However, price adjustments in domestic, fertilizer production, CNG, commercial and tea industries remain unchanged. The new price will be effective from May 1.This will increase the cost of electricity production. The cost will increase in the production of industrial products. The Ministry of Power, Energy and Mineral Resources through the notification announced the new price of gas used in power plants on Tuesday.

At present, the price of gas supplied to the government, private power plants (IPP), and rental power plants is Tk14.75 per cubic metre. Now it has been increased to Tk15.50. The price of gas supplied to industrial gas-based power plants (captive) was Tk30.75. It has now been increased to Tk31.50.

It is known that gas prices increased in electricity, industrial, and commercial sectors in January last year. Meanwhile, due to the increase in gas prices in government, private, and rental power plants, the concerned parties fear that the price of electricity will increase several times at the consumer level. Again, due to the increase in gas prices in the industrial sector, the cost of production will also increase, the industrial owners said. According to the data of the Ministry of Power, Energy and Mineral Resources, there are 8 customer categories of gas users in Bangladesh.

Among them, 37% of the total gas supply is used in power generation, 23% in industry, 18% in captive power, 10% in household, 7% in fertilizer production, 4% in CNG and 1% in commercial and tea industry. Due to the difference between the production, import, and supply price of natural gas, the government will have to give a financial subsidy of Tk6,571 crores in this sector in the fiscal year 2023-24.

News Link: Gas prices for power plants hiked by Tk0.75 per cubic metre