Fuel prices likely to be raised tolerably: Nasrul

State Minister for Power, Energy and Mineral Resources Nasrul Hamid has said the government is thinking about increasing liquid fuel prices to tolerable levels so that the common people will not suffer.

Talking to reporters at his house in the capital on Friday, he said the government was worried about diesel instead of petrol and octane.

“Losses will multiply due to the increase in international market prices. There is no subsidy in diesel and Bangladesh Petroleum Corporation (BPC) bears the entire loss,” he said.

The state minister said BPC’s losses had exceeded Tk 8,000 crore since the global crisis began and hence the government was thinking about adjusting prices.

When asked why fuel prices were being set by executive orders instead of the Bangladesh Energy Regulatory Commission, Nasrul said the government thinks it is better to do it that way for the time being.

Asked why fuel prices rose in the country despite a fall in the world market, he said how much global prices had dropped should be considered.

“Global prices went up to $170 per barrel, which has come down to $134 now. If prices go above $79, we have to incur losses,” he said.

In response to another question, Nasrul said gas prices were recently increased at the same rate as last year, adding prices would have to be adjusted again as the Russia-Ukraine war had pushed up prices so much.

Asked whether the recently introduced electricity rationing was helping save power, the state minister said the result was good in the capital. He said load-shedding happens in many developed countries as well.

“Urban areas are witnessing power cuts as per schedules, but that is not the case in villages. A one-hour load-shedding is extending to three to four hours.”

Nasrul also said the situation would be almost normal by next month.