NBR revises upward tariff value of LPG
Doulot Akter Mala | Sunday, 22 June 2008
The government has revised the tariff value of liquefied petroleum gas (LPG) and fixed the same at Tk 50 for 12.50 kg cylinder and Tk 30 for 5.50 kg cylinder.
Earlier the tariff for a 12.50 kg cylinder was Tk 40 and marketing of the 5.50 kg cylinders has started only recently.
The prices of each LPG cylinder will increase due to increase in value added tax (VAT) at the local manufacturing stage, an official said.
The National Board of Revenue (NBR) has recently issued a statutory regulatory order (SRO) fixing the new tariff values of LP gas cylinders.
The maximum retail price of a cylinder of 12.5 kg marketed by the Bangladesh Petroleum Corporation (BPC) is now Tk 650.
Talking to the FE Saturday, BPC chairman Anwarul Karim said: "We have requested the energy ministry to urge the authorities concerned for keeping the tariff value unchanged or make a marginal change keeping in mind the consumers' interest."
The energy ministry has already sent a letter to the finance division to review the decision, he added.
The BPC now meets one fourth of total local demands for LPG. Upward adjustments of tax rate will escalate LPG price, the BPC chairman said.
The country needs annually 80,000 tonnes of LPG. Of the requirement, the BPC has been supplying 20,000-22,000 tonnes.
Oil marketing companies under BPC---Jamuna Oil Company Ltd, Padma Oil Company Ltd, Meghna Petroleum Ltd and L P Gas Ltd ---have been supplying LPG cylinders to their enlisted distributors.
Residents of Khulna, Rajshahi, Chittagong Hill tracts, where piped gas is yet to be made available, are largely dependent on LP gas cylinder for cooking.
Sources said the demand for 12.5 kg LP gas cylinders is around 40,000 to 45,000 a month and the BPC markets only 8,000 cylinders.
The demand for rest is being met by the private companies including Basundhara, Jamuna spacetech, Kleenheat, Total gas and Summit gas, they said.
The domestic tariff of LPG has marked a rise following the price hike of crude oil in the international market.
Earlier the tariff for a 12.50 kg cylinder was Tk 40 and marketing of the 5.50 kg cylinders has started only recently.
The prices of each LPG cylinder will increase due to increase in value added tax (VAT) at the local manufacturing stage, an official said.
The National Board of Revenue (NBR) has recently issued a statutory regulatory order (SRO) fixing the new tariff values of LP gas cylinders.
The maximum retail price of a cylinder of 12.5 kg marketed by the Bangladesh Petroleum Corporation (BPC) is now Tk 650.
Talking to the FE Saturday, BPC chairman Anwarul Karim said: "We have requested the energy ministry to urge the authorities concerned for keeping the tariff value unchanged or make a marginal change keeping in mind the consumers' interest."
The energy ministry has already sent a letter to the finance division to review the decision, he added.
The BPC now meets one fourth of total local demands for LPG. Upward adjustments of tax rate will escalate LPG price, the BPC chairman said.
The country needs annually 80,000 tonnes of LPG. Of the requirement, the BPC has been supplying 20,000-22,000 tonnes.
Oil marketing companies under BPC---Jamuna Oil Company Ltd, Padma Oil Company Ltd, Meghna Petroleum Ltd and L P Gas Ltd ---have been supplying LPG cylinders to their enlisted distributors.
Residents of Khulna, Rajshahi, Chittagong Hill tracts, where piped gas is yet to be made available, are largely dependent on LP gas cylinder for cooking.
Sources said the demand for 12.5 kg LP gas cylinders is around 40,000 to 45,000 a month and the BPC markets only 8,000 cylinders.
The demand for rest is being met by the private companies including Basundhara, Jamuna spacetech, Kleenheat, Total gas and Summit gas, they said.
The domestic tariff of LPG has marked a rise following the price hike of crude oil in the international market.