Bangladesh is facing a worsening gas crisis as a technical failure at an LNG terminal has triggered a major supply shortfall, disrupting households, industries, power generation and transport services.
Natural gas remains a key driver of the country’s economy, powering industrial operations, electricity generation and daily household needs. However, the disruption has forced Petrobangla to meet only around 56% of national demand, intensifying pressure on consumers and businesses.
Supply shortfall reaches 44%
Bangladesh has two floating storage and regasification units (FSRUs) at Moheshkhali in Cox’s Bazar that process imported liquefied natural gas (LNG) and supply it to the national grid.
One FSRU is operated by US-based Excelerate Energy, while the other is run by Summit Group.
Gas supply from Excelerate Energy’s terminal was suspended last week after a fire caused mechanical damage. Before the incident, the terminal supplied up to 1,050 mmcf of gas daily to the national grid. The supply has now fallen below 500 mmcf.
As a result, the country’s total daily gas supply has dropped below 2,150 mmcf from around 2,650 mmcf previously, against demand of nearly 3,800 mmcf.
According to Titas Gas Transmission and Distribution PLC, daily supply to its network has declined to around 1,150 mmcf from about 1,500 mmcf, against demand of nearly 1,900 mmcf.
The shortfall has severely affected industrial areas, CNG filling stations and residential consumers.
Energy experts said the disruption exposes deeper weaknesses in Bangladesh’s gas supply system, which has become increasingly dependent on imported LNG.
Domestic gas production has declined steadily as ageing fields produce less, while exploration for new reserves has failed to deliver expected results. Experts said Bangladesh has also failed to tap its offshore gas potential, increasing reliance on imported LNG.
They warned that dependence on only two LNG terminals has created a fragile supply chain, where any technical failure or maintenance issue at one facility immediately affects the entire network.
Experts also pointed to foreign currency shortages for LNG imports as another factor affecting supply stability.
Uncertainty over restoring supply
The gas shortage has intensified public suffering, affecting households, industries and transport services.
Although the government expects the situation to improve within one to two weeks, there is no confirmed timeline for the complete repair of the damaged LNG terminal.
State Minister for Power and Energy and Mineral Resources Aninda Hasan Amit expressed regret over the disruption, saying the government was unable to supply gas according to demand.
“We cannot supply gas as per our requirements. To minimize the gap between demand and supply, the prime minister has sought assistance from the Malaysian prime minister,” he said.
He said Excelerate Energy officials had assured the government that partial supply would resume soon.
“They used to supply around 500 to 600 million cubic feet of gas daily. We hope they will be able to provide 280 to 300 million cubic feet by the beginning of next week, and the entire FSRU will become operational by the end of the following week,” he said.
He added that the government had sought Malaysia’s cooperation to address the energy shortage.
Why does the crisis keep returning?
Energy experts said the current disruption is not only the result of the LNG terminal failure but also reflects long-standing weaknesses in the country’s energy sector.
Domestic gas production has fallen by around 900 mmcf over the past six years, increasing dependence on imported LNG.
Energy expert Professor M Tamim said Bangladesh has no adequate backup arrangement in its gas supply system.
“As soon as one terminal stops operation, the industrial sector and the wider economy face a major crisis,” he said.
Dr Ijaz Hossain, another energy expert, said years of inadequate investment in domestic gas exploration had contributed to the recurring crisis.
He said Bangladesh needs to explore new gas fields, develop land-based LNG terminals and create alternative supply capacity to prevent similar disruptions.
Households struggle as stoves remain unlit
The gas shortage has disrupted cooking in households across Dhaka, with many residents unable to use their stoves throughout the day.
Residents of Mohammadpur have been among the worst affected, with some areas facing supply problems for nearly 20 days. Initially, water entering pipelines due to waterlogging disrupted supply in several residential areas, particularly Shekhertek.
As pressure continues to fall, residents in Dhanmondi, Kalabagan, Kathalbagan, Mirpur, Badda, Rampura and Basabo have also reported difficulties.
Many households have been forced to rely on electric stoves, induction cookers and LPG cylinders. Low-income families have turned to makeshift clay stoves and firewood for cooking.
Some residents are preparing meals late at night when gas pressure improves slightly.
“I have no gas from morning until night. We have no option but to buy food from outside. How long can this continue?” said Asma Begum, a resident of Mansurabad.
Morsheda Setu of Rampura said gas pressure remained too low throughout the day to cook.
“Even when gas returned after 9pm, it took nearly an hour just to cook rice. Nothing else could be prepared,” she said.
Marzia Akter of Badda said she had to buy food from outside for her child as she could not prepare meals on time.
Transport sector hit hard
The supply crunch has also disrupted CNG-powered transport services in Dhaka, with long queues forming outside filling stations.
Drivers and workers said they are spending three to four hours waiting for gas, causing financial losses as working hours are lost.
A visit to several filling stations on Tuesday found that some had stopped sales due to low pressure, while others were supplying only limited quantities.
Many CNG-run vehicles were receiving gas worth only Tk200 at a time, forcing drivers to spend much of their working day waiting in queues.
Drivers said the shortage has sharply reduced their income as they cannot operate vehicles regularly.
Filling station workers said they do not have enough supply to meet demand, forcing some stations to suspend operations.
Ashraf Ali, a ride-sharing driver from Gabtoli, said most filling stations in the area were either closed or operating with very low pressure.
“Even where gas is available, the pressure is so low that the cylinder cannot be filled properly,” he said.
Firoz, an employee at Hafiza CNG Filling Station in Kallyanpur, said: “Even after running the compressor all day, pressure does not build up because there is no gas in the pipeline.”
Meanwhile, the shortage has reduced the number of CNG-run auto-rickshaws on Dhaka roads and pushed up fares.
Driver Zahir Molla said: “We have to spend two and a half to three hours at the filling station. Even after getting gas, we cannot run the vehicle for a full day. Many drivers are avoiding the roads because of this crisis.”