CHATTOGRAM, Jan 10: The first ever Dhaka-Chattogram fuel oil transportation pipeline is set to begin operation in the first week of April, according to sources at the Bangladesh Petroleum Corporation (BPC).
The sources further mentioned that the commissioning of the pipeline will be held in the first week of February next year.
The 250 km fuel oil transportation pipeline from Chattogram to Dhaka has been installed at a cost of Tk3,698 crore.
The pipeline is capable of transporting 5.4 million tonnes of diesel per year for 25 years without any major issues. The capital requires only 2.7 million tonnes of fuel oil per year.
The 250 km long pipeline from Chattogram to Dhaka will transport over 27 lakh metric tonnes of diesel (High Speed Diesel-HSD). HSD is one of the most important fuels for agricultural works in the northern districts of the country.
BPC sources confirmed that the installation of the pipeline has already been completed.
The BPC had undertaken the project to install the 250 km pipeline for supplying diesel from Chattogram to Dhaka in an effort to check pilferage and ensure quick supply.
Currently, from Godnail and Fatullah in Narayanganj, oil tankers usually transport oil through waterways to the depots in the country's northern areas, including Baghabari (Pabna), Chilmari (Kurigram) and north-western Chachna Bazar (Sunamganj). The 237.71 km, 16-inch diameter pipeline has been installed from BPC's Chattogram tank terminal at Padma Oil Installations in Patenga to the Godnail tank terminal in Narayanganj.
Additionally, the BPC installed another 8.29 km, 10-inch diameter pipeline from Godnail to Fatullah in Narayanganj to carry oil. Another 59.23 km, 8-inch diameter pipeline from Cumilla to Chandpur has also been set up to supply oil to Chandpur areas in the future.
The oil transportation pipeline will be secured as it will be coated with three layers of extruded polyethylene. The pipeline will help reduce the time for oil delivery to end-users, alleviate traffic congestion and accidents during transportation, and avoid unforeseen bottlenecks like natural disasters and strikes. Currently, around 200 oil tankers are used to transport nearly 90 per cent of oil through waterways. Bangladesh currently relies on coastal tankers, railway wagons and tank-lorries to transport refined oils to end-users after importing them from global suppliers to the Chattogram depots, as it has no major oil-carrying pipeline. Small barges, mostly owned by the private sector, also carry petroleum products on various river routes.
Moreover, due to navigability issues in inland waterways, transporting fuel becomes particularly difficult during the dry season. This disrupts the supply of fuel but if the project is implemented, the BPC could avoid these losses. This project will revolutionise fuel transportation, according to sources, adding that the long wait for safe fuel transportation will soon come to an end.
Meanwhile, the 250 km long Chattogram-Dhaka oil pipeline has been constructed at a cost of Tk3,600 crore. The BPC is implementing the project under the supervision of the 24th Engineer Construction Brigade of the Bangladesh Army.
The BPC estimates that the pipeline, capable of transporting 30 lakh tonnes of fuel oil annually, will save Tk230 crore in transportation costs each year. The project details indicate that the fuel oil transportation pipeline from Chattogram to Dhaka is scheduled to be completed by December 2024, having started in October 2018.
The BPC plans to commence transporting fuel oil through the pipeline under its own management from April 2025. The pipeline project is expected to reduce transportation costs and smoothen the oil supply system while preventing environmental pollution. Petrol and octane will continue to be transported by traditional methods such as railway wagons and riverine tankers.
Previously, the northern region, known as the nation's granary, faced logistical challenges in fuel transportation, relying on lighterage ships to Baghabari and subsequent transport via tank lorries and railways. As Bangladesh does not produce fuel, the majority is imported, with lighterage vessels being relied upon due to navigational challenges at major river ports.
The pipeline is expected to reduce this dependence, streamlining the country's energy supply chain.
