If octane stock overflows, when will long queues end?
Total stock is expected to rise to about 55,500 tonnes, overshooting the national storage limit of 53,000 tonnes.
Bangladesh is dealing with a rare fuel management imbalance. Octane imports have surged beyond the country's storage capacity, yet motorists are still facing long queues at filling stations.
A vessel carrying 26,000 tonnes of octane arrived in the first week of April. The latest vessel, Nave Cielo, carrying 27,000 tonnes from Malaysia, reached the outer anchorage of Chattogram Port on Friday.
Once unloaded, total stock is set to rise to around 55,500 tonnes, surpassing the national storage limit of 53,000 tonnes. The volume is sufficient to meet more than 45 days of demand, supported further by domestic refining, which adds about 700 tonnes of octane daily, officials said.
On Friday, State Minister for Power, Energy and Mineral Resources Anindya Islam Amit said the country has never held such high fuel reserves at once.
"We are fully prepared to meet demand for the next two months," the state minister added.
Data from the Bangladesh Petroleum Corporation (BPC) shows the government's dedicated storage stands at 45,819 tonnes, enough for 38 days, spread across 16 depots. About 20,000 tonnes are held at Eastern Refinery, while BPC's main facilities in Chattogram account for roughly 22,000 tonnes, with the remainder stored at smaller depots.
In this situation, the Bangladesh Petroleum Corporation has little choice but to increase octane supply at filling stations to ease long queues and waiting times for motorcyclists and private car users.
However, the company's plan for managing stocks that have exceeded storage capacity remains unclear. Several BPC officials were approached for comments on storage buildup and distribution plans to end the long queues at pumps, but none were willing to comment.
No ease at pumps
Despite the stock build-up, supply at the retail level has not kept pace. Long queues persist in Dhaka and Chattogram, particularly among motorcyclists and private car owners reliant on octane.
At midnight on Friday, a queue of cars and motorcycles stretching from Mohakhali for fuel was observed at Trust Filling Station on Old Airport Road in Tejgaon, Dhaka. Around the same time, fuel queues were seen stretching from Chandrima Uddyan for fuel at the Talukdar pump at Asad Gate. Similar scenes were also seen in the capital's suburbs and other major cities.
Pump owners all along have said the issue is being driven less by shortage and more by consumer behaviour.
Mohammad Moin Uddin, member secretary of the Chattogram division of the Bangladesh Petroleum Dealers, Distributors, Agents and Petrol Pump Owners Association, pointed to panic buying.
"People are queuing up even when they don't urgently need fuel," he said, adding that demand remains elevated despite increased supply.
Concerns over supply disruptions emerged in March amid tensions in the Middle East, prompting the government to align supply with projected demand.
Daily supply averaged 1,217 tonnes in March, slightly higher than 1,193 tonnes a year earlier. However, amid fears of shipment delays, BPC informally reduced daily distribution by around 100 tonnes, officials said. For April, BPC had planned average daily octane sales of 1,185 tonnes.
Meanwhile, the government has expanded the pilot phase of the Fuel Pass BD application beyond the capital, bringing several districts and metropolitan areas under its motorcycle registration system.
According to an official notice, motorcycle owners in Dhaka, Chandpur, Chattogram, Barishal, Khulna, Rajshahi and Mymensingh, including their respective metropolitan areas, are now eligible to register under the Fuel Pass BD system.
3-6 days to reach pumps
Nave Cielo, which brought 27,000 tonnes of octane from Malaysia, cannot berth at the Dolphin Jetty due to its 220-metre length. The cargo will instead be transferred to another vessel, Central Star, scheduled to berth on 21 April, according to local agent Pride Shipping.
Unloading the full consignment from Central Star to the BPC central storage in Patenga is expected to take about two days. From there, distribution by road to the depots of oil marketing companies – Padma, Meghna and Jamuna – will require an additional two to three days.
If transported via coastal tankers, delivery could take around four to five days. Overall, it may take between three and six days for the latest diesel shipment to enter the national supply chain. The Chattogram-Dhaka pipeline cannot be used for octane transport, as it is dedicated to diesel.
5,000 tonnes of diesel comes from India
Bangladesh today (18 April) received 5,000 tonnes of diesel from India through the cross-border pipeline, taking the total volume to around 30,000 tonnes since March, reports BSS.
"Under the latest supply flow, diesel pumping started at 7pm on April 16 from Numaligarh in India and was completed this evening at Parbatipur depot," Meghna Petroleum manager Kazi Md Rabiul Alam said.
He added that another 7,000 tonnes of diesel is expected to start arriving from India within the next four to five days.
1.33 lakh tonnes of diesel to arrive this week
Chattogram Port is preparing for another round of fuel imports, with five vessels carrying about 1.33 lakh tonnes of diesel and 32,000 tonnes of jet fuel due in the coming days.
The diesel shipment could meet roughly 11 days of demand, while the jet fuel may cover more than 21 days. Daily consumption stands at about 12,500 tonnes for diesel and 1,500 tonnes for jet fuel.
Shipping data shows arrivals beginning on 20 April, when three vessels berth on the same day, followed by two more on 21 and 23 April. All cargo will be handled by local agent Pride Shipping.
The agency said diesel shipments will come from Oman, Malaysia and India, while the final shipment of Jet A-1 fuel will arrive from South Korea, mainly for aviation use.
Pride Shipping managing partner Nazrul Islam told The Business Standard that all vessels have already left their load ports and are expected on schedule unless disruptions occur.
Petrol stocks stood at about 19,500 tonnes as of Thursday, enough to cover at least two weeks of demand. Output from five local fractionation plants processing condensate is also helping stabilise overall supply.
