LPG Distributors to Go On Strike On December 9 – Research Snipers

LPG Distributors to Go On Strike On December 9

For December 9, a strike call has been given by the LPG distributors because of the recent rise in the price of LPG by rupees ten per kg for the cylinders used for both the domestic and commercial uses along with the imposition of regulatory duty and petroleum tax.

The ECC (Economic Coordination Committee) of the Cabinet agreed on the regulatory duty applied on the imported LPG for matching the prices with the locally produced LPG.

Which means that the LPG users would have to purchase the local LPG at the imported rates because of which the rickshaw drivers and the poor consumers of LPG would be suffering majorly.

Daily usage of LPG during winters rises to 4500MT and the remaining needed gap is filled with the imported LPG with 2500MT on an everyday basis. There are as many as one hundred and forty-four LPG marketing firms out of which 30 companies have local LPG quota and the remaining one hundred and fourteen depends on imported LPG.

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The regulatory duty imposed on LPG would be destroying its industry after which the LPG price would reach up to rupees three hundred.

The LPG policy of the Petroleum Sector of providing LPG cylinders to the domestic users at the cost of rupees eight hundred and ninety-five failed badly.

Petroleum Division official informed that all the stakeholders were included in the decision relating regulatory duty and petroleum tax prior to the notification and they all mutually agreed on the decision taken by the government.

Irfan Khokar—Chairman-LPG Distributors Association Pakistan said after the application of regulatory duty the commercial cylinder would face price increase by rupees four hundred and the domestic cylinder would be having a price rise by rupees hundred. He added that more rise in the prices is expected in the upcoming days. He said that the regulatory tax on the locally made LPG was supposed to end the difference between the LPG prices of local and imported LPG which would result in low LPG consumer prices.

After the regulatory tax is imposed the LPG users would have to purchase the locally produced LPG at imported LPG rates.

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