Gas supply to become normal in 10–15 days: Energy minister

Power, Energy and Mineral Resources Minister Iqbal Hassan Mahmood Tuku has said it will take another 10 to 15 days for the gas supply situation to return to normal.

He said the crisis has intensified because the unloading of liquefied natural gas (LNG) has been disrupted following a fire at a floating storage and regasification unit (FSRU).

Iqbal Hassan Mahmood said repair work on the FSRU is currently under way. As a result of the disruption, two LNG cargoes cannot be unloaded.

Consequently, gas pressure has dropped in household kitchens across the country, while power generation has also been affected.

The minister made the remarks on Monday while speaking at a roundtable titled "Navigating Global Shifts: Fostering Energy Security and Resilience in Bangladesh" at a hotel in Dhaka.

The event was organised by the Bangladesh Institute of Peace and Security Studies (BIPSS) and attended by policymakers from the public and private sectors. The discussion was moderated by BIPSS President Major General (retd) ANM Muniruzzaman.

Bangladesh has two floating terminals at Moheshkhali in Cox's Bazar for regasifying imported LNG and supplying it to the national grid. One terminal is operated by the US company Excelerate Energy, while the other is operated by private company Summit.

A fire broke out at the Excelerate Energy terminal last Tuesday, halting gas supply from the facility. Since then, the country's gas crisis has worsened.

Iqbal Hassan Mahmood said Bangladesh now has to rely on imports of LNG, LPG and other fossil fuels as domestic gas production has declined. The prices of imported fuels have also risen abnormally. Over the past six months, the country has had to import nearly $3.65 billion worth of fuel, placing significant pressure on the country's foreign exchange reserves.

Referring to the power sector, the energy minister said its main challenge is now financial. During the Awami League government's tenure, around Tk 560 billion in payments to private power plant owners remained outstanding. The government now has to provide subsidies to ensure regular payment of those bills.

Against this backdrop, Iqbal Hassan Mahmood said the government has increased its focus on renewable energy. He said the government recently announced a renewable energy policy with the goal of generating 10,000 megawatts of electricity over the next five years.

He added that negotiations and land allocation processes would be completed by August so that implementation of the programme could begin.

Between 35 and 40 per cent of the country's daily gas supply comes from LNG. The maximum daily supply from LNG is 1.05 billion cubic feet.

According to Petrobangla sources, after the fire at the Excelerate terminal, LNG supply stood at 560 million cubic feet last Thursday. On Sunday, it fell below 500 million cubic feet. As a result, the country's total daily gas supply has dropped to below 2.15 billion cubic feet.

Previously, the authorities had been managing the situation by supplying around 2.7 billion cubic feet of gas per day against a daily demand of 3.8 billion cubic feet.

With LNG supply now falling to less than half of its previous level, all categories of gas consumers have been facing severe difficulties.