The New Nation - Internet Edition

HIGH economic growth in the new year must be the singular aim of the government as an effective response to the myriad of economic problems faced by the country. But an economy will grow only when it is backed by ever increasing investment operations. Such operations are for setting up new industries, expanding the old ones and for the creation of new services. Whatever the nature of the enterprises, the same can be set up and operated when there is an adequate energy supply. The first in the order of such energy in the Bangladesh context is power followed by gas. Good power supply is indispensable to run existing industries and the newly commissioned ones. Entrepreneurs will not risk setting up new industries without reasonable assurance of uninterrupted power supply. Gas directly powers many industries in Bangladesh. It is used also to generate electricity or as the raw materials for some chemical industries.

But, according to recent reports published in some national dailies, power supply improved marginally in 2007 and this makes the outlook for greater power availability in the new year not a hopeful one. The power sector, it is to be noted, experienced the worst disaster like countrywide blackout twice within the span of a month while load shedding of more than 1,500 mw was a regular phenomenon almost throughout the outgoing year. In 2007, there was noted virtually no increase in power production as generation remained between 3,400 mw and 3,600 mw. No new power plant came into operation during this period. A press conference of the ministry of power on Monday was told that summer time load shedding in the new year is projected to be some 650 mw on a daily basis. Thus, the reality is that hardly any change for the better in power supply is expected in 2008.

The energy crisis is likely to deepen in the new year as the foreign companies at present engaged in the production of gas in Bangladesh are threatening to decrease production if their arrear bills are not immediately paid. They have already decreased supply to the national gas grid at least in two cases. Gas is at present utilised in Bangladesh to a great extent to generate power. Thus, dwindled supply of gas to the power generating units, can only lead to further shortfall in power generation. All of these developments and more in the power sector, are indeed, full of portents for the national economy. The government should take up a crash programme in the new year to increase energy availability for keeping the wheels of the economy churning well for achieving the aspired economic growth rate, employment generation and poverty reduction.