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Frequent and prolonged power outages across rural areas are taking a heavy toll on businesses, especially small and medium enterprises (SMEs), disrupting production cycles, inflating operating costs, and eroding the incomes of both entrepreneurs and workers.
Business owners in districts across Rangpur, Rajshahi, Khulna, and Habiganj say they are facing load shedding for as long as seven to eight hours a day. The erratic electricity supply has forced many factories, workshops, and processing units to either suspend operations or run at significantly reduced capacity.
This is happening as the country grapples with a severe energy crisis triggered by global fuel supply disruptions. A sudden decline in fuel supply has led to a drop in electricity generation, forcing the government to resort to power rationing.
Average peak-hour power shortages have exceeded 1,500 megawatts (MW) a day over the past two weeks, causing widespread load shedding, particularly in rural areas, according to data from the Bangladesh Power Development Board (BPDB) and the Bangladesh Rural Electrification Board (REB).
SMEs engaged in agro-processing, rice milling, cold storage, light engineering, workshops, poultry feed production, and cottage industries are among the worst affected. These sectors are highly dependent on uninterrupted power to maintain continuous production and preserve raw materials.
Entrepreneurs say reliance on diesel-powered generators has increased sharply at a time when fuel prices remain elevated, driving up production costs. Smaller enterprises, however, cannot afford backup power, leaving them completely shut during outages.
"We lose nearly half of our production time due to power outages," said Md Mohor Ali, owner of Barnali workshop in Panchagarh district, which makes iron and stainless steel products, including gates, doors, and windows.
"We have orders to deliver, but machines remain idle for hours. Buyers are becoming impatient," he added.
Interviews with entrepreneurs by The Financial Express reveal that the damage is not limited to lost production hours but is multi-layered.
Apart from immediate output losses, frequent voltage fluctuations are damaging sensitive machinery, leading to higher repair costs and shortening equipment lifespans. In sectors like cold storage and dairy processing, power cuts also risk spoilage of perishable goods, compounding financial losses.
Bangladesh has around 400 cold storage facilities, whose owners now worry about mounting financial losses as frequent power cuts threaten the preservation of perishable goods, particularly potatoes.
Uninterrupted electricity is critical for maintaining the required temperature inside cold storage facilities. Ongoing power cuts have made it difficult to ensure proper preservation, raising fears of spoilage and market instability.
"We need nearly round-the-clock electricity, but outages lasting several hours are now routine," said Shamim Prodhan, owner of Uttar Bangla Cold Storage at Haragach in Rangpur.
Hence, cold storage owners are forced to use diesel-powered generators to ensure power supply during hours of load shedding.
"Even then generators can only run for short periods," said Mr Prodhan, adding that the cost of electricity from generators is more than double that of grid power. Increased operating costs will push up storage charges, resulting in higher food prices.
Meanwhile, poultry farm owners across the country are bracing for significant losses as frequent power cuts disrupt temperature control systems critical for bird survival and production.
Industry insiders say uninterrupted electricity is essential for maintaining proper ventilation, lighting, and heating in poultry sheds, especially for broilers and layer chickens. Persistent load shedding-more acute in rural areas-has made it increasingly difficult to sustain optimal farm conditions.
Farmers said that sudden power outages often lead to heat stress, suffocation, and even mass bird deaths, particularly during the ongoing hot season.
"Even a one-hour outage can be devastating for a fully stocked shed," said Rafiq Hasan, a poultry farm owner at Thakurgaon, noting that cooling fans and water systems do not function without electricity.
Frequent power outages have also been hampering production at PRAN-RFL Group, one of the country's leading agro-processing companies.
Company officials said nearly 50 per cent of PRAN's total annual manufacturing is carried out in factories located in Habiganj and the northern region. Electricity supply disruptions in these areas have severely affected production.
Managing Director Md Eleash Mridha said the company's factories are experiencing load shedding five to six times a day, forcing repeated interruptions in manufacturing processes.
"Around 50 per cent of our manufacturing takes place in Dhaka, while the remaining 30 per cent in North Bengal and 20 per cent in Habiganj," he said, adding that the impact of power cuts is particularly acute outside the capital.
Each power outage compels factory operators to halt production and restart processes from scratch. According to the company, this involves cleaning and recalibrating machines after every disruption, leading to substantial time and resource losses.
Such repeated interruptions not only reduce efficiency but also increase operating costs due to higher labour, maintenance, and energy expenses.
Mr Mridha warned that the cumulative effect will be reflected in the company's financial performance.
The experiences shared by entrepreneurs offer a glimpse into the broader challenges facing businesses across the country, particularly in rural and semi-urban regions.
The crisis is also affecting employment. Thousands of workers in rural SMEs-many of whom are paid on a daily or production basis-are now facing irregular incomes as production schedules have become uncertain. In some areas, workers are reportedly being sent home early or asked not to report to work on days when outages are severe.
Economists warn that the situation could have broader implications for the national economy.
SMEs account for a substantial share of the country's industrial output and employment. Continued disruptions in this segment could weaken supply chains, reduce export competitiveness in certain sub-sectors, and hinder poverty reduction efforts.