CNG filling station owners seek commission hike to Tk 13.96 from Tk 8
Owners of compressed natural gas (CNG) filling stations on Saturday demanded an increase in their commission to Tk 13.96 per cubic metre from the current Tk 8, saying rising operating costs have made many stations financially unviable.
The Bangladesh CNG Filling Station and Conversion Workshop Owners Association also called for an automatic adjustment mechanism to align commissions with future increases in electricity tariffs and other operating expenses.
Speaking at a press conference at its office in Dhaka’s Bijoynagar area, association leaders urged the government to implement the demands by June 30, warning that they would announce a nationwide programme from July 1 if no action is taken.
In a written statement, the association said electricity prices have been raised seven times since 2015, but commissions for CNG station owners have not been adjusted accordingly. As a result, operating and maintenance costs have continued to rise, while the government-fixed retail price of CNG has remained unchanged, leaving station owners unable to pass on the additional costs to consumers, it said.
The association claimed that operating many CNG stations has become increasingly difficult due to mounting expenses.
The owners also referred to a 2013 recommendation by the Ministry of Power, Energy and Mineral Resources, which reportedly proposed raising the commission by Tk 2.98 per cubic metre and introducing an automatic adjustment mechanism linked to future electricity tariff hikes.
According to the association, only Tk 1 of the proposed increase was implemented, while the remaining Tk 1.98 has yet to be realised.
Presenting what it described as a cost-based calculation, the association said Tk 2.46 should be added to the existing commission to offset increased electricity costs.
It further argued that another Tk 3.50 adjustment is needed to account for inflation, higher wages, exchange-rate depreciation, increased prices of spare parts, and other operating expenses.
Taken together, the commission should be increased by Tk 5.96 to Tk13.96 per cubic metre, it said.
The association said station operators are facing higher expenses related to land lease fees, road access charges, licence renewals, equipment maintenance, employee salaries, bank guarantee commissions, and interest payments.
Many stations are now operating at a loss, and some are at risk of closure under the current pricing structure, it added.
The owners also alleged that although several government committees and ministries had acknowledged the validity of their concerns and made recommendations over the years, many of those proposals were not implemented due to bureaucratic delays.
They said they had held discussions with the Energy and Mineral Resources Division and regulatory authorities following the recent change in government, but no significant progress has yet been made.
The association expressed hope that the government would address the issue before the end of June, saying a revision of the commission structure is necessary to ensure the sustainability of the sector.
It also described CNG as an environmentally friendly fuel that has long contributed to reducing air pollution, supporting energy security, and keeping public transport affordable.
