The government has moved to overhaul its marine refuelling rules, opening Bangladesh’s seaports to private and foreign firms. Under the proposed policy, any qualified domestic, foreign or joint-venture entity may apply for a marine fuel supplier licence.

A comparative draft of the proposed Bunkering Policy 2026 prepared by the Energy and Mineral Resources Division (EMRD) introduces a licensing framework covering fuel imports, environmental safeguards, digital tracking, international specifications and foreign investment.

Framing the overhaul around Bangladesh’s coastal geography, strategic ports, expanding global trade and blue economy potential, the document calls for an international-standard system to boost foreign exchange earnings, attract private capital and establish the country as a regional bunkering hub.

Bunkering — the supply of fuel for a ship’s own consumption — is currently monopolised by the state-run Bangladesh Petroleum Corporation (BPC), which controls low-sulphur marine fuel (LSFO) across national waters. BPC imports the fuel through government agreements and open tenders, distributing it to vessels at Chittagong and Mongla ports through three marketing companies — Padma, Meghna and Jamuna Oil. Authorised dealers then deliver the fuel to ocean-going ships using private barges.

Under the proposed policy, BPC would give up its monopoly on marine fuel imports, opening the trade to its marketing subsidiaries as well as licensed local and foreign firms subject to regulatory conditions.

“The International Maritime Organization sets precise standards for ship refuelling. Without complying with international standards, Bangladesh can’t build a competitive advantage in the sector,” Azam J Chowdhury, managing director of MJL Bangladesh PLC, told Bonik Barta. “The IMO defines fuel specifications for ocean-going vessels. But our current bunkering system operates without standards. The government now recognises that introducing private operators alongside BPC can transform the sector.”

Chowdhury, who is also the chairman of the Bangladesh Ocean Going Ship Owners Association, added that adopting the proposed policy would establish a robust regional fuel supply network for ocean-going vessels.

Bunker suppliers warn, however, that while the draft liberalises the market on paper, its stringent infrastructure and capital requirements can be met by only a handful of major firms — risking market concentration rather than genuine competition.

Mohammad Abdul Mannan, president of the Bangladesh Bunker Suppliers Association, told Bonik Barta: “The government intends to hand fuel import responsibility to the private sector, but technical competency must be established first. New entrants may lack practical experience in ship-to-ship operations. But those already operating in the sector possess the necessary expertise, dedicated jetties, vessels and laboratory facilities. Addressing the existing infrastructure gaps and giving current operators more time to prepare before implementing the policy would be a more practical approach.”

Calling for a thorough review, Mannan said: “A dealership-based distribution system is currently in place, whereas the proposed policy makes the importer the direct supplier. There’s no clear rationale for replacing the existing rules entirely. As key stakeholders, we raised our concerns with the ministry, which invited our feedback, and we will soon submit practical, evidence-based recommendations.”

A central pillar of the proposed policy is a revised import framework defining marine fuel specifically as furnace oil with 0.5 percent sulphur content — a technical benchmark absent from existing regulations. Subject to financial and environmental vetting, any qualified domestic or foreign entity could import fuel under a separate licence alongside BPC’s marketing arms.

Under the draft rules, suppliers must secure fuel quality certification from an internationally accredited laboratory detailing grade, density, sulphur content, flash point, water levels, batch numbers and test dates. Suppliers will also be required to retain samples, test against global standards and maintain quality control.

The framework will place approved domestic, foreign and joint-venture licensees on a central digital register shared with Bangladesh Bank, the National Board of Revenue, customs officials and port authorities.

All bunkering vessels such as barges and tankers must meet international safety and environmental benchmarks, including mandatory requirements on seaworthiness, firefighting systems, pollution-control equipment, tank calibration systems and communication gear. The proposed policy also introduces new requirements for marine fuel importers to maintain their own storage facilities, testing laboratories and jetty infrastructure.

Licensing will shift online, requiring applicants to submit corporate filings, trade licences, tax and VAT registrations, financial statements, environmental clearances, safety and oil-spill response protocols and insurance policies. The draft also sets binding deadlines for regulatory decisions.

To enforce transparency, operators must continuously upload data on fuel grades, vessel numbers, foreign exchange earnings, ship-to-ship transfers, alternative fuel supplies and environmental incidents into a digital portal, retaining all records for at least five years.

Environmental protection features heavily in the proposed framework, which holds operators strictly liable for fuel spills and mandates protection and indemnity (P&I) insurance. Licensees must also maintain anti-pollution equipment and trained response personnel. To resolve commercial friction, a dedicated Bunkering Dispute Resolution Committee will settle conflicts, with the authority to appoint independent surveyors in disputes over fuel volume or quality.

Eligible domestic, foreign and joint-venture entities may secure five-year operating licences. Regulators, however, can suspend or revoke licences for safety, environmental or financial breaches, fraud, or the delivery of substandard fuel.

“IMO liability and environmental standards are compulsory for bunkering,” Captain Anam Chowdhury, president of the Bangladesh Merchant Marine Officers’ Association, told Bonik Barta. “With strict limits now in place on the sulphur content of marine fuel, the focus has shifted away from high-sulphur fuels towards very low sulphur fuel oil (VLSFO) and ultra-low sulphur diesel (ULSD). The IMO will also phase in progressively tighter limits to cut carbon emissions.”

The government, he added, must now take concrete steps to align the domestic bunkering sector with global standards.