LPG Being Sold at Nearly Double the Official Rate Across Pakistan, Consumers Face Massive Overcharging

Islamabad: Domestic consumers across Pakistan are reportedly facing severe overcharging on Liquefied Petroleum Gas (LPG), with market prices reaching nearly double the official rate set by the regulator, placing a significant financial burden on households nationwide.

According to reports, the Oil and Gas Regulatory Authority (OGRA) fixed the official LPG price for June at Rs309 per kilogram. However, consumers in many parts of the country are allegedly being charged more than Rs600 per kilogram, resulting in an additional burden of around Rs300 per kilogram.

Industry sources estimate that Pakistan’s daily LPG consumption exceeds six million kilograms. Based on the reported overcharging, consumers are collectively paying approximately Rs1.8 billion extra every day.

Sources within the LPG sector claim that fears of supply shortages have been exploited by wholesalers, leading to sharp and unchecked increases in retail prices. As a result, consumers are estimated to have paid between Rs60 billion and Rs70 billion in excess charges over time.

The issue has also drawn criticism from former federal minister Fawad Chaudhry, who questioned the government’s energy policies amid rising costs for consumers.

Commenting on the situation, Fawad Chaudhry said that despite a significant decline in global gas prices, consumers in Pakistan have not benefited from lower domestic energy costs. He argued that instead of relying on heavy taxation of gas and petroleum products to generate revenue, the government should reduce energy prices to support economic growth.

According to him, lower energy costs would help revive the industrial and agricultural sectors, leading to increased economic activity, higher tax revenues, and greater employment opportunities.

The reported disparity between official and market LPG prices has renewed concerns about market regulation, enforcement of price controls, and the impact of rising energy costs on households already struggling with inflation.

Consumers and industry observers have called for stronger regulatory action to ensure compliance with official pricing mechanisms and to prevent excessive profiteering in the LPG market.