Staff Reporter :
The government plans to increase gas supply by 28.32 mmcfd daily from imported liquefied natural gas (LNG) within 2018, as two companies have already been engaged to set up two floating terminals to facilitate the imports.
The state-own Petrobangla considers the recent price of imported natural gas at Tk 28.32 for each cubic metre, which is much lower than its regular price.
The distribution utilities realise Tk 6.22 for each cubic metre of natural gas
from the consumers. But the imported gas may push up average gas price by more than five times the current price in the domestic market.
The price would need to be increased to Tk 32.532 for the operation of the utilities at break even point if 28.32 mmcfd imported gas is blended with 76.46 mmcfd indigenous gas as the National Board of Revenue is unwilling to waive taxes and duties, an Energy Division official told reporters.
About three years ago, when the prices of fuel oils started sliding, the price of natural gas in the international market was almost double, he said.
Recently, Petrobangla has presented a summary of a report estimate price impact of the imported natural gas to the Energy Division.
Petrobangla now supplies 77.87 mmcfd gas from domestic fields against the demand for 99.1 mmcfd. Its estimate shows that the level of current gas supplies will start declining from 2018.
The government plans to increase gas supply by 28.32 mmcfd daily from imported liquefied natural gas (LNG) within 2018, as two companies have already been engaged to set up two floating terminals to facilitate the imports.
The state-own Petrobangla considers the recent price of imported natural gas at Tk 28.32 for each cubic metre, which is much lower than its regular price.
The distribution utilities realise Tk 6.22 for each cubic metre of natural gas
from the consumers. But the imported gas may push up average gas price by more than five times the current price in the domestic market.
The price would need to be increased to Tk 32.532 for the operation of the utilities at break even point if 28.32 mmcfd imported gas is blended with 76.46 mmcfd indigenous gas as the National Board of Revenue is unwilling to waive taxes and duties, an Energy Division official told reporters.
About three years ago, when the prices of fuel oils started sliding, the price of natural gas in the international market was almost double, he said.
Recently, Petrobangla has presented a summary of a report estimate price impact of the imported natural gas to the Energy Division.
Petrobangla now supplies 77.87 mmcfd gas from domestic fields against the demand for 99.1 mmcfd. Its estimate shows that the level of current gas supplies will start declining from 2018.
