UNB, Dhaka :
The cost of imported LNG is likely to be Tk 11.50 per unit (each cubic metre) as the government has finally exempted all kinds of duties on it.
After a huge debate over duty exemption between the National Board of Revenue (NBR) and the Energy Division, the government finally allowed the exemption considering its huge economic benefits, according to official sources.
Confirming the government’s decision, State Minister for Power and Energy Nasrul Hamid said Energy Division received a letter from the National Board of Revenue (NBR) recently.
“We’ve received a confirmation letter from NBR before the passage of the national budget in parliament,” he told UNB.
According to the junior minister, had the duties and taxes not exempted the price of LNG would be Tk 40 per unit.
Mentioning the exemption as a big initiative in energy sector, he said the Power and Energy Ministry has successfully convinced the policymakers about its great benefit.
“Due to duty exemption, the government may lose an amount of Tk 5,000 crore revenue income. But the value of exemption is much greater. Now the government could
earn Tk 20,000 crore as benefit of exemption,” he said adding that over 5,000 industries will get gas after the LNG import while the country will get extra 3,000 MW power.
With the decision of the duty exemption, different types of gas consumers, especially those of CNG and industrial sectors, will now be removed, the official sources said.
At present, they said, the locally produced natural gas is levied by 120 percent taxes, including 15 percent value added tax (VAT) and its production cost now stands at Tk 9.55 per unit.
The cost of imported LNG is likely to be Tk 11.50 per unit (each cubic metre) as the government has finally exempted all kinds of duties on it.
After a huge debate over duty exemption between the National Board of Revenue (NBR) and the Energy Division, the government finally allowed the exemption considering its huge economic benefits, according to official sources.
Confirming the government’s decision, State Minister for Power and Energy Nasrul Hamid said Energy Division received a letter from the National Board of Revenue (NBR) recently.
“We’ve received a confirmation letter from NBR before the passage of the national budget in parliament,” he told UNB.
According to the junior minister, had the duties and taxes not exempted the price of LNG would be Tk 40 per unit.
Mentioning the exemption as a big initiative in energy sector, he said the Power and Energy Ministry has successfully convinced the policymakers about its great benefit.
“Due to duty exemption, the government may lose an amount of Tk 5,000 crore revenue income. But the value of exemption is much greater. Now the government could
earn Tk 20,000 crore as benefit of exemption,” he said adding that over 5,000 industries will get gas after the LNG import while the country will get extra 3,000 MW power.
With the decision of the duty exemption, different types of gas consumers, especially those of CNG and industrial sectors, will now be removed, the official sources said.
At present, they said, the locally produced natural gas is levied by 120 percent taxes, including 15 percent value added tax (VAT) and its production cost now stands at Tk 9.55 per unit.
