OGRA slashes LPG prices by Rs6.15 ahead of Ramadan

ISLAMABAD: The Oil and Gas Regulatory Authority (OGRA) has featured a decline in the price of liquefied petroleum gas (LPG) just before Ramadan.

With this price adjustment on average starting from March 1, 2025, there would be a reduction of Rs. 6.15 in LPG rates and it would now cost Rs. 247.82 per kilo.

It would also mean an adjustment in a standard domestic cylinder weight of 11.8 kg leading to a cost (volume reduction) of Rs. 2924.31 (which is down by Rs. 72.57 from February 2025 when marketed for Rs. 2996.88.

On the other hand, deregulation of petroleum product prices has been proposed by the federal government, contrary to the opposition of the Pakistan Petroleum Dealers Association, which has argued that deregulation would benefit the smugglers selling Iranian oil and substandard fuel in the country.

The association warned that deregulation would hamper large investments by petroleum dealers in the multi-billion dollar industry.

According to the proposal, the AOMC will make pricing decisions on its own in the interest of fair competition under the authority of the price ceiling that guarantees stability in the pricing.

In addition, the so-called OMCs will be enabled to mix up to 5% of ethanol in petroleum products to decrease costs, while the minister is being urged by the Pakistan Petroleum Dealers Association to perform talks to redress their concerns.