LPG price slashed by Rs6 per kg

Regulator sets consumer price at Rs212 per kg for September

ISLAMABAD:

The Oil and Gas Regulatory Authority (Ogra) has slashed the price of liquefied petroleum gas (LPG) by Rs6 to Rs212 per kg for the month of September 2022.

According to a notification, the price of domestic cylinder has been reduced, which will now be sold for Rs2,496 while commercial cylinder will cost Rs9,604.

LPG is used for cooking purposes in areas where piped natural gas is not available.

LPG Distributors Association of Pakistan Chairman Irfan Khokhar has demanded that the government devise an LPG policy and resume operations at the Jamshoro Joint Venture Limited (JJVL) plant.

“Over the last two years, the plant has been lying closed and at the time of its closure, its production was 15,000 tons per month,” he said.

Khokhar claimed that the plant closure was costing Pakistan’s economy around Rs60 billion a year, as the commodity was being imported to meet domestic demand. He also underlined that gas was being sold Rs40-60 above the government’s notified prices in the black market, while the government had turned a blind eye.

During August, the LPG price increased in several areas without the approval of Ogra. LPG prices in major cities of Pakistan have gone up by Rs10 per kg and it is being sold for Rs250 per kg while in far flung and mountainous areas it is available at Rs280 per kg, he said.

Saudi Arabian oil giant Aramco has set its September propane price at $350 per tonne against $370 per tonne for August. However, the company has kept September butane price unchanged at $360 per tonne.

Propane and butane are two major components of LPG sold to Asian countries by the Middle Eastern oil producers.

Published in The Express Tribune, September 1^st, 2022.

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