The Oil and Gas Regulatory Authority (OGRA) has raised the price of liquefied petroleum gas (LPG) by Rs 21 per kilogram for the month of October, 2023, and has issued a notification to that effect.
Increase in LPG Prices
According to an OGRA statement, the price of LPG has been raised from Rs.240 to Rs.261 per kg, the price of household cylinders has been raised from Rs.2833 to Rs.3080, and the price of commercial cylinders has been raised from Rs.10902 to Rs.11849 for the month of October 2023.
However, domestic cylinder prices have risen by Rs 246 and commercial cylinder prices have risen by Rs 947, both effective October 1st, 2023.
According to the federal government’s policy guidelines, the new pricing structure suggests a significant increase in liquefied petroleum gas rates, affecting both producers and customers.
According to the most recent determination, the notified producer prices have increased significantly.
However, the price in September 2023 was Rs. 198,826.33 per ton, but it has recently climbed to Rs. 219,686.69/ton in October 2023.
Similarly, this price increase of Rs. 20,860.36 per ton (Rs. 246.15 every 11.8 kg cylinder) represents a significant 8.7% increase.
Increase in LPG Consumer Prices
Similarly, LPG consumer prices have increased dramatically. LPG prices have risen from Rs. 240,126.33 per ton in September 2023 to Rs. 260,986.69/ton in October 2023.
This rise of Rs. 20,860.36 per ton (Rs. 246.15 every 11.8 kg cylinder) represents an 8.7% increase.
Saudi Aramco-CP Has Increased by 9.53%
It is worth noting that the link between the LPG producer price and the Saudi Aramco-CP, as well as the US dollar exchange rate, is the driving reason behind this significant price increase.
The Saudi Aramco-CP has increased by 9.53% during the preceding month, while the average Dollar exchange rate has increased by 1.15%.
As a result of these factors, the consumer price has risen by Rs. 246.15 every 11.8 kg cylinder, representing an 8.7% increase.
To read our blog on “LPG prices massively increase by Rs. 23.90/Kg by Govt.” click here.
