The Oil and Gas Regulatory Authority (Ogra) has announced a significant increase in the price of Liquefied Petroleum Gas (LPG), placing an additional burden on household budgets across Pakistan. The new rates are set to take effect from the start of December 2025.
Details of the LPG Price Hike
According to the official notification, the maximum retail price of an 11.8-kilogram LPG cylinder has been raised by Rs87.21. With this increase, the new price for a standard domestic cylinder will be Rs2,466.10, up from the previous month's rate.
The regulator has also revised the producer price for bulk LPG. The new producer price is now set at Rs167,691.40 per metric ton, which marks an increase of Rs7,390.97 per ton compared to the November rate of Rs160,300.43.
Key Factors Behind the Increase
Ogra attributed this upward price revision primarily to international market fluctuations. The authority stated that the hike reflects a 4.93 percent increase in the reference price set by Saudi Aramco (CP). This benchmark is a critical determinant for LPG prices in Pakistan.
Interestingly, the average exchange rate between the US dollar and the Pakistani rupee saw a slight decline of 0.15 percent. However, this minor relief was not enough to offset the impact of the higher international benchmark price, leading to the net increase for consumers.
Impact on Consumer Prices
The rise in the producer price has a direct pass-through effect on end consumers. Consequently, the consumer price for LPG has also climbed to Rs208,991.40 per ton for the month of December 2025.
This price adjustment is expected to affect millions of households and businesses, particularly in regions where LPG is a primary cooking fuel and an alternative to natural gas. The increase comes during the winter season when demand for gas typically rises.
Consumers are advised to budget for the higher energy costs as the new prices come into force on December 1, 2025. Market analysts suggest that such adjustments are likely to continue in line with global oil and gas price trends.
