Fuel price hike under consideration from next month if needed, says minister

Power, energy and mineral resources minister Iqbal Hassan Mahmood has informed the Jatiya Sangsad that the government may consider increasing fuel prices from next month if needed.

The minister said, “There is a law governing fuel price adjustments. Under that law, we review prices every month. Last month, prices were not increased after adjustment. We are now working on next month’s pricing. If the review suggests that an increase is necessary, we will discuss it in the cabinet and consider it.”

He made the remarks in the Parliament today, Tuesday, in response to a question from BNP lawmaker Shawkatul Islam of Moulvibazar-2 constituency on a matter of urgent public importance. The session began at 10:30 am under the chairmanship of Speaker Major (retd) Hafiz Uddin Ahmed.

In response to a query from Shawkatul Islam on whether fuel prices would be increased, the minister said that any such decision would be taken in line with the law if required and following discussions in the cabinet.

The minister further said that global fuel supply has been disrupted due to geopolitical instability in the Middle East and restrictions on shipping through the Strait of Hormuz imposed by Iran following joint attacks by the United States and Israel.

This has led to unusual volatility in global fuel prices and increased security risks for international shipping routes, creating instability in global supply. The government has continued to ensure a normal supply of all types of fuel in the country by exploring all possible sources.

The minister added that there is sufficient stock of all types of fuel in the country. Currently, 164,644 tonnes of diesel are in stock, with another 138,000 tonnes expected to arrive by 30 April. Octane stock stands at 10,500 tonnes, with 71,543 tonnes expected by 30 April. Petrol stock is at 16,000 tonnes, with an additional 36,000 tonnes expected within the same timeframe.

Highlighting the regional impact of the ongoing Middle East crisis, Iqbal Hassan Mahmood said all South Asian countries are facing difficulties in fuel supply. Pakistan has increased prices by 50 per cent, Sri Lanka has introduced rationing and reduced working hours, and India, Afghanistan, Bhutan, Maldives and Nepal have already raised fuel prices.

Bangladesh, however, has not increased prices. Despite the abnormal rise in global fuel prices, the government has kept domestic prices unchanged in April, considering industrial activity and the cost of living for the public, he added.

The minister also said that deputy commissioners have been instructed to issue “farmer cards” to ensure farmers receive diesel during the irrigation season. He added that all district administrations have been directed to conduct mobile court drives to prevent illegal stockpiling of fuel. Monitoring teams have also been formed at the district level.

He further informed that between 3 March and 4 April, a total of 342 drives were conducted against illegal fuel stockpiling, resulting in 2,456 cases filed and 31 individuals sentenced to imprisonment. Fines amounting to Tk 12.539 million (1.2539 crore) were imposed, and more than 4 million (4,048,456) litres of fuel were seized during these operations.

Mentioning various initiatives for the proper utilisation of mineral resources, the minister added that petrol, octane and diesel are being produced using condensate obtained as a by-product from domestic gas fields to ensure efficient distribution of natural gas.