Anisul Islam Noor :The government has hiked average power retail price by 2.97 per cent and gas price by 26.29 per cent. The new rates will be effective from September 1.Chairman of Bangladesh Energy Regulatory Commission (BERC) AK Khan announced the hikes on Thursday in a press conference at the commission’s office in city’s Karwan Bazar.Though the new hike is criticized by different rights groups and industry insider, the government argued that more funds are needed to set up power plants to meet the growing demand for electricity.Gas supplied to single-burner stoves in households will cost Tk 600 a month from the existing rate of Tk 400 and for double-burners, customers will be charged Tk 650 instead of Tk 450.CNG at refuelling stations will also become dearer with a Tk 5 rise to Tk 35 per cubic metre from existing Tk 30 per cubic metre. Earlier, the BERC had increased gas prices for all categories of consumers with effect from August 1, 2009.The gas price was again increased in 2011 for only compressed natural gas (CNG) by 66.67 percent, from Tk 18 to Tk 23 a cubic metre.The current price hike issues were discussed at a meeting on the overall situation of the energy sector at the Prime Minister’s Office on Wednesday. Officials of the energy and power divisions were present, sources said.The meeting decided to withdraw the restriction of new connection for electricity to industries, the sources added.The government further argued that Power distribution and marketing companies must be made self-sufficient in terms of funding to help them keep up electricity generation, transmission and distribution, official of Power and Energy Ministry said.At present, the difference between the power generation cost and the retail price of power is Tk 1.5-Tk 2 a unit. They also advocated raising gas tariffs to prevent wastage in the sector.Contacted, Power Secretary Monowar Islam said the meeting discussed the overall energy and power situation. “Utility companies have already applied to Bangladesh Energy Regulatory Commission [BERC] for raising power tariffs.” “The commission is an independent agency. It will decide on it as per rules,” he said.In January, the BERC organised a series of public hearings after the state-controlled companies for marketing and distribution of power and gas pleaded to increase gas and electricity tariffs. However, the BERC didn’t do so.The secretary said the government has lifted the restrictions on providing power connections to industries as the country is producing adequate electricity at present. Industries will now get connections easily.According to official statistics, the country’s electricity generation capacity is 11,532MW with average daily generation standing at 7,500MW. The demand for electricity is rising by 11 percent annually.
