Five gas distribution companies, out of the total six, on Sunday submitted their respective proposals to the Bangladesh Energy Regulatory Commission (BERC) to raise gas price at consumer level.
The companies are Titas Gas Transmission and Distribution Company Ltd (TGTDCL); Jalabad Gas Transmission and Distribution System Ltd (JGTDSL); Bakhrabad Gas Distribution Limited (BGDCL); Karnaphuli Gas Distribution Company Ltd (KGDCL); and Sundarban Gas Company Ltd (SGCL).
All the companies are subsidiaries of Petrobangla, the state-owned principal organization in the country’s hydrocarbon sector.
“We received separate proposals from five companies and only the Paschimanchal Gas Company Ltd (PGCL) is yet to submit their proposal,” a senior official of BERC said.
According to official sources, the proposals of all the five companies are similar and they proposed raising the single burner charge to Tk 850 per month from existing Tk 400 while for double burner Tk 1,000 from the existing rate of Tk 450.
This means the companies have proposed to raise the gas price by about 122.22 percent for single burner and about 112.50 percent for double burner.
The price of gas was last increased on 1 August 2009.
Earlier, when the same proposal was submitted to the energy watchdog body, it refused to accept the proposal and asked the Petrobangla to submit the proposal through the companies as the BERC law dictate that the relevant operating companies must submit such proposal.
Following the directives, the operating distribution companies submit their proposals to the regulator.
Now, as per BERC law, the regulator will first hold an initial meeting of the stakeholders to accept or reject for public hearing. If the BERC finds the proposals have merit to proceed on, it will hold public hearing to listen the opinions of all stakeholders, particularly the views of consumers and also arguments and counter arguments on the issue.
And then the BERC will give its decision within 90 days of receiving the proposals.
5 distribution cos propose to raise gas price