Bangladesh begins fuel supply from Ctg to Dhaka through pipeline

Google Alert – Bangladesh Army

Fuel supply from Chittagong to Dhaka via a 250-kilometre underground pipeline began on Saturday, a move expected to cut logistical delays, curb corruption and reduce transportation costs.

Energy Adviser Muhammad Fouzul Kabir Khan inaugurated the project at Padma Oil’s Despas Terminal in Patenga.

The pipeline can carry 350 tons of fuel per hour with a maximum annual capacity of 5 million tons. Officials estimate the system will save the country at least Tk250 crore annually.

The long-awaited project was built by the army’s 24th Engineering Construction Brigade and overseen by the Bangladesh Petroleum Corporation (BPC).

During a trial run, five crore litres of diesel were supplied without a drop lost—a record of zero system loss, BPC officials said.

“Now oil can be delivered quickly and safely from the reservoir to depots across the country,” said Project Director Md Aminul Haque.

Currently, supplying fuel from Chittagong to Dhaka costs BPC about Tk326 crore annually, mostly through private oil tankers using waterways. This will now drop to Tk90 crore.

The new system will also nearly eliminate pilferage and losses, which currently stand at 0.17% when using tankers. Officials said total savings, including prevention of pilferage, could reach Tk250 crore a year.

The underground pipeline runs from Chittagong through Feni, Comilla and Chandpur, ending in Narayanganj. It crosses 22 rivers and canals, with nine stations along the route.

Modern depots with automated technology have been built, including a state-of-the-art facility in Comilla’s Barura area. This depot will also serve Chandpur, Brahmanbaria and nearby regions currently dependent on slower waterway transport.

All functions, including oil temperature, weight and distribution, will be managed through computerized systems.

A central control room has been set up at Patenga to monitor operations round the clock and ensure quick response to technical or safety issues.

Initially approved in 2018 with a budget of Tk2,861 crore, the project faced delays due to the Covid-19 pandemic. It was finally completed in March this year at a revised cost of Tk3,653 crore.

Of Bangladesh’s annual fuel consumption of 70 lakh tons, nearly 30 lakh tons are used in the Dhaka and Comilla regions, according to BPC.

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