LPG brokers slam OGRA notification

Liquefied Petroleum Gas (LPG) prices across Pakistan have been increased by at least 16 percent or by Rs 13 per kilogramme (kg) in order to ensure compliance with the latest directive from the Oil and Gas Regulatory Authority (OGRA).

A press release issued here on Wednesday revealed that the OGRA has, through notification No OGRA-LPG-17(242)/11 dated September 19 informed Pakistan’s 11 LPG producers that the controversial petroleum development levy (PDL) intended to facilitate imports and financially shore up Progas Pakistan Limited, a bankrupt LPG importing company facing litigation, and other LPG brokers has to be implemented positively by Wednesday, September 21, failing which “strict punitive action” shall be taken against noncompliant producers.

In another letter issued on the same day, OGRA has directed all LPG marketing companies to purchase at least 20 percent of their supplies from LPG importers. If they do not do so, threatens OGRA, “the local LPG allocations of LPG marketing companies will be cancelled by producers upon direction of the OGRA.”

From: Daily Times