A two-day public hearing to justify power tariff hike proposals at the bulk and retail levels will kick off tomorrow (Wednesday).
The Bangladesh Energy Regulatory Commission (BERC) will hold the public hearing against the proposals of state-run Bangladesh Power Development Board (BPDB) to raise bulk tariff and of Power Grid Bangladesh PLC to raise transmission charge on the day.
The commission will hold the public hearing on retail power tariff hikes against the proposals of the BPDB and other state-run electricity distribution companies on May 21.
In its proposal, the BPDB and other power marketing and distribution companies have proposed raising the bulk electricity prices to address a projected Tk 655 billion deficit in fiscal year 2026–27.
The estimated generation cost is Tk 1.43 trillion with per-unit electricity costing at Tk 12.91.
At current bulk or wholesale rates, revenue would be Tk 775 billion.
The BPDB proposed that a Tk 1.20, or 17 per cent, increase per unit could reduce the deficit by Tk 13.29 billion while a Tk 1.50, or 21 per cent, hike could cut it by Tk 16.66 billion.
Under the existing law, the BERC holds sole authority to approve electricity price hikes.
Tariff adjustment proposals undergo review by a technical committee and are presented at public hearings before decisions are made.
In the latest, power tariff was hiked on February 29, 2024, through an executive order when wholesale electricity price was by 5.0 per cent from Tk 6.70 to Tk 6.99 per unit, while retail -level prices rose by an average of 8.50 per cent.
The BERC last raised the bulk tariff on November 21, 2022, by 19.92 per cent, setting the rate at Tk 6.20 per unit after public hearing.
