The government has decided to establish three additional Floating Storage and Regasification Units (FSRUs) by 2029 as part of its efforts to develop a long-term solution to Bangladesh’s energy crisis, Power, Energy and Mineral Resources Minister Iqbal Hassan Mahmood said on Thursday.
The proposed FSRUs will be located at Payra, Mongla and Hiron Point. The process of identifying potential investors has already begun, the minister said while joining virtually a seminar organized by the Centre for Policy Dialogue (CPD) at BRAC Centre.
Efforts Underway to Restore Maheshkhali FSRU
The minister said gas supplies across the country have been disrupted following a fire incident at the Maheshkhali FSRU. Engineers are working continuously to restore the facility, while operations are currently being maintained by synchronizing its boilers.
“The accident could have been much bigger. But since that did not happen, we have been spared from permanent damage. All-out efforts are being made to repair the FSRU,” Iqbal said.
He said LNG procurement has continued despite the damage to the facility, with the government purchasing sufficient cargoes to ensure gas supplies can resume as soon as the FSRU is restored.
“We ordered four cargoes of LNG just yesterday,” he said.
Pipeline Expansion and New LNG Terminal
Outlining plans to strengthen the gas transmission network, Iqbal said a pipeline would be extended from Chattogram to Bakhrabad to improve gas supply.
The government is also considering establishing a land-based LNG terminal through a single-mooring system in the future, he said.
Gas Exploration Gets Priority
Regarding domestic gas exploration, the minister blamed 17 years of inadequate exploration for contributing to the country’s current energy situation.
“The government is giving top priority to gas exploration through well drilling, and two new rigs have been procured to strengthen BAPEX,” he said.
On the possibility of supplying gas from Bhola without constructing a pipeline, Iqbal said technical discussions had been held with Malaysia. If gas from Bhola can be transported without a pipeline, it could provide significant benefits to industrial consumers, he added.
Private Sector May Get Role in Fuel Oil Imports
Regarding the possibility of allowing private companies to import fuel oil, the minister said the government is considering allocating a certain portion of imports to private-sector companies.
However, he stressed that no policy has yet been finalized and dismissed various reports and rumours about the matter as baseless.
Battery-Run Rickshaws Increasing Pressure on Grid
The minister also raised concerns over the growing pressure on the national power grid from battery-powered rickshaws.
He said the increasing demand for battery charging has changed the country’s peak electricity consumption pattern. Previously, peak demand was concentrated between 7pm and midnight, but electricity demand of around 18,000 megawatts is now being recorded even after midnight.
Iqbal said many battery-run rickshaws are reportedly drawing electricity through illegal connections, making the situation increasingly difficult to control.
He said power-sector officials often face resistance and physical attacks when attempting to disconnect illegal connections, further complicating efforts to manage the additional demand.
Govt Intensifies Efforts to Address Power Crisis
The minister said the government is making all-out efforts to overcome the current power crisis and is working seriously to restore stability in the energy sector.
He added that Prime Minister Tarique Rahman is personally monitoring the situation.
Iqbal also said the Prime Minister would present the government’s comprehensive energy policy in detail before Parliament.
