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The Bangladesh Energy Regulatory Commission (BERC) has reduced the retail price of the widely used 12-kg liquefied petroleum gas (LPG) cylinder by Tk 29, setting the new rate at Tk 1,241 for October, down from Tk 1,270 in September.
In a parallel move, the pump price of auto-gas-LPG used in vehicles-was cut by Tk 1.51 per litre to Tk 56.77, compared to Tk 58.15 last month. The revised rates took effect on Tuesday.
This marks the sixth consecutive month of LPG price reductions, driven by a sustained decline in global oil and gas prices. BERC Chairman Jalal Ahmed announced the changes during a press briefing at the commission's office in the IEB building.
The commission's pricing model factors in the Saudi Aramco contract price (CP) for propane and butane-USD 495 and USD 475 per tonne respectively for October-alongside exchange rate fluctuations and VAT adjustments.
Based on a 35:65 propane-butane mix, the calculated price stands at USD 482 per tonne.
Since April 2021, BERC has been setting monthly LPG prices for private operators. In October, consumers will see proportionate price adjustments across various cylinder sizes ranging from 5.5 kg to 45 kg.
LPG supplied via reticulated or centralized systems has also been reduced to Tk 221.40 per cubic metre, down from Tk 226.90.
However, the price of state-owned LP Gas's 12.5-kg cylinder remains unchanged at Tk 825.
Currently, 27 licensed operators are active in the market, with 26 importing approximately 1.10 million tonnes of LPG annually-covering 98 per cent of national demand. The sector supports around 35 million cylinders in circulation and employs 200 road tankers, 5,000 trucks, and 21 cargo vessels nationwide.
Azizjst@yahoo.com