HomeGarments & ApparelBKMEA Seeks 12-Month Payment Plan Amid Severe Energy Crisis

BKMEA Seeks 12-Month Payment Plan Amid Severe Energy Crisis

The Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) has urged the government to allow garment manufacturers to pay their July and August gas and electricity bills in 12 equal monthly installments, citing severe disruptions caused by the ongoing energy crisis.

BKMEA President Mohammad Hatem submitted the request to Power, Energy and Mineral Resources Minister Iqbal Hassan Mahmood on 9 August, seeking immediate government intervention.

According to BKMEA, acute shortages of gas and electricity severely disrupted industrial production during July and August. The suspension of gas supplies through open and cascade cylinders further affected factory operations.

Many manufacturers were forced to purchase alternative fuels such as diesel and LPG using cash payments to keep factories running and avoid production shutdowns, export-order losses and employment disruptions. These additional costs were not included in their original production budgets.

BKMEA said production volumes declined significantly while manufacturing costs increased because of the higher cost of alternative energy sources. As a result, many factories are struggling to pay accumulated utility bills in a single payment.

The association said a 12-month installment facility would ease the financial pressure on manufacturers, allowing them to maintain production and export operations while protecting employment.

BKMEA also stressed that the proposed payment facility would help sustain export activities, preserve foreign exchange earnings and support the continued operation of the country’s garment industry.

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