Gas flow returns to national grid; govt seeks new sources

Gas flow to the national grid has begun to recover following successful repairs to the damaged Floating Storage and Regasification Unit (FSRU) at Moheshkhali in Cox’s Bazar.

The resumption of gas supply on Thursday has started easing the severe two-week energy crisis, improving pressure across industrial hubs, CNG refueling stations, and residential areas.

Minister for Power, Energy and Mineral Resources Iqbal Hassan Mahmood, MP, confirmed that transmission from the repaired FSRU has commenced. He expressed optimism that the country’s overall gas supply would normalize within two to three days.

The increased gas supply will boost pipeline pressure and allow gas-fired power generation plants to gradually restart operations, the minister noted.

According to Petrobangla, one boiler of the damaged terminal has been restored and is currently supplying around 115 million cubic feet of gas per day (MMCFD) to the national grid. Combined with another operational floating terminal supplying 550 MMCFD, the total flow has significantly improved gas pressure, particularly in the Chittagong region.

The crisis originated on July 21 when a fire and technical glitch at the Excelerate Energy-operated FSRU reduced daily grid supply by approximately 450 MMCFD. Total daily supply plummeted from 2.6-"2.7 billion cubic feet per day (BCFD) to 2.15 BCFD against a national demand of 3.8 BCFD.

The severe deficit forced many industrial units to operate at just 60 per cent capacity, while power generation cuts led to widespread load shedding.

Energy experts noted that while technical failure triggered the immediate shortfall, structural reliance on imported LNG remains the primary vulnerability. Domestic gas production has declined steadily since peaking in 2017, currently standing at 1.65 BCFD.

Heightened geopolitical tensions in the Middle East and conflict involving Iran have further exposed LNG import routes to market volatility and price spikes.

In response, the government is pursuing a dual strategy. In the short term, authorities are negotiating alternative LNG imports from Malaysia, planning a new FSRU with Chinese support, and examining gas import feasibility from Myanmar.

For long-term energy security, the government has prioritized domestic upstream exploration, including plans to drill 100 new gas wells, carry out workovers, and boost onshore and offshore exploration to reduce import dependence.

-HAH/SA