Govt likely to cancel licences of 11 pvt condensate plants

The government is likely to cancel the licences of 11 private condensate fractionation plants for their involvement in illicit fuel trade and adulteration, the Energy Ministry sources said.
The ministry will sit in a day or two to take action during a review meeting on adulteration of petroleum fuels and sales of substandard fuels at many filling stations across the country.
According to government statistics, the total demand for fuel oil has decreased by 20 percent because of Covid-19, sale of adulterated octane, diesel and petrol. All types of vehicles currently plying the streets also face technical problems because of this menace.
Bangladesh Petroleum Corporation (BPC)'s investigation report said most of the condensate fractionation plants are involved in fuel adulteration.
Petrobangla supplied 90,879 metric tonnes of condensate (which is used to produce products of liquid fuel like petrol and diesel) from gas fields to 12 private condensate fractionation plants for producing refined fuels.  
The country's gas fields produce      560,000 tonnes of condensate annually.
BPC's report said 6245 dealers, agents and distributors are engaged in adulteration of petroleum fuels as well as illegal marketing of the costly fuels but they are getting waiver from all sorts of punishment time and again and this time also.
"The private condensate fractionation plants are engaged in mixing the raw condensate with petroleum products creating serious havoc in fuel business across the country. The machineries run by fuel are the most sufferers here due to these heinous activities," Energy Ministry's senior official told the Daily Observer on Saturday.
"The data showed that the adulteration pushed down the petroleum sales of BPC by 13.62 percent in 2015, 12.70 in 2016 and 16.54 in 2017. The volume of illegal trade of diesel and petrol stands at Tk1,200 crore to Tk1300 in 2015. Of the amount, BPC incurred loss of Tk300 crore in revenue income during the period," the official added.
Knowing all these issues, the Ministry of Energy and Mineral resources (through BPC) issued show-cause notices to over 1500 agent, dealers and distributors for their involvement in illicit fuel trade and adulteration and engaged to cancel license of some condensate fractionation plants in 2015-2016 but later the processed was postponed.
This is the right time to take action against the corrupt people as the demand of fuel is lower than other times, the official said adding that in 2016 we feared that any anti-adulteration drive would disrupt petroleum supply.
The BPC has already set standards to produce petroleum products by different private condensate fractionation plants. But it failed to get specific standard of products.
CAB Energy Adviser Professor Shamsul Alam said, "We received the information, we want to see a level playing field for all business people. If we see any irregularities we will take our course of action.
He urged the government to launch strict monitoring in this field for protecting the public interest.
State Minister for Power, Energy and Mineral Resources Nasrul Hamid said a nexus of some private refineries and filling station owners is liable for the sale of adulterated fuel oil and that the government is going to deal with the matter with an iron fist.