BPC incurs Tk8,014cr loss in last six months

Bangladesh Petroleum Corporation (BPC) has incurred a loss of Tk8,014 crore by selling fuel oil in six months from February to July due to abnormal price hike in the global market, said ABM Azad, Chairman of the state-run company.

He claimed that the shortfall was met from the FDRs of the different development projects of BPC. ABM Azad told the reporters at BPC’s temporary office at Karwanbazar in the capital on Wednesday evening.

BPC Chairman said from the fiscal year 1999-2000 to 2013-14 BPC counted a loss of Tk53,000 crore.

The government gave subsidy of Tk44, 000 crore to BPC and the deficit was around Tk8, 127 crore which was covered from the profit of Tk47, 000 crore earned from 2014 to 2021, ABM Azad added.

He said the profit BPC made from FDRs of its development projects amounted to Tk34, 261 crore.

At present, BPC has 11 development projects. Of them, the notable ones are Unit-2 of Eastern Refinery Limited (ERL), (not yet approved), Dhaka-Chittagong Single Mooring Line, Bangladesh-India Friendship Pipeline and Jet-1 Pipeline Project.

BPC needs Tk19, 000 crore to build one ERL unit. This money will not be given by the government. BPC itself has to bear the expenditure, said the Chairman.

ABM Azad said, considering the situation of the world market, BPC has to keep 25 percent additional money in its current account for the import expenses of 2 months.

It was Tk12, 000 crores in the FY2019-20 but in the current situation this amount should be Tk20, 000 crore.

In last June BPC got Tk5, 500 crore from selling oil but it paid bills of Tk7, 171 crore and in July this was Tk10, 212 crore.

This expenditure will decrease slightly to Tk9, 300 crore in August. ABM Azad claimed that the increase in oil price has caused BPC to count a loss of Tk6 per liter of diesel while it is making a profit of Tk25 for a liter octane.