Bangladesh to increase power prices again

The Power Development Board has proposed an increase in electricity price by Tk 0.41 per unit or 11 percent for bulk users.

Since fuel cost has gone up following the rise in petroleum price in December last year, PDB wanted an adjustment of the cost and proposed the increase to the Bangladesh Energy Regulatory Commission.

The proposal came less than one and a half months after electricity tariff for bulk consumers increased by 14.37 percent to Tk 3.74 per kilowatt-hour on February 1.

In November last year, BERC hiked electricity tariff for bulk users by 33.57 percent on an average to reduce mounting losses incurred by the PDB.

As a result, the bulk tariff went up by 16.79 percent or Tk 0.47 per unit on an average from December 1, 2011, in the first phase. The raise in the second phase came into effect two months later.

State-run distribution entities Dhaka Power Distribution Company Ltd, Dhaka Electric Supply Company, Rural Electrification Board and West Zone Power Distribution Company are the PDB’s bulk buyers.

The BERC official also said the retail tariff adjustment would, as usual, follow the hike in bulk tariffs.