This incident cannot be viewed as an isolated problem. Rather, it highlights the inherent risks of our import-dependent energy system. If an accident at a single floating LNG terminal can create a major nationwide disruption in gas supplies, it is only natural to question the resilience and capacity of the existing infrastructure and supply system.
The country’s daily gas demand is around 3.8 billion cubic feet, while supply has fallen to approximately 2.7 billion cubic feet. This has created a substantial gap between demand and supply. The immediate impact is being felt in power generation. If gas-fired power plants do not receive adequate fuel, their production may decline. Therefore, if the gas shortage continues for an extended period, pressure on electricity supplies could increase, potentially leading to higher load shedding.
Residential consumers are among those suffering the most. With gas unavailable for much of the day, many families are being forced to rely on alternative cooking arrangements. Some are purchasing induction cookers, while others are using electric stoves. At a time when inflation is already putting household budgets under considerable pressure, these additional expenses are a significant burden. Meanwhile, drivers of CNG-powered vehicles are spending long hours waiting at filling stations without receiving sufficient gas. Their working hours and earnings are consequently being affected.
The impact on the industrial sector is equally concerning. Reduced gas pressure is disrupting production at many factories. Some businesses are being forced to use relatively expensive alternative fuels such as diesel or LPG. This is increasing production costs, which could ultimately affect product prices and add further pressure to inflation. If the gas crisis persists, industrial production, employment and investment could all face serious consequences.
The situation is further complicated by uncertainty in the international energy market. Conflicts in the Middle East, risks surrounding the Strait of Hormuz and fluctuations in global energy prices pose significant challenges for an import-dependent country like Bangladesh. When international prices rise, Bangladesh has to purchase LNG at a higher cost. At the same time, any disruption in the supply chain can have a direct impact on the economy and people's daily lives. Therefore, simply increasing imports cannot be a sustainable strategy for ensuring energy security.
There is no alternative to adopting a long-term strategy to overcome these challenges. Exploration for new gas reserves both onshore and offshore must be intensified. Investment is needed to increase production from existing gas fields as well as to develop new ones. At the same time, the use of renewable energy must be expanded. The more diversified our energy sources become, the less vulnerable the country will be to disruptions involving any single source or piece of infrastructure.
Most importantly, Bangladesh needs to diversify its LNG supply infrastructure alongside increasing LNG imports. Excessive dependence on floating terminals means that a technical failure or accident at one facility can put the entire supply system under considerable pressure. In this situation, constructing a modern and secure LNG terminal on land has become a matter of urgency. Such a facility would not only help address the current crisis but could also serve as an important backup in the event of future supply disruptions.
However, building another terminal alone will not provide a permanent solution. The capacity of LNG terminals, pipelines, transmission networks and distribution systems must be strengthened in an integrated manner. There must also be mechanisms to quickly secure supplies from alternative sources during emergencies. At the same time, reducing gas wastage, improving management and developing realistic demand-and-supply plans are essential.
The Maheshkhali incident should serve as a warning. At a time when uncertainty in the international energy market is increasing, Bangladesh must reduce both its dependence on imports and its reliance on a single supply infrastructure. Energy security should not be treated merely as a matter of managing temporary shortages; it must be recognised as an integral part of national economic security.
We believe that Bangladesh should urgently take steps to construct at least one additional LNG terminal on land to strengthen the country's energy security. At the same time, investment in domestic gas exploration and renewable energy must be increased. After all, if energy purchased at enormous cost from international markets cannot reach consumers because of a single accident or technical failure, what could be more wasteful and destabilising than that?
