Bangladesh is considered extremely vulnerable to the impacts of climate change. Both adaptation and mitigation measures form a comprehensive national climate change policy approach. Adaptation strategies are crucial for Bangladesh but mitigation can be addressed effectively and provide benefits to the nation. This paper addresses the need for effective mitigation strategies linked with sustainable energy development in Bangladesh. Use of renewable energy, increased energy efficiency and enhancement of energy security constitute a sustainable energy strategy approach. Renewable forms of energy emit far smaller amounts of greenhouse gases (here CO2) compared with fossil fuels and increased energy conservation facilitates the reduction of primary fossil fuel use, thus mitigating climate change impacts while contributing to the provision of energy services and enhancing security of energy supply. In addition, renewable energy sources contribute to provision of other on-site synergistic benefits such as income generation activities, communications and improve human lives, especially in rural and remote locations. Also an allied opportunity exists in Bangladesh via the auspices of the new financing mechanism of Clean Development Mechanism (CDM) under the Kyoto Protocol that could assist in facilitating sustainable energy development. Other initiatives such as advancement of renewable energy technologies under donor driven schemes that foster sustainable energy development in Bangladesh also are discussed.