To address the gas crisis in factories, the government has decided to supply an additional 250 million cubic feet per day (mmcfd) of gas to industries.
As part of this plan, four additional LNG cargoes will be imported between May and August at an estimated cost of Tk2,800 crore, said Muhammad Fouzul Kabir Khan, Adviser to the Ministry of Power, Energy and Mineral Resources.
He disclosed this information to reporters on Wednesday, following a meeting with industrialists at the secretariat regarding the ongoing gas crisis in the industrial sector.
Adviser Fouzul Kabir Khan said that 150 million cubic feet per day (mmcfd) of gas, which was previously allocated for electricity generation during Ramadan, will now be redirected to the industrial sector. “This is our first step,” he said.
“The second step is to import four additional LNG cargoes between May and August, which will add another 100 mmcfd of gas. Altogether, this will increase the gas supply to industries by 250 mmcfd,” he added.
He further mentioned that the additional gas will be allocated specifically to industrial zones. “We’ve agreed to work together on this,” he added.
He also said: “The business community will identify the relevant industrial areas, and we will increase supply accordingly. The entire process will be closely monitored.”
Withdrawal of 15% VAT and 2% AIT at the import stage
The meeting, chaired by Power, Energy and Mineral Resources Adviser Muhammad Fouzul Kabir Khan, revealed that a decision has been made to withdraw the 15% VAT and 2% AIT on LNG imports.
It was also decided to increase the volume of LNG imports under long-term contracts, with the new arrangements set to take effect from January 2026.
During the meeting, a plan was also adopted to reduce existing system and technical losses in the gas transmission and distribution network by 50%, in line with a predefined roadmap.
In addition, a plan has been adopted to drill and conduct workovers on 50 gas wells by 2025, which is expected to add approximately 648 mmcfd of gas to the national grid.
A further plan has been made to drill and perform workovers on a total of 100 wells by 2028, which is projected to contribute around 985 mmcfd of gas to the national grid, according to the power and energy adviser.
The meeting also outlined that during the May–August period, gas allocated to the power sector will be reduced from 1,200 mmcfd to 1,050 mmcfd. However, 150 mmcfd of gas will be allocated specifically to the industrial sector.
