India Considers Diesel Supply to Bangladesh

New Delhi, Mar 10 (PTI) India has been supplying diesel to Bangladesh under an existing agreement and a request by Dhaka for additional supplies will be considered on the basis of the availability of the fuel and market conditions, government sources said on Tuesday.

It is learnt that India has not made any decision on the request by Bangladesh Petroleum Corporation (BPC) to provide an additional 5,000 tonnes of diesel from Numaligarh refinery in Assam.

Bangladesh has been reeling under a shortage of petrol and diesel in view of disruptions in oli supplies following the West Asia crisis.

The sources said Dhaka's request for additional diesel supplies will be considered in the context of market conditions and availability.

New Delhi has been supplying diesel to Bangladesh under the provision of the 'India-Bangladesh Friendship Pipeline' initiative that was operationalised in 2017.

India has been supplying diesel to Bangladesh on a commercial basis from the Numaligarh Refinery Limited under the initiative, the sources said.


Under the commercial framework, India is to supply 1,80,000 tonnes of diesel to the neighbouring country annually.

The diesel supply is part of regular ongoing energy trade between the two countries, the sources said, adding fuel availability in India is being "closely monitored."

Earlier, Bangladesh claimed that India would send 5,000 tonnes of diesel under a long-term agreement.

However, the sources said the diesel being sent is part of the existing mechanism and not part of the request for additional supplies.

In response to a deepening energy crisis, Bangladesh has implemented a series of drastic measures, including the closure of public and private universities starting Monday.

To stabilise dwindling supplies, the government has also introduced strict daily limits on fuel sales following panic buying at fuel stations last week.