Public hearing on LPG pricing postponed

Bangladesh Energy Regulatory Commission (BERC) has postponed its proposed public hearing on LPG price fixing scheduled for July 7-8.

Dhaka, Jul 3 : Bangladesh Energy Regulatory Commission (BERC) has postponed its proposed public hearing on liquified petroleum gas (LPG) price fixing scheduled for July 7-8.
According to a BERC public notice, the hearing was suspended in compliance with the government’s directives against the backdrop of the countrywide strict lockdown that began on July 1.
The commission will announce a fresh date for the public hearing later, a BERC notice said.
The energy regulator had announced the scheduled public hearing responding to the appeal of the LPG operators, who oppose the present pricing formula for LPG.
The BERC held its last public hearing on LPG price fixing in January this year, and first fixed the price on April 12 after that, complying with a court order.
The LPG operators in private sector have been alleging that many of their cost components were not considered by the energy regulator while announcing the price.
As a result, their businesses have seen a huge financial loss, said Azam Chowdhury, president of LPG Operators Association of Bangladesh (LOAB), a representative body of the operators.
The operators, which include LPG cylinder manufacturers, bottling plant owners, importers, and traders, demanded addition of Tk 224 for a 12-kg LPG cylinder as costs of the operators while fixing the new retail price of LPG by the BERC.
The LPG businesses, having a size worth around Tk 300 billion, are at stake as the consequence, they said.
A 12kg LPG, being provided by private operators, is Tk 891 for July trading, as per the BERC’s latest order. The price was Tk 842 per for June trading, Tk 906 for May trading and Tk 975 for April trading, as fixed by the BERC.
However, most of the consumers in Dhaka were buying a 12kg LPG cylinder at a price ranging between Tk 1,000 and Tk 1,100 over the past three months, traders said, reports UNB.