Dhaka: The Bangladesh Energy Regulatory Commission (BERC) has announced a significant reduction in the retail price of furnace oil supplied by the Bangladesh Petroleum Corporation (BPC). Effective from midnight, the price has been slashed by Tk 15.90 per litre.
According to United News of Bangladesh, the new retail price stands at Tk 70.10 per litre, down from the previous rate of Tk 86 per litre. This decision was made public through a BERC media release, which detailed that the price adjustment aligns with Sections 34(4) and 34(6) of the Bangladesh Energy Regulatory Commission Act, 2003.
The revision process began with a proposal from BPC on January 20, 2024, requesting a re-evaluation of furnace oil prices. Subsequently, state-run oil marketing companies, including Meghna Petroleum Limited, Standard Asiatic Oil Company Limited, Jamuna Oil Company Limited, and Padma Oil Company Limited, submitted proposals to increase their marketing and transportation charges between May and July 2025.
The BERC hosted a public hearing on January 29, allowing stakeholders and the public to submit their opinions until February 3. After thoroughly reviewing the proposals and public feedback, the commission exercised its legal authority to adjust the price.
Under the new pricing structure, the marketing charge for furnace oil is set at Tk 0.72 per litre for Padma Oil Company, Meghna Petroleum, Jamuna Oil Company, and Standard Asiatic Oil Company. Additionally, the composite transportation charge has been fixed at Tk 1.20 per litre. The revised retail price will be implemented nationwide from 12:00 am Sunday night.
Furnace oil, characterized by its high viscosity and energy density, is a residual fuel derived from petroleum refining. It is predominantly used in industrial and heavy-duty applications, including powering industrial furnaces, boilers, kilns, and for steam generation, manufacturing, marine vessels, and power generation plants.