Dhaka [Bangladesh], September 21 (ANI): The Bangladesh government has increased the prices of all types of fuel oil by BDT 20 per litre, citing a rise in international fuel prices amid the ongoing conflict in West Asia, mounting losses of the Bangladesh Petroleum Corporation (BPC), foreign exchange concerns and the risk of fuel smuggling.The Bangladesh Energy and Mineral Resources Division said the revised prices were aimed at aligning domestic fuel prices with international market rates, reducing BPC’s losses and maintaining price balance with neighbouring countries.Under the revised rates, diesel will cost BDT 135 per litre, up from BDT 115, while the price of octane has been raised from BDT 145 to BDT 165 per litre. Petrol will now cost BDT 160 per litre, compared with BDT 140 earlier, while kerosene has increased from BDT 135 to BDT 155 per litre.”Due to the ongoing war in the Middle East, the prices of all types of fuel oil and freight charges in the international market have increased significantly since March 2026, a trend that is still continuing,” the Energy Division said in a press release.The division said the government had refrained from increasing domestic fuel prices despite the sharp rise in international prices, resulting in substantial losses for BPC.”However, despite fuel oil prices more than doubling in the international market, the government did not raise prices domestically in the public interest. Consequently, Bangladesh Petroleum Corporation (BPC) incurred a loss of approximately BDT 22,875.66 crore from March 2026 to August 2026,” it added.The government had previously increased the price of diesel by BDT 15 per litre on April 18, 2026, taking it to BDT 115 per litre.The Energy Division said fuel prices had remained unchanged in Bangladesh for the previous five months despite abnormal increases in international markets, while prices in neighbouring countries were significantly higher.According to the division, diesel currently costs BDT 134.76 per litre in Kolkata, India, BDT 164.83 in Myanmar, BDT 161.24 in Nepal, BDT 179.42 in Sri Lanka, BDT 151.22 in Thailand, BDT 137 in Vietnam, BDT 140.71 in the Maldives, BDT 168.53 in the Philippines, BDT 185.48 in Pakistan and BDT 144.79 in the United Arab Emirates.The government said the disparity had increased the risk of fuel being smuggled out of Bangladesh to neighbouring countries.”As a result, because fuel oil prices are the lowest in Bangladesh, a risk of fuel smuggling to neighbouring countries has emerged. The smuggling of fuel oil purchased with the hard-earned foreign exchange of expatriates is by no means acceptable,” the Energy Division said.It added that the government was also providing significant subsidies in the LNG sector amid the ongoing war to maintain electricity and gas supplies, while continuing social safety net programmes.”Furthermore, to sustain the government’s social safety net programs and prevent fuel smuggling, there is no alternative but to increase fuel oil prices,” the press release said.The Energy Division said BPC was currently incurring a substantial loss on every litre of diesel sold domestically.”According to current international market prices, BPC’s loss per litre of diesel is approximately BDT 89.00. Accordingly, the daily loss stands at about BDT 109 crore. This means that the annual loss on diesel alone will be around BDT 40,000 crore,” it said.The government expects the price adjustment to significantly reduce the corporation’s losses.”By adjusting fuel oil prices upward by BDT 20.00 per litre in line with neighbouring countries, it will be possible to reduce BPC’s annual loss by approximately BDT 10,000 crore,” the Bangladesh Energy Division said. (ANI)(This content is sourced from a syndicated feed and is published as received. The Tribune assumes no responsibility or liability for its accuracy, completeness, or content.)