The Technical Evaluation Committee (TEC) of the Bangladesh Energy Regulatory Commission (BERC) has recommended hiking the tariff of gas transmission by 89 percent, after evaluating the proposals submitted by the Gas Transmission Company Limited (GTCL). Experts claim it to be completely irrational while the GTCL is in profit.
GTCL proposed to raise the transmission charge to Tk0.3665. Currently, the tariff of gas transmission is Tk0.1565 per cubic meter and the TEC recommended it to raise up to Tk0.2956 per cubic meter.
BERC has arranged a public hearing at the TCB Bhaban in Dhaka’s Karwan Bazar in response to the proposal submitted by the GTCL to increase the transmission tariff of gas.
The hearing was headed by AR Khan, the chairman of BERC with his two fellow members Maqsudul Haque and Rahman Murshed.
Throughout the hearing session Managing director of GTCL Mahbub Sarwar, Director (Finance) of GTCL Md. Sharifur Rahman and other high officials of GTCL tried to justify their claim to hike the tariff. On the other hand Consumers Association of Bangladesh (CAB), left-leaning political parties like Communist Party of Bangladesh (CPB), and other concerned energy experts of the country refused the idea of gas tariff hike of the transmission.
Energy expert Prof Nurul Islam urged the commission to adjust the price of gas in a way that even the root level people can be a
beneficiary of the new price. He suggested adjusting the bulk price of gas prior fixing the transmission tariff.
Prof Shamsul Alam, the energy advisor of CAB strongly opposed the idea of tariff hike of the gas transmission. He said that, being a state-owned company, GTCL is already making profit and employees of GTCL were endowed a bonus amount of Taka 4 lacs (annum). Having said that he presented some data proving that there was a lack of transparency in the earnings and the expenditures of the GTCL. He further requested the commission to discourage any of the price hikes that go against the economic stability of the country.
The chief of Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) Abdul Matlub Ahmad said that, the businessmen have been struggling to settle down their businesses after the wake of Rana Plaza like disasters and the most recent terrorist attacks. It would be an unrealistic decision to hike the price of gas at this moment, he added.
CPB leader Ruhin Hossain Prince said that, the hike of gas price would definitely cause to hike the prices of daily commodities and transport cost, thus making the terminal people’s life tougher.
Meanwhile, the Peoples’ Solidarity Movement organized demonstrations and processions right after the hearing started to protest the price hike of gas. Zunayed Saki, a coordinator of the movement and other activists were present at the procession.
On Monday the commission will hold another public hearing on the hike proposals of Titas Gas Transmission and Distribution Company.