ISLAMABAD: State-owned producers of liquefied petroleum gas (LPG) have increased prices by Rs6,000 per ton keeping in view increasing demand and declining stocks and the new prices will take effect from Tuesday.
After the increase, the price of a domestic cylinder (11.8 kg) has risen by Rs70 and that of commercial cylinder (45.4 kg) by Rs273. Residential and commercial consumers will face a hike of Rs6 per kg.
State-run LPG producers, which contribute 70% of the country’s production, have pushed up prices in response to strong demand and lower stocks, market people say. This comes despite LPG production starting to improve from existing gas fields.
According to notifications, Pakistan Petroleum Limited (PPL), Oil and Gas Development Company Limited (OGDC) and Pak Arab Refinery Company (Parco) increased base stock prices to Rs63,250, Rs62,500 and Rs64,000 per ton respectively, exclusive of duties and taxes.
“LPG producer prices have gone up by Rs6,000 per ton,” said Belal Jabbar, a spokesman for the LPG Association of Pakistan.
Prices of domestic and commercial cylinders have gone higher, rising from Rs1,240 to Rs1,310 and Rs4,767 to Rs5,040 respectively. Retail rates are expected to rise to Rs105 in Sindh and Balochistan, Rs110 in Punjab, Rs115 in Khyber-Pakhtunkhwa and Rs120 in AJK and northern areas.
“The country has the potential to increase its LPG output by another 600 tons per day, which will make it self-sufficient and do away with the need for costly imports,” said Jabbar.
Published in The Express Tribune, June 6th, 2012.
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