Energy experts at a webinar on Saturday said managing primary fuel at an affordable cost has emerged as the biggest challenge for Bangladesh in the volatile global energy market.

“The price of liquefied natural gas (LNG) is so volatile globally that it varies from $7 to $29 per MMBtu. Even, the price may go up to $80,” said Dr Izaj Hossain, an eminent energy expert.

The webinar, organised by Energy and Power magazine, was also addressed by former power secretary and special envoy to Climate Vulnerable Forum presidency Abul Kalam Azad, former managing director of Petrobangla M Quamruzzaman, and Mohammadi Group’s managing director Navidul Haque. EP editor Mollah Amzad Hossain chaired the seminar.

Khodaker Abdus Saleque made a presentation on the issue.

The experts said the global prices of primary fuels like petroleum and LNG are going up due to the revival of economic activity across the world following the Covid pandemic shock.

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The reluctance by international financing agencies to finance coal projects is another reason for such spiraling fuel prices, they observed.

So, Khodaker Abdus Saleque said, Bangladesh has to cautiously adopt its energy policy based on a diversified energy mix.

He said the government should go for a long-term agreement with the suppliers of LNG so that the country receives primary fuels at lower costs.

Abul Kalam Azad said Bangladesh has to take an aggressive policy for development of the renewable energy sector.

He said there are huge potentials for solar power, offshore and onshore wind power and also wave power in Bangladesh.

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But such potentials remained untapped, he said adding that most countries are now emphasizing he development of renewable energy to meet the future electricity demands.

He, however, admitted that though Bangladesh got verdicts in its favour on maritime boundary disputes, it could not utilize the scope for oil and gas exploration.

Navidul Haque said if the gas price continues to rise the readymade garment sector will face a big challenge to keep the price competitive.

So, the government should provide subsidies to keep the gas price lower to support the RMG sector, he said.