State-run companies acting as mafia: Pakistan Economy Watch

ISLAMABAD: The Pakistan Economy Watch (PEW) on Monday said recent hike in Liquefied Petroleum Gas (LPG) prices is unjust and against the interest of masses braving severe weather.

It is not the private sector but state-owned enterprises -working as a mafia–that are responsible for frequent hike in the price of LPG, it said.

Decision of upward revision of LPG prices by Rs 11331 to Rs 92188 per tonne by cannot be justified, as there is no indication of any increase in cost of production, said Dr. Murtaza Mughal, President of the PEW.

LPG production cost hardly cross Rs 22000 per tonne and addition of 16 per cent GST add 3520 to it, he said.

He said that around 75 per cent production of LPG is controlled by government which is earning billions by unjustified hikes. Such moves automatically benefits private producers as well as eighty marketing companies, he added.

He said that there should be some check on the moves of LPG producers who are playing havoc with masses in biting winter when demand is increased by around 700 tonnes per day.

Prices is regularly been revised upward while local production remain stagnant at 900 tonnes, he informed.

He asked the CJP to take note of the situation and intervene in the interest of masses.

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