Third floating LNG terminal to start operations before 2028: Mahdi

Prime Minister’s Adviser and Prime Minister’s Office spokesperson Mahdi Amin has said the government is working to bring the country’s third floating LNG terminal (FSRU) into operation before the start of 2028 to ease power and gas shortages and facilitate industrial and business growth.

He said efforts are also underway to drill 150 gas wells in the medium term, followed by another 150 wells upon completion of the initial projects.

Mahdi made the remarks after a meeting with senior representatives of more than 20 business organisations at the Secretariat on Monday. Prime Minister Tarique Rahman chaired the meeting.

The discussions focused on power, gas, energy and mineral resources, with the aim of accelerating industrialisation and creating employment opportunities. The government also presented its two-, five- and 10-year plans for the power and gas sectors to the business leaders.

Bangladesh currently operates two floating LNG terminals, or FSRUs, making the country dependent on the facilities for LNG supplies, Mahdi said. One of the two terminals had been out of operation for an extended period. While steps have been taken to repair it, the government is also working to expand the number of FSRUs.

The initial plan is to increase the number of FSRUs to three and eventually to five. Efforts are currently underway to add the third terminal before the beginning of 2028.

Mahdi said the government is placing greater emphasis on domestic gas exploration to boost supplies and reduce dependence on LNG imports. Around 150 gas wells are currently planned for drilling, with another 150 to be developed after the completion of the first phase.

The government is also taking steps to build land-based LNG terminals and expand gas transmission and distribution networks, he added.

Outlining plans for the power sector, Mahdi said the government intends to develop a diversified electricity generation system, with solar power receiving priority alongside oil, gas and coal.

He said the government wants to achieve greater self-reliance in energy resources, with solar power being given the highest priority. The broader objective is to establish a power and energy system capable of ensuring uninterrupted supplies to industries and businesses while diversifying the country’s energy sources.

Mahdi said business leaders raised various problems and proposals during the meeting, stressing that the private sector has played a vital role in Bangladesh’s industrialisation and economic development through investment, hard work and sacrifice.

The government wants to provide the necessary policy support from the public sector, while the private sector will implement those initiatives, he said, stressing the need for close cooperation between the government and businesses to move the country forward.

He acknowledged that longstanding challenges have created accumulated problems in the economy that cannot be resolved in a day, a month or even a year. However, he said the highest level of government has a strong commitment, sincerity and a clear plan to address these challenges.

Mahdi said business leaders had presented the government with the difficulties facing their respective sectors. The government believes that every challenge can also create new opportunities, he added.

He said cooperation with business organisations and apex trade bodies would be further strengthened, while regular consultations would continue in the future.

Taking into account the concerns and prospects raised by business leaders, the government and private sector will work together to accelerate industrialisation, generate employment and strengthen economic growth, Mahdi said.