LPG Distributors Announce Nationwide Sale Suspension from November 16 Over Controversial Pricing Formula

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LPG

ISLAMABAD — November 1, 2026 — Liquefied Petroleum Gas (LPG) associations across Pakistan have jointly issued a nationwide LPG Strike Announcement, declaring a complete suspension of gas sales starting November 16 in protest against the government’s newly proposed pricing mechanism.

The decision was finalized during an emergency meeting convened by key industry stakeholders, who rejected the regulatory authority’s formula and warned of severe financial impact on domestic and commercial consumers.

What Triggered the Nationwide LPG Strike Announcement?

The primary driver behind the LPG Strike Announcement is the federal government’s introduction of a revised framework for calculating liquefied petroleum gas tariffs. Addressing press representatives following the emergency council, Ali Haider, Senior Vice Chairman of the LPG Marketers Association, stated that all regional bodies unanimously voted to shut down supply lines:

  • Complete Sale Suspension: Effective November 16, marketing companies, distributors, and retail outlets will halt all LPG sales across urban and rural distribution centers nationwide.

  • Rejection of Official Pricing: Representatives emphasized that the newly introduced calculation structure imposes unrealistic cost structures on supply chains, making legal business operations unviable.

  • Consensus Among Associations: All primary LPG marketing associations, plant owners, and distributor unions have pledged full participation in the strike.

How Will the Government’s New Formula Impact LPG Prices?

Industry representatives warned that implementing the government’s new price calculation framework would lead to an immediate spike in consumer rates across all provinces:

1. Predicted 25 to 30 Percent Price Hike

Ali Haider cautioned that if enforced, the official pricing structure would trigger a 25 to 30 percent price increase per kilogram of LPG, significantly overburdening low-income households reliant on gas cylinders for cooking and heating ahead of the winter season.

2. Industry Resistance Against Price Hikes

The association asserted that distributors refused to pass on an artificial 30 percent cost increase to consumers, calling on the Ministry of Energy and oil regulators to immediately withdraw the formula and engage in direct negotiations before November 16.

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