Download Chapter 26 Energy and Mineral Resources Division

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Chapter 26
Energy and Mineral Resources Division
1.0
Introduction
1.1
Energy is one of the main driving forces for economic development of any
country. Inadequate supply of energy creates hindrance to the momentum of
industrial development. It also creates negative impacts on employment
opportunities and interrupts the normal way of life. For this reason an effective
and modern energy sector is crucial for socio-economic development of any
country. Realizing the necessity of sufficient energy supply, the government
has declared this sector as a priority one. The key objective of Energy and
Mineral Resources Division is to ensure energy security for the country
through exploration, development, production, import, distribution and sound
management of different sources of energy and mineral resources.
1.2
The prime source for non-renewable energy of Bangladesh is natural gas. At
the same time it is also one the main sources for renewable energy. Natural
gas is mainly used for electricity generation, fertilizer production, industrial
activities, CNG and household activities. Moreover, almost the whole demand
for commercial use of energy is met by natural gas. For this reason, natural
gas is regarded as one of the main driving forces of the economy. Starting
from the date of discovering gas field in Sylhet in 1955, as many as 25 such
fields have been discovered so far. The last gas field is Srikail gas field
located at Muradnagar of Commilla in 2013. Upto January 2013, the amount
of total extractable gas is 27.04 trillion cubic feet and total consumed gas is
10.986 trillion cubic feet. Actually, this division is playing an important role for
gas exploration and its distribution.
1.3
As a cost efficient energy the demand for natural gas is naturally high.
Moreover, its demand presently has been increased substantially for the
expansion of distribution lines in the Western and Southern areas as a
measure to ensure balanced development in different parts of the country
through the supply of energy. Within June 2013, an additional amount of 666
MMCFD and within December 2015, 1105 MMCFD gas will be added to the
national grid to fulfill the escalating demand for gas. Different types of projects
have been taken and are being implemented by this division to achieve the
target.
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2.0
Major Functions of the Ministry
•
Formulation of Acts and Rules related to oil, natural gas, liquid petroleum
products and mineral resources;
•
Formulation of policy related to energy, gas and different types of minerals
(except radio-active minerals);
•
Manage subjects mentioned in the Bangladesh Oil, Gas and Mineral
Resources Ordinance 1986 and the Bangladesh Petroleum Ordinance
1974 as the government’s responsibility;
•
Manage subjects mentioned in the Bangladesh Mineral Exploration &
Development Corporation Order 1972, now merged with Petrobangla, and
government’s responsibilities mentioned therein;
•
Administration, planning, programming and management of programmes
related to geological survey.
•
Administration and control of the Geological Survey of Bangladesh, the
Bureau of Mineral Development, the Department of Explosives, the
Bangladesh Petroleum Institute, Petrobangla, Hydrocarbon Unit and the
Bangladesh Petroleum Corporation.
•
Liaison with international organizations, including matters relating to
treaties and agreements.
3.0
Strategic objectives of the Ministry and their Relevance with
Women’s Advancement and Rights
3.1
Expanded reserves and production of useable energy: If improved energy
facilities can be provided to the people of the country through increases in oil
and gas reserve, then women, as half of the total population, will also benefit.
3.2
Capacity increase in the exploration, development and production of oil
and gas to ensure energy security: Accelerated development of the
economy with the above initiatives will have positive impact on women’s
development.
3.3
Access by all regions to energy resources to ensure balanced
development: If gas distribution facility is extended women will get the
benefit as household activities will become easier.
3.4
Adequate and uninterrupted supply of petroleum and petroleum
products: Side by side with men, women have involved themselves in
various agricultural activities. So if fuel oil can be supplied in the agricultural
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sector as per demands, it will have positive impact on rural women’s
development.
3.5
Ensure safe transportation, storage and use of petroleum and other
explosive materials: There is direct and indirect involvement of women in
transport, agriculture and irrigation systems of the country. So these activities
will have impact on development of women.
3.6
Efficient use of energy to ensure long-term energy security: As women
are 50 % of energy consumers, lower costs for energy will lessen the burden
of domestic activities, and improve the lives of women in Bangladesh.
3.7
Expanded reserve of non-oil and gas mineral resources: The country has
a good reserve of various minerals in different parts of the country. If these
mineral resources are exploited (particularly coal ) a good number of the
population will have employment opportunities which in turn will have direct
impact on women development also.
4.0
Relevance of the Roles and Responsibilities of the Ministry for
Women’s Advancement and Rights
4.1
Energy and Mineral Resources division is working to ensure uninterrupted
energy supply as per the requirements of common people of the country. As
nearly half of country’s population are women, so they are also the direct and
indirect beneficiaries of the activities of this division. This division is assisting
women to improve their productivity, participation in labor market and income
generating activities in the following ways:
4.2
Natural gas is widely used as a raw material to various factories and
industries. For example gas is one of the main raw materials for fertilizer
industries. So, continuous supply of gas helps industrialists and factory
owners to produce their desired products timely. This will also help customers
to buy products and meet up their demands. This process creates
employment opportunities for women and provides them fertilizers for their
agricultural production. As a result, women directly or indirectly related with
agricultural sector are also immensely benefited. It is worth mentioning that all
landless female and almost 60-70% members of near landless families of
rural areas live their livelihood as agriculture labor. In FY 2011-12, a volume
of 128.50 billion cubic feet gas was supplied to industrial sector and nearly
50.10 billion cubic feet gas was supplied for fertilizer production.
4.3
Like other countries of the world, in Bangladesh natural gas is used as a
source of energy for household activities. It actually brings lot of benefits for
women. For example, they can finish cooking within shortest period of time
compared to other women who use traditional village fuel. As a result, it
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enhances their capability as well as reduces their health risk. In this sector a
volume of 81.30 billion cubic feet gas was supplied in FY 2011-12.
4.4
Gas is also supplied to electricity, captive power and CNG sectors. Almost
76% of the electricity is produced by utilizing natural gas. So, timely supply of
gas to power sector is very essential, failure of which ultimately affects the
whole economy. If the economy suffers, women will also be affected in
various ways. Reviewing the sectoral use of gas shows that its use in power
and industrial sectors was increased slightly in FY 2011-12 compared to FY
2010-11. However, it was reduced significantly in captive power and CNG
sector at the same time. The beneficiary of CNG is comparatively the affluent
class of the society. On the other hand, an increase of gas supply in the
power sector increases the investment as well as job opportunity in the
country and taking this view into consideration, supply of gas has been
increased in the power sector by reducing such supply in the CNG sector. As
a result, especially women have been benefited.
4.5
Volume of daily gas production is being increased with the increase of its
demand. For example, the daily gas production in January, 2009 was 1750
million cubic feet which gradually increased to 2034 in 2010, 2156 in 2012
and 2260 up to January, 2013. As a result, in last four years daily net 510
million cubic feet gas has been added to the national grid. Net addition of gas
to the national grid in fact brings several direct and indirect benefits for
women.
4.6
A gas compressor station in the transmission pipeline has been established in
April 2012. It is in fact, the first such station in Bangladesh. Moreover,
presently the activities for installation of other two compressor stations (one at
Ashuganj and another at Elenga) are going on under two project.Installation
of the stations is expected to ensure the necessary supply of gas as well as
to stabilize the high pressure in the gas pipes which ultimately will benefit
women directly and indirectly.
4.7
Initiatives have been undertaken to evaluate and re-evaluate gas reserve in
the potential regions of the country through 2-D and 3-D Seismic Surveys.
One of the main purposes of this survey is to determine gas reserve in the
existing gas fields. Moreover, initiatives have also been taken to investigate
and explore oil and gas in the nine blocks of shallow coastal belt area and
three blocks of deep coastal belt area of Bangladesh. At the same time
installation of 4500 Pre-paid Meters at Lalmatiya and adjacent Muhammadpur
area is playing a significant role for rationalizing the use of gas in the
domestic sector and reducing its wastage substantially. In fact, men and
women both will enjoy the benefits derived from such initiatives.
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4.8
Coal extraction has already been started from Boropukuria coal field. It is one
of the existing fives coal fields in the country. The annual coal production
target for this field is 10 million metric tons. Two power plants are being
operated for 250 MWs power production through using the coal of
Boropukuria and produced electricity of that plant is being supplied to the
National Grid which brings benefits for women.
4.9
Natural resources in the areas of gas, and coal benefit households all over
the country. With increase in the availability of these resources at the
household levels in both rural and urban areas, both men and women are
able to carry out their respective activities and chores more efficiently.
Whenever there is shortage of these essential resources, women are found to
be affected the most since they are traditionally in charge of the household
management. This means, women are having to work through under difficult
challenges of not having continuous power or gas. In this respect, with the
national increase in coal extraction, natural gas supply which in turn support
electricity generation, women’s household chores and activities become less
cumbersome and extra burden of work on women are significantly reduced.
5.0
Priority Spending Areas and Benefits for Women’s Advancement
Priority Spending Areas/ Programmes
Gas exploration and production: Strengthening gas
exploration activities is necessary to meet the
increasing national demand for gas. The energy
security of the country will be ensured if new gas fields
can be discovered. So, gas exploration and production
have been given the highest priority.
Increasing supply of gas and ensuring its best use: If
maximum gas supply is ensured through expansion of
the gas network, then small and large industries will be
established in remote areas of the country. This will
contribute to the economic development of the
country. So, this sector has been given the priority.
Ensuring uninterrupted supply of fuel oil: Uninterrupted
supply of fuel oil is a must for development of
agriculture, transport industry and the power sector.
For this reason ensuring uninterrupted supply of oil
has been given the 3rd highest priority.
Reduction of system losses, enhancement of
operational efficiency and strengthening realization of
arrear bills: Government subsidy to this sector can be
reduced significantly if revenue collections can be
increased through reducing systems losses,
enhancing the operational skills in marketing of oil and
strengthen the realization of arrears. For this reason,
th
this activity has been given the 5 priority.
Impact on Women's Advancement
(Direct and Indirect)
If gas production is increased, energy
facility for women will also be increased. It
will ultimately raise their standard of living.
If gas distribution facility can be extended,
more rural women will come under the
purview of energy facility.
If the supply of fuel oil can be ensured as
per its demand, working women can be
benefited in several ways.
Reduction of system loss has profound
impact on women development as women
are directly and indirectly related with its
use.
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Impact on Women's Advancement
Priority Spending Areas/ Programmes
(Direct and Indirect)
Development of the Coal sector: The existing national
gas reserve is depleting gradually. The coal sector has
therefore been given the second highest priority as an
alternative energy source. The development of the
coal sector can help to ensure energy security.
6.0
Many workers are needed for hoisting coal
from a coal mine. So, the development of
the coal sector will create new employment
opportunities for women.
.
Women’s Share in Ministry’s Total Expenditure
(Taka in Crore)
Budget 2013-14
Description
Total National Budget
Ministry Budget
Development
Non- Development
7.0
8.0
Budget
Revised 2012-13
Women Share
Women
%
Revised
Budget 2012-13
Women Share
Women
%
Budget
Women Share
Women
%
2,22,491
61,575
27.68
1,89,334
54,304
28.68
1,91,737
50,340
26.25
2,291
749
32.69
1,426
460
32.26
1,648
496
30.10
2,255
745
33.04
1,386
455
32.83
1,608
493
30.66
36
4
11.11
40
5
12.50
40
3
7.50
Success in Promoting Women’s Advancement
•
In last three years both extraction and use of gas have been augmented.
As a result, women involved in household activity of urban areas have got
some relieves.
•
Women customs can easily purchase cylinders from respective dealers as
its supply has considerably been increased.
Recommendations for Future Activities
•
Initiatives can be taken to identify and utilize the employment
opportunities for women in energy and mineral resources sector.
•
Necessary steps can be taken to bring poor and underprivileged women
under the coverage of natural gas supply
•
Appropriate measures can be taken to uphold women’s role for saving
energy
•
Necessary measures can be taken to supply gas among small
entrepreneurs.