Bangladesh Petroleum Corporation (BPC) has failed to comply with the National Energy Policy’s requirement to maintain a 60-day fuel reserve, despite having the capacity to do so since 2020. The policy, adopted in 2004, mandates strategic reserves for emergencies, but BPC has continued to operate with only 25 to 30 days of supply. The shortfall became critical after the closure of the Hormuz Strait in early March, following U.S.-Israel attacks on Iran, which disrupted global oil shipments and triggered a severe fuel shortage in Bangladesh.

According to official data, BPC’s combined storage capacity across its depots, Eastern Refinery, and the Single Point Mooring project exceeds 1.58 million metric tons, enough for over 90 days of national demand. However, the corporation has not utilized this capacity fully. The shortage has led to public panic and increased fuel hoarding, while BPC attempts to calm fears by publicizing incoming shipments that carry less than full loads, raising costs and inefficiencies.

Experts attribute the crisis to mismanagement and poor coordination between BPC and the government. The government is now exploring direct purchase options from new suppliers, including Kazakhstan, though supply reliability remains uncertain.