Islamabad – August 1, 2025
In a welcome development for households and businesses, the federal government has cut liquefied petroleum gas (LPG) prices significantly for August, offering some relief amid ongoing inflationary pressures. Consumers will now pay Rs17.73 less per kilogram—a 7.6% reduction—bringing the new LPG price down to Rs215.37 per kg, according to the latest notification from the Oil and Gas Regulatory Authority (OGRA).
This sharp drop in prices comes in response to a notable 9.8% decline in the Saudi Aramco Contract Price (CP), which serves as a benchmark for LPG pricing in Pakistan. While the average exchange rate for the US dollar nudged up slightly by 0.38%, the fall in Aramco-CP more than offset that, allowing for a significant cut in consumer prices.
For the average household, the price reduction translates to tangible savings. A standard 11.8 kg domestic LPG cylinder, previously priced at Rs2,750.60, will now cost Rs2,541.36—a decrease of Rs209.24. Commercial users will also see relief, with the price of a 45.4 kg commercial cylinder dropping by nearly Rs805 to Rs9,777.80.
This pricing update, effective from August 1, could offer short-term relief to low and middle-income families who rely heavily on LPG for cooking and heating. However, analysts note that such benefits may be temporary if global energy prices rebound or the rupee weakens further in the coming months.
