Photo: Collected
To support power plants and industries during emergencies, the government has established two floating re-gasification liquefied natural gas (LNG) terminals in Maheshkhali. However, these terminals are currently unable to supply gas to the grid when needed.
Summit Group's Floating LNG Terminal (FSRU) at Maheshkhali, Cox's Bazar, was damaged by Cyclone Remal. It has been taken to Singapore for repairs. The terminal, which processes 500 million cubic feet per day, is expected to take another 15 to 17 days to repair at a dockyard in Singapore. Additional time will be required to bring it back to Bangladesh after repairs are completed.
Due to the closure of one of the country's two LNG import terminals, Petrobangla has ceased purchasing spot LNG for this month. This disruption will severely impact power generation, potentially leading to increased load shedding during extreme heat and affecting overall production.
Petrobangla has already canceled several spot LNG imports after one of the import terminals was damaged in a cyclone, rendering it incapable of receiving shipments.
Executive President of Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) Muhammad Hatem told the Daily messenger, “Garment is the biggest foreign currency earner of the country. If production falls, export also will be declined. We need adequate amount of gas and electricity but shortage of gas will hamper production and expenditure.”
Mahbubul Alam President of Federation of Bangladesh Chambers of Commerce and Industry told the Daily Messenger “The government should manage the alternative means. Even, now the industries are not getting adequate gas. If the supply gets declined, the crisis will deepen which will reduce industrial production while increasing expenditure.”
The state-owned group is tasked with importing LNG for Bangladesh, which relies on the fuel to meet power demand for its population of more than 170 million people.
Starting from Sunday, all productive industries will resume full operations, but they are facing inadequate gas supply to their captive power plants and boilers, which will hamper production.
Businesses have reported that the country's exports have declined over the past six months due to shortages of gas and electricity. Factories are unable to operate according to their production plans.
Mohsena Hassan, Summit’s Assistant General Manager, PR and Media told the Daily Messenger “During the cyclone Remal, a broken stray steel structure weighing hundreds of tons banged the Summit LNG Terminal, causing significant damage. The impact sheared the vessel's outer hull, approximately one meter below the waterline, leading to water ingress into the ballast tanks. Despite the severe monsoon conditions, the crew, operators, and owners of the vessel, along with the Summit team, worked tirelessly day and night to secure the vessel and its LNG cargo. Their bravery and relentless efforts successfully prevented the loss of the cargo.”
The terminal would consist of four floating LNG trains with a total export capacity of 13 million metric tonnes per year of LNG. It is planned for operation in 2021-2022. The project costs are estimated at $7 billion.
Messenger/Fameema
