Staff Correspondent: Fuel transportation from Chattogram to Dhaka through a dedicated pipeline has officially commenced, marking a significant milestone in Bangladesh's energy infrastructure. The Bangladesh Petroleum Corporation (BPC) has confirmed that although test operations were initially scheduled to begin on 7 May, fuel started flowing through the pipeline from Monday, 5 May.
Speaking to Jago News, BPC's Director of Operations and Planning and Joint Secretary to the government, Dr A K M Azadur Rahman, said, "This is a trial run. We aim to continue test operations for the next seven to ten days to identify and rectify any initial faults. Once that phase is complete, we will formally inaugurate the pipeline, after which full-scale operations will commence."
The ambitious project involved laying 250 kilometres of pipeline, linking Chattogram's Patenga to Narayanganj's Godnail Depot via Feni, Cumilla, Chandpur, and Munshiganj. A second segment extends from Godnail to Fatullah.
Initially approved in October 2018, the project was expected to be completed by December 2020. However, delays pushed the start of construction into 2020. The deadline was subsequently extended twice-first to December 2022 and later to December 2024. The project is being implemented by the Bangladesh Army's 24 Engineer Construction Brigade.
Originally estimated at Tk 2,861 crore, the cost has since risen to around Tk 3,699 crore. Despite the increased budget, officials maintain that the pipeline will be a cost-effective solution in the long run.
According to BPC, the pipeline is expected to transport 2.7 million tonnes of diesel annually. This shift from river and road transport to pipeline delivery is projected to save around Tk 236 crore each year. Project documents also forecast annual revenue of Tk 326 crore, with operational, maintenance, fuel, electricity, and land costs amounting to Tk 90 crore-leading to net annual savings of Tk 236 crore. The investment is expected to be fully recovered within 16 years.
At present, Bangladesh's average annual demand for fuel oil stands at 6.5 million tonnes, with the 2023-24 fiscal year seeing 6.7 million tonnes supplied-75 percent of which was diesel. The Dhaka region alone accounts for 40 percent of the country's fuel demand.
Previously, fuel was transported from Patenga to Narayanganj's Godnail and Fatullah depots via river routes using around 150 small and large vessels every month, before being tricked into Dhaka. The new pipeline is set to reduce both the cost and logistical challenges of this system, paving the way for a more efficient and sustainable energy supply chain.