Power and Energy Adviser Muhammad Fouzul Kabir Khan today ruled out any supply shortage behind the recent alleged disruption in liquefied petroleum gas (LPG) cylinder availability. Report BSS
“About 98 percent of the LPG business in Bangladesh is controlled by the private sector. Government involvement is limited to around two percent, where propane and butane are imported and bottled,” he said after attending a meeting on the Advisers Council Committee on Government Purchase held at the Cabinet Division Conference Room at Bangladesh Secretariat.
The adviser said the abnormal price hike and temporary scarcity were the result of “collusion and deliberate manoeuvring” by wholesalers and retailers, not a failure in imports or production.
He blamed the situation on market manipulation by a section of private operators seeking to exploit a price revision.
The adviser assured consumers that the government would continue to monitor the situation closely and take all necessary steps to prevent further manipulation of the LPG market.
He said that regulatory authority over LPG pricing rests primarily with the Bangladesh Energy Regulatory Commission (BERC).
Fouzul said the government held meetings involving the Energy Secretary and the BERC chairman to assess the situation, followed by discussions between the Energy Secretary and the LPG Operators Association of Bangladesh.
According to the adviser, LPG imports have increased compared to the previous month, making any genuine supply shortage unlikely.
“From the import side, there is no reason for a crisis,” he said, noting that some operators withheld supply in anticipation of higher prices following BERC’s recent adjustment.
He said the recent increase in LPG prices—by more than Taka 50 per cylinder—encouraged certain market players to take advantage of consumers. “This abnormal price hike has been carried out through collusion. It is not a natural market movement,” he added.
To address the situation, he said the government has initiated enforcement measures across the country. Mobile courts have been deployed at the district level to prevent hoarding, forced shutdowns and artificial supply disruptions.
The adviser said the Cabinet Secretary had directed district administrations to take firm action, while the issue was also discussed at the latest law and order committee meeting, involving police and other law enforcement agencies.
Monitoring teams from the energy division have been sent to Chattogram, the main hub for LPG imports and bottling, while similar inspections are underway in Dhaka and other areas. “We believe this was a temporary situation and expect prices and supply to gradually normalize,” he said.
Fouzul also referred to potential global shipping challenges, noting that sanctions on certain vessels have created complications in international shipping.
However, he stressed that these issues have not affected LPG supply in the current month. “There is no immediate impact, but we are closely monitoring future risks,” he added.
He said punitive actions have already been taken in several cases with fines imposed by mobile courts run by district administrations, police and the Directorate of National Consumer Rights Protection. Authorities have also moved to reopen outlets where sales were intentionally halted.
Defending the role of BERC, the Adviser said the commission was established to ensure transparency and stakeholder participation in pricing decisions.
“This is a structured process involving buyers, sellers and regulators. The government does not intend to interfere arbitrarily,” he said.
On the broader gas situation, he reiterated that Bangladesh has adequate domestic gas production and is importing liquefied natural gas (LNG) as planned—indeed, in higher volumes than before. Seasonal pressure on gas pipelines during winter was cited as a technical issue, but not a supply failure.
