Regulator cuts LPG price by 7.6pc for Aug

Published
0

ISLAMABAD: The Oil and Gas Regulatory Authority (Ogra) on Thursday notified a 7.6 prt cent reduction in the price of Liquefied Petroleum Gas (LPG) for August, cutting the cost of an 11.8kg domestic cylinder by Rs209.24 following a decline in international prices.

According to a notification, the price of LPG has been set at Rs215.37 per kg for August, down from Rs233.10 in July — a decrease of Rs17.73 per kg. Consequently, the price of an 11.8kg domestic cylinder has been fixed at Rs2,541.36, compared to Rs2,750.60 last month. The price of a 45.4kg commercial cylinder has also been reduced by Rs805 to Rs9,778, from Rs10,583 in July.

Ogra’s pricing formula shows that the producer price for LPG (comprising 40pc propane and 60pc butane) has been calculated at Rs142,847.32 per tonne for August, down from Rs157,875 per tonne in July. This figure includes an excise duty of Rs85 per tonne, translating to a producer price of Rs2,054 per 11.8kg cylinder, compared to Rs2,263 in July.

After adding a petroleum levy of Rs4,669 per tonne and 18pc GST amounting to Rs26,552.94, the maximum producer price reached Rs174,069.26 per tonne, down from Rs191,802 last month. This brings the maximum producer price for an 11.8kg cylinder to Rs2,541.36 for August.

For the consumer-end price, Ogra added Rs35,000 per tonne in margins — comprising Rs17,000 for marketing, Rs10,000 for distribution, and Rs8,000 for transportation — along with 18pc GST of Rs6,300 per tonne on these margins. The final consumer price has been fixed at Rs215,369.26 per tonne, or Rs2,541.36 per 11.8kg domestic cylinder, for August. This compares with Rs233,102 per tonne, or Rs2,750.60 per cylinder, in July. The notified prices will remain effective until Aug 31.Ogra attributed the price reduction to a 9.8pc decline in Saudi Aramco’s Contract Price (CP), offset slightly by a 0.38pc increase in the average exchange rate. Overall, the changes have resulted in a Rs209.24 drop in the price of an 11.8kg LPG cylinder and a Rs17.73 per kg reduction for consumers.

Published in Dawn, Aug 1st, 2025

Follow Dawn Business on X, LinkedIn, Instagram and Facebook for insights on business, finance and tech from Pakistan and across the world.

Opinion

Editorial

Fixing bond markets
Updated 01 Oct, 2026

Fixing bond markets

Pension funds, insurance companies, mutual funds, retail investors, and eventually, foreign investors must become bigger participants in the market.
Call centre rackets
01 Oct, 2026

Call centre rackets

A NUMBER of recent raids conducted by the authorities in different cities point to the growing threat fraudulent ...
Homeward bound
01 Oct, 2026

Homeward bound

FIVE months after Somali pirates captured an oil tanker carrying a 19-member multinational crew, Somali maritime...
Kashmir unresolved
Updated 30 Sep, 2026

Kashmir unresolved

The just solution lies in India addressing the issue through a trilateral dialogue involving the legitimate representatives of the Kashmiri people and Pakistan.
Water shortage
30 Sep, 2026

Water shortage

THAT the country is entering the Rabi season with an anticipated water shortage of nearly 25pc, the lowest carryover...
Young hearts
30 Sep, 2026

Young hearts

THE observance may have passed, but the message of World Heart Day should not fade with it. The occasion is a useful...