Govt eases fuel import rule

The government on Wednesday approved the direct purchase of refined oil worth Tk12,537 crore from Chinese and Indonesian state companies to help meet the country’s energy demand.
The Finance Ministry issued a notification in this regard, but did not specify the amount of oil to be imported.
Direct purchases are approved chiefly to help meet energy demands on an “urgent basis,” owing to sudden or unexpected supply disruptions at home or abroad.
Amid the continued blockades on the Strait of Hormuz, the renewed Saudi-Houthi conflict near the Bab al-Mandab Strait threatens to disrupt another crucial global energy chokehold, sending prices further into uncharted territory.
The Cabinet Committee on Government Purchase (CCGP) approved the latest refined oil import plan, and the Cabinet Committee on Economic Affairs (CCEA) gave its in-principle approval.

The CCEA also gave in-principle approval for the import of 6.95 lakh tonnes of gas oil and jet fuel through the direct purchase mechanism.
The government has already imported LNG and LPG supplies multiple times through the direct purchases since August.
There is a general rule that fuel will be imported through the direct and open international bidding process on a 50:50 ratio.
However, on Wednesday, officials decided to relax the rule, the Finance Ministry said.
In line with the decision, China’s state companies Unipec and Petro China, and Indonesia’s BSP will export the refined oil worth Tk12,537 crore.