Bangladesh Gas Crisis Worsens as LNG Import Disruptions Bite

Bangladesh is facing a severe gas shortage due to disruptions in its liquefied natural gas (LNG) import and supply chain. In mid-August, the country's LNG supply fell short by approximately 1,380 million cubic feet per day (MMcfd), with demand reaching nearly 3,800 MMcfd. This has affected various sectors including factories, power plants, filling stations, and households.

The issue lies in the country's logistics chain, which is heavily reliant on a limited LNG infrastructure. The LNG is purchased from international suppliers, shipped by sea, and brought to terminals near Moheshkhali Island. From there, it is transferred to floating storage and regasification units (FSRUs), where it is converted back into its usable form and sent through pipelines.

The problem at any major stage can slow the entire system, leaving Bangladesh vulnerable to disruptions in its energy supply. The country's reliance on international LNG has also exposed it to fluctuations in global prices and shipping issues. To mitigate this risk, experts suggest diversifying the energy mix, increasing backup capacity, and investing in alternative import routes.