Business Desk 
Aug 01, 2025
In a significant step to provide relief, the Oil and Gas Regulatory Authority (OGRA) has announced a decrease in the price of the Liquefied Petroleum Gas (LPG) by over Rs17,000 per ton and over Rs17.73 per kg cylinder.
Notably, the LPG producer price is linked to the Saudi Aramco-CP and the US dollar exchange rate. As compared to the previous month, Saudi Aramco-CP has decreased by 9.8%.
According to the notification, the price of LPG is reduced by 7.6%, cutting the cost of an 11.8kg domestic cylinder by Rs209.24 following a decline in international prices.
For the consumer-end price, OGRA added Rs35,000 per ton in margins — comprising Rs17,000 for marketing, Rs10,000 for distribution, and Rs8,000 for transportation — along with 18pc GST of Rs6,300 per ton on these margins.
Ogra attributed the price reduction to a 9.8pc decline in Saudi Aramco-CP, offset slightly by a 0.38pc increase in the average exchange rate.
Previously, in June, OGRA announced a 50% hike in fixed gas charges for domestic consumers. The government increased the fixed charges for the protected category from Rs400 to Rs600, while those in the non-protected category will now pay Rs1,500, up from Rs1,000.
With the major drop in LPG prices, OGRA aims to ease inflationary pressure on consumers, especially households relying on LPG for cooking and heating needs.
