Khokhar appreciates OGRA for crackdown on factories producing substandard LPG equipment

ISLAMABAD:Liquefied Petroleum Gas Distributors Association (LPGDA) Chairman Irfan Khokhar has appreciated OGRA for launching an effective crackdown against the factories producing illegal and substandard LPG cylinders, bowsers and other equipment.

Talking to reporter, he said, the OGRA team in collaboration with district management had recently seized around 10 substandard browsers from a factory operating at the Lahore Ring road.

He termed the operation ‘historic’ and ‘successful’ as the unearthing of such illegal factories were putting life and property of the public at risk for their monetary gains.

Khokhar said the sealed factory was operating without the Oil and Gas Regulatory Authority (OGRA) licence and other requirements.

He said the LPG industry was flourishing in the country due to the remedial measures taken by the incumbent government, under the visionary leadership of Prime Minister Imran Khan.

According to an official document available with reporter, Oil and Gas Regulatory Authority (OGRA) issued around 36 licences, during a nine-month period from July-March 2021, aimed at promoting the LPG sector and ensuring the provision of environment-friendly fuel across the country especially in far-flung areas at controlled rates throughout the year.

The authority granted one licence for the construction of LPG production facility, nine for the operation of LPG Storage & Filling Plants, 20 for construction of LPG Storage and Filling, besides five for construction of LPG auto refueling stations and one for the operation of LPG Auto Refueling Station.

The LPG sector also attracted investment amounting to Rs17.08 billion due to the ease-of-doing-business plan introduced by the Pakistan Tehreek-i-Insaf (PTI) government during the period under review. The country’s total supply of LPG stood at 927,683 Metric tons (MT).

“OGRA has made a significant contribution in national economic progress and created an environment for additional investments which will not only result in the development of infrastructure in LPG sector on fast-track all over the country but also provide jobs to hundreds of unemployed people,” the document said.

Currently, as many as 11 LPG producers and 216 LPG marketing companies are operating in the country, with more than 7,000 authorized distributors.Around 769,589 tons of LPG was consumed by domestic, commercial and industrial sectors on an annual basis.

During the last fiscal year 2019-20, the domestic sector consumed 322,779 tons of LPG, commercial and industrial consumers utilized 348,518 and 98,292 tons respectively.

All three-category consumers used 16,021 tons LPG in Islamabad, 459,026 tons in Punjab, 81,286 in Sindh, 72,997 tons in Khyber Pakhtunkhwa, 22,564 tons in Balochistan, 43,468 tons in Northern Areas, 26,087 in erstwhile Federal Administered Tribal Areas and 48,142 tons in Azad Jammu and Kashmir.

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