LPG down, new power tariff soon
The Bangladesh Energy Regulatory Commission (BERC) has reduced the retail price of privately marketed liquefied petroleum gas (LPG) for June, providing some relief to consumers, while a decision on proposed electricity tariff increases is expected to be announced today (3 June).
According to a notification issued by the regulator, the price of the widely used 12kg LPG cylinder has been reduced by Tk55 to Tk1,885 from Tk1,940 in May. The revised prices came into effect from 6pm on Monday.
BERC fixed the retail price of private LPG at Tk157.06 per kilogramme, down from Tk161.71 per kilogramme in the previous month.
The adjustment reflects changes in the international benchmark Saudi Aramco Contract Price (CP), which is used as the basis for determining local LPG prices.
For June, Saudi Aramco set the contract price for propane at $760 per tonne and butane at $820 per tonne.
Based on the 35:65 propane-butane blend used by BERC, the weighted average contract price was calculated at $799 per tonne, compared with $782.5 per tonne in May.
Under the revised pricing structure, a 5.5kg LPG cylinder will cost Tk864. The prices of 12.5kg, 15kg, 20kg and 45kg cylinders have been fixed at Tk1,963, Tk2,356, Tk3,141 and Tk7,068 respectively.
The regulator also lowered the consumer price of autogas by Tk2.59 per litre to Tk86.93 per litre, down from Tk89.52 per litre in May.
Meanwhile, the price of LPG supplied through reticulated systems has been set at Tk153.31 per kilogramme in liquid form and Tk340.70 per cubic metre in gaseous form.However, BERC left the price of state-owned LPG unchanged.
A 12.5kg cylinder supplied by state-run operators will continue to sell at Tk776.93 at both dealer and retailer levels.
At the same time, attention has turned to the electricity sector, as BERC is scheduled to announce its verdict on proposals to revise power tariffs at the wholesale, transmission and retail levels.
In a notice issued on Tuesday, the regulator said its decision would be unveiled during a press briefing at its headquarters at 3pm.
The announcement follows a two-day public hearing held on 20 and 21 May, where stakeholders, utility operators and consumer rights representatives debated proposals to increase electricity prices.
BERC reviewed separate applications from power generation, transmission and distribution companies seeking tariff adjustments.
During the hearings, the Bangladesh Power Development Board (BPDB) proposed raising wholesale electricity tariffs by between Tk1.20 and Tk1.50 per unit. The utility argued that a price revision was necessary to help contain mounting financial losses in the power sector.
Based on submissions from BPDB, Power Grid Bangladesh (PGB) and distribution companies including the Bangladesh Rural Electrification Board (BREB), Dhaka Power Distribution Company (DPDC), Dhaka Electric Supply Company (DESCO), West Zone Power Distribution Company (WZPDCO) and Northern Electricity Supply Company (NESCO), BERC’s Technical Evaluation Committee recommended a weighted average increase of Tk1.25 per kilowatt-hour (kWh) in retail electricity tariffs.
According to the committee, the proposed adjustment could reduce the government’s electricity subsidy burden by as much as Tk13,000 crore in the 2026-27 fiscal year.
The regulator’s decision is expected to provide greater clarity on the future pricing structure of electricity and its potential impact on consumers, businesses and the government’s subsidy commitments.
