12kg LPG cylinder price slashed by Tk357 in July

The Bangladesh Energy Regulatory Commission (BERC) on Thursday reduced the prices of liquefied petroleum gas (LPG) and auto gas, lowering the retail price of a 12-kilogramme cylinder by Tk357 and auto gas by Tk16.53 per litre, amid a decline in international prices.

Under the revised rates, a 12kg LPG cylinder will now be sold at Tk1,528, down from Tk1,885, while the retail price of auto gas has been reduced to Tk70.40 per litre from Tk86.93.

BERC Chairman Jalal Ahmed announced the new prices, saying the revised rates will come into effect from 6pm.

He also noted that these rates must be implemented by all licensed LPG marketing companies.

According to the BERC announcement, the retail price of LPG has been fixed at Tk123.55 per kg, down from Tk153.31, inclusive of VAT, for privately marketed LPG. The commission also reduced the price of LPG supplied through privately owned reticulated gas systems to Tk274.50 per cubic metre from Tk340.70.

As per the BERC decision, the retail prices of privately marketed LPG cylinders have been revised as follows: Tk1,591 for a 12.5kg cylinder, Tk1,910 for 15kg, Tk2,037 for 16kg, Tk2,291 for 18kg, Tk2,546 for 20kg, Tk2,801 for 22kg, Tk3,183 for 25kg, Tk3,819 for 30kg, Tk4,201 for 33kg, Tk4,456 for 35kg, and Tk5,729 for a 45kg cylinder.

In a separate notification, BERC said the National Board of Revenue (NBR) has withdrawn Value Added Tax (VAT) at the LPG production stage and imposed VAT at the import stage.

The BERC has been fixing LPG prices on a monthly basis since April 2021, through the Saudi Contract Price (CP) announced by Saudi Aramco as the benchmark for propane and butane, the two main components of LPG.

It also takes into account the average exchange rate based on import invoices submitted by LPG operators.