The federal government has assigned Pakistan State Oil (PSO) and Sui Southern Gas Pipeline Limited (SSGPL) the authority to determine national liquefied petroleum gas (LPG) prices.
The decision was taken on the instructions of Prime Minister Shehbaz Sharif. It replaces the previous arrangement under the Oil and Gas Regulatory Authority (OGRA).
Petroleum Minister Ali Pervaiz Malik granted both state-owned companies exclusive powers to determine LPG prices across Pakistan. The government aims to improve price control and ensure better supply for LPG consumers.
Meanwhile, authorities have placed orders for importing additional LPG shipments. The vessels are expected to arrive in Pakistan next week.
Officials hope the incoming supplies will help reduce LPG prices across the country. However, controlling excessive charges by local sellers remains a major challenge.
LPG Prices Remain High Across Pakistan
Despite government efforts, LPG consumers continue to pay high prices in several cities. Local sellers are reportedly charging rates above the expected market levels.
In Quetta and nearby areas, LPG prices range between Rs570 and Rs650 per kilogram. Consumers in Lahore, Rawalpindi, Multan, and Sargodha are paying between Rs550 and Rs600 per kilogram.
In Karachi, LPG is available at prices ranging from Rs530 to Rs580 per kilogram. Meanwhile, consumers in Ghotki are paying around Rs600 per kilogram.
These varying rates have created difficulties for households relying on LPG for cooking and other daily needs. The government is now seeking stronger measures to control prices and improve availability.
Government Plans Transparent LPG Auctions
The government has also decided to introduce a transparent auction system for locally produced LPG. Under the proposed arrangement, 90 percent of domestic LPG production will be sold through public auctions.
The remaining 10 percent will be reserved for government-owned marketing companies. The auctions will take place publicly in the presence of media representatives.
Authorities have also introduced a daily purchase limit for companies. Each company will be allowed to obtain a maximum of 20 metric tonnes of LPG per day.
The new mechanism aims to make the distribution process more transparent. It is also expected to reduce unfair practices and improve market competition.
Petroleum Minister Explains New Pricing Mechanism
Petroleum Minister Ali Pervaiz Malik said the auction system would support fair LPG distribution. He explained that the mechanism would also strengthen the country’s supply chain.
According to the minister, improving energy security remains another important government priority. The authorities want to ensure that LPG reaches consumers without unnecessary disruptions.
He further stated that the government aims to improve LPG availability at reasonable prices. The new arrangements are intended to benefit households and other users across Pakistan.
LPG Consumers Await Relief From Rising Prices
The arrival of imported LPG shipments could help improve supplies in the coming days. However, consumers are waiting to see whether the additional supplies reduce retail prices.
The transfer of pricing authority to PSO and SSGPL also represents a major policy change. Meanwhile, the proposed auction system is expected to improve transparency in the domestic LPG market.
The government faces the challenge of ensuring that lower supply costs reach ordinary consumers. Effective monitoring and fair distribution will remain important for controlling LPG prices nationwide.
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