Strengthen energy system resilience urgently to tackle future disruptions

Experts urge, stress improved storage, forecasting and communication

FE REPORT | Published: May 02, 2026 22:33:45

Bangladesh must urgently strengthen its energy system resilience through improved storage capacity, better demand forecasting and more coordinated communication to cope with future disruptions, speakers at a webinar said on Saturday.
They also underscored the importance of exploring local energy sources, enhancing information management and raising public awareness, warning that without structural reforms the country risks facing repeated crises.
The observations were made at a webinar titled "Ajker (Today's) Agenda: Is the Economy in the Energy Trap?" hosted by the Power and Participation Research Centre (PPRC).
Sector experts, private sector representatives, NGOs and media personalities highlighted both the short-term shocks and medium-term structural risks of the ongoing energy crisis at the event, moderated by PPRC Executive Chairman Hossain Zillur Rahman.
The panel included former Vice-Chancellor of Bangladesh Agricultural University Professor A. Sattar Mandal, President of the Bangladesh Petrol Pump Owners' Association Mohammad Nazmul Haque, Chairman of the Bangladesh Chamber of Industries Anwar-ul Alam Parvez, Chairman of Padma Oil Company Limited and former Energy Secretary A.K.M. Zafar Ullah Khan, and Chairman of Trade Services International Syed Mahmudul Huq.
The discussion underscored how a combination of supply constraints, demand-side reactions and communication gaps contributed to the severity of the crisis. Participants noted that early signs of disruption quickly escalated into widespread panic buying, with fuel demand rising sharply within days.
Speaking at the event, former Energy Secretary A.K.M. Zafar Ullah Khan raised concerns about the country's storage capacity, questioning how long existing reserves could be sustained.
"Energy prices will inevitably have to be adjusted in line with the international market - if not today, then tomorrow - and this process will continue," he said.
However, he stressed that ensuring uninterrupted supply must remain the top priority. At present, he noted, the country's storage capacity is insufficient to handle significant fluctuations in oil inflows and outflows.
Former Vice-Chancellor A. Sattar Mandal, describing the situation at the field level, said approximately 4.2 million diesel engines are currently in use across the agricultural sector - not only for irrigation but also for a wide range of farming activities.
"I believe that in the coming days, the number of such machines will increase, and accordingly, the demand and usage of diesel will also rise, especially as the number of farmers continues to grow," he said.
Syed Mahmudul Huq explained the broader economic impact of the energy crisis.
"An increase of $5 per barrel in the international market raises our costs by around $400-500 million. This additional financial burden ultimately falls on the entire national economy, so we must consider our alternatives with this in mind," he said.
He also emphasised the need for the "domestication of sources of supply".
The discussion highlighted that managing public communication during such periods is as critical as managing physical supply chains.
Mohammad Nazmul Haque said, "We now need to utilise renewable energy resources and place greater emphasis on gas exploration through well drilling. A positive sign is that, since this government took office, work has already begun on drilling 140 wells."
Anwar-ul Alam Parvez stressed the need for a comprehensive policy framework covering short-, medium- and long-term horizons.
"What needs to be done immediately is to operate our coal-based plants according to their capacity," he said.
In his concluding remarks, Dr Hossain Zillur Rahman noted that while authorities had taken multiple steps, many responses were driven by a largely one-dimensional focus on demand management.
"Our discussion highlighted that we are currently facing an energy crisis, and although we are managing it, unless we can strengthen our medium-term strategies - particularly in management processes and overall import planning - the crisis will persist in a deeper form and may continue to recur," he said.
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