Karnataka Transport Body Raises Concerns Over Unannounced Auto LPG Price Hike in Bengaluru

Financial Report: Auto LPG Price Hike Sparks Concern Among Transport Operators in Bengaluru

Date: March 10, 2024

Key Figures:

• Rs 64.75: Previous price of Auto LPG per litre
• Rs 85: New price of Auto LPG per litre at some private stations
• Rs 85+: Higher rates reportedly charged by some outlets

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Summary:

The Federation of Karnataka State Private Transport Associations has written to the Union Petroleum and Natural Gas Minister, Hardeep Singh Puri, seeking intervention after a sudden increase in Auto LPG prices at some private fuel stations in Bengaluru. The price of Auto LPG was raised from Rs 64.75 per litre to Rs 85 per litre at some stations, with a few outlets charging even higher rates.

Impact:

The unexpected hike has put financial pressure on auto-rickshaw drivers and small vehicle operators who depend on Auto LPG as a relatively affordable fuel for daily operations. The lack of transparency in the price revision mechanism has allowed some private fuel stations to adopt arbitrary pricing practices, leading to confusion among consumers and an additional financial burden on thousands of drivers and transport operators.

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Call for Regulation:

The federation has urged the Union government to step in through the Petroleum and Natural Gas Regulatory Board (PNGRB) to ensure transparency and price discipline among Auto LPG and CNG dispensing stations. Key demands include:

• Safeguards to prevent arbitrary price increases
• Mandatory advance public notice before fuel price revisions
• Monitoring mechanism to avoid large price variations among stations within the same city

Background:

Transport operators warn that sudden price hikes directly affect the livelihood of small operators and could also increase transportation costs for the public. The federation emphasizes the need for measures to protect transport operators and ensure stable pricing of cleaner fuels such as Auto LPG and CNG.