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Bangladesh gas crisis leaves two costly compressor stations inoperative

The debacle surrounding Bangladesh’s gas infrastructure projects in Elenga and Ashuganj stands as a stark reminder of governmental mismanagement and the dire consequences of misplaced priorities.

Initiated in 2016 with the noble intention of bolstering the nation’s gas supply, these endeavours have morphed into costly misadventures, emblematic of bureaucratic inefficiency and systemic flaws.

Despite hefty investments totaling Tk 1,331 crore, primarily sourced from the Asian Development Bank, the Elenga and Ashuganj compressor stations have largely remained idle, failing to achieve their intended objectives.

The Elenga station sits dormant in Tangail due to chronic gas shortages, while its counterpart in Ashuganj operates at a mere 9.79 percent capacity in 2023, rendering it grossly underutilized.

What exacerbates this situation is the fact that these stations were designed to operate for 25 years, yet a significant portion of their lifespan has already elapsed without fulfilling their purpose. Moreover, exorbitant operational costs, totaling Tk 309 crore from 2019 to 2023, further burden taxpayers and highlight the financial mismanagement plaguing these projects.

At the heart of this debacle lies a fundamental disconnect between projected gas supply and actual demand.

The Ashuganj station, intended to serve Dhaka and Gazipur, grapples with insufficient gas reserves once urban areas are catered to, leaving little for the Elenga facility.

Consequently, the latter operates at a fraction of its capacity, exacerbating the nation’s gas woes.

Compounding the issue is the failure to adequately train and retain personnel, exposing systemic flaws in project implementation and workforce management.

Despite provisions for training engineers abroad, logistical challenges and lucrative offers from other sectors have led to a shortage of qualified personnel overseeing operations.

The repercussions extend beyond financial losses, with gas transmission fees soaring and exacerbating socio-economic disparities. Prof. M Shamsul Alam’s assertion that these projects were conceived to siphon public funds reflects a pervasive sentiment of disillusionment and distrust in governmental initiatives.

Addressing this crisis demands urgent accountability and reform. Thorough investigations into procurement processes and potential collusion with external lenders are imperative.

Transparency International Bangladesh’s condemnation underscores the need for accountability and reform within governmental corridors.

Moving forward, the government must prioritize prudent resource allocation, transparent decision-making, and rigorous oversight in future infrastructure endeavours.

Only through rectifying past mistakes and upholding public trust can Bangladesh pave a path toward sustainable development and prosperity for all its citizens.