Pakistans LPG crisis deepens as prices hit Rs750 per kg, exposing regulatory failure

The surge has raised concerns over unchecked profiteering and the governments failure to ensure affordable fuel supplies, as reported by The Express Tribune.

According to The Express Tribune, the crisis has worsened over the past five to six days amid declining LPG supplies, reportedly linked to the closure of the Taftan border following tensions between Iran and the United States. A senior official of the Oil and Gas Regulatory Authority (OGRA) stated that Pakistan relies on imports for nearly 70 per cent of its LPG requirements, while domestic production accounts for the remaining 30 per cent.

Despite OGRA fixing the official LPG price at Rs279.34 per kilogram for the current month, consumers in several markets are paying between Rs550 and Rs600. Prices in Peshawar have reached approximately Rs600 per kilogram, while some northern areas of K-P have reported rates as high as Rs750.

The regulator has yet to initiate its proposed crackdown against companies and sellers accused of overcharging consumers. Officials reportedly fear that enforcement measures could provoke strikes, interrupt distribution and further worsen the country's energy shortages. An OGRA official stated that prices could rise beyond Rs700 per kilogram in affected markets if supply disruptions intensify.

An OGRA spokesperson acknowledged that the Taftan border closure had created supply challenges but said efforts were under way to stabilise the situation. The spokesperson expressed optimism that the crisis would be brought under control soon, as cited by The Express Tribune.

The escalating costs have disproportionately affected low-income families, particularly in K-P, where natural gas shortages have compounded the problem. Residents in rural areas and settlements around Peshawar are increasingly relying on firewood as LPG becomes unaffordable and natural gas remains scarce, as reported by The Express Tribune. (ANI)