No LP Gas price hike | Daily News
Cabinet Sub-Committee decides

No LP Gas price hike

Gas companies’ demand rejected
COL, pandemic reasons for decision
Ample stocks in market

The Cabinet Sub-Committee appointed to evaluate Liquefied Petroleum (LP) Gas prices has decided that there should be no increase in the prices of domestic LPG cylinders, Sub-Committee Member and Environment Minister Mahinda Amaraweera said.

Minister Amaraweera said that the decision was taken when the Ministerial Sub–Committee met yesterday to decide on the demands made by the two gas companies (Litro and Laugfs) to increase the price of a 12.5 Kg domestic gas cylinder.

Accordingly, the Minister said that the price of a domestic gas cylinder will not be increased at the moment considering the current Cost of Living and pandemic situation in the country.

“As we all know, the public is undergoing a crucial period amidst the COVID-19 pandemic and various restrictions. Therefore, as a Government that is sensitive towards the issues of the people, currently we will not be increasing the price of a domestic gas cylinder despite the persistent demands of the two LP Gas companies,” the Minister told the Daily News.

Moreover, he said the Government has intervened to import LP Gas through the Ceylon Petroleum Corporation (CPC). He added that the Laugfs LPG Terminal is being utilised in the process as it holds a greater capacity. Accordingly, there are ample stocks of LP Gas in the market in all the approved weight categories, he explained.

The discussion on LP Gas prices came after Litro Gas Lanka Ltd and Laugfs Gas PLC continuously requested the Consumer Affairs Authority (CAA) to grant permission for an increase in the consumer price of LPG cylinders. Accordingly, the Laugfs Gas PLC requested an increase of Rs.700 and Litro Gas, an increase of Rs.670 per 12.5 Kg cylinder.

However, Minister Amaraweera said the Ministerial Sub- Committee decided that any increase in domestic LP Gas prices is unsuitable at the present juncture, which will only heighten the burden placed on the public.

In addition, the two LP Gas companies will not be allowed to bring unconventional-sized cylinders to the market with different weights. 

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