12kg LPG container now costs Tk1,254

Despite falling prices on global markets, the government has raised the cost of liquefied petroleum (LPG) gas due to the taka's depreciation against the dollar.

The price of LPG has increased by Tk 1 per kg effective from 6pm on Sunday.

From now on, 12kg containers will be sold at Tk 1,254 instead of Tk 1,242, the Bangladesh Energy Regulatory Commission (BERC) confirmed at a virtual briefing on Sunday.

According to BERC Chairman Abdul Jalil, other LPG containers with capacities between 5 and 45 kilograms will also be sold based on the new price.

As per the announcement, the price of autogas for motor vehicles has been increased to Tk58.46 per litre from the earlier Tk57.91 per litre.

Abdul Jalil said, though the price of LPG has come down on the international market, the price has increased locally due to the taka’s depreciation against the dollar.

Saudi Arabia’s state oil giant Aramco had set its June contract price (CP) for the mixture of propane and butane at $750 a tonne, which fell to $725 in July.

Bangladeshi private LPG operators mainly import the gas from the Middle East market based on Saudi CP.

BERC Chairman Md Abdul Jalil said that the taka dipped in its value over the last month and the authorities hiked the price after considering the matter. “The price has increased by only Tk 1 per kg,” he said. Last month the dollar price was Tk85 while this month it was calculated at Tk93.50.

The LPG price had gone up to the highest Tk1,439 (12kg) in the local market following the start of the Russia-Ukraine war in February this year.

The LPG price was lowest at Tk1,225 for 12kg in January this year and it witnessed a continuous hike in price in February, March and April.

The BERC, for the first time, fixed the retail-level LPG prices on April 12 after holding a public hearing to comply with a High Court order.