LAHORE: Despite a significant reduction in the officially notified price of liquefied petroleum gas (LPG), consumers across Punjab continue to pay nearly double the regulated rate, exposing serious gaps in enforcement and raising questions over the effectiveness of the country’s LPG pricing mechanism.
Effective July 1, the Oil and Gas Regulatory Authority (Ogra) reduced the consumer price of LPG by Rs67.33 per kilogram, fixing the official rate at Rs241.43 per kg. The regulator also lowered the price of an 11.8kg domestic cylinder by Rs794.05, setting the new price at Rs2,848.91, following a decline in international LPG prices.
However, reports from Lahore, Multan, Muzaffargarh and other parts of Punjab indicate that retailers continue to sell LPG at Rs480 to Rs550 per kg, while an 11kg cylinder is being sold for around Rs6,000, more than double the official price.
Consumers accused retailers of openly ignoring Ogra’s notified rates. Muhammad Irfan, a resident of Alipur in Muzaffargarh district, claimed that shopkeepers were charging Rs550 per kg and, in some cases, even closed their outlets when customers demanded LPG at the official price. He alleged that complaints submitted to the local administration had produced no visible action.
Similar concerns were raised by consumers in Multan and Lahore, where residents questioned the role of the regulator in ensuring compliance. Many argued that the official price notifications have little practical value when LPG is unavailable at the prescribed rates and complaint mechanisms remain ineffective.
LPG retailers, however, blamed the supply chain for the inflated prices. A retailer in Multan said dealers themselves were supplying LPG at around Rs480 per kg, leaving retailers with little choice but to sell at higher prices after accounting for transportation and operating costs.
Meanwhile, Punjab authorities maintained that enforcement operations against profiteering were continuing. The Food Safety and Consumer Protection Department (FSCPD) and price control magistrates carried out 70,339 inspections across the province on July 1, detecting 3,534 cases of overcharging and 313 violations related to the non-display of official price lists. Authorities imposed fines totaling Rs3.79 million, registered six FIRs, and arrested 161 violators.
Separately, the Punjab Enforcement and Regulatory Authority (PERA) conducted 14,577 inspections, identifying 520 overcharging cases, imposing Rs2.63 million in fines, arresting 19 individuals, and sealing 35 business premises.
Despite these enforcement efforts, consumers questioned why LPG retailers appeared to have escaped meaningful action while openly selling the fuel at prices far above those notified by Ogra. They urged the federal regulator and provincial authorities to investigate the entire LPG supply chain and ensure that official prices are effectively implemented, providing consumers with the relief promised through government notifications.
Story by Imran Gabol
