ISLAMABAD, May 3: The Oil and Gas Regulatory Authority (OGRA) on Thursday increased the indicative price of liquefied petroleum gas by six per cent with immediate effect.

In a notification to all LPG marketing companies, Ogra said the Saudi Aramco prices of propane and butane -- two components of LPG -- had increased by 4.74 per cent and 7.7 per cent respectively. As a result, the LPG base stock (indicative) price has been increased from Rs30,716 per ton to Rs32,723 per ton.

The increase has come despite a reduction in local demand in recent months owing to rise in temperatures. The LPG base stock price has gone up by 10 per cent since January 3 this year.

Meanwhile, a statement issued by the LPG Distributors’ Association said that practically LPG price had been increased by Rs2,307 per ton or Rs2.50 per kg, which was unjustified.