Companies dealing in supply and distributing LPG in the UAE have been given a month’s deadline, beginning January 1, to reduce the price of cooking gas cylinders by 30 to 35 per cent as were in 2012.
The Ministry of Economy said no approvals were given to the LPG companies for price hike last year, and rejected the increase. The ministry has given the companies a month to rectify the irregularities and apply 2012 prices.
Suppliers of cooking gas cylinders in all the emirates, except Abu Dhabi, had increased the prices at variable rates ranging between 30 and 35 per cent. “Price hikes in the emirates of the country, except Abu Dhabi which subsidised gas prices, ranged last year between 30 and 35 per cent compared with prices in 2012,” said Dr Hashim Al Nuaimi, Director of Consumer protection Department at the Ministry of Economy. “The LPG companies justified the increase as on par with global oil prices,” he said, confirming that the ministry had rejected such justifications. Dr Nuaimi said the Ministry of Economy had informed the LPG supplying companies not to jack up the prices of cooking gas cylinders and the household gas unless the ministry approved it in writing.