Government is again thinking to delink Liquefied Petroleum Gas (LPG) prices from the Saudi Aramco Contract Prices (CP) as linking of locally produced LPG with international price is helping the cartels. Special Assistant to Prime Minister on Petroleum Dr Asim Hussain while addressing an annual general meeting of LPG distributors association on Wednesday said the government is going to delink LPG prices with Saudi Aramco Contract Prices (CP) to benefit the consumers. He said the government is pursuing efforts to eliminate cartels in LPG business and is encouraging fair competition.
The government had linked LPG prices with the Saudi Aramco, last year, claiming that it would help increase the LPG imports which were successfully hindered by local producers by reducing prices. However, the industry had opposed the move saying that the government was trying to give undue favour to public sector company’s reentry in the LPG marketing business. During the last few months very few quantity of LPG was imported even though the government had made it mandatory for all marketing companies to import at least 20 per cent of their quota.