Furnace oil price hiked by over Tk8 per litre

The Bangladesh Energy Regulatory Commission (BERC) has hiked furnace oil price by Tk8.39 per litre, effective from midnight.

The new rate of one litre furnace oil will be Tk108.78, said the BERC in a notification on Wednesday.

In August, BERC had cut the rate to Tk100.39 per litre.

In April, the rate was around Tk70 per litre, and Wednesday's rise, after multiple falls, can be attributed to the global energy market volatilities spurred by the ongoing wars in the Middle East.

Furnace oil accounts for over a third of the country’s power generation capacity, followed by gas. In Bangladesh, it is also used in industrial boilers, and is the second most used petroleum oil product after diesel.

Hikes in the rate would translate into higher electricity production and industrial costs.