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The Bangladesh government has initiated a process to increase electricity prices in response to heavy subsidy pressures and mounting financial losses in the power sector. A high-level committee, formed on April 9 and led by Finance Minister Amir Khosru Mahmud Chowdhury, has begun reviewing proposals to adjust wholesale and retail electricity rates. The Power Development Board (PDB) reported that the current production cost per unit is around Tk 12, while the average selling price is just over Tk 7, resulting in a loss of about Tk 5 per unit. Despite Tk 38,637 crore in subsidies during the 2024–25 fiscal year, the sector still recorded a Tk 17,021 crore loss.

Officials indicated that consumer-level prices may rise by Tk 0.70 to Tk 1.80 per unit, and wholesale rates by Tk 0.50 to Tk 1.20, though prices for small users consuming up to 70 units may remain unchanged. The committee will submit its recommendations to the cabinet after reviewing the proposals.

Energy experts said the government has little alternative but to raise prices amid global fuel instability, though they urged accountability for past corruption and mismanagement that inflated production costs.

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