Category: Energy and Power

The Dhaka Electric Supply Company (DESCO), a stateowned power distribution entity, has reported losses for three consecutive years despite multiple electricity price hikes.

According to its latest audit report, the company incurred a cumulative net loss of around Tk630 crore over the past two fiscal years.

The audited financial summary for the 2024-25 fiscal year, published recently through the Dhaka Stock Exchange (DSE), highlights the extent of DESCO’s financial struggles. For FY2024-25, the publicly listed company recorded a post-tax net loss of Tk125.23 crore, translating to a loss per share of Tk 3.15. Due to this continued loss, the company has again decided not to issue any dividends to investors, marking the second consecutive year without shareholder returns.

In the previous fiscal year (2023-24), DESCO’s net loss was significantly higher at Tk505.56 crore, or Tk12.72 per share.

At the beginning of the 21st century, global efforts to limit temperature rise to 1.5°C hinged entirely on achieving net-zero emissions by 2050. Reaching this goal depends on ambitious emission reduction plans – and implementing those plans requires sufficient investment.

However, developed and emerging economies have still not submitted any concrete plans to reduce emissions. Moreover, along with investing in their own emission reduction, these countries do not seem to prioritize supporting others through financing either.

Instead, their main priority now appears to be increasing military and security expenditures.

As a result, obtaining climate finance from public-sector sources is becoming increasingly difficult over time.

Therefore, there is no alternative but for the global community to work collectively on alternative and innovative financing mechanisms.

In an interview with Mollah Amzad Hossain, Editor of Energy and Power, these remarks were made by Ziaul Haque, Additional Director General of the Department of Environment. COP30 is about to begin in Belém, Brazil. Which issues are likely to get priority in this global negotiation?

The Nationally Determined Contributions (NDCs) – countries’ pledges to reduce carbon emissions – will be a top priority at the Belém COP.

However, the recently published Synthesis Report paints a rather disappointing picture.

After reviewing 64 NDCs, the report concluded that even if all are fully implemented, global emissions will only decline by 17% by 2035 compared to 2019 levels. Yet, achieving net-zero requires a 60% reduction over that same period. While the world is falling behind on the 1.5°C target, major players such as the European Union, China, and India have not yet submitted their updated NDCs.

This is extremely disappointing, but NDCs will still remain at the center of discussions.

It is also expected that the Global Goal on Adaptation (GGA) will be finalized at Belém.

However, ensuring that 50% of climate finance is allocated to adaptation, as developing countries have long demanded, will be difficult, given the uncertain stance of developed countries.

The issue of mobilizing USD 1.3 trillion in climate finance by 2035 will certainly receive top priority in negotiations. Defining what counts as ‘climate finance,’ and addressing debates such as grants versus loans, will also be crucial discussion points. Yet, given the changing global context, negotiations this year will likely be more complicated than ever.

The countries expected to provide funds are showing little interest in doing so.

Therefore, despite continued demands from developing nations, it is unrealistic to expect major positive decisions this time regarding funding for Loss and Damage, the Green Climate Fund (GCF), or the Adaptation Fund.

Overall, even after two deadline extensions, most countries – especially the major polluters – have failed to submit their NDCs.

This is a bad sign and amounts to ignoring the spirit of multilateral cooperation to tackle climate change impacts.

One of the Troika’s two main priorities is the ‘Baku to Belém Roadmap for USD 1.3 Trillion.’ What outcomes do you expect from Belém regarding this discussion?

Discussions on this issue have been ongoing throughout the year.

The three COP Presidencies – known as the Troika – have already held ministerial-level meetings.

However, despite Brazil’s efforts, no positive response has yet emerged.

Instead, there are attempts to introduce new agendas into the climate finance discussions – such as trade restrictions. For example, the European Union’s CBAM (Carbon Border Adjustment Mechanism) proposes imposing additional taxes on exportable products based on their carbon footprint.

But developing countries argue that such measures should be addressed under Response Measures and Just Transition frameworks.

Otherwise, climate-vulnerable nations will face new economic losses.

This is because Article 9.1 of the Paris Agreement clearly states that developed countries shall provide financial resources to developing countries. Moreover, beyond developed economies, emerging economies also have an obligation to contribute to climate finance.

All of them – including LDCs and SIDS – must be supported. Yet, in climate finance negotiations, developed countries are trying to sidestep these obligations.

The Belém COP will certainly continue discussions on how to mobilize USD 1.3 trillion by 2035 from both public and private sectors.

However, it is difficult to say whether these discussions will lead to any concrete or positive outcomes.

So far, USD 779 million has been pledged to the Loss and Damage Fund.

The fund is expected to become fully operational from Belém, with calls for proposals for an initial USD 250 million allocation. Will Bangladesh submit any proposals for this funding?

Also, do you expect new funding commitments for the Loss and Damage Fund from the upcoming Leaders’ Summit?

From Belém, the Loss and Damage Fund will begin operations by inviting project proposals for distributing an initial USD 250 million to vulnerable and affected countries.

Bangladesh is currently preparing project proposals to access this fund, and they will be submitted.

However, the total amount available in the Loss and Damage Fund remains very small – even less than what was originally pledged. Meanwhile, the entire world is currently preoccupied with defense and military investments.

Therefore, it would be unrealistic to expect new pledges to the Loss and Damage Fund from the upcoming Leaders’ Summit.

To build consensus on various issues, the Brazilian COP Presidency has so far sent 15 letters to countries around the world. What kind of success do you expect from their climate diplomacy ahead of the COP30 negotiations?

Brazil has always been proactive in climate diplomacy.

However, given the current global situation, it is difficult to say how successful they will be this time.

Although Brazil is continuously working to make the Belém COP a success, no major progress has been seen yet. Despite the Brazilian Presidency’s best efforts, countries like the European Union, China, and India have not yet finalized their pollution reduction plans or NDCs.

It must be remembered that the global context right now is not in Brazil’s favor. COP30 is expected to finalize the Global Goal on Adaptation (GGA).

The 100+ indicators identified for this need to be reduced to 100.

Additionally, there will be discussions about ensuring that 50% of the climate fund is allocated for adaptation, as per commitments.

How optimistic are you about a final decision?

It can be expected that the Global Goal on Adaptation will be finalized in Belém. More than 100 indicators can likely be reduced to 100.

However, the question lies in the means of implementation.

To achieve the GGA’s goals, three elements are essential: finance, technology transfer, and capacitybuilding support.

The big question is how positive the outcomes will be on these fronts, particularly whether sufficient financing for adaptation can be ensured.

Bangladesh has announced in its NDC 3.0 a target to reduce carbon emissions by 85 million tonnes by 2035, with an investment projection of USD 116 billion, of which USD 90 billion is expected from global sources. What strategy will Bangladesh take to achieve this?

You see, in NDC 2.0 or the upgraded NDC, there were challenges in securing global support, although our performance in implementation with domestic financing has been quite good.

But Bangladesh’s NDC 3.0 is much clearer.

It specifies what will be done with domestic investments and what with international support. We have estimated the required international assistance and are now working on project formulation accordingly, which will be presented to the global community once finalized.

The challenge, however, is that under the Paris Agreement, countries are encouraged to prioritize their own investments in emission reduction. Yet, most countries have designed their NDCs to rely heavily on international support.

The UNFCCC has published its Synthesis Report after reviewing NDCs.

It states that even if all 64 NDCs reviewed are fully implemented, global carbon emissions will decline by only 17% by 2035 compared to 2019 levels.

But the IPCC says emissions must be cut by 60% within that timeframe to reach net-zero. Where is the world heading?

Article 2 of the Paris Agreement states that carbon emissions must be stabilized.

But from the submitted NDCs, it seems countries are moving away from this goal.

The Synthesis Report shows that even if all NDCs are fully implemented, emissions will only fall by 17% by 2035 compared to 2019. Yet, achieving net-zero requires a 60% reduction by then. No country is willing to take real responsibility for cutting emissions.

The review of 64 NDCs shows that only 52% of countries have outlined financial plans for emission reduction.

The total estimated investment needed is USD 1.97 trillion, of which USD 1.07 trillion is expected from international sources.

Only USD 214 billion is projected from domestic sources, leaving USD 682 billion unaccounted for.

This is quite disappointing.

Another roadmap of the Troika is the ‘Roadmap for 1.5°C.’ Is there still a realistic chance of achieving this goal, or has the world already fallen off track?

From the Glasgow COP, countries pledged to ‘keep 1.5°C alive,’ aiming to cut emissions by 33% by 2030, with emission peaking by 2025.

However, the world backtracked at the Sharm El-Sheikh COP.

Though there was an attempt to revive the target at the Dubai COP, momentum was again lost heading into Baku.

To save the planet, the Belém discussions must bring this goal back on track.

To achieve the 1.5°C target, there is no alternative to securing sufficient investment.

This investment must come from the public sector funds of developed countries, ideally as grants.

But opportunities for such funding are shrinking, and public sector climate finance is likely to decline further in the coming years.

Therefore, the world must clearly define mechanisms for privatesector financing in climate resilience and adaptation. Private sector investments should be encouraged through clear carbon trading opportunities. Moreover, work must begin on innovative financing. For example, developed countries could impose a small tax (0.2-0.3%) on their top 10 corporations or billionaires to generate climate funds. Finally, individuals and institutions that invest charitably in climate resilience are still not formally recognized within the UNFCCC process. Recognition of such contributions must be ensured so that more individuals and organizations are encouraged to contribute.

At COP30, what key messages does Bangladesh plan to present to the global community regarding its climate resilience efforts?

At every COP, Bangladesh showcases its climate resilience achievements through its national pavilion, and this time will be no different.

However, we must also emphasize a new issue in discussions with multilateral and bilateral donors. When global institutions prepare debt-risk indices for countries, they often include disaster risks as negative factors in their ratings.

This problem will worsen once Bangladesh graduates from LDC status.

Therefore, we will highlight before the global community that Bangladesh is a climate-vulnerable country-and that this vulnerability is not our fault, but a result of global climate impacts.

Thus, during credit rating assessments, climate vulnerability should not be treated as a negative indicator.

Instead, it should be viewed positively, acknowledging our resilience and the global responsibility for this shared crisis.

The government will provide a tax exemption on both principal and interest payments related to the Rooppur Nuclear Power Plant loan to Russian state-owned company Atomstroyexport (ASE).

This exemption is a ‘special consideration’ only for this project and ‘cannot be taken as a precedent for any other project in the future.’ The National Board of Revenue (NBR) is expected to take the necessary steps to implement it, according to the Ministry of Science and Technology.

Earlier, ASE requested assurance from Russia that no taxes would be imposed on ASE or its nominated agent when repatriating the funds to Russia.

The latest national climate plans (NDCs 3.0) of developed countries expose a stark truth: those most responsible for the climate crisis are still refusing to lead its solution.

A new analysis by Climate Action Network (CAN) International finds that every developed economy fails all three tests of a fair and 1.5°C-aligned pathway – ending fossil fuel production, delivering public climate finance, and ensuring a just and equitable transition. Reviewing developed countries’ NDCs against three tests, the review found that: Instead of phasing out fossil fuels, most continue to subsidies or expand them; Instead of honoring financial commitments, they defer and dilute them. References to ‘Just Transition’ appear largely symbolic, stripped of the measures needed to protect workers, Indigenous Peoples, and communities on the frontline of change.

Among developed countries, the EU failed to submit its NDC on time, while the US submitted its NDC before withdrawing from the Paris Agreement.

The EU and the US together account for over 40% of historical CO2 emissions. Nine other G20 countries did not submit their NDCs by the end of September: Argentina, China, India, Indonesia, Mexico, Saudi Arabia, South Africa, South Korea, and Turkey.

Together with the EU, they account for half of the current global emissions. Given the glaring and alarming ambition gaps across developed and G20 countries, the report calls on leaders to agree to fix NDCs that are not in line with countries’ fair shares of responsibilities. Parties must commit to this at the COP30 Leaders’ Summit. Key findings from CAN’s brief Climate finance remains under-delivered: Just two developed countries (Canada and the UK) specify climate finance volumes beyond 2025, but not beyond 2027, and none outline how they will meet their fair share obligations. No country commits to increasing international adaptation finance; in fact, only Japan and the UK mention adaptation finance at all. None of the NDCs reference contributing to the UNFCCC Fund for responding to Loss and Damage. No fossil fuel phase-out: Despite the clear mandate from the UAE COP28 decision, every fossil-fuel-producing developed country omits a timeline to end coal, oil, or gas production.

Brazil and Russia, the only two other G20 countries that have submitted their NDCs, do not commit to phasing out fossil fuels. None of the countries that currently provide fossil fuel subsidies has committed to phasing them out completely.

Every country plans or is considering using carbon offsets to achieve its targets and/or unproven and risky technologies such as carbon capture, utilization, and storage, shifting the focus to reducing emissions from fossil fuel production rather than phasing out production itself.. Just transition and adaptation measures sidelined: Though references to a just transition are present across the majority of analyzed NDCs, the phrase is often mentioned only once and is not accompanied by implementation measures, the need to address inequalities, or essential concepts such as social protection, social dialogue, or decent work. For developed countries, just transition measures are too narrow, mainly focusing on skills training and green jobs. While several NDCs note consultations with Indigenous Peoples, none explicitly commit to upholding Free, Prior and Informed Consent or implementing the UN Declaration on the Rights of Indigenous Peoples.

Only two countries analyzed mention Loss and Damage in their NDCs (Canada and Brazil), and each only once. What CAN is calling for at COP30 At the COP30 Leaders’ Summit, Heads of State from rich countries must publicly commit to submitting strengthened NDCs before COP31, in line with their fair shares and reflecting their legal obligations, including those affirmed by the recent climate action ruling by the International Court of Justice.

These revised NDCs must implement the guidance from the first Global Stocktake in line with equity and the fair shares of each country: Set whole-of-economy, timebound fossil fuel phase-out plans in line with a 1.5°C pathway and by 2040 at the latest for developed countries; Outline contributions to the global goals on renewable energy and energy efficiency, and measures to halt and reverse deforestation and forest degradation by 2030; Embed just transition and resilience-building measures that uphold human rights and enable sustainable development within planetary boundaries, while addressing inequalities both within and between countries.

In addition, developed countries should commit to providing new, additional, and grant-based finance for mitigation, adaptation, loss and damage, and just transition measures, with specific details on how they plan to align with their fair shares.

Tasneem Essop, Executive Director of Climate Action Network International, said: ‘This round of NDCs is an indictment, not a plan.

The richest countries on Earth – those who built their wealth on fossil fuels – are still refusing to take responsibility for the damage they’ve caused.

They know exactly what justice requires: a time-bound fossil fuel phase-out, predictable grant-based finance, and real Just Transition measures grounded in rights and equity.

Instead, they deliver delay tactics dressed up as ambition. Without credible timelines, without money on the table, and without protection for workers and communities, these NDCs are a betrayal of 1.5°C – and of the people already living with the impacts of climate disaster.’ Jacobo Ocharan, Head of Political Strategies at Climate Action Network International, said: ‘NDCs that dodge production phase-out for fossil fuels, while leaning on offsets and risky emissions reduction technologies, are a recipe for overshoot and global climate injustice. We expect developed countries to lead with concrete end-dates for coal, oil, and gas-and to fund transitions with public, grant-based finance rather than debt and creative accounting.’ David Knecht, Climate expert at Fastenaktion Switzerland, added: ‘1.5°C-aligned NDCs are not just a technical issue about emissions reductions.

Behind every weak target and climate plan are real lives, livelihoods, and ecosystems being lost to floods, droughts, and fires. Communities all over the world-especially communities in remote areas, Indigenous Peoples, women, and workers-are already suffering from delayed action. Climate plans must be centered around people and nature, not preserving the profits of the polluters that caused this crisis.’

A consortium comprising Mitsubishi Power, a power solutions brand of Mitsubishi Heavy Industries, Ltd. (MHI) and Jurong Engineering Limited (JEL) has been awarded an Engineering, Procurement, and Construction (EPC) contract by PacificLight Power Pte. Ltd. (PLP) to develop the largest, high efficiency combined cycle gas turbine (CCGT) facility in Singapore.

The power plant will be the first CCGT unit in Singapore integrated with a large-scale battery energy storage system (BESS), enabling dynamic energy management to align electricity supply with grid demand. Located on Jurong Island, Singapore, the 670MW facility, capable of powering more than 965,000 four-room flats, is scheduled to begin operations in 2029.

It will have the ability to operate on 30% hydrogen and will be capable of shifting to run entirely on hydrogen in future.

The new CCGT power plant will deploy Mitsubishi Power’s state-of-the-art M701JAC gas turbine with hydrogen cofiring potential, as the power sector works towards net zero carbon emissions.

Bangladesh’s climate action pledges, outlined in the third Nationally Determined Contributions (NDC 3.0) under the Paris Agreement, have set a global precedent by embedding just transition principles at the heart of the country’s national climate strategy, the International Labour Organization (ILO) has said. ‘Submitted to the UN Framework Convention on Climate Change (UNFCCC) on 30 September, Bangladesh’s climate strategy for the first time incorporates just transition to ensure that the shift to environmentally sustainable and low-carbon economies is job-rich, genderresponsive, and inclusive – leaving no one behind,’ the ILO said in a statement.

This approach emphasizes maximizing the social and economic opportunities of climate and environmental action-such as green jobs-while minimizing and carefully managing any arising challenges through effective social dialogue and stakeholder engagement.

The World Energy Council has announced a series of new appointments to its Board, following the official meeting of the Executive Assembly held in Panama City, at the commencement of World Energy Week 2025.

the Executive Assembly served as the formal commencement of H.E. Mr. Adnan Amin as the new Chair of the World Energy Council. A distinguished global leader in energy and international diplomacy, Mr.

amin brings extensive experience to the role, including as the founding Director-General of the International Renewable Energy Agency (IRENA) and as Senior Fellow at the Harvard Kennedy School’s Belfer Center for Science and International Affairs. Mr.

amin succeeds Mike Howard, who served as Chair of the Council from October 2022 to 2025, leading the organization through a period of evolution and expanding its intergenerational global impact.

the Council has also announced the appointment of Dr.

augustín Delgado Martín as Chair of Europe shortly before the Executive Assembly following a membership vote. Mr Delgado Martin, a Spanish national, is Chief Innovation and Sustainability Officer for the Iberdrola Group. Patricia Vincent-Collawn, Chair and CEO of PNM Resources (USA), and Chair North America also steps down from the North America World Energy Council position having served a successful three-year term

Italy’s antitrust regulator said recently it has slapped Italian energy giant Eni and five other companies with fines totalling more than 936 million euros ($1.1 billion) for ‘restricting competition’ in the sale of fuel.

the authority said in a statement that Eni, Esso, Ip, Q8, Saras and Tamoil ‘coordinated to set the value of the bio component factored into fuel prices’, which tripled between 2019 and 2023.

a probe following a whistleblower’s complaint revealed that ‘the companies implemented parallel price increases – largely coinciding – which were driven by direct or indirect information exchanges among them’, the authority said. ‘The cartel began on 1 January 2020 and continued until 30 June 2023,’ it added.

eni expressed its ‘strongest disagreement and surprise’ over the ‘incomprehensible and unfounded’ accusations, saying it would take legal action.

the regulator’s case ‘ignores market logic and misrepresents the facts, taking legitimate communications related to mutual supply relationships between operators out of context,’ it said.

City Bank PLC, a private sector bank in Bangladesh, has secured a $75 million loan facility from two international development banks to boost private sector investment.

the loan deal was signed among the City Bank, the Asian Infrastructure Investment Bank (AIIB), and the New Development Bank (NDB) to boost investment and sustainable infrastructure development in Bangladesh.

the total financing package includes $50 million from the AIIB and $25 million from the NDB.

the funds will be allocated for investment in Bangladesh’s private sector and key development areas, including power, energy efficiency, e-mobility, and digital infrastructure.

the bank officially announced the financing package on October 2, confirming the signing of the agreement with the international development institutions.

this loan is particularly significant as it is AIIB’s first on-lending facility in Bangladesh without a sovereign guarantee to a private commercial bank or institution. For City Bank, the facility is expected to catalyze private sector capital investment, create opportunities for long-term infrastructure lending, and support the implementation of crucial development projects across various sectors.

the management of City Bank expressed confidence that the partnership will significantly accelerate investment in renewable energy and infrastructure, which are vital for achieving the country’s Sustainable Development Goals (SDGs).

Compared with other fossil fuels, LPG is a much cleaner source of energy. That’s why, if Bangladesh is to achieve its goal of clean cooking for all by 2030, there is really no alternative to LPG. But the sector is now under immense strain after years of heavy investment. Many companies are already struggling, while others are on the brink of collapse.

to prevent further damage, the government needs to step in with low-cost financing to help stabilize the industry. Bringing LPG under the Bangladesh Bank’s Green Fund could be a practical step toward easing the crisis.

it’s also worth noting that LPG is the only energy segment in Bangladesh that operates entirely without subsidies, a fact that deserves recognition and support.

these remarks were made by MD Abdur Razzaq, Founder and Managing Director of JMI Group, in an interview with Mollah Amzad Hossain, Editor of Energy and Power. Many believe that due to overinvestment in the country’s LPG sector, investors are now facing high risks. How do you view this situation, and what could be the way out of the crisis? You are absolutely right. When the government finalized the LPG policy, it did not exercise adequate caution.

under this policy, 59 companies were issued licenses. In contrast, India has licensed only four or five companies in its LPG sector. South Korea has just three, and Thailand has four. In Bangladesh’s small market, 29 operators are currently active, among which around 16-17 have already become sick. Many smaller companies, unable to sustain operations, have sold out to stronger ones.

it is also important to note that the LPG sector is the only energy subsector operating entirely without subsidies while regularly paying taxes and VAT to the government. Meanwhile, around 16 million tonnes of firewood are still being burned annually for cooking in the country. LPG is playing a vital role in replacing firewood as a competitive cooking fuel. Hence, government policy support is crucial for a sector that is now under severe financial strain. To make it clearer, LPG is a clean fuel compared to other fossil fuels. Globally, the sector receives financial incentives, whereas the situation is quite the opposite here.

the interest rate on our loans was previously 7-9%, but it has now risen to 14%, nearly doubling the cost of funds. Therefore, providing low-interest loans to this sector is essential. While LPG is a fossil fuel, it is globally recognized as a green cooking fuel because it replaces biomass and other polluting fuels.

the market in Bangladesh is also expanding. What policy support is needed to achieve the goal of ensuring safe cooking energy for all by 2030? You are absolutely correct. Given the current struggling condition of the LPG industry, if closures continue, Bangladesh will fail to meet the SDG target of ensuring clean cooking for all by 2030. Moreover, LPG is no longer used only for cooking, it is now being used in industries to overcome gas shortages and as an automotive fuel.

as I mentioned earlier, LPG has significantly reduced the use of firewood, thereby decreasing environmental pollution and health risks. Considering all these factors, LPG must be made eligible for financing under the Bangladesh Bank’s Green Fund. What is the current level of investment in the country’s LPG sector? To the best of my knowledge, the total investment in this sector stands at Tk 35,000 crore, of which Tk 25,000 crore is bank loans.

the sector has expanded rapidly. Seven to eight years ago, monthly LPG imports were around 30,000-40,000 tonnes; now imports have risen to 150,000 tonnes per month. Operators claim they are not receiving fair prices for LPG, while the Bangladesh Energy Regulatory Commission (BERC) adjusts prices every month based on international rates.

on the other hand, consumer rights groups allege that you are being allowed to make excess profits. Where does the problem actually lie? With due respect, I disagree with the claim made by consumer rights groups.

the way prices are currently being determined, operators are actually incurring losses. We have explained this to BERC in detail through our association. You see, operators have to pay various institutional fees and government duties, while the cost of funds has also increased significantly.

unfortunately, BERC is not taking these factors into account.

a coordinated effort is needed to bring the regulation of the LPG sector under a single authority.

above all, price determination must be based on a comprehensive consideration of all relevant costs.

experts believe that continuous crossfilling is deceiving consumers, and there are allegations that some operators are involved as well. What can be done to stop this? Due to such practices, safety risks are also increasing. What is your opinion? This is indeed a very important issue. You see, a section of unscrupulous traders is engaged in cross-filling.

there are laws to prevent it, but enforcement is the responsibility of the administration.

on behalf of LOAB, we are continuously working to raise public awareness regarding safety and other issues. Operators, too, are taking steps from their side to promote awareness.

the challenge, however, is that the LPG market is very extensive.

oversight in this regard lies with the Department of Explosives.

unfortunately, they do not have enough manpower to monitor activities across the country. Police often say that even if someone is arrested for cross-filling, there is no clear legal provision for prosecution. Nevertheless, if the administration takes prompt action when such complaints arise, this problem will gradually decrease.

the allegation that some operators are directly involved in cross-filling is not entirely accurate.

an operator supplies bulk LPG to an autogas station, and crossfilling may occur at that stage. Currently, there are over 1,000 autogas stations in the country, but the number of vehicles using autogas is still low.

as a result, some stations may sell or divert bulk LPG for other uses.

therefore, the government should monitor how much LPG is being imported, where it is being distributed, and how it is being sold.

any violations should be dealt with under the law.

the gas crisis in the country is becoming increasingly severe.

experts suggest that the government should announce a timebound phase-out plan to replace CNG with autogas in vehicles. What is your opinion? This should definitely be done.

although LPG is more expensive than CNG, the government can create policies to gradually replace it.

the largest sector for such replacement should be the residential sector, which currently consumes about 200 MMCFD of natural gas.

a time-bound plan should be implemented to replace residential natural gas use with LPG. The LPG sector is replacing firewood use, reducing carbon emissions, and lowering health risks.

it also contributes to reducing air pollution.

in that case, why can’t this sector access Bangladesh Bank’s Green Fund facilities? LOAB has already requested that the LPG sector be included under the Green Banking Scheme.

at present, only renewable energy and sustainable development projects are eligible for financing from this fund. However, the LPG sector plays a major role in reducing air pollution, minimizing firewood burning, and promoting clean cooking solutions. We hope that the Governor of the Bangladesh Bank will consider our request favorably. The LPG sector is almost entirely driven by private investment, yet it remains trapped under various government regulations and approval processes.

investors often have to visit multiple agencies for permits. What policy reforms do you think are needed to simplify the process? LOAB has been in continuous discussion with relevant ministries and departments about this issue.

operators have already presented their challenges to the authorities, and they have assured us that steps will be taken to address them. However, the progress is very slow, and it needs to be accelerated.

the country’s annual LPG demand is currently 1.8 million tonnes, and some estimate it could reach 10 million tonnes by 2040. What steps should be taken to ensure sustainable market growth? The market will certainly move in that direction, as LPG is both readily available and a clean fuel. With the current infrastructure, the sector can handle importation, bottling, and distribution for up to a 7-million-tonne market. However, the government must provide policy support, especially through access to low-cost financing, to sustain and strengthen this industry.

the price of LPG is about 30% higher than LNG. Given this reality, how do you view the prospects of increasing LPG use in industries? Due to subsidies, the cost of piped natural gas is lower than LPG. However, since industries cannot access piped gas, they are compelled to use LPG to keep operations running. Despite higher prices, industries are maintaining productivity and absorbing the cost difference to continue using LPG.