LPG price reduced by taka 50 each cylinder

The price of private operators' liquefied petroleum gas (LPG) has declined by Tk50, from Tk1,228 to Tk1,178 per 12-kg cylinder with effect from 6pm today at the retail level, excluding the value added tax (VAT).

Bangladesh Energy Regulatory Commission (BERC) announced the new price at a press briefing on Monday.

As per the announcement, the prices for other quantities of the LPG will also go down in line with the new price at the same ratio.

The price of autogas for motor vehicles has also been cut down to Tk54.95 from the present price of Tk57.24 per litre.

Making the announcement, BERC Chairman Abdul Jalil said the price of retail LPG has witnessed the fall as the bulk LPG of Saudi contract price (CP) has declined globally.

"Saudi CP price has declined to $420 from the previous price of $765.75 per metric ton. Bangladesh's private LPG operators buy the bulk LPG on the basis of the Saudi CP," he told reporters at the virtual briefing.

The other members of the BERC were present on the occasion.

The BERC chairman said the price of the state-owned LP Gas Company's LPG will remain unchanged as it has no relation with the global market price.

According to industry insiders, the Saudi CP is normally announced at the end of every month to make it effective for the next month, and it takes 7-10 days for a shipment of the fuel to arrive in the country.

Most Bangladeshi private companies import their bulk LPG from the Middle East on the basis of Saudi CP and market it locally.

Responding to a question, the BERC chairman said the Commission will take initiatives to install an electronic dashboard at retail LPG outlets to ensure the sale of the products at the proper rate to be fixed by the BERC.

The BERC for the first time fixed the retail-level LPG price on April 12 after holding a public hearing to comply with a High Court order.

The previous price was announced on 2 December where the price of private operators' LPG had been cut by Tk85 to Tk1228 per 12-kg container from Tk1313 with effect from 6am Friday (3 Dec) at the retail level.