NNarayanganj’s Meghnaghat will soon receive liquefied natural gas (LNG) from Bhola, bypassing Rupsha in Khulna.
Energy and Mineral Resources Division has advanced significantly in the process of bringing surplus gas from Bhola via river routes, regasifying it, and supplying it through pipelines.
Initially, discussions focused on supplying LNG to the Rupsha power plant.
A high-level team from Petrobangla, led by Director (Operations and Mines) Engineer Rafiqul Islam, inspected potential sites in Bhola.
The team identified Borhanuddin and Bhola Ferry Terminal as feasible points for gas supply after a visit on 17 January, confirmed sources from Sundarban Gas Company.
Engineer Rafiqul Islam stated that a committee had recommended Meghnaghat and Bhola Sadar, which the team reviewed during their site visit.
He mentioned directives to expedite LNG import, although the process requires time to prepare tender documents in compliance with PPR guidelines.
Four companies have submitted proposals to the ministry, with finalisation to occur through open tender.
With the country facing a severe gas crisis, surplus gas in Bhola remains untapped.
Bhola’s two gas fields have nine wells capable of producing approximately 200 million cubic feet daily, though only 80 million cubic feet is currently being extracted due to low demand.
While discussions on bringing gas via pipelines from Bhola to Barishal and Khulna have been ongoing, progress has been limited.
The proposed pipeline from Bhola to Khulna via Barishal would span 150 kilometres and cost an estimated Tk7,000-8,000 crore.
In contrast, a single cargo of imported LNG costs 649 crore Taka, sufficient for one day’s demand (3,000 million cubic feet).
The past government prioritised bringing Bhola’s surplus gas as CNG, contracting Intraco Refueling Station PLC to supply up to 25 million cubic feet in phases.
However, due to unmet commitments, Sundarban Gas Company has terminated the agreement.
Energy experts caution against increased LNG imports due to high costs and limited capacity for additional imports, with daily imports capped at 900 million cubic feet via existing FSRUs.
Establishing a new FSRU requires at least 18 months post-tender finalisation, making capacity expansion unfeasible before 2026.
Domestic gas fields, with production now at 1,928 million cubic feet daily from an earlier 2,800 million, are depleting rapidly.
Petrobangla reports that new plans include importing an additional 25 million cubic feet of LNG daily.
Liquefaction reduces the volume of natural gas by 600 times, facilitating transportation from countries like Qatar and Oman to Bangladesh, where it is regasified for supply.
Currently, domestic gas is purchased from various sources at rates ranging from Tk1-6.07 per cubic metre.
In contrast, imported LNG’s cost is approximately Tk65.70 per cubic metre, rising to Tk75.72 with taxes and charges.
Petrobangla forecasts a shortfall of Tk16,161.71 crore this fiscal year due to LNG imports, proposing a 152% price hike for industrial and captive users to bridge the gap.
The country’s daily authorised load across eight consumer categories is 5,356 million cubic feet, with a supply-demand gap of around 1,200 million cubic feet.
The average supply during the 2023-24 fiscal year was 2,493 million cubic feet daily.
