The government of Bangladesh has launched a massive national plan to increase the country's strategic fuel storage capacity to 90 days. The project is designed to shield the local economy and protect industrial production from volatile global markets and geopolitical risks.
Bangladesh Petroleum Corporation Chairman Md Rezanur Rahman explained that the target is to ensure stable business operations even if the international energy market faces major supply gaps.
Under the new plan, the national strategic fuel reserve will rise from the current 60 days to 71 days by December, with the ultimate goal of reaching 90 days by 2027. The current reserves meet the baseline set by the National Energy Policy of 1996, which required a two-month emergency cushion.
Energy Division Secretary Mohammad Saiful Islam reassured the public that current petroleum stocks are completely stable and the country faces no immediate fuel shortages.
For the 2026 calendar year, official projections estimate the country's total demand for petroleum products at over 8.42 million tonnes. This demand includes roughly 4.47 million tonnes of diesel, 735,000 tonnes of furnace oil, and 663,000 tonnes of jet fuel.
To expand capacity quickly, the Energy Division is working with six subsidiary companies under the petroleum corporation to grow infrastructure. The state currently has a combined storage capacity of over 1.54 million tonnes, though a portion of this is undergoing essential maintenance.
Rather than relying entirely on slow, expensive new building projects, the government plans to take a faster approach. Authorities will lease underutilised storage facilities from other public institutions, such as Bangladesh Railway, local power plants, and the state road transport corporation.
Energy officials noted that if the power sector and railway networks buy and store three months' worth of fuel independently, the country's total reserves will automatically jump by nearly two weeks without breaking ground on new projects.
However, funding this strategy presents a small hurdle. These state companies prefer deferred payment options, while the central petroleum corporation must buy all its imports with immediate cash on the global market. The Energy Division is currently looking into special financial packages to smooth out these bulk purchases.
At the same time, physical expansion is already moving forward. The recent opening of the Parbatipur depot in the northern district of Dinajpur, built via the India-Bangladesh Friendship Pipeline, added over 28,000 tonnes of storage space. Plans are in place to add four more depots in the area by 2027, alongside tank upgrades in Narayanganj, Fatullah, and Cumilla.
Energy specialists have welcomed the update, noting that converting empty kerosene tanks and renting idle facilities from the public and private sectors is far more practical than acquiring large plots of new land for mega-projects.
