No fuel crisis despite refinery 'slowdown': Energy Division
Fuel crisis unlikely in next two months, it also says
The Energy Division today (15 April) assured that there is no risk of a fuel crisis in Bangladesh, even as state-owned Eastern Refinery Limited (ERL) continues to operate at reduced capacity due to disruptions in crude oil shipments.
At a press conference at the Secretariat, Energy Division spokesperson Monir Hossain Chowdhury said a proactive strategy to ramp up imports of refined petroleum products has successfully cushioned the domestic supply chain, ensuring uninterrupted fuel availability across the country.
"As I mentioned earlier, the current stock of octane and petrol is sufficient to meet demand for at least the next two months. I can assure that we have adequate reserves," he said.
He acknowledged that the ERL is currently running on a "low feed" due to a shortage of crude oil, but stressed that this would not affect overall supply.
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"We have a dual strategy in place. While we work to secure crude supplies, we have simultaneously increased the import of finished petroleum products to meet 100% of the country's demand. The supply chain is stable and uninterrupted."
The disruption follows delays in crude shipments linked to geopolitical tensions in the Middle East, particularly affecting key routes such as the Strait of Hormuz since late February.
An Eastern Refinery official earlier said refinery operations were temporarily halted due to the shortage of crude, following the Iran war.
According to the Energy Division, around 300,000 tonnes of crude imports were delayed in March and April. A vessel carrying 100,000 tonnes of Arabian Light crude from Saudi Arabia remains stranded at Ras Tanura port due to security concerns, while another shipment from the UAE has been postponed.
However, the Energy Division outlined several proactive measures to mitigate the impact.
"A fresh shipment of 100,000 tonnes of Arabian Light crude left for Bangladesh via an alternative route on 20 April and is expected to arrive at Chattogram port between 2 and 3 May," said Monir Hossain Chowdhury.
Additionally, the government has requested a further 100,000 tonnes of crude from Saudi Arabia for May and approved emergency procurement of another 100,000 tonnes through direct purchase to strengthen reserves.
Eastern Refinery, the country's only refinery, typically processes around 1.5 million tonnes of crude annually from Saudi Arabia and the UAE, accounting for roughly 20% of Bangladesh's fuel demand. The remaining 80% is met through imports of refined petroleum products.
According to the energy division data, Eastern Refinery supplied about 15% of the country's diesel and nearly 12% of its petrol demand in the last fiscal year, alongside by-products like furnace oil, kerosene, and bitumen.
