Bangladesh, a country in South Asia, has been facing a growing demand for energy due to its rapidly expanding economy and increasing population. To meet this demand, the country has been looking for new sources of energy, including natural gas. One of the key suppliers of liquefied natural gas (LNG) to Bangladesh is the United States.
The import of LNG from the USA is a relatively new phenomenon for Bangladesh. The country’s first shipment of US LNG arrived in April 2018, marking a significant milestone in the bilateral energy cooperation between the two nations. The shipment was received at the Moheshkhali LNG terminal, which is located on an island off the coast of southeastern Bangladesh.
Since then, Bangladesh has been importing LNG from the USA under long-term supply agreements. In 2020, the country imported around 2.5 million tones of LNG from the USA, making it the third-largest supplier after Qatar and Oman.
The import of LNG from the USA has helped Bangladesh to diversify its energy mix and reduce its dependence on traditional fossil fuels. Prior to the import of LNG, Bangladesh relied heavily on natural gas from domestic sources, which has been declining in recent years. LNG imports have provided a stable source of natural gas that can be used to generate electricity and power industries.
The import of LNG has also contributed to the development of the energy infrastructure in Bangladesh. The country has invested heavily in building new LNG terminals, pipelines, and power plants to support the import of LNG. In addition to the Moheshkhali terminal, Bangladesh has also built a second terminal at Kutubdia Island, which is expected to increase the country’s capacity to import LNG.
The cooperation between Bangladesh and the USA in the field of energy is expected to continue in the coming years. Both countries are exploring new avenues for collaboration and investment in the energy sector. The USA has expressed interest in helping Bangladesh to develop its energy sector, including exploring opportunities for investment in the production of natural gas and the development of renewable energy sources.
One area of potential collaboration between Bangladesh and the USA is in the development of offshore natural gas reserves. Bangladesh has significant offshore natural gas reserves that are yet to be exploited. The USA has extensive experience in developing offshore natural gas reserves and can provide technical expertise and investment to support the development of these reserves in Bangladesh.
Another area of potential collaboration is in the development of renewable energy sources. Bangladesh has abundant renewable energy resources, including solar, wind, and hydropower. The USA has significant expertise in the development of renewable energy and can provide technical assistance and investment to support the development of renewable energy sources in Bangladesh.
In conclusion, the import of LNG from the USA has helped Bangladesh to diversify its energy mix and reduce its dependence on traditional fossil fuels. It has also contributed to the development of the energy infrastructure in Bangladesh and supported the country’s economic growth. The cooperation between Bangladesh and the USA in the energy sector is expected to continue, with both countries exploring new opportunities for collaboration and investment in the field of energy.