Inadequate security for FSRUs threatens gas supply chain

The absence of a dedicated surveillance team for the Floating Storage Regasification Units (FSRUs) in the Bay of Bengal near Maheshkhali in Cox's Bazar raises concerns about the vulnerability of these vital installations to sabotage and piracy.

While land-based facilities can be quickly secured by law enforcement, the FSRUs, which supply a significant portion of the country's gas, remain at risk of disruption due to their remote location.

Bangladesh started importing Liquefied Natural Gas (LNG) in 2018 to meet growing demand, with two FSRUs – operated by Excelerate Energy and Summit – now supplying about 1,000 mmcfd of gas each day.

The country's gas demand is approximately 4,000mmcfd, but the government can only supply 2,500-3,000mmcfd. Disruptions to the FSRUs can cause significant energy shortages, impacting electricity and industries as experienced after a suspension of one of such two floating terminals after massive damage from a cyclone in May this year.

Recent fire incidents at two crude oil vessels, Banglar Jyoti and Banglar Shourabh, operated by the Bangladesh Shipping Corporation, have further fuelled fears about the overall safety of the offshore energy infrastructures.

The FSRUs are located in a highly vulnerable area of the Bay, about 20km from the nearest police station, with limited protection from the Navy and Coast Guard due to their distance. 

Under the agreement with the FSRU operators, the government is responsible for securing the floating LNG terminals and their associated tug boats and service vessels, according to operators.

But the government's plan to form a dedicated security team involving the Navy and Coast Guard has been caught up in lengthy procedures.

While forming a special security team was discussed in the last inter-ministerial meeting on 29 April 2024, progress has been slow. During the meeting, the country's first floating LNG import terminal operator Excelerate Energy presented a security plan with designated zones around the FSRUs.

Notably, such a meeting is conducted annually to ensure the safety of the FSRUs, with the previous one held on 22 June 2023.

Emails sent to Excelerate Energy for comment in this regard were not answered.

Mohsena Hassan, spokesperson for the other operator Summit, said, "The agreements required the government to provide security for both FSRUs. But there have been no updates since the last meeting in April 2024."

The surrounding waters are a free-sailing zone and enforcing restrictions in these zones has proven difficult without dedicated forces. So, the FSRU operators have to rely mostly on unarmed tugboats for security, which is inadequate to fend off potential threats. 

Engineer Nasir Uddin, deputy general manager of Gas Transition Company Limited in Chattogram, said, "The tugboats of the FSRU operators chase away the fishing boats that come near the vessels as there are no other security arrangements."

He added, "If anyone comes from outside and attacks, there is a concern. In case of any major issues, we call up the Navy and Coast Guard. We have also written a letter to local Naval Police to help with security arrangements."

Lieutenant Commander Abrar Hasan, staff officer (operation) of the Bangladesh Coast Guard, told TBS that they conduct year-round, 24-hour patrols to secure the country's maritime territory.

"We stay in regular contact with the FSRU authorities and coordinate patrols with the Bangladesh Navy, but there is no dedicated team providing 24/7 security to the FSRU," he said.

Efforts to declare both the units Key Point Installations (KPIs) are ongoing, with one facility already receiving Category 1(c) KPI status. However, even with this designation, security remains inadequate.

Engineer Nasir Uddin confirmed that although one FSRU has been declared a KPI, security remains insufficient. 

He further mentioned that the process of forming a special team is ongoing, saying, "There are issues of recruiting separate manpower for the team. A study is going on for this. We are expecting to complete the process in a short time."

Proposals to establish a permanent police outpost and boost the capacity of the Naval Police have been made, but recruitment of additional personnel is still underway.

According to the Special Branch of Bangladesh Police, both the FSRUs and the tie-in point (a location on an existing plant or pipeline where new piping or equipment will connect) are highly susceptible to attacks. 

Alak Biswas, additional superintendent of police (Special Branch) of Cox's Bazar District Police, told TBS that a report on security concerns about the FSRUs had been sent to headquarters.

The broader energy infrastructure, including the Single Point Mooring (SPM) facility 16km from Kaladia Char, also faces security risks. Plans for a third floating LNG terminal and a land-based terminal are expected to stretch existing security resources even further.

Zanendra Nath Sarker, chairman of Petrobangla, has called for a comprehensive security plan involving the Navy, Coast Guard, and other law enforcement agencies. 

He said forming a special task force was proposed to protect not only the FSRUs but also the broader energy facilities in the region, including the Matarbari Energy Hub.

Energy officials and operators said as Bangladesh grows increasingly dependent on LNG imports, swift actions are needed to safeguard FSRUs and other vital energy facilities in the sea for the nation's energy security.