From its launch on May 12, 2018, until May 2022, the Bangabandhu Satellite-1 did not generate any revenue. However, it has since been presented as a profitable entity. Even considering this supposed profitability, the satellite's 'profit' will only last another 11 years, as its operational lifespan is only until 2033.

The government's accounts show a monthly net income of 90 million takas, amounting to an annual revenue of 1.08 billion takas. At the end of its service life, this revenue will total 1.188 billion takas. However, the total expenditure on the Bangabandhu Satellite project was 2,765 billion takas, including a debt of 1,358 billion takas from HSBC Bank, influenced by China.

At the end of the satellite's lifespan, Bangladesh will face a loss of 1,577 billion takas. France has charged Bangladesh 1,951 billion takas for the satellite system, while the Chinese HSBC Bank has financed a billion-dollar loan. Bangladesh is trapped in a debt of 1,358 billion takas.

Surprisingly, even as there are doubts about recovering 50% of the expenses from the first satellite, Bangladesh has already proposed a loan to Russia for launching a second satellite, indicating the Hasina government's initiative to plunge the country into another cycle of debt.

In March 2012, the U.S.-based 'Space Partnership International' was appointed as the main consultant for the design of the Bangabandhu-1 Satellite System. Later, the satellite system was purchased from the French company Thales Alenia Space for 1,951 billion 75 million 34 thousand takas, totaling an expenditure of 2,765 billion takas for the launch.

Currently, Bangladesh Television, Bangladesh Betar, and a total of 38 satellite television channels, including the DTH operator 'Akash,' are broadcasting through Bangabandhu Satellite-1. According to the latest annual report (2022-23) of the satellite company, Bangabandhu Satellite generates 100 million takas per month, with one-tenth of this revenue going towards maintenance costs.

Commercial operations of the satellite began on May 19, 2019, a year after its launch, with a government account showing a net monthly income of 90 million takas. However, for the first three years until 2022, the satellite did not generate any revenue for Bangladesh.

Currently, all 14 transponders of the satellite's C-band have been contracted for sale, and about 34% of the KU-band transponder's capacity has been sold. So far, contracts for VSAT services have been signed with four government and three private institutions.

Despite the financial struggles of Bangabandhu Satellite-1, the feasibility of Bangabandhu Satellite-2 has been assessed by PWC. The Economic Relations Division (ERD) sent a letter to Russia on April 3 last year regarding the demand for a loan for project implementation. Currently, the Bangladesh Satellite Company (BSCL) has started preparing the DPP for the Bangabandhu Satellite-2 launch project. Once the final DPP is prepared and approved by the ministry, further steps for satellite construction and launch will be taken as per government directions.

Meanwhile, despite not seeing profitable returns from its own satellite, the cabinet approved a proposal on March 20, 2017, ensuring Bangladesh's participation in the launch of the 'South Asia Satellite' initiated by India. This agreement allows the use of proposed South Asia Satellite 'capacity' for various satellite base services free of cost. This satellite will have 12 transponders, one of which will be provided free of charge to Bangladesh by India.

Why this situation has arisen

An engineer working at the Bangladesh Satellite Company (BSCL), currently employed at the Bangladesh Telecommunication Regulatory Commission (BTRC) and wishing to remain anonymous, explained that every country that has launched its satellite has done so within its own orbital slot. Bangladesh is located at 86.91 degrees East longitude. Considering this, Bangladesh should have received the slot at 86.91 degrees. However, there are two Russian satellites among others at 88.91 degrees, making it impossible to obtain a position there.

He added that although the 86.88 degrees slot was completely vacant, the International Telecommunication Union (ITU) did not grant any slot to Bangladesh. Why ITU did not provide the slot or why the authority failed to secure it there remains unanswered.

Subsequently, Bangladesh attempted to secure a position at 102 degrees, but this slot also faced objections from Russia, Australia, and France, among other countries, because the Bangabandhu Satellite would disrupt their broadcasts. Efforts to secure a position at 79 degrees were also obstructed by China, Singapore, Malaysia, and other countries.

The engineer noted that most of the 40 countries involved have obstructed Bangladesh's satellite placement. Finally, the Bangabandhu Satellite secured a position at 119.1 degrees East longitude.

Highlighting the core issue, the engineer questioned how effectively a satellite at 119.1 degrees longitude could cover services intended for a position at 90 degrees. If precise coverage were possible from any slot, why would other countries launch satellites specifically within their designated slots, or why would there be no issues except for Bangladesh? Why didn't ITU grant Bangladesh the slot at 86.88 degrees? Regardless of the answers to these questions, they are unlikely to favor Bangladesh.

Another reliable source from BSCL mentioned that the Bangabandhu Satellite is geostationary, meaning it will remain at a fixed height above the earth for its entire lifespan and will not orbit the earth.

The engineer emphasized that while Bangladesh's various satellite TV channels and private companies have begun receiving services from the Bangabandhu Satellite, we have not been able to guarantee or announce that the quality of services from our satellite would be superior to foreign satellites.

He noted that the Bangladesh government dreams of earning 50 million dollars by providing services abroad through the Bangabandhu Satellite, but the question remains: who will buy services from Bangladesh? Bhutan, Nepal, Myanmar, Arab countries, or any Southeast Asian country? Bangladesh is still entirely dependent on India. Considering this, why would Nepal, Bhutan, or any other country choose to receive services from the Bangabandhu Satellite over India, which will not share this business with Bangladesh?

A marketing officer mentioned that launching the Bangabandhu Satellite into the sky, 42% of which failed to reach its own orbit and only 15% of which functioned correctly, raises doubts about its ability to provide all types of services.

The marketing department source added that it was foreseeable that neighboring countries like Myanmar, Nepal, Sri Lanka, Maldives, and Bhutan might use the Bangabandhu Satellite's services, but so far, no one has agreed to rent this expensive satellite.

The source also mentioned that India, a potential commercial competitor, is already capable of satellite launch and construction, with several satellites currently in space. Whether Bangladesh can offer its transponders for rent at a lower price than India, and considering China's role, it is evident that for Bangladesh, the Bangabandhu Satellite is more like a white elephant. Only a few domestic TV channels are using this costly satellite, and it is impossible to cover the expenses and make a profit from it.

Additionally, the services that were supposed to be facilitated by the satellite, such as domestic telecommunications, weather forecasting, military communications, and educational fields, are not the responsibilities of Bangabandhu Satellite-1, as clarified by the officer. BSCL is not even working on these issues.

When contacted, Dr. Shahjahan Mahmud, Chairman and CEO of Bangladesh Satellite Company Limited, declined to speak with Bangla Outlook.