The government of Bangladesh has stepped up imports of refined fuel from multiple international sources to maintain an uninterrupted energy supply, as crude oil shortages continue to affect operations at the country’s sole state-owned refinery.
State Minister for Power, Energy and Mineral Resources Anindya Islam Amit said the move comes in response to disruptions in global shipping routes, particularly through the Strait of Hormuz, following the ongoing Middle East conflict.
“To ensure a smooth supply chain, we are increasing imports of refined fuel from alternative sources,” the minister said, noting that shipments are now arriving from countries including China, Singapore, Malaysia, Indonesia and India.
Officials said Eastern Refinery Limited (ERL), which typically meets around one-fifth of Bangladesh’s annual fuel demand, has been facing a persistent shortage of crude oil due to delays and cancellations in shipments.
The refinery, which processes crude mainly sourced from Saudi Arabia and the United Arab Emirates, has been unable to operate at full capacity as scheduled imports for March and April were disrupted.
One consignment of 1 lakh metric tonnes of Arabian Light Crude remains stranded at Ras Tanura port due to security concerns, while another shipment of the same volume has already been cancelled.
To address the shortfall, the government has arranged alternative crude imports, including a shipment expected to be loaded in mid-April and delivered in early May through a route bypassing the Strait of Hormuz. Additional supplies, including a Murban crude cargo requested from Saudi Aramco, are also expected next month.
Authorities have also approved the direct purchase of 1 lakh metric tonnes of crude oil at a cost of $102.885 million to meet urgent demand.
Despite the ongoing refinery challenges, officials assured that the country’s overall fuel supply remains stable due to increased reliance on refined imports.
