HC seeks explanation on gas distribution price hike

The High Court (HC) Division of the Supreme Court issued on Sunday a rule seeking an explanation as to why the decision of the Bangladesh Energy Regulatory Commission (BERC) to raise the prices of gas production, transmission and distribution will not be declared illegal, reports UNB.

The BERC, its chairman, Power, Energy and Mineral Resources ministry secretary, Petrobangla chairman and four others have been asked to respond to this rule within four weeks.

The HC bench of Justice FRM Nazmul Ahsan and Justice M Kamrul Kader issued the rule after a primary hearing on a writ petition. Barrister Jyotirmoy Barua stood for the petitioner.

On October 16, 2016, the BERC raised the prices of gas production, transmission and distribution.

Convener of Consumers Association of Bangladesh (CAB) Architect Mobassher Hossain filed the writ petition challenging the decision.

Barrister Jyotirmoy Barua said though there has been a ban on imposing Value Added Tax (VAT) on imported gas since 1993, gas prices were hiked in mid-2018 defying the ban.