August 02, 2008	Saturday	Rajab 29, 1429

LAHORE, Aug 1: The LPG Association of Pakistan (LPGAP) on Friday took note of recent increases in LPG prices across the value chain and urged member companies to maintain prices at a reasonable level in the interest of the end-consumer.

“We are concerned that while a majority of member companies are operating responsibly, some of our colleague companies have over the last few days raised their prices unfairly and beyond the levels of reasonability recommended by the Oil & Gas Regulatory Authority (Ogra),” said LPGAP spokesman Fasih Ahmad.

Some LPG marketing companies in Karachi increased their ex-plant prices, at which LPG retailers procure product on Friday to Rs800 per 11.8kg cylinder in defiance of the recommendations of the reasonable, maximum consumer prices by Ogra and LPGAP. The price increases have led to higher retail prices.

“Even at the current, lower-than-optimal LPG production, these increases by some companies and their retailers are regrettable, untenable and driven by some mistaken desire to drag the LPG sector back to its tenuous state last year,” said Ahmed.

“We urge the errant companies to protect and privilege the interests of the consumer instead of extracting short-term gains from the market,” he said.

Ahmad said the LPGAP would closely work with Ogra and the federal government to rationalise retail prices of the product throughout Pakistan.