Uniform natural gas tariff is necessary

Till August 2018, the gas that Bangladesh was consuming was extracted from local gas fields. Petrobangla began to supply imported liquefied natural gas (LNG) in transmission gas lines from end of August 2018. It has been reported by local media that the Bangladesh Energy Regulatory Commission (BERC) will soon increase natural gas tariff for fertiliser factories, industries, commercial, and captive power plants in areas where LNG is being supplied.

The industrial development that Bangladesh has so far achieved is not very significant if considered from a regional perspective. All the industrial units are concentrated around Dhaka and Chottogram as these areas enjoy low-cost fuel. Most citizens living in or near the two districts are the direct beneficiaries of industrial development.

The government should develop an environment that will allow setting up industrial units in all parts of the country, and not just in and around these two urban areas. As supplying gas to every region will not be possible in near future, the difference in tariff based on location can be reduced. In Bangladesh, eight different fuel gas prices have been prevailing for decades. This structure needs streamlining gradually.

The BERC can take a policy of single price for natural gas at retail level irrespective of consumer. To implement the policy as well as to balance the imported LNG price, step-by-step price increase can come into effect. For all other purposes, a single price may be fixed taking into consideration the cost of imported LNG while also considering the situation of the consumers. I would like to urge the BERC to fix a single price of gas for all consumers, as is the case with other liquid fuel, except for commercial establishments, households and CNG for vehicles.

Md Ashraf Hossain

8/A, Ramna, Dhaka

mah120cb@yahoo.com