‘CAA has so far not given the nod for LPG and milk food price revisions’ – senior official

By Suresh Perera

The Consumer Affairs Authority (CAA) has so far not agreed on the respective price increases sought by Litro Gas Lanka and Laugfs Gas PLC and milk food importers, a senior official said on Friday.

Responding to a claim by a minister that the CAA has given the nod for a Rs. 375-400 price revision on a 12.5kg cylinder of cooking gas, he said there’s no such approval granted by the regulatory authority so far.

“It’s true that the two gas companies and milk food importers have filed applications for price revisions. However, the CAA has so far not given the green light for a price hike”, he said.

Litro and Laugfs have sought a Rs. 750 increase on a 12.5kg cylinder, while milk powder importers want to push up the price of a 400g pack by Rs. 140 and a kilo pack by Rs. 350.

Whatever the increase, it has to be determined by the regulatory body’s pricing committee, the official pointed out.

Meanwhile, the CAA will continue raids on LPG distributors/retailers who refuse to sell 12.5kg cylinders to consumers, he said.

“They will face legal action in terms of the gazette notification issued last week”, he warned.

He said the regulatory authority is also working on finalizing a maximum retail price (MRP) for the controversial 18-litre hybrid cylinders introduced to the market.

“We are looking at a MRP of Rs. 1,100 as the hybrid cylinders contain three kilograms less in terms of gas in comparison to the regular 12.5kg cylinders”, the official said.