The reported rise in liquefied petroleum gas (LPG) prices to Rs500 per kilogram in Punjab and Khyber Pakhtunkhwa (KP) has raised concerns among households and businesses that rely on LPG for cooking and heating. If confirmed, the increase would place additional pressure on families already managing everyday expenses. LPG is an important fuel in areas where natural gas is unavailable, supply is unreliable, or households depend on cylinders for their daily needs. A sharp increase in its price can affect household budgets, small restaurants, tea stalls and other businesses.
LPG Selling Far Above the Official Rate
According to reports published on October 19 and 20, 2026, LPG is being sold for around Rs500 per kilogram in Punjab and KP, despite the official October rate of Rs279.34 per kilogram set by the Oil and Gas Regulatory Authority (OGRA). This means consumers are reportedly paying about Rs220 more per kilogram than the notified rate.
Domestic LPG Cylinder Prices Reach Rs6,000
The increase has also pushed up the cost of domestic LPG cylinders. According to the LPG Distributors Association, an 11.8kg cylinder is reportedly selling for around Rs6,000 in Punjab and KP, compared with the official October price of Rs3,296.23. The difference is placing additional pressure on families that depend on LPG for everyday cooking.
Shortages and Supply Problems Add to Pressure
Industry representatives have linked the sharp rise to supply constraints and disruptions affecting LPG imports. Reports have also highlighted concerns about the availability of imported gas, with distributors warning that limited supplies could keep retail prices elevated.
Prices Reportedly Higher in Hilly Areas
Consumers in mountainous regions are facing even higher prices. According to industry representatives, LPG has reportedly reached Rs600 per kilogram in some hilly areas, while a domestic cylinder may cost as much as Rs7,200. Transportation difficulties and supply limitations can further increase prices in remote locations.
LPG Distributors Call for Government Action
Irfan Khokhar, chairman of the LPG Distributors Association, has called for government intervention to address the price difference. He has urged authorities to improve supply arrangements and facilitate LPG imports to help stabilise the market and provide relief to consumers.
Households Face Additional Financial Pressure
The reported price increase is particularly challenging for low-income households and small businesses that rely on LPG. Higher cooking fuel costs can add to monthly household expenses and increase operating costs for restaurants, tea stalls and other small businesses.
Conclusion
LPG prices in Punjab and Khyber Pakhtunkhwa have reportedly reached Rs500 per kilogram, significantly exceeding OGRA’s official October rate. Consumers and industry representatives are calling for action to improve supply and address excessive retail prices. The effectiveness of any relief measures will depend on improved availability, enforcement of applicable price rules and closer monitoring of the market.










