LPG crisis worries as supply are disrupted by closures of the Iran-Gulf border

There are now more concerns about a possible liquefied petroleum gas (LPG) crisis in Pakistan due to the current Middle East conflict and the reported closing of borders between Iran and Gulf nations.

Prolonged hostilities might seriously hamper LPG supplies, resulting in a catastrophic shortage, according to sources. The market is more unpredictable because the Oil and Gas Regulatory Authority (OGRA) has not yet released the March LPG prices.

The Lahore region alone uses between 1,400 and 1,500 metric tons of LPG every day, while the country as a whole uses up to 7,000 metric tons.

The nation is largely dependent on imports to make up the difference, as local output is only about 2,000 to 2,200 metric tons per day.

Although private sector storage capacity permits lengthier reserves, officials stated that the government normally keeps an official stock adequate for three to four days.

According to market sources, certain people in the LPG industry have already started taking advantage of the situation.

LPG is apparently being sold in Lahore for between Rs300 and Rs320 per kilogram, despite the official price for February being set at Rs226 per kilogram.

Irfan Khokhar, chairman of the LPG Industries Association, warned that a wider energy crisis could be brought on by the changing military situation.

In light of regional uncertainty, industry stakeholders have demanded prompt regulatory action to guarantee steady supply and shield consumers from price manipulation.