The transition from an administered to a market-based fuel pricing system in Bangladesh, initiated in March 2024, marks a significant step towards reducing fiscal burdens and aligning domestic fuel prices with international markets. However, the existing pricing mechanisms formulated by the Bangladesh Petroleum Corporation (BPC) and the Bangladesh Energy Regulatory Commission (BERC) exhibit critical shortcomings. To address these deficiencies, this study proposes a pseudo-market-based pricing mechanism using an artificial neural network (ANN)-based predictive pricing model that integrates both international and domestic economic variables.
Authors: Khondaker Golam Moazzem, Helen Mashiyat Preoty and Faisal Quaiyyum
Publication Period: March 2025