LPG price raised by Rs2.89/kg for third straight month

ISLAMABAD: The federal government on Thursday raised the price of liquefied petroleum gas (LPG) by Rs2.89 per kilogram, marking the third consecutive monthly increase. The new price, effective November 1, 2024, will be Rs254.2 per kilogram, a 1.15 per cent rise.

According to a notification from the Oil and Gas Regulatory Authority (Ogra), this hike will affect consumers directly. The cost of an 11.8-kilogram domestic gas cylinder will increase by Rs34.09, bringing its price from Rs2,965.38 to Rs2,999.47. Similarly, the rate for a 45.4-kilogram commercial cylinder will rise by Rs131.21, from Rs11,300 to Rs11,431.21. Despite the official pricing, there are concerns about compliance. Reports indicate that LPG is already being sold at rates exceeding Rs320 per kilogram in various areas, including the capital, Islamabad. Ogra’s notification confirms the new price structure; however, it has faced criticism for its failure to enforce these prices effectively.

The increase in LPG prices is linked to fluctuations in the Saudi Aramco Price and the exchange rate of the US dollar. Ogra noted that the Saudi Aramco-CP had risen by 1.6 percent from the previous month, while the average dollar exchange rate had slightly decreased by 0.19 per cent. Consequently, the LPG consumer price has risen by Rs34.09 for an 11.8-kilogram cylinder.