LPGDAP fears LPG crisis in winter season

Liquefied Petroleum Gas Distributors Association Pakistan (LPGDAP) Chairman Irfan Khokhar Tuesday feared crisis of LPG in the upcoming winter season after imposition of 5.5 per cent advance tax on import of the commodity.

“The LPG demand will increase in the coming winter season and we are afraid of the LPG shortfall which can lead to worst crisis in the country’s history,” he said while talking to APP.

Approximately, he said, there would be the need of 3,00,000 metric tons of the gas to meet demand of the commodity in the winter season from September to February.

During the season, the chairman said, the demand of LPG increased and supply shrunk rapidly, adding “We need approximately 50,000 to 60,000 metric tons of gas per month to maintain the supply chain.”

In last three years, he said the overall supply and availability of LPG remained smooth across the country due to effective policies of the Pakistan Muslim League-Nawaz (PML-N) government.

According to the data available on the website of Oil and Gas Regulatory Authority (OGRA), Khokhar said there was a huge import of LPG in last three years. “It is the highest import of gas in the history of Pakistan.”

The chairman said he had suggested the OGRA chairperson in writing to withdraw the advance tax on import of LPG permanently or just for six months as it would help import of sufficient fuel and its availability at prescribed rates.

“The LPG will be available at Rs 65 to 75 per kilogram (Rs 30 to 32 per liter) in the winter season,” he said.

He also underlined the need for devising a policy to set up a LPG dispenser at every Compress Natural Gas (CNG) station aimed at providing inexpensive fuel to the consumers.

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