ISLAMABAD - After more than 10 percent increase in POL products prices the government Thursday increased the prices of LPG and set Rs 1332.48 per 11.8 Kg cylinder for the end consumers.

A notification issued by Ogra stated that in exercise of the powers conferred by section 6(2)(r) of Ogra Ordinance 202(XVII of 202) read with Rule 18(1) of LPG (Production &Distribution) Rules,2001, the Ogra hereby notified in respect of indigenous LPG, maximum producers prices, margin of marketing and distribution companies and consumer price as conveyed by the Ministry of Energy(Petroleum Division) vide letter No.LPG-6(11)/2017-policy dated 30th January 2018 and letter No.LPG-6(1)/2018-Policy dated 1st February,2018.

Producers Price (Including excise Duty of Rs 85/M.Ton) (Excluding Petroleum Levy) Propane 40percent and Buttane 60 percent. 56845.37 per Metric Ton (MT).

The producer price of 11.8 Kg cylinder is Rs 670.78, Marketing/Distribution Margin Rs 35000.00 per MT and Rs 413 per 11.8 Kg cylinder, a Petroleum Levy Rs 4669 per MT will be also charged which will be Rs 55.09 for 11.8 Kg cylinder.

GST imposition the consumer Price (Ex-GST) (A+B+C) will be Rs 96,514.37 per MT and the 11.8 Kg cylinder price is Rs 1138.87. GST of Rs 16407.44 will be imposed on per MT of LPG and Rs 193.61 for 11.8 Kg cylinder.

It merits a mention that last year as against the petroleum ministry recommended prices of Rs1,100 per 11.8kg LPG cylinder , the Oil and Gas Regulatory Authority (Ogra) determined the prices of LPG will be Rs910 per cylinder .

However a summary moved to the Ministry of Finance by the Petroleum division on November 2, 2017, secretary petroleum has proposed levying Rs 4669 regulatory duty on per MT of imported LPG . The summary further said that to meet the revenue collection target of Rs 2 billion set out as petroleum levy on LPG for FY 2017-18 by Finance Division, this ministry, as mandated by Petroleum Ordinance 1961, was in the process of imposition of levy on locally produced/extracted LPG at the rate of Rs 4669/per MT under the law wef November 1, 2017.

When contacted, Ogra official informed The Nation that the prices set by the government and the regulatory body has nothing to do with the price determination. However he said that the price per cylinder is very high from the Ogra earlier recommended price.