Planning minister hints at more fuel price cuts

Planning Minister MA Mannan on Thursday said that prices of fuel oil would come down further following a downtrend in the international market.

"The government is well aware of the sufferings of the people due to the rise in fuel oil prices…we’ve reduced the prices recently,” he said on the occasion of World Physiotherapy Day at the Centre for the Rehabilitation of the Paralysed (CRP) in Savar.

He said the government had not only reduced the price of fuel oil, but the state minister for power and energy had also stated that prices would be adjusted further.

"We believe him...Hopefully, the government will further adjust the price of fuel oil."

The minister said despite the ramifications of the Covid-19 pandemic and the volatile global situation, the government did not stop the implementation of development projects but was rather cautious while scrutinizing the suitable projects.

Projects, which are not so urgent, would be kept waiting, but there would not be any compromise on urgent issues, he said

"We've fallen into economic risk due to the global situation," he was quoted as saying by BSS.

He suggested that people start using 3000cc vehicles instead of 5000cc in order to cut down on fuel oil consumption.

The government on August 5 went for the largest ever hikes in the price of fuel oil – ranging from 42- 52%.

At the consumer level, the retail prices of diesel and kerosene went up to Tk114 per litre, up by a whopping 42.5% from Tk80 per litre. Octane price was raised to Tk135 per litre, up a deeply troubling 51.7% from Tk89 per litre – again the largest hike on record.

Price for per litre petrol was set at Tk130 with a 51% hike from Tk86 per litre previously.

Later on August 29, the government reduced fuel prices by Tk5 to alleviate the pressure on consumers.

Diesel and kerosene now cost a consumer Tk109 per litre, petrol Tk125, and octane Tk130.

The fuel price adjustment came a day after the government slashed duty on diesel import by half to 5%, while also doing away with all advance taxes on its import.