The government is set to establish a third floating storage and regasification unit (FSRU) in Moheshkhali of Cox's Bazar to import more liquefied natural gas, or LNG, despite price volatility, subsidy pressure, and opposition from various quarters.
The government already has to pay $4,54,000 per day as capacity charge alone to the two existing LNG suppliers.
The Energy and Mineral Resources Division of the energy ministry sent a letter to Petrobangla on 09 December directing it to take the next course of action for the project.
The decision for a third FSRU was taken under the Speedy Supply of Power and Energy (Special Provision) Act, taking into consideration local gas production, demand, supply and pipeline capacity, and to mitigate the gas deficit by 2022-23 and onward, reads the letter sent to Petrobangla justifying LNG imports.
Summit Oil and Shipping Co Ltd will implement the terminal, which would be its second terminal so far.
The decision comes at a time when experts and a section of government high-ups have urged reconsidering the energy plan in the face of rising prices of LNG and other fossil fuels on the global market.