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LPG market rates exceed OGRA prices as supply crisis deepens

The market price of LPG in Pakistan today has surged to more than double the official OGRA rate, with hilly areas facing costs as high as Rs600 per kilogram.

Zaviya Desk

· 3 min read

Zaviya

The LPG price in Pakistan today has reached record levels in the open market, with consumers in hilly areas paying as much as Rs600 per kilogram. This surge comes despite the official rates set by the Oil and Gas Regulatory Authority (OGRA), which are significantly lower than the prices currently being charged by retailers across the country.

Market rates vs OGRA prices

According to Irfan Khokhar, Chairman of the LPG Distributors Association, the price of liquefied petroleum gas (LPG) has climbed to Rs500 per kilogram in Punjab and Khyber Pakhtunkhwa. In more remote, mountainous regions, the cost has escalated further to Rs600 per kilogram. These figures represent a sharp deviation from the official LPG price in Pakistan today OGRA has notified, which stands at Rs279 per kilogram for the month of October.

The price gap is even more visible when looking at domestic cylinders. While the official price for a domestic cylinder is set at Rs3,350, it is being sold for Rs6,000 in Punjab and KP, and up to Rs7,200 in hilly areas. This disparity has placed an immense financial burden on households that rely on cylinder gas for cooking and heating, especially as temperatures begin to drop.

Supply challenges and government intervention

The Distributors Association has highlighted a deepening crisis in the supply chain. To address the shortage and the resulting price hike, Khokhar has urged the government to take immediate control of the situation. One proposed solution is the utilization of the Sui Southern Gas Company (SSGC) terminal to streamline distribution and manage costs more effectively.

Furthermore, the association has called for the immediate import of LPG to bridge the supply gap. Without a steady influx of imported gas, the association warns that market rates will continue to fluctuate far above the government's regulated prices, leaving ordinary citizens vulnerable to overcharging.

Impact on consumers

The current situation means that many Pakistanis are paying nearly double the regulated price for essential fuel. The LPG Distributors Association has called on the government to enforce the official rate list and ensure that retailers do not exploit the supply shortage. For now, the lack of effective price control mechanisms in the open market remains a primary concern for domestic consumers.

Aasan alfaaz mein

LPG ki qeemat market mein bohat barh gayi hai aur pahari ilaqon mein ye 600 rupay kilo tak bik raha hai. Punjab aur KP mein qeemat 500 rupay kilo tak pahunch gayi hai, jabkay hukumat ki muqarar karda qeemat sirf 279 rupay hai. Is ka matlab hai ke awam ko sarkaari qeemat se dugna paisa dena par raha hai. Distributors ne hukumat se kaha hai ke gas bahar se mangwai jaye taake qeemtein kam ho sakein.

Questions readers ask

FAQ

For October, the official OGRA rate is fixed at Rs279 per kilogram, though market prices are currently much higher.

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