Bangladesh faces 1,100mmcf daily gas shortfall

Bangladesh is currently able to supply only about 2,700 million cubic feet (mmcf) of natural gas a day against a daily demand of around 3,800 mmcf, leaving even the capital with a significant supply shortfall, Power, Energy and Mineral Resources Minister Iqbal Hassan Mahmood said.

Replying to a question from Bangladesh Jamaat-e-Islami MP Mohammed Kamal Hossain (Dhaka-5) in Parliament, he said the country is facing a daily gas deficit of about 1,100 mmcf, resulting in disruptions to gas distribution in different parts of Dhaka and elsewhere.

“As Dhaka is also receiving significantly less gas than its actual requirement, gas distribution has been affected to some extent in all areas,” the minister said.

He also informed the House that power transmission and distribution losses have declined over the past year.

Responding to a question from Jamaat MP Md Golam Rasul (Jashore-4), Iqbal Hassan said transmission system loss stood at 3.04 percent and distribution loss at 7.38 percent in the 2024-25 fiscal year.

During the first 10 months of the 2025-26 fiscal year, up to April, transmission loss fell to 3.27 percent while distribution loss declined to 6.29 percent, he added.

On fuel prices, the minister said the recent easing of international oil prices following the cessation of war has not yet brought prices below the break-even level.

Answering a question from Jamaat MP Md Mahbubur Rahman Belal (Rangpur-3), he said the state-owned Bangladesh Petroleum Corporation (BPC) is still incurring losses of around Tk 78 crore per day from the sale of diesel, octane and petrol.

Iqbal Hassan said BPC incurred cumulative losses of Tk 18,699.31 crore between March and June 23.
He said the government could consider reducing domestic fuel prices to provide relief for consumers once international oil prices decline further to a sustainable level.

On the review of power purchase agreements signed under the Speedy Supply of Power and Energy (Special Provisions) Act, 2010, the minister said two separate committees formed to examine the contracts have already submitted their reports.

Replying to a question from reserved seat Jamaat MP Subikunnahar, he said the government was taking necessary follow-up actions based on the recommendations made by the committees.

Iqbal Hassan also told Parliament that no quick rental power plants are currently in operation in the country, and no contracts with such plants remain in force.

In response to a question from BNP lawmaker Md Mustafizur Rahman Babul (Jamalpur-3), he said two rental power plants had their contracts renewed after expiry on a “no electricity, no payment” basis, and those arrangements remain in effect.

“As there are no operational quick rental power plants, no capacity charge is currently being paid,” the minister added..