Kazi Zahidul Hasan :
President of the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) Abdul Matlub Ahmad on Tuesday urged the government to come out with a long-term sustainable solution over energy price fixation to safeguard competitiveness of local industries.
He said, increases of electricity and gas prices in regular interval have posed a big threat to the survival of local industries because the move by the government pushed up cost of production significantly harming their competitiveness in the global arena.
“Against the backdrop, a new gas price hike would be suicidal for the domestic industry,” warned Abdul Matlub Ahmad.
He came up with the warning while talking to The New Nation in an exclusive interview.
The FBCCI President said the government is going to hike gas prices without taking consideration into its disastrous impact on industrial sector. “We have already conveyed our concern… But it is going to hike gas price overriding opposition from the business community”.
“Surging gas and electricity prices has already made the manufacturing sector too expensive and it is not in a position to bear the burden of addition cost arising from energy price hike,” he added.
Opposing a fresh gas price hike, Abdul Matlub Ahmad said, “The government seems to be pursuing a ‘faulty’ energy policy and for which it is requiring hike in electricity and gas tariffs frequently”.
“We need a long-term sustainable energy policy to keep low production cost in industries. Only such a policy can help local industries to survive and maintain their competitiveness in global field. It can also help attract more local and foreign investment,” he noted.
Abdul Matlub Ahmad urged the government to refrain from a fresh gas tariff hike and maintain the current rates for industrial and commercial use considering prevailing conditions of domestic industrial sector.
“Otherwise, it will create an unfavourable business and investment climate making our businesses and production difficult to operate,” he said.
The FBCCI President also stressed the need for increasing efficiency of the state-owned gas and power distribution companies to ensure sustainable development of the country’s energy sector.
The Bangladesh Energy Regulatory Commission (BERC) earlier announced new gas tariffs for both household and industrial consumers (a hike over 100 per cent) and it was supposed to roll out at any time this month (January).
The move of the country’s energy regulator has already created public outcry.
