Bangladesh curbs power use as gas shortages worsen
XLE•Bangladesh tightens electricity-saving measures
Bangladesh is intensifying electricity-saving measures as the country grapples with gas shortages, power cuts and the broader fallout from the Iran crisis.
Under a government directive that took effect on Thursday, shops, markets and shopping malls must close by 8 p.m. (1400 GMT), one hour earlier than previously. Commercial establishments are now permitted to operate only between 11 a.m. and 8 p.m., while hospitals, pharmacies and food-related businesses are exempt.
Iran crisis adds pressure to LNG supplies and costs
The situation has been aggravated by the Iran crisis, which has disrupted energy markets and increased volatility in global fuel and LNG prices.
Bangladesh, increasingly reliant on imported LNG as domestic gas production declines, is vulnerable to supply disruptions and rising import costs. A recent outage at an LNG terminal further strained supplies, temporarily reducing gas flows to the national grid.
The conflict has heightened uncertainty over LNG availability and made securing energy supplies more expensive at a time when Bangladesh already faces a wide gap between gas demand and supply.
Gas shortages continue to constrain power generation
The move comes as natural gas shortages continue to constrain power generation. Limited gas supplies have reduced electricity generation, leaving the national grid facing a shortfall of several hundred megawatts during peak hours and triggering load-shedding in different parts of the country.
