After POL bomb, LPG rate shoots up as well

After the whopping increase in the prices of petrol products on Friday, the price of Liquefied Petroleum Gas (LPG) has also jacked up by Rs5 per kg.

On Saturday, the price of LPG has been increased by Rs 5 per kg, after which the price of the domestic cylinder has been increased by Rs50 and the price of the commercial cylinder by Rs200.

Irfan Khokhar, Chairman, LPG Distributors Association, said that the price of LPG fixed by OGRA for June 2020 at Rs110 per kg is likely to increase further. It seems that government marketing companies are active in defaming the government, he said. He demanded the government to take immediate notice of the increase in LPG prices or else the situation would worsen.

Irfan Khokhar demanded the dissolution of the board of the gas distribution company and said that the non-renewal of the LPG processing agreement with the Jamshoro joint venture JJVL by the said gas supply company was not conducive to the national exchequer.

He said that it will have to bear a loss of about Rs4 billion annually, but the reduction in LPG supply will also justify the increase in LPG prices by marketing companies and the poor consumers living in backward areas will have to buy expensive gas.

The government on Friday increased price of petrol by Rs 25.58 per litre effect from June 26 in an early monthly review.

Oil and Gas Regulatory Authority (OGRA) sent the summary to Finance Division on the advise of the federal government.

In a statement, Finance Division says that the price of petrol has been increased from existing Rs 74.52 to Rs 100.10 per litre by Rs 25.58 or 35 percent increased. The price of diesel has gone up to Rs 101.46 from existing Rs 80.15 with an increase of Rs 21.31 per litre or 26 percent increased.

The price of kerosene oil has been hiked by Rs 23.50 per litre from current Rs 35.56 to Rs 59.06 per litre. It has 66 percent hike. The price of light diesel oil goes up by Rs 17.84 from Rs 38.14 to Rs 55.98 per litre or 44 percent increased. After increase, the government will continue charging Rs 30 per litre petroleum levy on petrol and diesel, 6 per litre on kerosene oil and Rs 3 per litre LDO, however it allowed to increase the ex-refinery prices.