To address the ongoing severe gas crisis, the government has approved the import of two LNG (liquefied natural gas) cargoes from the international spot market.
The U.S.-based company Excelerate Energy will supply the LNG, with the total expense projected at Tk 1,355.89 crore.
The decision was finalized in a recent meeting of the Government Purchase Advisory Committee on procurement, presided over by finance and commerce adviser Dr. Salehuddin Ahmed.
Sources revealed that, in line with the Public Procurement Rules 2008, the committee has authorized the import of LNG through international quotations from the spot market.
Petrobangla solicited bids for one cargo of LNG from 23 contracted suppliers, receiving three responsive proposals both technically and financially.
Following all bid evaluations, the Price Evaluation Committee (PEC) recommended Excelerate Energy LP of the United States, which submitted the lowest bid. Under the agreement, LNG will be purchased at USD 14.55 per MMBtu for one cargo, totaling approximately Tk 686.39 crore.
Similarly, the committee approved another LNG purchase through the same process, with Excelerate Energy LP selected again at USD 14.65 per MMBtu, amounting to Tk 669.51 crore.
The combined expenditure for both cargoes will reach Tk 1,355.89 crore.
Following the meeting, Dr. Salehuddin Ahmed emphasized the importance of the approved measures, noting that each of these imports is crucial to maintaining energy supply stability in the country.
The move to procure LNG from the spot market traces back to provisions under the “Quick Enhancement of Electricity and Energy Supply (Special Provisions) Act, 2010.”
Under this law, Petrobangla established Master Sales and Purchase Agreements (MSPA) with contracted suppliers, ensuring compliance through approvals from the legislative division and cabinet committees.
In light of recent directives from the Ministry of Power, Energy, and Mineral Resources to halt certain negotiations and procurement activities under this act, the latest decision aligns with the Public Procurement Act, 2006, and related rules from 2008.
The government has further authorized the purchase of 16 additional LNG cargoes for the period from September to December 2024 to maintain uninterrupted gas supply for power, captive power, industrial, fertilizer, and commercial sectors.
End// Firoz
