The LPG Association of Pakistan (LPGAP) has urged Ogra to bring the LPG distributors into a regulatory ambit by issuing them licenses. A spokesman of LPGAP said here on Friday that the recent price hike by distributors is unwarranted. "With the exception of one Public Sector Producer; Parco all other LPG producers have kept their prices unchanged from December," he said.
According to him, LPG marketing companies have imported a record 11000 tons of LPG in the month of December to ensure adequate stocks and to prevent prices from flaring. However, the distributors continue to manipulate end consumer prices by virtue of being exempt from any regulatory oversight.
"We have repeatedly asked Ogra and the Ministry of Petroleum & Natural Resources to issue LPG Distributors with licenses and bring them in a regulatory ambit so that they can be held directly responsible for their actions," the spokesman said. The issuance of the licenses will severely curtail black marketing of LPG, in addition to bringing the distributors in the sales tax net, he added.
He further said LPG marketing companies are required by law to publish the maximum consumer prices in national newspapers on a monthly basis and the same are displayed on Ogra's website: www.ogra.org.pk. These prices include a distributor margin of minimum Rs 85 per domestic cylinder. "We request the offices of the local administration to keep a strict watch on distributors and initiate appropriate actions against those engaged in over charging."