The Lahore High Court (LHC) suspended on Monday LPG Production and Distribution Policy, 2011 which was challenged by LPG Association of Pakistan (LPGAP).
The court has restricted Ministry of Petroleum and Chairman Oil and Gas Regulatory Authority (OGRA) from pursuing the policy introduced by the government last month.
Under the policy, 16 percent levy was imposed on LPG distribution.
LPGAP has moved the court against the policy and stated in the petition that the government policy was based on ill-motivations. It said the OGRA has imposed LPG tax without federal cabinet’s approval.
The court has summoned OGRA chairman on Wednesday.
