Thursday, 29 September, 2022

Fuel Price Hike

CPD blames mismanagement in energy sector

  • Staff Correspondent
  • 11 August, 2022 12:00 AM
  • Print news
CPD blames mismanagement in energy sector

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Centre for Policy Dialogue (CPD) said the fuel price hike could have been avoided by addressing mismanagement, theft and corruption in energy sector even if the subsidy was withdrawn.

The independent think-tank thinks that the subsidy is an efficient tool to keep the fuel price low as it encourages pilferage and benefits not only the poor but also the rich.

“It is a good move that the government has withdrawn subsidy on fuel. The subsidy is an inefficient tool to keep fuel price low. It encourages pilferage. Both poor and rich people benefit from it,” said CPD executive director Dr Fahmida Khatun at a press conference in Dhaka on Wednesday.

CPD said Bangladesh Petroleum Corporation (BPC) could easily handle the global volatile price situation by utilising nearly Tk 470 billion profit it earned in last seven years, but the state-owned agency is not clarifying where the money has gone.

“BPC made a profit of Tk 468.58 billion from 2015 to 2021, of which only Tk 100 billion has been transferred to the state coffer, but where has gone the rest

 of Tk 360 billion?” questioned CPD’s research director Khandaker Golam Moazzem.

“The price hike must have been avoided had BPC maintained transparency in its accounts, which would help it adjust the increased expenditure,” he said.

“We need to know how BPC is maintaining its accounts. What they are calling profit or loss should be revealed to people,” he remarked.

From Saturday midnight, Energy and Mineral Resources Division of the