LPG industry threatens to go on strike

Representatives from Pakistan’s LPG industry have warned of a nationwide strike if the government fails to address their concerns within three days, following an industry conference held in Lahore.

 

The All Pakistan LPG Industry Conference, chaired by industry leader Haji Nouman Ahmed, brought together importers, marketing companies, distributors, transporters, and plant owners to discuss rising LPG prices, supply challenges, and regulatory issues.

 

Industry participants accused OGRA and other regulatory authorities of contributing to the current price surge and supply disruptions. They argued that OGRA’s pricing notifications only cover locally produced LPG while overlooking the costs associated with imported LPG, transportation, and market demand.

 

Stakeholders also called for action against manufacturers and distributors of substandard LPG cylinders, citing public safety concerns.

 

Representatives of LPG transporters said imported LPG is transported from locations as far as 3,300 kilometers in Iran, but the freight rates approved by OGRA do not reflect actual transportation costs. They also raised concerns over alleged harassment of transporters and increasing security risks, particularly in Balochistan, where attacks on LPG bowsers have reportedly caused losses of up to Rs1.5 billion.

 

Industry leaders further claimed that outdated freight rates and dealer margins were contributing to pricing issues, urging the government to revise the existing framework.

 

Participants expressed concern that security challenges had pushed retail LPG prices above Rs500 per kilogram, compared with an estimated fair market price of around Rs250 per kilogram.

 

The conference approved a Charter of Demands and established an Industry Coordination Committee to present its recommendations to the relevant ministries.

 

Industry representatives warned that if their demands are not addressed within three days, LPG plants, retail outlets, and transportation services across the country will suspend operations and launch nationwide protests. They vowed to continue collective action until issues related to pricing, security, and regulatory policies are resolved.