LPG is being sold at exorbitant prices across Pakistan, with consumers paying more than Rs600 per kilogram despite the official rate being fixed at Rs309 per kilogram.
As prices continue to soar, regulators and government authorities appear unable to enforce the notified rate, leaving millions of consumers at the mercy of suppliers and retailers amid an already worsening cost-of-living crisis.
According to reports, the LPG sector took advantage of concerns over a potential energy crisis, with consumers forced to purchase LPG at prices exceeding Rs600 per kilogram despite the official rate set by the Oil and Gas Regulatory Authority (OGRA) at Rs309 per kilogram for June.
Data from the Pakistan LPG Distributors Association shows that more than 6 million kilograms of LPG are sold daily across the country. However, market prices reportedly remained a lot higher than the regulated rate, with distributors, plant operators and retailers charging varying prices.
Retailers claim they are purchasing LPG from plants at rates as high as Rs550 per kilogram, making it impossible to sell the product at the official price.
They allege that LPG marketing companies and plant operators are responsible for the price hikes, while regulatory action has largely targeted shopkeepers rather than suppliers.
According to industry estimates, consumers may have paid between Rs60 billion and Rs70 billion extra during the period of inflated prices. Retailers also alleged that some suppliers refused to issue invoices for LPG sales.
