BERC hikes LPG prices for second time in under three weeks

by Archynetys News Desk
How the price increase affects household budgets

Bangladesh’s energy regulator has raised the price of cooking gas for the second time in less than three weeks, pushing the cost of a standard 12-kilogram LPG cylinder to 1,940 taka ($16.20) from 1,728 taka ($14.40), a jump of 212 taka ($1.77) per cylinder.

The Bangladesh Energy Regulatory Commission (BERC) announced the increase on April 19, citing alignment with international market prices, and said the new rate would take effect from evening the same day. This follows a prior adjustment on April 2 that raised the price by 387 taka ($3.23) to 1,728 taka, meaning LPG prices have climbed nearly 12% in under three weeks.

Per-kilogram costs now stand at 17.62 taka ($0.15), up from 14.40 taka ($0.12) after the April 2 increase and 11.18 taka ($0.09) before that. BERC said the adjustment reflects global LPG market trends, though it did not disclose specific benchmark references or pricing formulas used.

Jamaat-e-Islami’s Secretary General and former MP Mia Golam Parwar condemned the move as “abnormal” and warned it would deepen hardship for ordinary households already strained by rising fuel and food costs. He noted that two sharp increases in quick succession would make life “intolerable” for many, especially as other fuel prices also climb.

“People are already confused by the pressure of essential goods,” Parwar said in a statement. “This kind of price hike will only make their struggle worse.” He added that the repeated increases erode public trust in livelihood stability.

While BERC framed the change as a market-responsive measure, critics argue the frequency and magnitude of the increases suggest limited buffering against global volatility. The regulator has not indicated whether further adjustments are expected in the near term.

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The price of LPG remains a sensitive indicator of household affordability in Bangladesh, where the fuel is widely used for cooking in both urban and rural areas. Previous spikes have triggered public protests and calls for subsidies, though no such measures were announced alongside this adjustment.

In a separate but related development, two traders were fined earlier on April 19 for adulterating fuel, underscoring broader concerns about energy market integrity even as official prices rise.

Key Detail The 212 taka increase per cylinder represents a 12.3% rise from the April 2 price of 1,728 taka.

How the price increase affects household budgets

For a typical household using one cylinder per month, the April 19 hike adds 212 taka ($1.77) to monthly expenses. Combined with the April 2 increase, the total monthly burden has risen by 599 taka ($5.00) since the start of the month — equivalent to over 3% of the average monthly income for a low-wage worker in Bangladesh.

What BERC says about its pricing mechanism

BERC stated that the new LPG price was set to synchronize with international markets but did not publish the reference price, exchange rate, or adjustment formula used. The lack of transparency has fueled skepticism about whether the increase fully reflects global trends or includes domestic margins.

Why Jamaat-e-Islami is opposing the hike

The party argues that repeated, sharp increases in essential fuels disproportionately hurt low- and fixed-income households, especially when wages are not keeping pace. It frames the issue not just as economic but as a matter of social stability, warning that prolonged stress on household budgets could erode public confidence.

How often does BERC adjust LPG prices?

Sources indicate BERC reviews LPG prices monthly, but the April 2 and April 19 adjustments mark two changes within a single month — an unusual frequency not seen in recent years based on available reporting.

Is there a subsidy or relief program for LPG users?

No subsidy, relief measure, or price cap was mentioned in any of the three sources regarding the April 19 or April 2 adjustments. BERC’s announcements focused solely on market alignment.

What was the LPG price before the April 2 increase?

Before the April 2 adjustment, the price of a 12-kilogram LPG cylinder was 1,341 taka ($11.18), according to BERC’s disclosure of the per-kilogram increase of 32.30 taka at that time.

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