Gas price hike all-time high | The Business Standard
Skip to main content
  • Home
  • Economy
    • Aviation
    • Bazaar
    • Budget
    • Industry
    • NBR
    • RMG
    • Corporates
  • Stocks
  • Analysis
  • World+Biz
  • Sports
  • Features
    • Book Review
    • Brands
    • Earth
    • Explorer
    • Fact Check
    • Family
    • Food
    • Game Reviews
    • Good Practices
    • Habitat
    • Humour
    • In Focus
    • Luxury
    • Mode
    • Panorama
    • Pursuit
    • Wealth
    • Wellbeing
    • Wheels
  • Epaper
    • GOVT. Ad
  • More
    • Subscribe
    • Videos
    • TBS Graduates
    • Thoughts
    • Splash
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • COVID-19
    • Long Read
    • Interviews
    • Offbeat
    • Tech
    • Magazine
  • বাংলা
The Business Standard

Friday
September 29, 2023

Sign In
Subscribe
  • Home
  • Economy
    • Aviation
    • Bazaar
    • Budget
    • Industry
    • NBR
    • RMG
    • Corporates
  • Stocks
  • Analysis
  • World+Biz
  • Sports
  • Features
    • Book Review
    • Brands
    • Earth
    • Explorer
    • Fact Check
    • Family
    • Food
    • Game Reviews
    • Good Practices
    • Habitat
    • Humour
    • In Focus
    • Luxury
    • Mode
    • Panorama
    • Pursuit
    • Wealth
    • Wellbeing
    • Wheels
  • Epaper
    • GOVT. Ad
  • More
    • Subscribe
    • Videos
    • TBS Graduates
    • Thoughts
    • Splash
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • COVID-19
    • Long Read
    • Interviews
    • Offbeat
    • Tech
    • Magazine
  • বাংলা
FRIDAY, SEPTEMBER 29, 2023
Gas price hike all-time high

Economy

TBS Report
30 June, 2019, 10:25 pm
Last modified: 01 July, 2019, 06:00 pm

Related News

  • Govt moving towards setting power, gas prices based on international market: Nasrul
  • Lack of coordination, policy biggest problems
  • Govt may defer gas price hike to April
  • FBCCI seeks PM's directives on not increasing gas price over 57%
  • Industrial gas price: Entrepreneurs propose to pay Tk25 per cubic metre, govt wants Tk40

Gas price hike all-time high

Consumers to bear brunt of additional Tk8,620 annually

TBS Report
30 June, 2019, 10:25 pm
Last modified: 01 July, 2019, 06:00 pm
Gas price hike all-time high

The government on Sunday increased gas price for all users on average by 32.8 percent which is an all-time high, putting consumers under an additional burden of Tk8,620 crore per annum.

The increased price rate will be effective from Monday (July 1).

Over the past one decade, the companies asked for raising natural gas tariff for four times at the consumers’ end, but the Bangladesh Energy Regulatory Commission (BERC) increased thrice, according to the BERC data.

The move has come in a bid to mitigate the deficit caused by expensive Liquefied Natural Gas (LNG) imports, says the new tariff order. 

According to the new tariff rate, consumers will have to pay monthly Tk925 for a single-burner stove while a double burner will cost Tk975, meaning additional Tk175 for cooking with gas. 

“The commission has fixed the new tariff, taking into account costs of local production, LNG import, transmission and distribution, and also the country’s socio-economic condition,” said BERC Chairman Monowar Islam while briefing media in the capital’s Karwan Bazar on Sunday afternoon.

Due to defective pipelines, the government currently can supply only around 650mmcf LNG per day against its capacity of 1000mmcf a day.

But in the new tariff, the regulatory commission has mentioned the figure at 850mmcf per day. The cost of per cubic blended (local and LNG) gas is Tk12.60, while the existing retail price to end users is Tk7.38 per cubic metre. 

“To meet the high cost of imported LNG, the government needed 75 percent hike in gas prices. But we raised only 32.8 percent, considering the economic condition of low-income people,” Monowar Islam said. 

“We also withdrew the existing minimum charge from metred domestic consumers, industry, captive power, commercial and tea estate, for which distribution companies will suffer a loss of Tk538 crore,” he added. 

On the other hand, the regulatory commission has imposed Tk0.10 in demand charge per cubic metre gas against all consumers except for domestic gas users. In this way, distribution companies will earn additional Tk350 crore. 

In the new tariff, price of gas generated from power plants has increased to Tk4.45 per unit, instead of the existing Tk3.16, meaning a 40.82 percent hike.

Besides, the fertiliser factories will pay Tk4.45 per unit instead of Tk2.71 with a hike by 64.21 percent.

For the captive power plants, the BERC has increased gas tariff by 43.97 percent to Tk13.85 per unit from Tk9.62.

The commission has hiked the gas tariff by 37.89 percent for the industries to Tk10.70 per unit against the existing rate of Tk7.76 per unit.

However, the BERC has increased tariff by 7.50 percent for the CNG stations to Tk43 per unit from Tk40 while it hiked 34.98 percent for commercial use of gas to Tk23 from Tk17.04 per unit.
 

Top News

Gas price

Comments

While most comments will be posted if they are on-topic and not abusive, moderation decisions are subjective. Published comments are readers’ own views and The Business Standard does not endorse any of the readers’ comments.

Top Stories

  • Photo: RNPP project authorities.
    First shipment of nuclear fuel for Rooppur plant arrives in Dhaka 
  • Obaidul Quader speaking at the first meeting of AL's Election Manifesto Formulation Committee at the party's Bangabandhu Avenue central office this morning. Photo: BSS
    Bullet points in AL manifesto, people don't have time to read huge books: Quader 
  • Photo: ICC
    BCB President should give less interviews: Shakib

MOST VIEWED

  • Photo: Courtesy
    Shakib tears into Tamim, says refusal to bat in middle order 'childish'
  • Photo: Facebook
    Tamim's elder brother Nafees removed from team role on Shakib's request
  • Chief of Dhaka Metropolitan Police's Detective Branch Additional Commissioner Harun-Or-Rashid presents a sword to the newly appointed Chief Justice Obaidul Hassan at an event in the capital on Wednesday (27 September). Photo: Collected
    DB chief Harun presents sword to newly appointed chief justice
  • Court orders Jatiya Party vice chairman to repay Tk184 crore loan
    Court orders Jatiya Party vice chairman to repay Tk184 crore loan
  • Bangladesh slips in innovation index; lags behind India, Pakistan, Sri Lanka
    Bangladesh slips in innovation index; lags behind India, Pakistan, Sri Lanka
  • Govt allows trade unions in economic zones
    Govt allows trade unions in economic zones

Related News

  • Govt moving towards setting power, gas prices based on international market: Nasrul
  • Lack of coordination, policy biggest problems
  • Govt may defer gas price hike to April
  • FBCCI seeks PM's directives on not increasing gas price over 57%
  • Industrial gas price: Entrepreneurs propose to pay Tk25 per cubic metre, govt wants Tk40

Features

More than 86 lakh Bangladeshis went abroad as migrant workers in the last 14 years, according to BMET (Bureau of Manpower, Employment and Training). Naturally, these workers return to Bangladesh at some point to settle down. Photo: Syed Zakir Hossain

Why migrant workers have a hard time back at home

1d | Panorama
What impact will a forward forex rate have?

What impact will a forward forex rate have?

1d | Panorama
India-Canada clash should be a wakeup call

India-Canada clash should be a wakeup call

2d | Panorama
It is highly unlikely that inflation rate is going to come down soon. PHOTO: TBS

No more central bank loans to the govt: Will it be enough to curb inflation?

2d | Panorama

More Videos from TBS

Unarmed Armenians do not want to return to Nagorno-Karabakh

Unarmed Armenians do not want to return to Nagorno-Karabakh

1d | TBS World
Is injury the main reason Tamim is excluded from WC Squad?

Is injury the main reason Tamim is excluded from WC Squad?

1d | TBS SPORTS
Tourism master plan aims to attract 5.57m tourists annually by 2041

Tourism master plan aims to attract 5.57m tourists annually by 2041

14h | TBS Today
Best Missing XI: ODI World Cup 2023

Best Missing XI: ODI World Cup 2023

4h | TBS SPORTS
EMAIL US
[email protected]
FOLLOW US
WHATSAPP
+880 1847416158
The Business Standard
  • About Us
  • Contact us
  • Sitemap
  • Privacy Policy
  • Comment Policy
Copyright © 2023
The Business Standard All rights reserved
Technical Partner: RSI Lab

Contact Us

The Business Standard

Main Office -4/A, Eskaton Garden, Dhaka- 1000

Phone: +8801847 416158 - 59

Send Opinion articles to - [email protected]

For advertisement- [email protected]