Chattogram-to-Dhaka fuel oil pipeline finally goes live Saturday

After years of delays, the Tk 37 billion project promises faster, cheaper deliveries and major cost savings

Fuel oil is set to begin flowing from Chattogram to Dhaka through pipeline from Saturday, as Bangladesh Petroleum Corporation (BPC) formally launches the project following successful trial operations.

Officials believe pipeline transport, especially for diesel, will not only reduce costs but also ensure quicker delivery.

The project will be inaugurated in Chattogram’s Patenga by Energy Advisor Fouzul Kabir Khan.

The BPC initiated the pipeline project in 2016 to facilitate direct oil transport from Chattogram to Dhaka.

Construction began in 2018 and, after three deadline extensions, was completed in March this year.

Aminul Haque, project director of the BPC’s pipeline supply initiative, told bdnews24.com that once fully operational, the system will be able to supply up to 2.7 million tonnes of diesel annually.

According to officials involved with the project, trial runs began on Jun 22 this year, and by Aug 4, nearly 48.2 million litres of diesel had already been transported through the pipeline.

Previously, oil was moved by river from Chattogram’s Patenga to depots in Godnail and Fatullah in Narayanganj, before being trucked to Dhaka.

This traditional method was costly, time-consuming, and vulnerable to disruption.

“Transport via pipeline will significantly reduce those expenses,” said one senior official, speaking to bdnews24.com on condition of anonymity.

“The project is expected to generate Tk 3.26 billion annually, while operating costs are estimated at Tk 900 million.” he added. “That means yearly savings of Tk 2.36 billion. The full project cost could be recovered within 16 years.”

Project Director Aminul said pipeline transport would be much cheaper than current road and river options.

“Excluding maintenance costs, annual savings could exceed Tk 2.36 billion,” he said.

He also noted the system’s resilience. “This pipeline allows fuel transport in a fast, time-efficient way -- even under adverse conditions such as extreme weather or natural disasters. It also helps prevent environmental pollution and system loss.”

According to project data, the pipeline has two segments:

• The first stretches from Patenga in Chattogram city through Feni, Cumilla, Chandpur and Munshiganj, to the BPC depot in Godnail, Narayanganj.

• The second connects Godnail to the depot in Fatullah.

Initially estimated at Tk 28.61 billion, the project’s cost eventually rose to Tk 36.99 billion following several revisions.

It was implemented by the 24 Engineer Construction Brigade of the Bangladesh Army under the supervision of the BPC.