Petrobangla to raise gas supply further from today

Gas supply to industries increased in the first four months of the current year, and the supply of this key energy source to factories will increase further from today, said state-run Petrobangla.

The agency said it would provide an additional 150 million cubic feet of gas per day (mmcfd).

Gas supply to captive power plants and factories rose 21 percent year-on-year to 997 mmcfd in the first four months of this year, Petrobangla said in a statement issued on Monday.

It was 823 mmcfd a year ago.

The disclosure comes in response to complaints of a decline in gas supply by textile and garment factory owners.

The statement termed the claim "misleading" and shared supply figures for the factories.

On Sunday, textile millers demanded an increase in supply, pointing out that many factories were on the verge of shutting down as they were unable to operate even at minimum capacity.

Petrobangla, responsible for the exploration and exploitation of natural gas, said in April alone, supply shot up 50 percent year-on-year to 1,088 mmcfd.

In March this year, gas supply was higher than in the same month a year ago.

The state agency said to meet the growing industrial demand, it had arranged the import of six additional liquefied natural gas (LNG) cargoes this year.

The import cost of LNG is about Tk 65 per cubic metre, while industrial users pay Tk 30 and captive power producers Tk 31.50 per cubic metre.

The government is providing subsidies of Tk 35 per cubic metre of gas supplied under the current pricing structure, it added.

"The government is actively working to ensure adequate gas supply to industries and has taken timely measures to that end. We hope this clarification will dispel any misunderstandings surrounding the issue," the statement said.