The government may reduce the cost of fuel in the next month. The government’s announcement comes five months after it made fuel cheaper in the wake of a call by businesses for a blanket cut. The prices of diesel and kerosene were brought down by Tk 3 a litre, and octane and petrol by Tk 10 in the month of April this year.
The power, energy and mineral resources minister on Thursday hinted to lower fuel prices soon by Tk 10 on an average. The new rates might take effect if it help reduce the transport cost, State Minister Nasrul Hamid told the media. The minister also announced to launch sudden drives against the petrol pump stations across the country to stop selling adulterated fuel to the consumers.
Fuel prices in Bangladesh were raised for the last time in 2013 due to a global hike in the prices. The prices were reduced in April 2016. Prior to the reduction in April, octane was sold at Tk 99 per litre, petrol at Tk 96, and kerosene and diesel at Tk 68 a litre. The price of furnace oil was re-fixed at Tk 42 a litre from Tk 60 on Mar 31, 2016.
With a slump in oil prices worldwide for well over the past year, businesses have been demanding a cut in the prices, but the government went for a little cut so as to help the state-owned Bangladesh Petroleum Corporation to offset some of its mounting losses.
The country’s annual demand for fuel oil rose to over 5 million tonnes a few years ago due to fuel-run power plants and the growing number of motor vehicles. The country no longer needs to import petrol and the government has a plan to stop importing octane.