Bangladesh raises electricity prices, exempts marginal consumers

The Bangladeshi government has increased electricity prices, citing the global energy crisis and domestic economic conditions as primary reasons. Information Minister Zahir Uddin Swapon announced that approximately 65 percent of the country's marginal consumers will be shielded from the price hike.

The Bangladesh Energy Regulatory Commission (BERC) adjusted electricity rates across wholesale, transmission, and retail levels last Wednesday, with the new prices taking effect from the June billing cycle. Swapon clarified that while BERC increased prices for all consumers, the government appealed to ensure that those using up to 75 units of electricity would continue to pay at the previous rates.

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If there had been a proper policy for energy resource extraction over the past 20 years, we would not have to be so import-dependent now.

"If there had been a proper policy for energy resource extraction over the past 20 years, we would not have to be so import-dependent now," Swapon remarked. He added that the government is actively pursuing initiatives for domestic gas exploration and offshore bidding, while also prioritizing the development of solar and renewable energy sources to mitigate reliance on imports.

Responding to concerns about the impact on goods prices, Prime Minister's Information and Broadcasting Affairs Adviser Dr. Zahed Ur Rahman acknowledged that the electricity price increase would likely affect industrial and factory production costs. However, he assured that the government is expanding social safety net programs to provide relief to the public.

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The electricity price hike would naturally have some impact on the prices of goods manufactured in industries and factories.