Pakistan Moves to Curb Undocumented LPG Imports, Tighten Safety and Quality Controls
A proposed government overhaul targets untested LPG entering through land crossings, unlicensed bowsers and safety gaps that have caused more than 60 deaths since 2020.
Pakistan's government has outlined a sweeping overhaul of the liquefied petroleum gas (LPG) sector aimed at curbing undocumented imports, strengthening quality testing and improving safety across the supply chain, according to a cabinet summary. The document flags serious concerns over untested fuel, unsafe handling practices and a large informal segment that has so far escaped effective oversight.
A central worry is the volume of LPG entering through land crossings, where testing facilities are currently unavailable. The summary estimates that more than half of the country's LPG supply arrives this way, and inspections by the Oil and Gas Regulatory Authority (OGRA) and the Hydrocarbon Development Institute of Pakistan (HDIP) at Taftan have reportedly found substandard product. The document also links repeated explosions caused by decanting at border points without adequate safety infrastructure to more than 60 fatalities since 2020.
Enforcement gaps extend to transport as well. According to the summary, roughly 56 percent of LPG bowsers operating in the country are unlicensed. Around 2,000 bowsers are currently in service, of which only about 800 are said to meet OGRA and NEPSA standards. Undocumented inflows also deprive the state of sales tax, the Petroleum Levy and customs duty, while authorities have struggled to accurately measure volumes moving through informal channels.
Under the proposed guidelines, OGRA would be required to introduce quality testing at land entry points through HDIP by June 30, 2027. After that date, no LPG volumes would be permitted to enter through any port without spot testing. The framework also calls for NEPSA satellite offices and HDIP/PCSIR laboratories at land crossings by the same deadline.
The plan tightens controls on licensing and handling: OGRA would audit licensees' sales volumes against their licensed storage, cylinder circulation and filling capacity, with penalties including licence cancellation for non-compliance. Cylinder filling would be restricted to licensed plants, bowser-to-bowser transfers would be prohibited, and cylinder standards would be reinforced through embossing, barcoding, a ban on unregistered empty cylinders and periodic requalification of manufacturers.
The government also proposes amendments to Sections 285 and 286 of the Pakistan Penal Code to raise penalties and make relevant offences non-bailable, with OGRA and FBR Customs working jointly to measure and control undocumented inflows. To give stakeholders time to adjust, enforcement action against non-compliant bowsers would remain suspended until June 30, 2027. OGRA would further be tasked with regular audits and stronger health, safety and environmental enforcement, and could convene product review meetings on supply-chain conditions, import plans and winter stock requirements.
