No possibility of cutting oil prices soon: Nasrul

There is no possibility of immediate oil price drop as the situation is not favourable, State Minister for Power, Energy and Mineral Resources Nasrul Hamid said on Friday even as fuel prices continue to decrease in the global market.

Speaking to reporters at his residence about the ongoing fuel crisis in the country, Nasrul Hamid said no alternative source of oil and gas import could tackle the ongoing energy crisis. 

The government increased fuel prices to a record level in August, setting the buying cost of per barrel diesel at $139. That baseline is yet to be lowered even as crude and refined oil are following a downtrend in international markets for the last one and a half months. 

The Bangladesh Petroleum Corporation (BPC), the government agency responsible for importing, distributing and marketing oil and petroleum products, is currently buying per barrel diesel at $112 to $116 from the global market, allowing it to make a profit of Tk6-9 in per litre diesel.

Meanwhile, speaking about the recent countrywide power outage, Nasrul Hamid said the reason behind the blackout is yet to be identified as the investigation is not over.

It will take about two years to get an uninterrupted grid with modern technology, he said, adding that the government is working step by step.

The state minister also said LNG prices in the global market are at $60, which is depleting the government fund all the while spot LNG supply has stopped. 

However, he said the government is working on opportunities to get 1500 MW of electricity from renewable sources including solar, wind and other relatives.

Terming the recent statements from leaders of the Bangladesh Nationalist Party regarding the national grid catastrophe as ‘nonsense’, Hamid said there was no production of electricity during the BNP ruling period.