FE Report

Bangladesh CNG Filling Station and Conversion Workshop Owners Association has threatened the government of filing financial compensation suit, if its 58 filling stations do not get gas connections soon.

At a press conference in the city the association leaders said due to not providing gas connections, the CNG station owners, who have already spent millions of taka and set up machinery, are counting heavy losses.

They are facing financial difficulty, as they need to repay the money with interest, which they borrowed from banks.

President of the association Zakir Hossain Nayan said its 58 members invested more than Tk 3.0 billion, following previous assurance by the government of providing gas connections, if they would go for environment-friendly green investment.

He said when the station owners urged the government to provide gas connections, they were told that when the gas production would reach 2,200 mmcfd, then they would get gas connections.

According to the Petrobangla, gas production has crossed 2,200 hundred mmcfd. But the station owners are yet to get gas connections, even after three years of making investment.

The association president requested the government to provide gas connections soon.

If they do not get gas connections, they would file Tk 7.0 to 8.0 billion financial compensation suit for breech of trust and breech of contract against the government's different agencies, which are not providing gas connections as per the government's directive.

Secretary general of the association Sajedul Hossain Chowdhury Dipu said the Ministry of Industries in its industrial policy also favoured setting up CNG stations.

The ministry has also written a letter to the energy ministry to provide all required facilities to the CNG filling station owners, he added.

Meanwhile, another FE report says: Consumers Association of Bangladesh (CAAB) will take legal action against the government's recent decision to hike fuel price and power tariff.

"We are taking preparation for filing a case against the decision on irrational fuel price hike and power tariff," President of CAAB Quazi Faruque said at a press briefing at its Segunbagicha office in the capital Saturday.

He said power tariff has been raised to protect the 'group interest' rather than the public interest.

Power and Energy Adviser of CAAB Dr M Shamsul Alam said that Bangladesh Energy Regulatory Commission (BERC) has increased retail level power tariff at 15 per cent, though it announced earlier that during the present government there will be no further power tariff hike.

He said mass hearing was held in BERC on the price tariff hike proposed by different electricity supply agencies.

He said DESCO proposed to raise power tariff for pocketing profit though the technical committee of the energy watchdog in its recommendation mentioned that it has not been facing any financial crunch.

The Power Development Board proposed to the BERC to increase electricity tariff at 12 per cent while the Rural Electrification Board (REB) at 9 per cent, West Zone Power Distribution Company (WZOPADICO) at 9.59 per cent, Dhaka Electric Supply Company (DESCO) at 11.69 per cent and Dhaka Power Distribution Company (DPDC) at 11.31 per cent respectively.

But in the mass hearing the state-run companies failed to substantiate their logic for increasing power tariff.

He called upon the government to stop power tariff further sufferings of the people could not mount again for the greater interests of ordinary people.

The CAAB also called upon the owners refrain from hiking transport fare.

General Secretary of CAAB Advocate Humayun Kabir Bhuiyan was also present.