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Archive for the ‘LPG’ Category

Autogas – OGRA Opposes LPGAS Proposal

September 18th, 2010

The LPG Marketing companies, dealer and equipment manufactures/suppliers are striving hard to bring the autogas stations and provide alternative fuel for vehicles in the country. For the same, the LPG Association of Pakistan’s (LPGAP) proposed for allowing installation in resedential areas following the NFPA-58 regulations which the authority Oil and Gas Regulatory Authority (Ogra) has put down. Business Recoder report gives the details.

According to documents available with Business Recorder, the Authority’s rationale is that in a country like Pakistan appropriate locations of LPG dispensing stations is all the more important due to high population densities, poor traffic conditions, dismal public awareness towards safety and weak emergency response at local level. Authority said that National Fire Protection Association (NFPA-58), an International Code and Standards Organisation, provided guidelines on safety at LPG dispensing stations which do not adequately cover the safety requirements for areas around dispensing stations.

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Auto-Gas, LPG, OGRA, Pakistan , , , , , ,

LPG Price Hike – OGRA

September 14th, 2010

The Oil and Gas Regulatory Authority (Ogra) has increased the price of Liquefied Petroleum Gas (LPG) by Rs 6 per kg, domestic cylinder by Rs 71 and commercial by Rs 273, Irfan Khokhar, Chairman LPG Distributors Association of Pakistan said in a statement on Wednesday.

He said according to the notification issued by Ogra the new price of gas for domestic users in Karachi would be Rs 85 per kg and in Lahore and Gujranwala Rs 105 per kg. While in Rawalpindi, Islamabad, Bahawalpur, Multan, Rahimyar Khan, Sargodha, Mandi Bahauddin, Sadiqabad, Hyderabad, Jhang, Jhelum, Mianwali the price will be Rs 115 kg and the overall price of a domestic cylinder in these cities will now be Rs 1307. In Azad Kashmir, Swat and Gilgit the new price will be Rs 120 per kg and the domestic cylinder in these areas will now be available at Rs 1366.

via Business Recorder

LPG, OGRA , ,

LPG Prices Fixed – OGRA Warns Manipulators

August 30th, 2010

In our last post, we highlighted the lack of control of OGRA over the LPG price dynamics. Now, OGRA has taken notice of the situation and have warned all LPG marketing companies to refrain from overcharging practices and follows the authority fixed prices. This dawn news report gives the details:

Oil and Gas Regulatory Authority on Friday fixed the maximum consumer price for liquefied petroleum at Rs95 per kg and issued stern warning to LPG marketing companies involved in price manipulation.

The authority fixed the maximum reasonable consumer price of locally produced LPG at Rs80 per kg and for imported LPG at Rs95 per kg. It also determined the price for mix of local and imported LPG at Rs82.71 kg.

The prices are applicable for all the urban and rural areas of the country except AJK, Fata and Gilgit-Baltistan where additional Rs30 for an 11.8-kg cylinder may be added to each type of LPG due to higher transportation cost.

Taking advantage of the leniency of the regulator, the LPG marketing companies and LPG distributors are selling the fuel at exorbitant rates up to Rs135 per kg in some parts of the country.

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Gas, LPG, OGRA, Pakistan , , ,

OGRA’s Fail Control of LPG Prices Irks Petroleum Ministry

August 25th, 2010

The unjustified LPG price hike is now in notice of the Ministry of Petroleum and Minerals and they have question OGRA (the regulatory) authority on its failure to control the price in the domestic market. The report from Business Recorder gives the details.

Ministry of Petroleum and Natural Resources has expressed serious reservations over the failure of Oil and Gas Regulatory Authority (Ogra) in playing its due role for controlling LPG prices in the domestic market. Sources revealed to the Business Recorder that the Ministry in a strongly worded letter to Ogra has directed the authority to play its due role and take action against LPG marketing companies that are involved in inflate increase in LPG prices.

According to existing LPG policy, LPG companies are allowed to charge LPG prices that do not exceed the Saudi Aramco Contract Price (CP). “But Ogra has let LPG marketing companies raise the gas price many times during the month of Ramzan,” they said. Petroleum Ministry officials said that delay by Ogra in taking action against LPG marketing companies had raised questions about its role. The role of Ministry of Petroleum is to formulate policies whereas Ogra is a regulator and its responsibility is to ensure a price that does not exceed CP.

When contacted, Executive Director (Operations) Ogra, Sarmad Aslam confirmed that Ogra had received a letter from Ministry of Petroleum and would give its response soon. He said that due to closure of Parco refinery, country was facing LPG shortfall leading to a hike in its price. He maintained that Parco would take around 6-7 days to resume operation. He claimed that Authority had started action against undue hike in LPG prices from the weekend just past.

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Consumers, LPG, OGRA, Pakistan, Policy , ,

LPG – Unjustified Price Rise By Rs 6/kg

July 4th, 2010

LPG, the domestic gas used by people in remote areas and when mixed with air (SNG) used by industries for Natural Gas back-up is facing an unjustified price hike during the last month. The Express Tribune reports the details as follows:

Despite the decrease in the Liquefied Petroleum Gas (LPG) prices in the international market, the LPG producers on Saturday increased prices by Rs6 per kilogramme and now LPG is available for Rs69 per kg, industry sources said.

The prices of LPG in the international market decreased Rs4 per kg but the local producers increased the price by Rs6 per kg, said LPG Distributors Association Chairman, Irfan Khokhar.

He said that Jamshoro Joint Venture Ltd (JJVL) is the major producer of LPG in Pakistan and it has increased the prices, compelling other producers to increase the prices.

He said it was the second consecutive increase in the last one month, and the industry, due to the unjust increase, has earned Rs150 million.

“The government should take it seriously and provide relief to the people,” he said.

LPG, Natural Gas, SNG , , , ,

PSO and Petrosin into Litigation Over The Auto-Gas Station Deals

July 3rd, 2010

Pakistan State Oil (PSO) and Petrosin, a Singapore-based company, have entered into a legal battle over scrapping of Rs 10 billion LPG sale contract between the two parties, as the latter has got a stay order from Lahore High Court Rawalpindi Bench, Business Recorder has learnt.

Pakistan State Oil (PSO) Board of Management (BoM) had rescinded its earlier decision of awarding a contract to Petrosin in last week of April for setting up 400 LPG auto-gas stations across the country. The sources said the PSO’s board had earlier approved the deal through a majority vote with Petrosin.

The PSO’s BoM recently gave the go ahead to the management to invite parties for prequalification to participate in the project of LPG supply to the entire net of the autostations. According to sources, Rawalpindi Bench of LHC has issued stay order directing PSO not to proceed with the process of LPG deal as per advertisement given in newspapers seeking parties for pre-qualification till the final verdict of the court. Sources said that the court would resume hearing of the case today (Friday).
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