BPC Losing Tk 83 Crore a Day as Government Keeps Fuel Prices Subsidised

Bangladesh Petroleum Corporation is losing about Tk 83 crore every day as the government keeps fuel prices below the level required by a surge in international markets.

Energy Minister Iqbal Hassan Mahmood disclosed the figures in a written response tabled in parliament. He said no fuel subsidy had been needed through February 2026 because prices were adjusted monthly in line with international rates.

That changed in March, after the war in the Middle East drove international fuel prices sharply higher. The government maintained previously subsidised domestic rates, leaving BPC with losses of Tk 20,059.73 crore over five months, from March through July.

BPC continued importing fuel with its own funds and withdrew Tk 17,000 crore from accounts connected to ERL Unit-2 and other projects to keep supplies uninterrupted. It has asked the Energy and Mineral Resources Department to replenish the full loss through subsidies. The department has sought approval from the Finance Department.

The minister also told parliament that electricity generation cost Tk 702,217 crore between fiscal 2009-10 and 2024-25, while sales revenue totaled Tk 496,475 crore. In a separate response, he said Bangladesh currently imports 2,656 megawatts of electricity from India and 40 megawatts from Nepal. Arrears on imported electricity stood at Tk 2,904 crore at the end of the interim government's tenure.