Furnace Oil Price Drops by Over Tk 4 per Litre
Representational image drawn by AI.
The government has reduced the price of furnace oil by Tk 4.44 per litre. According to the new price, furnace oil will be sold at Tk 109.10 per litre, down from Tk 113.54. The new price will take effect from Tuesday midnight (12:00 AM). This may lead to a slight reduction in the production costs of oil-fired power plants.
A notification from the Bangladesh Energy Regulatory Commission (BERC) stated that the new price was determined in a special commission meeting on June 30, after reviewing the average import price of furnace oil from May 13 to June 29 and the exchange rate of the Taka against the US Dollar.
Earlier last month, the price of furnace oil per litre was increased by Tk 18.85 at once. This time, the price has been partially reduced.
Under the new price, four state-owned marketing companies under the Bangladesh Petroleum Corporation (BPC) – Padma Oil Company, Meghna Petroleum, Jamuna Oil Company, and Standard Asiatic Oil Company – will sell furnace oil. The largest buyer of this oil is the state-run Power Development Board (PDB), which supplies fuel to the country's oil-fired power plants.
Previously, BPC set this price through executive orders, but the interim government transferred this responsibility to the Bangladesh Energy Regulatory Commission (BERC). Subsequently, in February last, BERC announced the furnace oil price for the first time.
Prices are being adjusted periodically, taking into consideration international market rates and the dollar exchange rate.
