The Bangladesh Petroleum Corporation (BPC) has slowed work on a proposed policy allowing private companies to import, store, transport, distribute and market refined fuel oil, with the draft not submitted to the government by the 10 August deadline.
The delay follows strong criticism and objections from various quarters. On 8 August, the Energy and Mineral Resources Division said in a press release that the draft would be finalised only after taking opinions from all relevant stakeholders, reviewing international “global best practices” and consulting local experts.
The ministry’s position has effectively relieved BPC of pressure to submit the draft immediately.
BPC officials told The Daily TIMES of Bangladesh that instead of finalising and forwarding the draft, the corporation is now waiting for further discussions and review by the ministry.
BPC General Manager (Distribution and Marketing) Md Ferdousi Masum Himel said the Commerce and Operations Department is currently examining the draft.
A senior BPC official, speaking on condition of anonymity, said no final decision had been taken on the draft.
“Until the BPC chairman is appointed, it is difficult for officials to take such a major policy decision,” the official said, adding that the work remains largely at the stage it had reached earlier.
According to the official, BPC is now following the position taken by the Energy Division in its 8 August statement. As a result, the earlier instruction to submit the draft by 10 August is no longer being pursued.
The official said the ministry wants to consult stakeholders, examine effective international practices and obtain expert opinions before taking a final decision.
10 August deadline loses momentum
On 6 August, Energy and Mineral Resources Division Operation-2 Branch Senior Assistant Secretary Asif Ahmed instructed the BPC chairman to submit the draft of the proposed “Private Level Refined Fuel Import, Storage, Transportation, Distribution and Marketing Policy-2026” by 10 August.
The letter said a clear policy was necessary to ensure an uninterrupted energy supply while allowing private-sector participation in the import, storage, transportation, distribution and marketing of refined fuel oil.
However, the deadline passed without the draft being submitted.
Instead, the ministry announced that the policy would undergo further consultation and review.
A BPC director-level official said the issue is now effectively under consideration by the Ministry of Power, Energy and Mineral Resources. The ministry will decide the next course of action after discussions with the concerned stakeholders, the official said.
The process is also being complicated by the vacancy of the BPC chairman’s post. Several senior officials said the absence of a regular chairman has created uncertainty over major policy decisions at a critical stage.
Sources said there are also differences within BPC over which department should lead the policy formulation process — the operations or marketing wing. The lack of clear instructions from the top has left the issue unresolved.
According to Energy Division sources, four business groups have approached the government seeking permission to import and market refined fuel oil privately. They include TK Group, Meghna Group and Bashundhara Group.
On 24 May, Bashundhara Oil and Gas Company Limited sought permission to import refined fuel oil under its own management. In a letter signed by ABG Chairman Sayem Sobhan Anvir, the company said the move would help address the country’s long-term energy crisis and contribute to economic development.
Labour leaders oppose private fuel imports
Labour leaders have also strongly opposed the proposed policy.
Jamuna Oil Company CBA former general secretary Iftekhar Kamal described the initiative as risky for the country’s energy security.
He argued that handing greater control over a strategically sensitive sector such as fuel oil to private companies could create risks for consumers and disrupt the supply system.
Citing the private sector’s experience in markets for essential commodities such as soybean oil, eggs and green chillies, he questioned whether greater private control over fuel imports and marketing would ensure market stability.
He also alleged that changes in the energy sector could benefit specific business interests and claimed that action against officials who opposed private fuel imports was connected to the initiative.
