LP Gas importers urge Govt. to up price to match global market surge

Local LP gas business has been severely affected due to non-increase the price of LP gas cylinder concurrently with the surge in gas prices in the world market, local LP gas sellers said.

Chairman of Laughs Gas PLC, W. K. H. Wegapitiya said the LP gas price has increased in the world market during the previous eight months and import costs were also on the rise due to the depreciation of the Rupee against the US$. As a result, the local LP gas business has been heavily affected, as his company incurring a loss of Rs. 300 million in the recent months.

Hence, he suggested that the price of a 12.5 kg domestic LP gas cylinder be increased at least by Rs. 750. He also said recently there was a shortage of LP gas in the local market due to importation limits resulting owing to continual losses, and if this situation continues further, I would have to reconsider continuing with this trade. 

The Consumer Affairs Authority (CAA) has not granted permission to increase the price of gas despite our constant requests since October, he added. 

The authorities do not allow us to manipulate the gas price formula and he  complained that the government unnecessarily controls the prices, even though the authorities had been enlightened of the critical situation the LP gas business is faced with. (Chaminda Munasinghe)