LPG price soars to Rs600 per kg in open market

Blow to consumers: LPG price jumps in Karachi

Consumers across Pakistan are facing an unprecedented surge in liquefied petroleum gas (LPG) prices, with reports suggesting that LPG is being sold for more than Rs600 per kilogram in some areas despite the official rate of Rs309 per kg set by the Oil and Gas Regulatory Authority for June.

According to market reports, LPG prices have soared amid the energy uncertainty created by tensions between Iran and the United States. Industry sources claim that LPG is being sold at varying rates across the country, with distributors, marketing companies, and retailers charging prices well above the government-notified rate.

Data from the Pakistan LPG Distributors Association indicates that Pakistan consumes more than 6 million kilograms of LPG daily. However, consumers reportedly struggle to find LPG at the official price, forcing many to purchase the fuel at record-high rates.

Also read: Pakistan’s weekly inflation rises as vegetable and chicken prices surge

Retailers say they are unable to sell LPG at government-notified prices because they purchase supplies from plants at significantly higher rates. A shopkeeper claimed that LPG is being supplied to retailers at around Rs550 per kg, making it impossible to offer it at the official rate. He alleged that marketing companies and plant operators are charging inflated prices while enforcement measures have largely targeted small retailers.

He further claimed that some suppliers do not provide receipts for transactions and refuse to sell LPG if documentation is requested. Retailers argue that rising wholesale prices, coupled with limited regulatory intervention, have left both businesses and consumers under severe financial pressure.

With daily LPG consumption exceeding 6 million kilograms, market observers estimate that the widening gap between official and market rates is placing a massive additional burden on consumers, who are already grappling with inflation and rising living costs.

Read more: LPG price soars to Rs500 per kg in open market