Bangladesh buying another 100,000 tonnes of diesel

The Bangladesh government has decided to import another 100,000 tonnes of refined diesel amid fears of disruption in fuel supply amid the ongoing conflict in the Middle East. In addition, 25,000 tonnes of octane will also be imported.

The Cabinet Committee on Public Purchase meeting on Thursday gave in-principle approval for the import of the fuel, a press release said.

The meeting was held at noon in the parliament building.

The previous committee meeting on Apr 21 had approved the import of 150,000 tonnes of refined diesel and 25,000 tonnes of octane.

The government is under pressure to maintain consistent fuel supply as shipping in the Strait of Hormuz has virtually stopped amid the Iran war. Despite efforts to maintain regular supply by importing fuel from various sources, long queues have been seen at petrol pumps for more than a month.

Prices have also increased in the world energy market amid the uncertainty brought on by the conflict. The government had announced plans to increase oil prices in May if necessary.

It recently hiked the price of fuel oil. The price of diesel went up by Tk 15 to Tk 115 per litre, the price of octane increased by Tk 20 to Tk 140 per litre, the price of petrol rose by Tk 19 to Tk 135 per litre, and the price of kerosene jumped by Tk 18 to Tk 130 per litre.

The committee meeting also approved a purchase proposal for the exploration of some fuel wells.

This includes the purchase proposal for the implementation of the Srikail Deep-1 and Mobarakpur Deep-1 drilling activities under the three well exploration projects by the Bangladesh Petroleum Exploration and Production Company Limited (BAPEX). There is also a purchase proposal for related matters for the execution of the well drilling work on the Sylhet-12 oil well drilling project.

The public purchase committee meeting also approved the purchase of 35,000 tonnes of MOP fertiliser from Russia and 9,000 tonnes of lentils from domestic sources.