Furnace oil price hiked again

The Bangladesh Energy Regulatory Commission (BERC) has once again hiked the retail price of furnace oil, mainly used in power generation and industrial sectors, by Tk 18.85 per litre, reports bdnews24.com
Under the new directive, the price of a litre of furnace oil has risen to Tk 113.54, up from the previous rate of Tk 94.69, according to a BERC media statement issued on Monday.
The updated tariff will take effect from midnight on Monday and remain in place until further notice.
It will apply to the Bangladesh Power Development Board (BPDB), state-run and private power plants, factories, and other commercial consumers.
This marks the second price hike in just over a month.
On Apr 12, the energy regulator raised the price from Tk 70.10 to Tk 94.69 per litre.
In a span of just 36 days, the cumulative price of the fuel has jumped by Tk 43.44 per litre.
Explaining the rationale behind the sudden adjustment, BERC said the new price was determined by evaluating the Platts rate of refined furnace oil imported between Apr 13 and May 12, the FOB value of imported crude oil in May, and current fluctuations in the US dollar exchange rate.
The pricing decision follows recommendations from a special  review committee formed by the commission on Mar 15.
The committee's findings on international market benchmarks, import expenses, and currency rates were formally approved during a special meeting of the commission on Monday.
The frequent adjustments are being carried out under a framework established by BERC on Feb 22.
The framework dictates that furnace oil prices are to be revised every three months, or as needed, to match global market shifts.