Prime Minister Khaleda Zia has asked the authorities to assess the country's reserves of natural gas before taking a decision to export gas to neighboring India, her office said Sunday. Zia gave the instructions Saturday to Petrobangla, a state-owned gas company and two university teachers, who have conducted a study on the country's natural gas, according to the prime minister's office. Petrobangla has put the reserves at 11 trillion cubic feet, but the teachers from Bangladesh University of Engineering and Technology said their study has estimated the reserves at 16 TCF.
Bangladesh could earn $4.3 billion in 20 years by export of its natural gas, according to the study titled, "Economics of gas, its utilization and export."
The new government's move to allow pipeline export of natural gas to India is being criticized by the opposition, led by former Prime Minister Sheikh Hasina. Hasina's Awami League party has backed a nationwide general strike that a left-wing alliance has planned for Nov. 15 to oppose export of natural gas.
"The export option should be considered only after ensuring a reserve that could meet domestic demand for 50 years," said Ali Ashraf, a spokesman for Hasina's party.
Bangladesh fears that exports could lead to a depletion of its reserves and leave it with insufficient gas for domestic needs, including cooking, generating electricity and producing fertilizer. US oil companies have invested more than $700 million in Bangladesh to explore and produce gas. The oil sector in this South Asian nation is, however, dominated by state-run companies.
Bureau Report