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DHAKA: The Bangladesh Energy Regulatory Commission (BERC) has raised the price of liquefied petroleum gas (LPG), increasing the price of a 12kg cylinder by Tk 252 to Tk 1,837.
BERC announced the new price for October on Sunday afternoon. The revised price will come into effect from Sunday.
In September, the price of a 12kg LPG cylinder was reduced by Tk 13 to Tk 1,585. Before that, it was Tk 1,598.
Meanwhile, reports by two intelligence agencies have alleged that several LPG operators are attempting to create an artificial shortage in the market to make higher profits. After the agencies informed the top level of the government, the energy minister held a meeting with the LPG Operators Association of Bangladesh (LOTAB) on Saturday. The issue of LPG stocks was discussed at the meeting, which was attended by the commerce minister at the Secretariat.
Citing data from various agencies and the National Board of Revenue (NBR), officials said sufficient LPG had been imported to meet domestic demand and questioned why there was a shortage and why consumers were being charged higher prices. LOTAB leaders denied the allegations, saying that a significant price increase could help stabilise the market as LPG prices have risen sharply in the international market.
A severe LPG shortage has reportedly persisted since September 22. A 12kg cylinder priced at Tk 1,585 was reportedly being sold for as much as Tk 2,500. Import costs have risen somewhat due to the war in the Middle East and higher shipping costs in the global market.
Taking advantage of the situation, many operators have allegedly stockpiled LPG. According to information from government intelligence agencies, some operators stored LPG in their tankers in advance, while others kept LPG-loaded vessels near the Bay of Bengal before September 30.
The latest price hike comes amid the ongoing shortage in the LPG market.
