Bangladesh is facing a severe gas crisis, primarily due to an insufficient supply against soaring demand.
To bridge the growing gap, the country has increasingly turned to expensive imports, draining foreign exchange reserves. This shortfall is not only stalling industrial output but also creating acute disruptions in household cooking needs, particularly in residential areas across the capital and beyond.
Experts attribute the worsening crisis to not only inadequate supply but also systemic issues such as gas theft and wastage.
According to data from Petrobangla, the state-run oil, gas and mineral corporation, daily demand currently stands at around 4,200 million cubic feet (MMcf).
However, on Sunday (20 April), only 2,696 MMcf was supplied — leaving a shortfall of approximately 1,500 MMcf.
Alarmingly, about 324 MMcf is siphoned off daily through illegal connections, resulting in substantial financial losses.
Petrobangla's 2024 report reveals that the nation’s total gas reserve is estimated at 30.13 trillion cubic feet (TCF), of which 19.5 TCF has already been consumed.
At the current rate of use, the remaining reserves are expected to last 9 to 10 years.
The current supply mix includes 1,873 MMcf from domestic fields and 822 MMcf from imported LNG.
As domestic production fails to meet demand, the country is compelled to tap into its reserves daily — a trend experts warn is unsustainable.
Specialists stress the need for rationalising import and retail prices, and for stemming the haemorrhaging of resources through theft and loss — currently estimated at 9.5%.
Failure to address these systemic issues could jeopardise the energy sector and place immense strain on the industrial, residential, and power sectors.
The industrial belt in Savar, Narayanganj, Gazipur and Narsingdi has seen production drop by up to 40% due to gas shortages. In parts of Dhaka, residents endure up to 15 hours without gas each day.
On Friday, areas such as the airport and Khilkhet experienced a total outage from 7am to 10pm. Once limited to specific zones, the crisis has now spread to nearly all major neighbourhoods, including Dhanmondi, Mohammadpur, Mirpur, Azimpur, Uttara and Jatrabari.
Petrobangla distributes gas through six subsidiaries — Titas, Bakhrabad, Jalalabad, Karnaphuli, West Zone and Sundarban Gas Companies — to eight categories of consumers.
While the approved load is 5,356 MMcf per day, actual supply ranges between 2,800 and 3,000 MMcf, against a demand of 3,800 to 4,200 MMcf, resulting in a daily shortfall of 1,000 to 1,200 MMcf.
In the 2022–23 fiscal year, 42% of gas was consumed by the power sector, 19% by industry, 18% by captive power, 11% by households, 5% by fertiliser production, 4% by CNG, and 1% by commercial and tea sectors.
At its peak, Bangladesh produced 2.7 billion cubic feet of gas per day.
Since 2018, production has steadily declined. Currently, output has fallen to 1.93 billion cubic feet per day, compared to 2.1 billion the previous year.
The ruling Awami League government opted to import LNG instead of prioritising domestic exploration and production, further weakening long-term energy security.
Sources at Titas Gas confirm a glaring mismatch between current demand and available supply, especially during the summer, when usage spikes.
Although supply planning exists, much of the available gas is diverted to the power sector, leaving little for industries and households.
At present, imported LNG contributes 700 MMcf per day, leaving a daily shortfall of 1,300 MMcf.
Titas has also reported that theft and wastage account for nearly 9.5% of the total supply.
In a recent Facebook post, Titas warned the public against fraudsters promising new household gas connections in violation of a government moratorium. Citizens were advised to report such activities and contact relevant departmental heads if approached.
Titas Managing Director Shahnewaz Parvez, in a series of meetings held yesterday, stressed that only increased supply can resolve the crisis. Without boosting production and imports, a comprehensive solution remains elusive.
Engineer Kazi Mohammad Saidul Hasan, General Manager of Titas (Operations Division), told this newspaper: “We are unable to meet demand even by combining reserves and current supply. Without increased production, sustained delivery is impossible. We are addressing some of the wastage while also focusing on production enhancement.”
Petrobangla has initiated the refurbishment of 16 wells this year to bolster supply, with several already contributing to the national grid. Experts say that 50 new wells must be drilled or refurbished to resolve the crisis — a goal towards which authorities claim to be working.
On 22 January, the Energy and Mineral Resources Division convened a high-level meeting attended by Energy Adviser Muhammad Faozul Kabir Khan, who emphasised the urgent need for well drilling.
He noted the twin pressures of declining reserves and increasing demand, adding that excessive import reliance consumes vast amounts of foreign currency.
Energy expert and CAB Adviser Professor Dr M Shamsul Alam underscored the need to reduce reliance on oil by ramping up gas supply.
“If we reduce LNG imports and cut system losses, the crisis will ease. Currently, 13% is lost — recovering even 11 or 12% would significantly improve the situation. Without such steps, the crisis will persist.”
