Kazi Zahidul Hasan :The latest hike in power and gas tariffs has evoked criticism from all circles including political and business leaders and experts, who said it would have knock-on effect on the national economy.The Consumer rights group also voiced concern saying that the new tariff would create further pressure on the consumers. The government has raised electricity and gas prices again Thursday on the plea to reduce its subsidy burden on energy sector.Bangladesh Energy Regulatory Commission (BERC) announced the new tariffs on behalf of the government saying that it will bring rates closer in line with production costs.Terming the move as ‘anti-people’, Professor M Shamsul Alam, Energy Affairs Adviser for the Consumers Association of Bangladesh (CAB) told The New Nation on Friday that the power and gas tariff hike is unjustified that was approved by the BERC in an unlawful manner.”BERC was supposed to raise power tariff within 90 days of public hearings. It held public hearings in January. But approved the price hike after six months violating the rules,” he added.Protesting the move, Professor Alam said that the consumers have been forced to pay heavy price for consuming electricity and gas as the government is hiking the utility prices with regular interval. “Consumers already overburdened by their escalating price hike, a further rise in gas, electricity and CNG prices will add to the miseries of them. Such a situation highlights “insensitiveness” of the Awami Leaue government to the people,” he added.BERC is justifying power tariff hike as saying the Bangladesh Power Development Board (BPDB) is purchasing electricity at high rates from the oil-fired rental power plants and selling it at comparatively lower prices to the distribution companies. So, it (BERC) approves the rate hike several times to bring the rates closer in line with purchasing costs.”Prices of petroleum products have fallen substantially in the international market during the last one year. But, the consumers at home are not getting the benefit thereof due to the government’s inaction to readjust their prices in domestic market. When such a situation is prevailing, the BERC once again approved the power tariff hike arbitrarily. It did so only to give benefit to the sponsors on the relatal power plants,” said Professor Shamsul Alam, who is also a noted energy export of the country. “The latest price increase in energy prices has been attached to the suggestions of the International Monetary Fund (IMF), Professor Abu Ahmed, a noted economist of the country, told The New Nation on Friday. He urged the government to get out of the IMF credit programme for the benefit of the local economy and people. “No country has ever benefitted from IMF assistance because it is tagging various conditions which go against the country interest,” he added. The IMF earlier tagged the conditions for withdrawal of subsidies in power sector and enhancing additional government revenue to avail credit facility from it.According to Professor Abu Ahmed, the latest hike in energy prices will not only increase transportation cost and good and service, it will have multiply impact on various sectors and people’s cost of living also.He also warned that that these measures would lead to high inflation. “So, the government should rollback the decision considering the betterment of the national economy and miseries of the common people,” he urged.”The entire export sector was already facing multiple internal and external challenges and the latest increase in power and gas tariffs will further aggravate their problems,” Abdus Salam Murshedy, President of the Exporters Association of Bangladesh (EAB) told the New Nation on Friday.He said, the industry has to bear the unforeseen costs as their impact could not be transferred to buyers because of sudden hike in gas and power.Abdus Salam also said that the hike in electricity and gas tariff would increase the production cost of export-oriented industries and incidence of power theft and promote corruption. He, however, urged the government to review the decision in the larger interests of the country, in general, and for the sake of industry and economy, in particular.Criticizing the government, Mohammad Tamim, a Professor of the Department of Petroleum and Mineral Resources Engineering, Bangladesh University of Engineering and Technology, said there is no logic behind the increase because the international oil prices have come down.”The government has to give relief to the people by overhauling electricity tariffs in line with the falling oil prices. But, instead of this, it goes for another hike putting further pressure on them,” he added.Mohammad Tamim further said, the new tariff would create further pressure on both industrial and household customers. “If the government could fix the faults at production stage, it might not be needed to increase price in such a way,” he added. Terming the decision to increase power tariff as ‘unjustified’, Awami League lawmaker Suranjit Sengupta on Friday called upon the government to reconsider it.The senior Awami League lawmaker made the call at a discussion held at Institute of Diploma Engineers, Bangladesh in the capital. “The matter of concern is that when the fuel price decreases across the world, then you (government) do not reduce the price. When the price rises, then you say you do it for balancing and hiking the price. This is not right,” said Suranjjit.
