AHMAD AHMADANI:
ISLAMABAD - In a move effectively connected to provide ease to the hard-pressed masses already battling with worsening fuel prices to meet both ends meet, sky-high price of LPG has surprisingly been slashed by Rs10 per kilogram in the country.
Chairman Liquefied Petroleum Gas Distributors Association Pakistan (LPG DAP) Irfan Khokhar has reiterated that our countrywide strike call is unchangeable and will be done at any cost on 15th February. He told that surprising decline in the prices of the commodity is expected within next few days only because of LPGDAP strike call. “Succumbing to the pressure of LPGDAP countrywide strike, the ‘gas mafia’ has reduced the price and price of LPG will further witness decline in next few days, he said, adding,” this ‘ influential mafia’ hands in glove with the regulator (Ogra) has made record corruption of over Rs350 billion in the last seven years as LPG mafia seems to be given a free hand to make money through charging consumers with exorbitant prices”.
Irfan Khokhar has further informed that due to undue price hike of the commodity the sale of LPG has been reduced to 40 percent and if this raise could not control, the industry will bear the brunt of this unprecedented surge. However, surprising reduction in the price of LPG is expected in next few days. He further alleged that not a single kilogram of LPG has been imported during the current month of February though with accordance to LPG Policy 2011, all quota holders were bound to import 20 percent to the country. Chairman LPG DAP also blamed that to add woes and worries for inflation stricken masses, now a days local gas has been sold out by ‘influential mafia’ at the rate of imported gas in the country.
Sources have further informed that LPG price reduced due to strike threat of LPG distributors by Rs10 per kg. As result, price of domestic cylinder will witness a reduction of Rs110 while Rs400 reduction in the price of commercial cylinder will also be made due to current reduction in the price. In this way, LPG now onwards will be available in the market at a reduced price. Similarly, LPG cylinder will be available at a reduced price in between Rs2230-Rs2110 in Gilgit, Swat, FATA and Kashmir while in Rawalpindi, Islamabad, Murree, Attok, price of LPG cylinder will be in between Rs1990-1870 and in Peshawar, DI Khan, Kohat, Rahim Yar Khan, LPG cylinder with a reduction in between Rs160-150 will be available at Rs1870-1750. Again, in Faislabad, Jehlum, Multan, Bahawalpur with a reduction in between Rs155-145, the price of LPG cylinder will now be available at Rs1810-1690 and with a decline in between Rs140-150, LPG cylinder will be available at Rs1630-1530 in Lahore, Gujranwala, Jhang and Sargodha.
It is relevant to note here that ahead of countrywide strike call by LPG Distributors Association Pakistan, exorbitant prices of LPG has surprisingly been trimmed down by Rs10 per kilogram while Lahore High Court hearing the petition challenging the imposition of Petroleum Levy has asked the Secretary Petroleum to appear in person before the court on 27th of February. It is also learnt that LPG companies and consumers have filed a petition in the Lahore High Court challenging the imposition of Petroleum Levy, which to the petitioner has caused increase in the price of LPG by Rs. 13,500 per ton. The petition filed by senior advocate Supreme Court Shahid Hamid was heard by Justice Mansoor Ali Shah. The Court has issued notices to the Deputy Attorney General and asked the Secretary Petroleum to appear in person before the court on the next date of hearing.
The spokesman for the LPG Association of Pakistan Belal Jabbar has said that the imposition of the levy has resulted in record LPG prices being charged from the consumers. LPG sales have begun to slacken as LPG has lost its competitiveness with other fuels and the levy has been termed as discriminatory against local production, which meets 80percent of the country’s requirements, he added.
“If the enforcement of the levy continues, the ultimate pressure will be borne by the state owned LPG producers that account for 70 percent of Pakistan’s production” said Belal Jabbar, adding, “Producers will be forced to drastically reduce their prices in an effort to market their product which will defeat the very purpose of the levy that sought to increase the price of local product and equate it with that of imports”.
The spokesman was of the view that levy was first introduced as part of the LPG Policy 2011 and was suspended by the Lahore High Court in October 2011 but it has now been reintroduced as an amendment to the Petroleum Products Ordinance 1961.