Consumers will have to buy liquefied petroleum gas (LPG) at a higher price from August 1 as the energy regulator on Thursday re-fixed its retail price, supplied by private companies.
The Bangladesh Energy Regulatory Commission (BERC) has refixed the 12-kg LPG of private companies at Tk 993, up by Tk 102 from the current price of Tk 891. The LPG price is set to go higher for the second consecutive month.
Similarly, the higher prices will be rationally applicable for the LPG of other quantity containers up to 45 kg from 5.5 kg.
The BERC announced the new price of LPG adjusting with Saudi Contract Price (CP) on the basis that the local LPG operators import the bulk petroleum gas from the Middle East.
However, the price of LPG of the state-owned LP Gas Company Ltd will remain the same at Tk 591 for 12.5 kg LPG as it sells products from condensates produced in local gas fields and has no relation with Saudi CP.
Some 20 private companies dominate the local LPG market with more than 95 per cent market share through an annual import of 1.2 million metric tons while the LP Gas Company supplies only 25,000 mts.
LPG to cost more from Aug 1 as regulator refixes retail price
Based on the Saudi CP, the BERC also re-fixed the price of the auto gas price at a higher rate of Tk 48.71 per litre against the existing price of 44.
BERC Md Abdul Jalil announced the new LPG price through a virtual briefing while other members of the commission were present online.
Usually, Armaco, the largest company of Saudi Arabia, announces its CP for bulk LPG at the concluding state of every month for the next month’s transactions.
Most of Bangladeshi private companies import their bulk LPG from the Middle East on the basis of Saudi CP and market it locally.
The BERC for the first time fixed the retail-level LPG price on April 12 after holding a public hearing to comply with a High Court order.
Source: United News of Bangladesh