State Minister for Power, Energy and Mineral Resources Nasrul Hamid on Sunday said seventy per cent of the existing household gas connections will be replaced with LPG over the next two years.
"We are planning to introduce a pricing mechanism to control the LPG prices here in consultation with private market operators within next two months as we have fixed a target to replace house hold gas connection with LPG," Hamid said while inaugurating the '4th LPG Asia LPG Summit 2017' at the International Convention City, Bashundhara.
"Our original plan was three years. But, one year has already elapsed. Now two years are left for the job to be done. Hopefully, we'll be able to introduce LPG in 70 per cent areas," he said. He also said a pricing mechanism will be introduced in consultation with private market operators for liquefied petroleum gas (LPG) over the next two months to control the prices. He urged the private investors to go for more investment in LPG sector, he said the economy is growing fast and there will be a huge LPG market in Bangladesh.
"We are also thinking about transportation sector, we plan to replace the CNG with Auto Gas for motor vehicles as well. Even LPG could be used in small and medium industries," he added. However, World LPG Association organised the two-day summit where a new organisation 'LPG Operators Association of Bangladesh' (LOAB) was floated with Bangladesh Awami League's president private sector affairs adviser Salman F Rahman as its president. About 100 companies from 20 countries are participating in the summit.
Nasrul said Prime Minister Sheikh Hasina instructed about four years back to find an alternative to natural gas used at household level. "Following her instruction, we've chosen LPG and we're working on it," he said.
He said the Energy Division has already formulated a policy over investment in the LPG sector. "Now we're working to determine how and who will regulate the LPG market and how could be the safety will be ensured."
Admitting the sale of LPG at inflated rates in different areas, Nasrul said this happens due to transportation cost. "We're studying how the LPG price could be linked with the international market."
Noting that safety is still a major issue in LPG use, he said the department concerned is still very weak. Addressing the inaugural function, he alleged that the BNP-Jamaat government during its rule had launched a misleading campaign that the country had enough natural gas. "But, that was a totally wrong idea for which the country is suffering."
He said if the natural gas is diverted to industries from household and motor vehicles, it would give more benefits to the economy.
