LNG Terminal Shutdown Triggers Widespread Power Outages Across Bangladesh
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A critical shortage of liquefied natural gas (LNG) has triggered widespread power outages across Bangladesh, forcing utility providers to implement extensive load-shedding as electricity generation fails to meet surging demand. The crisis intensified Wednesday afternoon after the Excelerate Energy floating storage and regasification unit (FSRU) ceased operations due to a lack of LNG cargo.
The shutdown of the Excelerate terminal has left the national grid reliant solely on the Summit Group’s terminal for imported gas. According to Petrobangla, national gas supply plummeted to 2.18 billion cubic feet on Wednesday evening, falling significantly short of the country’s daily demand of approximately 3.8 billion cubic feet. With domestic fields contributing 1.62 billion cubic feet, the total deficit reached 1.61 billion cubic feet, far exceeding the normal supply levels required to maintain grid stability.
The energy shortfall severely disrupted electricity distribution. Data from the Power Grid Company of Bangladesh indicates that while load-shedding was minimal during the morning hours, it escalated rapidly as evening demand spiked. By 7:00 p.m., the national power demand surged to 17,345 megawatts, but supply dropped to 14,815 megawatts, resulting in 2,530 megawatts of load-shedding. The instability continued through the night, with 2,443 megawatts of load-shedding reported at 9:00 p.m.
Residents in the capital city of Dhaka and across rural areas have reported frequent power interruptions, compounding the difficulties faced by the public during a period of intense heat. Industry experts note that the combination of rising electricity demand and the acute gas shortage has rendered it impossible to utilize the country’s full power generation capacity.
Officials warn that the situation is unlikely to improve immediately. Unless new LNG shipments arrive or weather conditions change to reduce cooling demand, further power interruptions are expected to persist through Thursday.
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