second largest emitting sector after power, accounting for 17% of total emissions – including energy (14%) and process emissions (2.7%).1 Industry accounts for 30% of total final energy consumption and 33% of electricity consumption.2

Bangladesh's energy mix in the industry sector

petajoule per year

Scaling

Fuel shares refer only to energy demand of the sector. Deployment of synthetic fuels is not represented in these pathways.

Across analysed 1.5°C pathways, energy-related industry CO2 emissions fall 41-68% below 2022 levels by 2040. In the Deep Electrification pathway, Bangladesh’s industry sector would see the strongest near-term reductions in energy-related CO2 through energy efficiency measures and increasing electrification. This pathway, which best captures the rapid cost reductions seen in wind and solar, also shows the fastest decarbonisation of the power sector which is key to reducing emissions through electrification. Following this pathway would allow electricity use in industry to reach 48% in 2030, up from 35% in 2022.

In Bangladesh, the largest and most immediate electrification gains could come from low- to medium-temperature heat and the phase-out of captive gas/diesel power, especially in textiles and food processing. High-temperature industries (cement, bricks, ceramics) require a staged approach, efficiency and material shifts now, with electric or hydrogen options as clean power scales, aligning with the Deep Electrification pathway.

Improving energy efficiency could be key to reducing industrial emissions in Bangladesh, leading to cost savings, reduced emissions, increased competitiveness, and enhanced energy security. The Energy Efficiency and Conservation Master Plan up to 2030, released in 2015, sets rules on mandatory energy audits for large industrial users to enforce reductions.3 The plan aims to reduce the sector’s energy consumption by 20% by 2030 which is aligned with the Deep Electrification pathway, leading to around a 10.5% reduction in total energy consumption.4

With the EU’s Carbon Border Adjustment Mechanism (CBAM) coming into force, exporters face rising pressure to disclose and cut embedded emissions. This makes energy efficiency, low-carbon electricity, and better emissions reporting urgent not only for climate goals but also for protecting Bangladesh’s industrial competitiveness in key export industries such as textiles and apparel.

Bangladesh's industry sector direct CO₂ emissions (from energy demand)

MtCO₂/yr

Direct CO₂ emissions only are considered (see power sector for electricity related emissions, hydrogen and heat emissions are not considered here).

Bangladesh's GHG emissions from industrial processes

MtCO₂e/yr

  • Graph description

    1.5°C compatible CO₂ emissions pathways. This is presented through a set of illustrative pathways and a 1.5°C compatible range for total CO₂ emissions excl. LULUCF. The 1.5°C compatible range is based on global cost-effective pathways assessed by the IPCC AR6, defined by the 5th and 5th percentiles.

    Data References

1.5°C compatible industry sector benchmarks

Direct CO₂ emissions, direct electrification rates, and combined shares of electricity, hydrogen and biomass from illustrative 1.5°C pathways for Bangladesh

Indicator
2022
2030
2035
2040
2050
Industry sector decarbonised by
Direct CO₂ emissions
MtCO₂/yr
22
11 to 20
9 to 13
7 to 13
1 to 10
2044 to 2055
Relative to reference year in %
-50 to -9%
-59 to -41%
-68 to -41%
-95 to -55%
Indicator
2022
2030
2035
2040
2050
Share of electricity
%
35
39 to 48
49 to 60
58 to 68
66 to 83
Share of electricity, hydrogen and biomass
%
35
41 to 51
57 to 65
66 to 79
79 to 98

Fuel share provided refers to energy demand only from the industry sector. BECCS are the only Carbon Dioxide Removal (CDR) technologies considered in these benchmarks.
Direct CO₂ emissions only are considered (see power sector analysis, hydrogen and heat emissions are not considered here). All values are rounded. Year of full decarbonisation is based on carbon intenstiy threshold of 5gCO₂/MJ.

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