Asifur Rahman

Bangladesh’s gas supply situation has improved from the severe shortages seen last week, but industries are yet to see a meaningful recovery as a larger share of the limited supply is now being diverted to power plants.

Bangladesh’s LNG supply has recovered with both floating terminals at Maheshkhali back in operation, but the gas crisis is unlikely to ease significantly, with combined LNG send-out expected to remain at around 70 percent of the two terminals’ combined capacity over this week at least.

Just as the Summit LNG terminal resumed feeding the national grid yesterday, Excelerate Energy’s terminal went offline following another technical fault, prolonging the severe gas shortage that has stifled economic activities.

The gas crisis, which is in its fourth week, took a turn for the worse after Summit’s floating LNG terminal ran out of gas around 5:00pm yesterday.

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Citing the rapid depletion of its cash reserves, BPC said continued losses could affect its ability to open letters of credit (LCs) for future fuel imports, according to minutes of a BPC board meeting in July.

Power shortages have worsened sharply across the country as electricity demand rebounded after recent rains, while disruptions in coal handling compounded a continued shortage of gas for power generation.