Govt to allow gas exploration by local private companies
Factories forced to suspend operation on gas crisis: MCCI
Star Business Report
The government has decided to open up gas exploration and transmission for local private investors to ensure uninterrupted gas supply for the industries, State Minister for Energy and Mineral Resources AKM Mosharraf Hossain said yesterday. "We have already formed a committee, which will develop a policy on how private sector can contribute to this field," the state minister said at a meeting organised by Metropolitan Chamber of Commerce and Industry (MCCI) at its conference hall in Dhaka. The chamber organised the meeting against the backdrop of growing inadequacy of natural gas supply in and around Dhaka City particularly at Joydevpur, Tongi, Savar EPZ, Demra and Narsingdi. According to MCCI President Kutubuddin Ahmed, gas supply in these areas is less than the required minimum pressure. Some industries in these areas are forced to suspend operations during peak hours and even shut down. Following the observation of MCCI president, the minister told the members that within few months the newly formed committee will make recommendations to help the government frame and implement its plan from January next year. Talking on the sidelines of the meeting, the minister told The Daily Star that the committee will comprise ministry and Petrobangla (Bangladesh Oil, Gas & Mineral Corporation) officials. The committee will hold discussions with different private sector representatives before preparing the final report, Mosharraf said. He viewed that local companies can set up joint ventures with the state-owned Bangladesh Petroleum Exploration & Production Company Limited (Bapex) for such initiatives as "I know they have gathered adequate expertise on this sector by this time." The state minister admitted there is pilferage in transmission of gas "due to evil deeds by the officials." Mosharraf assured the MCCI members that there would be no problem in gas supply until 2010 when production of Moulvibazar gas field (70 million cubic feet per day capacity) will begin. "Production of Bibiyana gas field (200 million cubic feet per day capacity) will be in full swing from 2006," he added. The state minister attributed the present gas crisis to sudden closure of Sangu gas field. "The condition will improve with Jamuna Fertiliser set to go into maintenance for 20-25 days that will save 40 to 45 MMC (million cubic feet) gas per day," he hoped. Mosharraf said that closure of the city's shopping malls by 8:00pm everyday can be a good solution to the problem. "But I don't know whether the businessmen will agree to such a proposal." In his speech, MCCI president suggested that fertiliser factories in Ghorashal may run at minimum load during 6:00pm to 10:00pm as an immediate step to improve the situation. He also suggested disconnecting illegal gas connections to save gas for good consumers. Petrobangla Chairman SR Osmani and MCCI Secretary General CK Hyder also spoke at the meeting.
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