Govt continues to encourage LPG use

The government is continuing its walk in the path of encouraging use of bottled liquefied petroleum gas (LPG) in households by reducing its pricing further.

Finance Minister AMA Muhith proposed reducing the duty on raw materials, required to produce LPG cylinders, from 10 percent to 5 percent in the budget.

The move comes in parallel to a second hike of price in gas burner use this year. The Supreme Court, last Tuesday, removed bar on hiking the tariff of gas burners.

“Moreover in order to encourage LNG (Liquid Natural Gas), we have given it duty tax exemption,” he added. “Due to shortage of natural gas, we have to think of replacing it with LPG.”

Fuel is the pre-requisite for all development activities of a country. Till now, gas remains as the main source of electricity, vehicle, kitchen and all other productions, he said.

He said the government has already allowed 50 industries to set up LPG bottling plant in the country. Some of plants are already in operation. The machineries and equipment required to set up these industries have been given duty exemption facility above 1%.

Even last year, the government had encouraged LPG use by reducing its import duty.

Source: thedailystar