State-owned Bangladesh Petroleum Corporation (BPC) made profit of around Tk26,000 crore by selling fuel oil at home, at a higher price than that of the international market in the last four fiscal years.
Analysing the 2018-19 fiscal year budget summary of state-owned institution and Bangladesh Economic Review 2018, it is known that BPC has earned Tk25,816 crore from 2014-15 FY to April of 2017-18 FY.
BPC has started to earn profit when international market price of petroleum oil started to be downward in 2015, which lasted for two years. BPC has made successive profit without lowering price down in that time.
Last year, international market price soared up exceeding domestic market price in the mid November-December. Now, BPC costs loss in selling of diesel, kerosene, furnace oil, resulting of a possible proposal to the Energy and Mineral Resources Division to hike the fuel price. But they are making profit selling octane, petrol, and jet fuel, said a BPC official.
Meanwhile, BPC has deposited only Tk2,950 crore to the government exchequer even though they have made about Tk26,000 crore profit. In the first year, they did not provide any share of dividend to the government exchequer.
However, they deposited Tk1,000 crore in the 2015-16 fiscal year after exchanging letters between BPC and the Ministry of Finance, though Tk5,000 crore were demanded from BPC.
Citing reasons of reduction of the profit earning, BPC provided only Tk750 crore dividend although it was ordered to deposit Tk2,500 crore in the FY 2017-18.
However, BPC did not repay their loans to the government.