Furnace Oil Price Hike in Bangladesh has been announced, sending ripples through the power sector. The Bangladesh Energy Regulatory Commission (BERC) has increased the price of furnace oil by BDT 24.59 per liter. This significant jump is expected to further escalate the cost of electricity production in the country. The new price became effective from midnight last Sunday.
Impact on Power Generation: Furnace Oil Price Hike in Bangladesh
Following the Furnace Oil Price Hike in Bangladesh, the price per liter has risen from BDT 70.10 to BDT 94.69. This marks the second time BERC has adjusted the prices since the interim government transferred the authority from the Bangladesh Petroleum Corporation (BPC). Experts suggest that this adjustment reflects the volatile global energy market and the increasing operational costs of state-owned enterprises.
The primary buyer of this fuel is the Bangladesh Power Development Board (BPDB). With the Furnace Oil Price Hike in Bangladesh, state marketing companies like Padma, Meghna, and Jamuna will now sell at the higher rate. Although the price was reduced by BDT 16 back in February, this sudden hike is likely to put additional financial pressure on the power sector, potentially leading to higher electricity tariffs for end-users.
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