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Lahore
Thursday, January 16, 2025

Regulator Vows to Tackle LPG Price Hikes

ISLAMABAD: In response to consumer complaints, the Oil & Gas Regulatory Authority (Ogra) has initiated an investigation into the alleged overcharging of liquefied petroleum gas (LPG) by Sui Northern Gas Pipelines Ltd (SNGPL), a state-owned entity. The issue came to light after a report from the Consumer Rights Advocacy (CRA), a non-profit organization based in Islamabad, which raised concerns about the inflated prices of LPG sold by SNGPL.

According to the CRA, the price of an 11.8-kg LPG cylinder for January 2025 had been set at Rs2,953.36 as per Ogra’s notification dated December 31, 2024. However, SNGPL was found selling the same cylinder for Rs3,253, exceeding the maximum allowed price by Rs299.64. The CRA’s report included receipts from SNGPL, which it claimed were proof of this overcharge. The organization condemned the action, describing it as a blatant violation of the law and a form of exploitation.

The CRA expressed concerns over the apparent failure of public sector entities to adhere to regulatory guidelines, questioning the effectiveness of Ogra’s oversight. The report further suggested that such discrepancies undermine public trust in the government and its agencies.

Ogra Chairman Masroor Khan assured that a thorough investigation would be conducted in line with the authority’s standard operating procedures and legal framework. He promised corrective measures if the allegations were found to be true.

While a spokesperson for SNGPL declined to comment, an official from the company acknowledged the price difference but explained that the higher charges were due to transportation costs. The official argued that the prices were still below those set by private LPG suppliers, who charge significantly more, especially during the winter months.

The investigation is ongoing, and Ogra’s findings are awaited.

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