The Energy and Mineral Resources Division (EMRD) has set a new target to collect at least Tk 2,000 crore per month in unpaid dues from the Power Division, in a bid to reduce mounting natural gas arrears and ensure smoother payments to LNG suppliers.
The decision came during an inter-ministerial meeting held on Wednesday at the Ministry of Power, Energy and Mineral Resources, chaired by EMRD Secretary Mohammed Saiful Islam.
Earlier, the EMRD had aimed to collect Tk 2,500 crore per month to address the growing dues but failed to meet the target. As a result, the new, more modest collection goal was set.
“We can only reduce the gas payment backlog to some extent if the Power Division pays around Tk 2,000 crore per month. But if the monthly payment remains at Tk 1,500 crore, the outstanding gas bills will continue to rise,” an official said at the meeting, expressing concern.
As of June 2025, unpaid natural gas bills have ballooned to Tk 17,628 crore, creating a severe liquidity crisis for Petrobangla and jeopardizing its ability to pay for imported LNG. Of this, the Power Division alone is responsible for Tk 16,531.81 crore.
According to official data, public power plants alone owe Tk 6,039.25 crore, while Bangladesh Power Development Board (BPDB)-owned plants have outstanding bills of Tk 2,342.60 crore. Independent Power Producers (IPPs) add another Tk 6,039.25 crore to the overdue tally.
Fertilizer factories also owe Tk 1,096.54 crore.
“I can tell you that around 64 percent of the total unpaid gas bills belong to power division,” an official attended at thee meeting said.
The per month gas bills considers Tk 5000 crore an average, according to EMRD officials.
In May, 2025, the outstanding gas bills generated Tk5160cr while it was Tk 4750 core in June andy Tk 5207crore in July.
We asked to our gas distribution companies to act as per the gas sales agreement (GSA) if any power station will fail to pay the bills, according to the officials.
We have received a cumulative bills Tk 4700crore last three month. But not pay the previous three months bills, official confirmed.
If we are not getting regular payment, then we have suffered overdue burden again in coming months, he said.
The mounting arrears have directly affected the operations of distribution companies. Titas Gas Transmission and Distribution Company Ltd (TGTDCL) has yet to recover Tk 6,843.08 crore from power stations, severely limiting its ability to pay LNG import bills. Similarly, Bakhrabad Gas Distribution Company Ltd is struggling to collect Tk 3,712.64 crore, mainly from public and private power plants.
Other distribution companies are also under pressure, with dues standing at Tk 2,585 crore under Jalalabad Gas Transmission and Distribution, Tk 1,891.71 crore under Pashchimanchal Gas Company Ltd, Tk 1,467.61 crore under Sundarbans Gas Company Ltd, and Tk 523.49 crore under Karnaphuli Gas Distribution Company Ltd.
As a result of these arrears, Petrobangla has fallen behind on its own payments, with officials confirming overdue bills of around US$15 million (Tk 183 crore) to LNG suppliers.
An EMRD official said the division has called a meeting today, chaired by Secretary Mohammed Saiful Islam, to address the crisis.
Earlier, the EMRD had considered suspending gas supply to power plants that fail to clear their dues. However, the move was shelved as uninterrupted electricity supply remains critical for consumers.