The country’s textile millers demanded raising the bulk consumer limit for captive power gas connections to 20 megawatts from the existing 10 MW. They also called for removing the requirement to obtain a No Objection Certificate from power distribution companies for connections up to 20 MW.
They placed the demands in a recent letter to Fauzul Kabir Khan, adviser to the Ministry of Power, Energy, and Minerals. The letter, signed by Bangladesh Textile Mills Association President Showkat Aziz Russell, also proposed revising the security deposit requirement for captive gas connections. Instead of the existing two months’ equivalent bill, they proposed limiting it to one month and providing a bank guarantee for the entire deposit.
According to a ministry circular, gas connections exceeding 10 MW capacity require an NOC from the relevant power distribution company. The BTMA President said that the 10 MW threshold is outdated in the current industrial landscape, and the NOC acquisition process is complex, which adds unnecessary hurdles to industrial expansion.
Textiles and apparel account for over 85 per cent of the country’s total export earnings, and nearly 70 per cent of the supply chain is driven by BTMA-member industries. These industries are heavily reliant on captive power generation, predominantly using natural gas as fuel. However, the cost of production has surged due to the gas price of Tk 42 per cubic meter.
According to Titas Gas Transmission and Distribution Company Limited, captive power consumers with a capacity of 10 megawatts (MW) or more are classified as bulk consumers among public and private power generation entities. However, with the diversified growth and expansion of the country’s industrial sector, the definitions of small, medium, and large industries have evolved significantly.
For example, in the spinning sector, a facility with a capacity of 25,000 spindles was previously considered a large industry, whereas a plant must now have a capacity of approximately 100,000 spindles to be categorized as a large industry.
In another letter to the adviser, the BTMA President urged the energy ministry to ensure a fair and proportionate gas supply to industries, warning that a continued shortage could lead to widespread factory closures and labour unrest. More alarmingly, BTMA stated that, Titas recently diverted more gas away from industries toward the power sector, exacerbating the crisis.
He also said that according to Petrobangla data from February to April 2025, Titas supplied approximately 100 million cubic feet short daily to industries compared with previous periods, while increasing gas supply to the power and fertiliser sectors by the same volume. The letter read, ‹Despite maintaining a stable gas supply to the residential sector, industrial gas deliveries were disproportionately reduced.›
Due to the limited gas supply, export-oriented textile mills have been unable to maintain expected production levels. He also said that if the current situation persists, many textile mills may be forced to shut down permanently, jeopardising the timely payment of wages and allowances to workers ahead of Eid-ul-Azha.
Russell also said that the BTMA represents 1,856 member mills, covering spinning, weaving, dyeing, printing, and finishing operations. The sector boasts a combined investment of approximately $22 billion, making it the most significant single investment in Bangladesh’s private sector.
