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Move to split Titas Gas Co to stop corruption


Published : 21 Jun 2021 10:05 PM | Updated : 22 Jun 2021 01:32 AM

The country's largest gas distribution company Titas Gas Transmission and Distribution Company Limited (TGTDCL) will be split to stop irregularities, corruption and ensuring better administration with good governance, an Energy Division official said. 

In 2002, Bangladesh Oil, Gas & Mineral Corporation (Petrobangla) had made recommendation to divide Titas Gas into three parts – Dhaka Metro, Narayanganj-Narsingdi and Mymensingh. The Ministry of Power, Energy and Mineral Resources is moving ahead with a plan to divide the company.

A Director of Petrobangla told Bangladesh Post, “In addition to increasing the distribution area of Titas gas, its revenue has also increased a lot. Around Tk 500 crore is being collected from Gazipur area alone. The revenue income from Narayanganj is almost the same. However, the revenue of other distribution companies is very low compared to Titas. It is a matter of time to divide TGTDCL considering all other matter. Such a large organisation cannot be controlled from one place. Intensive monitoring is not possible. It is not possible to stop irregularities and corruption without intensive monitoring. I also personally think it is a very good initiative.”

Allegations are there that a section of officials and employees of the distribution companies in an unholy nexus has given illegal connections in exchange for bribe. As a result, the government is being deprived of a huge amount of revenue. The revenue loss incurred by government has multiplied after the import of high-priced LNG.

The Anti-corruption Commission (ACC) has identified 22 sources of corruption and irregularities in Titas Gas after receiving various allegations. According to the ACC report, they have received information about a large number of illegal gas connections in Savar, Ashulia, Gazipur, Narsingdi and Narayanganj areas. As they have found, there are more illegal connections in industries than in residences.

Md Anisur Rahman, Senior Secretary of Energy and Mineral Resources Division said, “TGTDCL operates in greater Dhaka and greater Mymensingh areas. Such a large area cannot be managed and controlled in any way through the existing structure. That’s why we want to split TGTDCL. The Energy and Mineral Resources Division plans to split TGTDCL into at least three parts. Action will be taken in this regard within a short time.”

“On illegal gas connections, the senior secretary said, "Campaigns are underway to stop illegal gas connections. In this case, the dishonest officials of the gas company are not being given exemption. Criminal cases are also being filed against the corrupt and unscrupulous officials, if necessary, in addition to transfers, and administrative actions,” he added.  

According to the Ministry of Energy and Mineral Resources, the most illegal gas connections are due to the Titas Gas Transmission and Distribution Company Ltd. Illegal gas connections often lead to fires accidents, explosions, injuries and deaths. 

Prior to the import of high-priced LNG from August 18, 2018, the Energy Division had instructed all distribution companies to declare themselves free from illegal connections. But no company has been able to free itself from illegal connections within the stipulated time.

Out of six state-owned gas distribution companies, TGTDCL is selling around 58 per cent of gas to 28.74 lakh customers. The company is responsible for selling gas in 12 districts including Dhaka, Narayanganj, Narsingdi, Munshiganj, Manikganj, Gazipur, Tangail, Mymensingh, Jamalpur, Sherpur, Netrokona and Kishoreganj districts. 

The company had begun its commercial operation with the commissioning of gas supply to Siddhirganj Thermal Power Station on April 28, 1968. The company had sold 15,107.40 MMCM gas and earned revenue worth Tk16950.41 crore in the last FY 2019-20.