Studies

Capacity Building of Factories in Sustainability and Climate Action

This study will assess the energy usage patterns across Bangladesh’s textile and garment factories and provide strategic recommendations to improve energy efficiency and promote renewable energy adoption.  Through this initiative, BIGD aims to catalyse systemic change in the textile industry’s energy landscape, helping the sector transition toward a greener, more sustainable future.

Researchers: Munshi Sulaiman; Rohini Kamal; Tahmid Bin Mahmud; Saadman Faisal

Partners: The Royal Danish Embassy of Bangladesh; Department of Electrical and Electronic Engineering (EEE), BRAC University; Centre for Entrepreneurship Development (CED), BRAC University; Green Tree Building Consultants

Timeline: 2025-2026

Status: Ongoing

Contact: Saadman Faisal, saadman.faisal@bracu.ac.bd

Context

With over 4,500 garment factories specialising in knit, woven, and other products, the RMG sector is a major driver of Bangladesh’s national economy, contributing more than 80% of the country’s export earnings. However, it remains heavily dependent on fossil fuels, exposing it to risks from global energy market volatility, rising production costs, and increasing environmental scrutiny from international buyers. To address the challenges as well as the growing need for energy sustainability in the sector, the Embassy of Denmark in Bangladesh initiated the Capacity Building of Factories in Sustainability and Climate Action project under its SDG Facility, with BIGD as the implementing partner.

Objective

The main objective is to assess the energy usage patterns across Bangladesh’s textile and garment factories and provide strategic recommendations to improve energy efficiency and promote renewable energy adoption. This initiative directly aligns with national and sectoral targets, such as the government’s target of 15% renewable energy in the national energy mix by the same year.

Methodology 

The study employs a mixed-method approach, combining quantitative data analysis, qualitative insights, and benchmarking against global best practices. The methodology is structured into five phases:

  1. Study design and inception: This phase includes a kickoff event with key stakeholders, desk research on existing energy initiatives, and development of sampling and survey instruments. A representative sample of 500 factories, including 30 LEED-certified ones, will be selected across various sub-sectors, geographies, and factory sizes using the Mapped in Bangladesh database.
  2. Field data collection: A team of technical data collectors from BRAC University’s EEE department will collect factory-level data on energy usage, observe production processes, and conduct key informant interviews with factory personnel. Energy consumption metrics, covering electricity, thermal, and renewable sources, will be gathered and triangulated with production data.
  3. Data analysis and benchmarking: The collected data will be statistically analysed to understand patterns and identify performance outliers. Factories will be benchmarked both internally (against each other) and externally (against international standards in countries like China and Vietnam).
  4. Gap analysis and stakeholder engagement: The research team will map energy inefficiencies and propose actionable opportunities for improvement, which will be discussed and validated through stakeholder consultation workshops involving industry associations, policymakers, and factory representatives.
  5. Reporting and dissemination: A comprehensive final report and sector-wide strategy will be developed, including both factory-level and policy-level recommendations. 

Findings and Recommendations 

Forthcoming.

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