Pakistan’s committee overseeing auctions of domestic liquefied petroleum gas held its first meeting and set a daily allocation cap of 20 tonnes per company. The cabinet-approved framework reserves 10 per cent of production for state marketers serving remote areas and places 90 per cent in auctions. Authorities aim to improve distribution ahead of winter demand.
Pakistan’s committee overseeing auctions of domestic liquefied petroleum gas, or LPG, held its first meeting on 7 November. Chaired by the petroleum secretary, it set a daily allocation limit of 20 tonnes for each participating company. The petroleum ministry said the limit was intended to give smaller firms an opportunity to compete. The meeting addressed implementation of the new sales framework.[1], [2]
The cabinet approved the framework on 4 November. It reserves 10 per cent of domestic production for state-owned marketing companies serving remote and underserved areas. The other 90 per cent will be sold through public auctions with media representatives present. LPG is used for cooking and heating, particularly by low-income households without access to piped natural gas. Demand for heating is expected to rise during winter.[1]
The committee will monitor daily LPG production and submit the figures to the prime minister. It will oversee domestic auctions, review market supply arrangements and periodically assess prices and bidding mechanisms. Its membership includes the oil and gas regulator and major energy companies. Petroleum Minister Ali Pervaiz Malik said the initiative aimed to address consumers’ difficulty obtaining affordable fuel and to make domestic distribution more equitable.[1]
