ISLAMABAD: Liquefied petroleum gas (LPG) cylinders are being sold at more than twice the official price across the country as disrupted imports trigger a supply crisis, sources in the Oil and Gas Regulatory Authority (Ogra) told media on Wednesday.
Ogra has fixed the price of an 11.8kg domestic LPG cylinder at Rs3,296, while sources said cylinders were currently being sold at more than double that rate.
According to Ogra sources, the crisis emerged following the closure of the Iranian border, disrupting supplies from a country that accounts for 50% of Pakistan’s total LPG imports.
Pakistan imports around 70% of its LPG requirements, with supplies coming from Iran, Iraq and Oman, the sources said. They warned that the crisis could worsen if the Iranian border was not reopened for LPG imports.
Meanwhile, LPG imports from Oman and Iraq had also been disrupted due to the closure of the Strait of Hormuz, the sources added.
Ogra sources attributed the surge in LPG prices to the supply disruption, saying enforcement teams were taking action against those overcharging for available stocks.
Pakistan’s average annual LPG consumption stands at between 2.4 million and 2.5 million tonnes, according to the sources. –Agencies
