Islamabad March 3 2022 In a monthly price review, the Oil and Gas Regulatory Authority (OGRA) has increased the prices of domestic and commercial LPG cylinders by 13 percent with effect from Thursday (1st March 2022). The petroleum levy is being charged PKR 4,669 per MT and GST at PKR 28,018.89 per MT.
The consumer price of LPG cylinder is PKR 2,758.67 compared with PKR 2,439 in the previous month. The regulatory body stated as per Clause 3.4.5 of the LPG Policy 2016, LPG prices would be regulated with a maximum price at all levels of the supply chain.
“However, producers, marketing companies and distributors may sell below the maximum price determined from time to time,” the statement read.
Total annualized demand of LPG in Pakistan is estimated at around 1.4m Tons, of which around 876,000 MT is produced locally, and the balance needs to be imported from neighboring countries. While the local demand of LPG is on increase constantly, its local production is stagnant. So, with every increase in local demand the import would tend to increase.
Currently, there are 11 LPG producers and 200 LPG marketing companies operating in the country having more than 7,000 authorized LPG distributors
Demand in winter rises by around 25% due to its use as heating gas in Punjab, NWFP and Gilgit Baltistan. Therefore, its import is increased in Winter and is on a lower side during summer months of March to September.
