Govt to import 0.9m tonnes refined petroleum from Malaysia
Tuesday, 7 October 2008
The government will import 900,000 tonnes of refined petroleum from Malaysia through leapfrogging the lengthy process of floating tender and making government-level deals, reports UNB.
Bangladesh Petroleum Corporation (BPC) will directly make the bulk import of fuel from the Malaysian state-owned Petronus Trading Corporation SDNBSD (Petco) during September 2008-June 2009 period.
The Advisers Committee on Economic Affairs, previously known as Cabinet Economic Affairs Committee, Monday approved a proposal along with a waiver to this effect.
That means the government would not need to sign any state-to-state agreement for this direct import. Rather, the BPC will have the authority to sign deal with its counterpart (Petco) to import the petroleum fuel.
However, the BPC will have to put forward the purchase proposal to the Cabinet Purchase Committee. For the purchase, the premium cost was proposed to be $6.30 per barrel for gasoline while $6.75 for kerosene.
This is for the first time the caretaker government has moved to import petroleum from Malaysia, one of the newly industrialised countries of Asia.
Bangladesh's annual petroleum demand is about 3.0 million tonnes. Normally Bangladesh imports petroleum from the Middle-eastern countries and neighbouring India for meeting the demand.
The meeting of the Economic Affairs Committee, presided over by Finance Adviser Mirza Azizul Islam, also approved another proposal for the sell out of three state-owned enterprises (SOEs) to private entrepreneurs.
The SOEs are Satrong Textile Mills in Gazipur, Karnaphuli Rayon Mills at Kaptai, and Particle Board & Veneer Plant in Chittagong.
Among the mills, the purchase price for Satrong Textile was proposed to be Tk 34.1 million along with its bank loan of Tk 59.4 million and liabilities of Tk 77.8 million while the proposed price of Karnaphuli Rayon Mills is Tk 911.1 million and Particle Board Tk 265.3 million.
The committee gave its conditional nod to another proposal of the power ministry for selling out the dry fly ash of Barapukuri Power Plant.
A responsive bidder has proposed to buy the fly ash at Tk 823 per tonne for a period of 30 years. Only after every five years, the purchase rate could be renegotiated.
But the committee tagged a condition that there should be flexibility that the price could be renegotiated every year.
If the bidder accepts the new condition, then the state-owned Power Development Board (PDB) could sell the ash to the bidder.
Bangladesh Petroleum Corporation (BPC) will directly make the bulk import of fuel from the Malaysian state-owned Petronus Trading Corporation SDNBSD (Petco) during September 2008-June 2009 period.
The Advisers Committee on Economic Affairs, previously known as Cabinet Economic Affairs Committee, Monday approved a proposal along with a waiver to this effect.
That means the government would not need to sign any state-to-state agreement for this direct import. Rather, the BPC will have the authority to sign deal with its counterpart (Petco) to import the petroleum fuel.
However, the BPC will have to put forward the purchase proposal to the Cabinet Purchase Committee. For the purchase, the premium cost was proposed to be $6.30 per barrel for gasoline while $6.75 for kerosene.
This is for the first time the caretaker government has moved to import petroleum from Malaysia, one of the newly industrialised countries of Asia.
Bangladesh's annual petroleum demand is about 3.0 million tonnes. Normally Bangladesh imports petroleum from the Middle-eastern countries and neighbouring India for meeting the demand.
The meeting of the Economic Affairs Committee, presided over by Finance Adviser Mirza Azizul Islam, also approved another proposal for the sell out of three state-owned enterprises (SOEs) to private entrepreneurs.
The SOEs are Satrong Textile Mills in Gazipur, Karnaphuli Rayon Mills at Kaptai, and Particle Board & Veneer Plant in Chittagong.
Among the mills, the purchase price for Satrong Textile was proposed to be Tk 34.1 million along with its bank loan of Tk 59.4 million and liabilities of Tk 77.8 million while the proposed price of Karnaphuli Rayon Mills is Tk 911.1 million and Particle Board Tk 265.3 million.
The committee gave its conditional nod to another proposal of the power ministry for selling out the dry fly ash of Barapukuri Power Plant.
A responsive bidder has proposed to buy the fly ash at Tk 823 per tonne for a period of 30 years. Only after every five years, the purchase rate could be renegotiated.
But the committee tagged a condition that there should be flexibility that the price could be renegotiated every year.
If the bidder accepts the new condition, then the state-owned Power Development Board (PDB) could sell the ash to the bidder.