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Gas supply to return normalcy by next few days

The government has taken prompt initiatives and made alternative arrangements for liquefied natural gas (LNG) imports to address the ongoing disruption in gas supply to previous levels within the next few days.

Speaking as the chief guest at a seminar on energy security in Dhaka on Monday, Finance and Planning Adviser Rashed Al Mahmud Titumir said that the government was taking both immediate and long-term measures to address vulnerabilities in Bangladesh’s energy sector, while acknowledging the hardship caused by the current gas shortage.

“Thanks to the government’s prompt initiatives and alternative arrangements for LNG imports, gas supply will return to its previous level within the next few days,” he said.

Titumir was speaking at the seminar titled “Energy Security in Bangladesh: From Crisis Management to Resilient Energy Transition”, organised by the Bangladesh Institute of International and Strategic Studies (BIISS) at its auditorium. The event was chaired by BIISS Director General Major General A S M Ridwanur Rahman.

According to Titumir, national gas demand currently stands at around 3,800 million cubic feet per day (MMCFD), while total demand including pending applicants is estimated at 5,200 MMCFD. Against this, current supply is about 2,600-2,700 MMCFD, comprising approximately 1,600 MMCFD from domestic sources and 1,000 MMCFD from LNG.

The immediate disruption has highlighted the risks associated with Bangladesh’s dependence on imported energy and a limited number of critical infrastructure facilities.

“First and foremost, we are deeply sympathetic to the suffering of our people,” he said. “As the Prime Minister has pointed out, we have been unable to fully ensure energy security, and we share the pain of the public’s suffering.”

Titumir said the government inherited a “fragile” power and energy sector and was now working to address both the immediate supply crisis and the structural weaknesses that have accumulated over the years.

He argued that having generation capacity on paper does not necessarily translate into genuine energy security.

“Real energy security means the ability to provide reliable, increasing energy without creating unsustainable fiscal, foreign exchange, or external sector pressures,” he said.

He said imported fuel carries significant macroeconomic consequences, affecting the balance of payments, foreign exchange reserves and exchange-rate stability.

The government, he said, is therefore pursuing a combination of domestic resource development, energy efficiency, infrastructure expansion and diversification of import sources.

Among the longer-term measures, the government is establishing a 1,000 MMCFD land-based LNG terminal at Matarbari under a build-own-transfer model. Negotiations are also nearing completion with a Chinese company for a 600 MMCFD floating storage and regasification unit (FSRU) in the deep waters of Kutubdia.

Petrobangla has also been directed to assess the feasibility of additional FSRUs at Payra and Mongla, while feasibility and road surveys for the Feni-Bakhrabad pipeline have been completed.

The government is also examining ways to bring Bhola’s gas reserves into the national network through a proposed 96-kilometre Bhola-Barisal pipeline.

Titumir said infrastructure was being redesigned to create a better geographical balance in the country’s energy system, which is currently heavily concentrated in the south-east.

The government is also stepping up domestic exploration in an effort to reduce dependence on imported LNG.

Titumir said 30 exploratory wells had already been completed against the initial target, with seven more under way. A second phase involving an ambitious 150-well drilling programme has also been planned.

He said the government was working to improve the capacity of Bangladesh Petroleum Exploration and Production Company (BAPEX) so that it could participate more effectively in joint ventures with international oil and gas companies.

“Experience is built by working alongside others,” he said, rejecting the argument that BAPEX lacks the experience necessary to work with multinational companies.

The government is also examining development frameworks for the Bibiyana, Jalalabad and Moulvibazar gas fields and discussing technologies to detect gas leakages and reduce technical system losses.

Beyond LNG and gas supply, Titumir outlined a broader plan to reshape Bangladesh’s energy mix.
He said the government was moving ahead with the Rooppur Nuclear Power Plant reform framework and expected Unit 1 to begin commissioning in early 2027, subject to the required safety and regulatory processes.

Solar power will form another major component of the transition. Titumir said Bangladesh would require 40-45GW of generation capacity to support a trillion-dollar economy and argued that increasing solar capacity to 16GW would help return the grid to normal operating conditions, while 19GW during peak summer months could stabilise it further.

The government introduced a new solar incentive circular on 1 September, offering a tariff of Tk10.25 per unit for households and businesses installing solar systems.

“Our goal is to transform every household from an electricity consumer into an electricity producer,” Titumir said.

He also outlined plans to install solar panels over excavated canals, arguing that the approach could generate electricity while reducing water evaporation and helping preserve water resources.

Under the Bangladesh-Bhutan-India-Nepal framework, the government aims to import up to 5GW of competitively priced clean hydropower from Nepal and Bhutan during summer and potentially export surplus solar power during winter.

Titumir similarly said “We are not merely managing the immediate crisis; we are constructing a strategic framework for recovery, restoration, reconstruction, and acceleration”.

In his opening address, BIISS Director General Major General ASM Ridwanur Rahman said Bangladesh’s energy challenge had become an issue of economic security, industrial competitiveness, foreign policy and national resilience.

“Energy security is no longer simply about producing sufficient electricity or securing adequate fuel,” he said, adding that it had become integral to the country’s wider economic and strategic security.

He also highlighted Bangladesh’s increasing dependence on imported energy, noting that the share of imported energy in primary energy supply had risen from an estimated 47.7 per cent in fiscal year 2021 to 62.5 per cent in 2024-25.

Apart from it, presentations were delivered by BIISS Research Director Dr Mahfuz Kabir, Energy and Mineral Resources Division Additional Secretary Manjur Alam Prodhan and ESTex Foundation Chairman Professor Dr Ejaz Hossain.