Liquefied petroleum gas (LPG) prices have been increased again within just 17 days, with the price of a 12 kg cylinder rising by Tk 212 to Tk 1,940.
Earlier on April 2, the Bangladesh Energy Regulatory Commission (BERC) had raised the price by Tk 387, setting it at Tk 1,728. With the latest adjustment, the total increase for a 12 kg cylinder in April stands at Tk 599.
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In its order issued on Sunday (April 19), BERC cited higher import costs, including increased freight charges, trader premiums, and rising diesel prices, as the main reasons behind the hike.
The regulator noted that freight and premium costs have surged significantly—partly due to tensions involving Iran—leading to higher shipping expenses. While earlier pricing was calculated based on $120 per tonne for freight and premiums, the new rate considers $250 per tonne to ensure uninterrupted LPG supply.
Meanwhile, the price of autogas used in vehicles has also been increased from Tk 79.77 per liter to Tk 89.50 per liter.
At the beginning of April, the price of a 12 kg LPG cylinder was raised from Tk 1,341 to Tk 1,728, while autogas prices were increased from Tk 61.83 to Tk 79.77 per liter.
Despite regular price announcements by BERC over the past six months, the rates have largely not been enforced in the market. Industry observers say the LPG sector is experiencing significant irregularities, with retailers often charging higher-than-approved prices.
For instance, although the official price in March was Tk 1,341, reports indicate that cylinders were sold for Tk 1,800 to Tk 2,000 in many areas.
Critics also point out that importers have received a series of policy benefits amid the supply situation, including increased import limits, tax reductions, and access to easier letter of credit (LC) financing. Freight charges were also raised from $108 to $120 per tonne, and importers were allowed to open LCs on credit following their demands.
