As energy scarcity hits Bangladesh, India sends diesel using ‘Friendship Pipeline’

In a positive turn in bilateral relations, India has sent a major consignment of diesel to Bangladesh as Dhaka deals with critical shortfall in petroleum against the backdrop of the war between the U.S.-Israel and Iran, official sources here have confirmed.

Apart from the 5,000 metric tonnes of diesel from India’s Numaligarh Refinery that was purchased by Bangladesh this week, there is a request from Bangladesh for more petroleum supplies, but that issue will be addressed after prioritising India’s domestic demands, The Hindu was told.

Sources described the supply of 5,000 metric tonnes of diesel, which took place weeks after Tarique Rahman became the Prime Minister of Bangladesh, as “regular ongoing energy trade between the two countries”. The supply was completed using the India-Bangladesh ‘Friendship Pipeline’, which was commenced in 2017-18 and operationalised in 2023.

A Bangladesh official welcomed the supply via an existing pipeline, with capacity for more. “The supply was made by using the existing pipeline, and it can be utilised to send more based on demand from Bangladesh and supply side dynamics,” the Dhaka official said.

Bangladesh has been receiving diesel from Numaligarh Refinery on a “commercial basis” since 2015. More energy flow to Bangladesh would be considered depending on fuel availability in India, which is “being closely watched”, official sources here said.

Bangladesh, which is marking the month of Ramzan ahead of Eid holidays, has been hit by energy shortages due to disruption in supplies from the Gulf region as the conflict between U.S.-Israel and Iran continues. The Tarique Rahman government has shut down universities, and started limiting fuel sale to deal with the shortage. The energy crisis also poses a major challenge for the new government led by Mr. Rahman, with the first session of Parliament slated for March 12.