The government of Bangladesh has formed a six-member Cabinet Committee to examine possible adjustments in electricity prices as production costs rise due to increasing global fuel prices linked to the ongoing Middle East conflict.
According to an official notification on Monday, the committee will review both wholesale and retail power tariffs and assess options for passing on additional generation costs to consumers in a structured manner. The committee’s recommendations will later be submitted to the Cabinet for final approval.
The new body will be headed by the Finance Minister as convener. Its members include the Commerce Minister and the Minister for Power, Energy and Mineral Resources, along with senior secretaries from the Finance Division, Power Division, and Energy and Mineral Resources Division.
Officials said the committee has been given the flexibility to include additional members if necessary, depending on technical and policy requirements. The Power Division will provide administrative and logistical support to facilitate its operations.
The decision comes at a time when global energy markets have become increasingly volatile following the ongoing conflict in the Middle East, which has disrupted supply routes and pushed up fuel prices internationally.
Authorities noted that the rise in global crude oil and liquefied natural gas (LNG) prices has significantly increased electricity generation costs in Bangladesh, which relies heavily on imported fuels for power production.
In addition, fluctuations in the foreign exchange rate have further added to import costs, putting additional pressure on the country’s energy subsidy and pricing structure.
Officials said LNG, which is a key fuel for power generation, has become more expensive in the international market, making electricity production costlier than before.
The committee is expected to assess these challenges and propose a balanced pricing mechanism that ensures both energy sector sustainability and consumer affordability.
Government sources indicated that any final decision on tariff revision will be taken at the Cabinet level after reviewing the committee’s recommendations.
