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Synopsis The very low level of available commercial energy is a serious constraint on economic development in Bangladesh. Fortunately, there is one bright prospect – sizeable discoveries of natural gas. This report explores three options for how Bangladesh might use its natural gas endowment: exporting gas to provide public revenues that could be directed to many other development needs; expanding the many possible end-uses for gas in domestic industry, agriculture and households; or concentrating natural gas use on accelerated electrification. After assessing the three options, the authors conclude that rapid electrification should have the highest priority. In addition, the report discusses institutional reforms to foster private investment and to improve the transparency, efficiency and consistency of government corporations, ministries and agencies. There is an important case to be made for integrated resource planning that includes environmental and social objectives.