Scuffle mars LPG stakeholders’ meeting at Ogra

ABDUL RASHEED AZAD ISLAMABAD: A scuffle broke out between LPG stakeholders in the committee room of Oil and Gas Regul
21 Jul, 2012

ISLAMABAD: A scuffle broke out between LPG stakeholders in the committee room of Oil and Gas Regulatory Authority (Ogra) during discussions on LPG prices on Friday. 

According to eyewitnesses, Irfan Khokar, Chairman All Pakistan LPG Distribution Association intervened during a presentation by the LPG marketing companies and accused them of overcharging consumers by Rs 20 million per day which triggered the scuffle.  According to inside sources even before the meeting, LPG distributors and marketing companies were seen exchanging hot words.

Lahore High Court directed Ogra on July 17 to hold a dialogue with LPG stakeholders including LPG marketing companies and representatives of LPG distributors to develop a consensus on reasonable prices for the consumer.  LPG marketing companies had moved LHC against an Ogra notification praying that Ogra had capped consumer LPG price below its import price which was leading to shortages in the market.  Belal Jabbar, spokesman of the LPG Association of Pakistan (LPGAP) stated, “We are deeply disappointed by today’s proceedings.”

“One self-proclaimed chairman of LPG distributors - not independently recognized by Ogra - stood up and issued death threats against the representatives of LPG marketing companies,” Jabbar said.

“All this happened as officials from Ogra and the Ministry did not object, intervene or interrupt the speaker,” Jabbar said and added that the distributors’ chairman also claimed to have the prime minister’s support.

The LPGAP spokesman said Ogra recorded the proceedings on video and it will plead the Lahore High Court on July 27 to summon the unedited recording as evidence.

“It is regrettable that the hearing between the regulator and stakeholders could only take place after we went to court seeking such an event,” said Jabbar. “We wish to work with all legitimate stakeholders to ensure rational prices that protect the interests of end-consumers and the industry. We will be highlighting today’s unfortunate developments before the honorable court at the next hearing on July 27.”

The authority on July 5 fixed reasonable maximum consumer price for 100 percent locally produced LPG at Rs 983 per 11.8-kg cylinder or Rs 83.30 per kg. Reasonable maximum consumer price for 100 percent imported LPG has been fixed at Rs 1136 per 11.8-kg cylinder or Rs 96.27 per kg. Reasonable maximum consumer price for local and imported mix LGP is fixed at Rs 1020 per 11.8-kg cylinder or Rs 86.4 per kg.

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