Industries bear been grappling with a long-standing crisis of gas – a necessary energy required to withhold their wheels running – for years, with little enchancment regardless of repeated govt assurances to dwelling the bother.
The meantime govt – fashioned in early August following the descend of the Sheikh Hasina govt amid a mass insurrection – attributes the crisis essentially to the declining gas provide from home sources.
Additionally, given the fresh financial prerequisites and foreign exchange reserve inform, the govt. is reluctant to invent bigger spending on the import of Liquefied Pure Gasoline (LNG) further to ease the dearth.
Throughout a programme organised by the Economic Reporters Discussion board within the capital the day earlier than this present day, Energy, Energy, and Mineral Resources Adviser Muhammad Fouzul Kabir Khan acknowledged the ongoing crisis affecting industries – in particular gas-intensive ones – and its worsening impact.
“Bangladesh requires round 4,000 million cubic feet per day (mmcfd), including imported energy, however the fresh provide is under 3,000 mmcfd, leaving a provide deficit exceeding 1,000 mmcfd, which is worsening,” he stated.
“The indispensable reason for the dearth is the lowering native manufacturing.”
The energy adviser highlighted the financial burden, announcing the country needs to exhaust Tk6,000 crore yearly on LNG imports, and it is no longer feasible to invent bigger this further.
He further stated the inform is no longer going to beef up except new gas fields are developed within the country. “We are planning to drill new gas fields,” he added.
The Alternate Linked outdated spoke to eight entrepreneurs from the textile, ceramic, and steel sectors, all of which heavily rely on gas. Nearly all reported gas shortages.
While the gas provide inform had somewhat improved in obvious areas equivalent to Narayanganj, Gazipur, and Mymensingh, it used to be serene insufficient for accepted manufacturing, they stated.
Entrepreneurs in regions equivalent to Savar, Narayanganj, Dhamrai in Dhaka, and Manikganj reported no noticeable enchancment.
Mahmud Hasan Khan Babu, managing director of Rising Spinning Mills Shrimp, stated, “There used to be no enchancment within the gas provide to my spinning mills in Manikganj. Our accepted gas stress is 15 PSI, but generally, it is practically zero. We are all for relocating our manufacturing facility to yet another subject.”
He added that over 100 gas-reliant factories from Dhamrai to Manikganj are experiencing gas shortages and exploring doubtless selections.
Md Masadul Alam, managing director of Shahriar Steel Mills Shrimp in Jatrabari, stated the gas scarcity’s impact used to be minimal attributable to low demand for steel products. On the choice hand, he predicted that after demand increases, the severity of the crisis will changed into extra apparent.
On 28 November, Mahmud Jeans Shrimp, a producing facility within the Chandra subject advance Gazipur that objective no longer too long within the past shut down, used to be scheduled to pay dues. Rafi Mahmud, the manufacturing facility’s deputy managing director, used to be assaulted by workers after it failed to pay due wages.
On the following Friday, the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) stated the manufacturing facility had already been facing inadequate gas stress, which hindered peaceable manufacturing and compelled it to shut down.
Fazlul Hoque, a damaged-down president of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) and owner of a producing facility in Narayanganj, acknowledged that while there had been some fresh enhancements in gas provide, it used to be serene insufficient.
Khorshed Alam, chairman of Runt Smartly-known particular person Spinning Mills Shrimp, stated though the gas provide had improved a few month within the past, the inform had deteriorated all over again.
Ceramic exchange incurs Tk20cr loss day after day
On 25 November, the Bangladesh Ceramic Manufacturers and Exporters Association (BCMEA) wrote a letter to the energy, energy, and mineral sources adviser, highlighting the intense gas scarcity and calling for enhancements in provide.
The letter, signed by Senior Vice President Moynul Islam, explained that ceramic factories requiring a stress of 15 PSI generally skilled drops to as low as 2-3 PSI and even zero, main to day after day manufacturing losses of over Tk20 crore.
The BCMEA reported that round 25 ceramic factories in areas equivalent to Dhaka, Narayanganj, Gazipur, Narsingdi, and Mymensingh had been facing extreme gas shortages for over a 365 days. The letter warned that failure to dwelling the bother would possibly perhaps perhaps perhaps result in exchange instability.
It cited past instances where some industries had changed into non-viable attributable to gas provide interruptions, fighting them from repaying bank loans. The resulting invent bigger in loan defaults would possibly perhaps perhaps perhaps result in disputes, manufacturing facility closures, worker layoffs, and chaotic scenarios.
Moynul Islam told TBS that steadily factories advance the Dhaka-Aricha Motorway would possibly perhaps perhaps perhaps barely feature for 2 hours a day. Most entrepreneurs bear been making an strive to search out alternative solutions, such because the utilize of CNG, to shield manufacturing.
“We would be in a position to leap again all over again if the gas provide improved,” he added.
Petrobangla yet to search out solution
Md Kamruzzaman Khan, director of Petrobangla, stated while there had been some fresh enchancment within the gas provide inform, there used to be little hope for further development unless LNG purchases bear been made.
“There is no longer any room for further enchancment past what we’ve now,” he told TBS.
Entrepreneurs, on the choice hand, disagree with Petrobangla’s stance.
Showkat Aziz Russell, president of the Bangladesh Textile Mills Association, identified, “The government has been charging us further with the assurance of an uninterrupted gas provide. Why, then, is the provide serene no longer uninterrupted?”
“In the event that they’ll no longer carry, our money would possibly perhaps perhaps perhaps serene be refunded,” he told TBS.
In early 2023, the govt. extra than doubled gas prices with the promise of guaranteeing an uninterrupted provide. On the choice hand, regardless of a entire lot of subsequent commitments, there bear been no visible enhancements.
