LPG auction results held back amid legal, policy hurdles
• Retail prices may rise by about 15pc if auction costs are passed on • Govt says signature bonus burden should not be transferred to consumers ISLAMABAD: Amid legal challenges and political pressure, the Petroleum Division has held back for more than a week the results of bidding for the sale of locally produced liquefied petroleum gas (LPG), which is estimated to result in a 15 per cent…
Islamabad: Legal challenges and political pressure have prevented the Petroleum Division from releasing auction results for locally produced liquefied petroleum gas (LPG) that could raise retail prices by around 15 per cent as winter approaches. On August 10, the three main state-owned LPG producers in Pakistan, via auctions, offered a combined Rs205 million for a three-year supply.
Each lot consists of five tonnes daily and serves roughly 425 households per day. However, the bidding process was met with challenges from some LPG stakeholders who believe existing policies do not allow for such arrangements. These producers are now awaiting further instructions on how to use the auction proceeds, which could amount to billions, but no clear guidelines have been provided yet.
Written by urgent.news from Dawn Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
