US Examines Bangladesh Request to Import Russian Oil

The US Department of the Treasury is reviewing Bangladesh's proposal to waive the embargo on importing Russian oil, as the ongoing war in the Middle East worsens the global energy crisis, sources in Dhaka and Washington said.

Foreign Minister Dr Khalilur Rahman recently met US Energy Secretary Chris Wright at the Department of Energy in Washington D.C., requesting a special waiver to import refined diesel and other petroleum products from Russia to ease domestic energy pressures.

Last week, the Department of Energy forwarded the matter to the Treasury Department, which is expected to make a decision this week or later, a Bangladesh diplomat in Washington told reporters Monday night.

During the talks, the foreign minister highlighted Bangladesh’s energy challenges caused by global supply chain disruptions, particularly ahead of the critical planting season, stressing the need to ensure uninterrupted fuel supply for farmers and safeguard food security.

Dr Rahman explained that Bangladesh could not benefit from the earlier limited US waiver on Russian oil at sea, as no tankers were bound for Bangladesh at that time. The two sides also discussed options to purchase refined oil from Russian crude via third countries to meet immediate needs.

US Energy Secretary Wright acknowledged Bangladesh’s energy challenges and reaffirmed the US commitment to support the country during these difficult times to ensure energy security.

Meanwhile, Bangladesh is working closely with Russia to import petroleum products on a government-to-government basis to tackle the energy crisis intensified by the ongoing war.

Bangladesh has requested the US to consider the waiver for the next three months, given the current situation.

Bangladesh Ambassador to Russia Md Nazrul Islam, also accredited to Kazakhstan, met President Kassym-Jomart Tokayev in Kazakhstan to discuss matters of mutual interest. He also met Energy Minister Erlan Akkenzhenov to explore potential energy cooperation and is expected to meet again later this month to discuss importing oil at the government-to-government level.

Md Nazrul Islam is also scheduled to meet Belarus President Alexander Lukashenko this month to explore energy cooperation with the CIS country. He will meet with Russian energy sector stakeholders to discuss importing Russian oil, the ambassador told reporters.

Energy expert Professor Dr Ijaz Hossain recommended that the government reduce petroleum consumption by 20 percent to cushion the impact of the crisis. He suggested increasing weekly holidays to three days and improving traffic management, noting that shorter office hours alone would have little effect.

Dr Hossain added that Eastern Refinery typically uses crude oil exported from Saudi Arabia and Kuwait, so Russia would need to supply special light crude oil that meets the refinery’s existing specifications.