Energy Crisis Hits Dhaka: Bangladesh Shuts All Universities and Launches National Fuel Rationing

The Government of Bangladesh has announced the immediate closure of all public and private universities and the commencement of nationwide fuel rationing. The emergency measures, effective Monday, are a direct response to the catastrophic disruption of global energy markets caused by the U.S.-Israel-Iran conflict, which has seen oil prices soar past $100 a barrel.

Emergency Academic Shutdown

The Ministry of Education has brought forward the Eid al-Fitr holidays in an unprecedented move to stabilize the national power grid.

• Scope of Closure: All higher education institutions, including residential halls, laboratories, and classrooms, are to remain shut.

• Secondary Restrictions: Foreign-curriculum schools and private coaching centers have also been ordered to suspend operations.

• Objective: Officials estimate that shutting down campus air conditioning and high-intensity lighting will significantly reduce the strain on the power system and alleviate Dhaka’s notorious traffic congestion, thereby curbing fuel wastage.

Fuel Rationing and “Panic Buying” Controls

With Bangladesh relying on imports for 95% of its energy needs, the government has moved to prevent a total collapse of the supply chain:

• Daily Sales Limits: Following reports of widespread panic buying and stockpiling, authorities on Friday imposed strict daily limits on fuel sales at all stations.

• Fertilizer Factory Halts: To prioritize electricity generation, the state has halted operations at four out of five state-run fertilizer factories, redirecting all available gas to power plants to prevent a total national blackout.

• Austerity Guidelines: New government mandates encourage all offices to maximize natural daylight and minimize unnecessary lighting.

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The “Spot Market” Burden

The Ministry of Power, Energy, and Mineral Resources confirmed that Bangladesh has been forced to buy Liquefied Natural Gas (LNG) from the spot market at “sharply higher prices” to bridge the gap left by regional export disruptions.

• The Qatar Factor: The crisis has been exacerbated by the recent halt in QatarEnergy’s LNG production, which has shaken global gas markets and left energy-dependent nations like Bangladesh in a precarious financial position.

• Long-term Concerns: While energy analysts suggest these steps offer short-term relief, they warn that a prolonged interruption to the academic calendar could create a “generational challenge” for the world’s eighth most populous nation.

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