Cabinet Committee formed to adjust power prices amid global fuel crisis

The government has formed a six-member Cabinet Committee to review hiking power prices for consumers as production costs surge in the wake of the Middle East conflict, according to a notification.

The committee will carefully review new potential wholesale and retail power rates and the means available for passing on the additional production costs to consumers. Afterwards, it will place its proposals at a Cabinet meeting for final approval.

The committee will be led by the finance minister as its convener. It would also include the commerce minister, and the minister of power, energy and mineral resources. The other three members are secretaries at the Finance Division, Power Division and the Energy and Mineral Resources Division.

The committee can coopt to include additional members, the notification said. The Power Division will provide official and administrative support to the new cabinet committee, the notification added.

It is worth noting that since the start of the Iran war, international fuel prices have risen significantly, and dollar exchange rate has also surged, hiking costs for importing fuels like liquefied natural gas (LNG) – which is widely used for producing power in Bangladesh.