Gas Crisis Worsens in Bangladesh as Prices Soar

The country is reeling from an acute gas crisis that has persisted for nearly two weeks. The shortage of liquefied petroleum gas (LPG) has led to a surge in prices, with the retail price of a 12-kg LPG cylinder increasing by Tk 70 to Tk 1,598.

The Bangladesh Energy Regulatory Commission (BERC) announced the price hike on Sunday. The shortage is affecting households, restaurants, and industries, causing widespread distress. Long queues are seen at CNG filling stations, forcing drivers to waste hours waiting for gas.

The crisis has also disrupted electricity generation, with more than 50 percent of the country's power plants relying on natural gas. As a result, severe load shedding has become widespread across the country. The ongoing gas crisis poses a serious threat to the national economy and is likely to inflict significant damage on the country's overall economic performance.

The crisis began after a fire at Excelerate Energy's Floating LNG Terminal in Maheshkhali on July 21 caused a major disruption to the country's LNG import and supply system. The damaged terminal has yet to resume full operations, resulting in a daily gas deficit of approximately 45 percent.