Under the automatic fuel pricing system, the government has cut the price of gasoline and octane by Tk 6 per liter, and the price of diesel and kerosene by Tk 1.25 per liter in order to modify fuel costs in accordance with worldwide fuel prices.
On September 1st, the increased price will go into effect. On Saturday, the Ministry of Power, Energy, and Mineral Resources published a gazette about the subject.
The gazette reports that the price of gasoline dropped from Tk 127 per liter to Tk 121 per liter, the price of octane went from Tk 131 per liter to Tk 125 per liter, and the price of diesel and kerosene dropped from Tk 106.75 per liter to Tk 105.50 per liter.
On February 29, the government published the Automatic Fuel Pricing Guidelines, which described the process for setting prices. According to the article, because gasoline is mostly used in personal automobiles, it is seen as a luxury good, which explains why the price of gasoline and octane is still greater than that of diesel.
The nation’s only distributor and importer of fuel oil is BPC. The price of jet fuel used in airplanes and furnace oil used in power plants is periodically adjusted. Selling these two fuel oils consistently generates revenue for the BPC.
Nonetheless, the power division uses executive orders to set the price of gasoline, diesel, and octane.
