The government is taking concrete measures to regulate prices of Liquefied Petroleum Gas (LPG) in order to extend relief to masses.
“A summary spelling out an approach to offset shocks in LPG market and maintain the commodity’s price at affordable range for the consumers throughout the year is awaiting approval by the Economic Coordination Committee (ECC),” LPG Distributor Association’s Chairman Irfan Khokar told on Tuesday.
He said the summery prepared after extensive consultations with all stakeholders would provide for regulating LPG prices by the Oil and Gas Regulatory Authority (OGRA) with periodic prices revision keeping in view relevant factors.
However, he added, a domestic cylinder would remain unchanged for Rs 900 throughout the year if the association’s input were accorded approval and the same was also sailed through the ECC meeting.
He said the current local production stood at 1,600 tons per day and its demand had soared to 3,000 tons per day, necessitating for the government to put matters of LPG market in order and extend relief to consumers.
He said the demand was likely to further exceed if domestic sector was not supplied with smooth gas supply in peak winter season. However, he added, the LPG association would strongly resist upward revision in LPG prices and unlike the past, he vowed, the price would remain unchanged over the winter season.
He was of the view that hefty duties and taxes on LPG import was an impediment in the government’s efforts to ensure its stocks at adequate level, thus policymakers should revive matters on this front as well.
He was of the view that the OGRA which had fallen short of playing its role should bind LPG policy marketing companies to import certain per cent of quota to bridge supply and demand gap in the country.