Relief: LPG prices remain unchanged
Marketing companies follow move by OGDC, PARCO.
OGDCL and Parco left their base stock price for LPG unchanged at Rs75,000 and Rs75,500 per ton (exclusive of taxes). PHOTO: CREATIVE COMMONS
ISLAMABAD:
Liquefied Petroleum Gas (LPG) marketing companies have kept prices unchanged for the month of March, following a similar move by producers including OGDCL and Parco.
Both state-owned companies left their base stock price for LPG unchanged at Rs75,000 and Rs75,500 per ton (exclusive of taxes).
The current producer’s price is Rs15,500 per ton lower than the international Saudi Aramco Contract Price (CP) of $864 per ton.
“We are grateful to the petroleum ministry for its steps in de-linking the local producer prices from the Saudi Aramco one,” said Belal Jabbar, spokesman for the LPG Association of Pakistan.
The resultant retail prices will remain stable at Rs115 per kilogramme in Sindh and Balochsitan, Rs120 in Punjab, Rs125 in Khyber-Pakhtunkhwa and Azad Jammu and Kashmir, while the price in northern areas and Gilgit-Baltistan would be Rs140 per kg.
This winter has seen one of the lowest LPG prices in recent years. Local producers have priced LPG in line with the market forces of demand and supply and not with the Saudi Aramco CP, which many consider as an inflated price benchmark.
“We request the government to announce a clean disconnect policy from the Saudi Aramco CP, allowing LPG producer prices to fall further. Currently, these prices account for 80% of the component of the end consumer price,” added Belal.
Published in The Express Tribune, March 6th, 2014.
Liquefied Petroleum Gas (LPG) marketing companies have kept prices unchanged for the month of March, following a similar move by producers including OGDCL and Parco.
Both state-owned companies left their base stock price for LPG unchanged at Rs75,000 and Rs75,500 per ton (exclusive of taxes).
The current producer’s price is Rs15,500 per ton lower than the international Saudi Aramco Contract Price (CP) of $864 per ton.
“We are grateful to the petroleum ministry for its steps in de-linking the local producer prices from the Saudi Aramco one,” said Belal Jabbar, spokesman for the LPG Association of Pakistan.
The resultant retail prices will remain stable at Rs115 per kilogramme in Sindh and Balochsitan, Rs120 in Punjab, Rs125 in Khyber-Pakhtunkhwa and Azad Jammu and Kashmir, while the price in northern areas and Gilgit-Baltistan would be Rs140 per kg.
This winter has seen one of the lowest LPG prices in recent years. Local producers have priced LPG in line with the market forces of demand and supply and not with the Saudi Aramco CP, which many consider as an inflated price benchmark.
“We request the government to announce a clean disconnect policy from the Saudi Aramco CP, allowing LPG producer prices to fall further. Currently, these prices account for 80% of the component of the end consumer price,” added Belal.
Published in The Express Tribune, March 6th, 2014.