Liquefied natural gas prices rise in Dushanbe

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Since the beginnin of this year, liquefied natural gas (LNG) prices have risen nearly 12.5 percent in Dushanbe,  with similar price rises in other regions of Tajikistan.

The price for one liter of liquefied natural gas in Dushanbe has increased from 4.00 somonis at the beginning of the year to 4.50 somonis.  

Kazakhstan provides the bulk of Tajikistan’s LNG imports and the fueling stations say the price hike has resulted from increasing LNG prices in Kazakhstan.  Tajikistan receives deliveries of liquefied gas by road and rail.

According to data from the Agency for Statistics under the President of Tajikistan, more than 60 percent of the country's motor vehicles now use liquefied natural gas as fuel. 

The Antimonopoly Agency under the Government of Tajikistan says they are investigating the reason for the price hike.   

The Antimonopoly Agency representatives say they can interfere with the liquefied gas pricing process in the case if there are dominating companies in the country’s LNG market. 

In accordance with the country’s antimonopoly legislation, companies accounting for 35 percent of market are put on the register of dominating companies. 

Three entities with a total share of not less than 50 percent and five entities with a total share of not less than 70 percent are also put on the register of dominating companies.

Before introducing new fees, such companies must coordinate them with the Antimonopoly Agency.

Kazakhstan provides the bulk of Tajikistan’s LNG imports.  Kazakhstan has accounted for more than 90 percent of Tajikistan’s LNG imports.      

Kazakh media reports say certain changes have been made in the country's market since 2019.   The fact is that Kazakhstan is establishing a system of market pricing for the liquefied natural gas.

Part of the LNG is already being sold in Kazakhstan through the determination of the cost of fuel by the exchange.  Another part of the liquefied natural gas is sold on a quarterly basis at prices set by the Ministry of Energy of Kazakhstan.  This year, Kazakhstan plans to completely shift to the market-based pricing.  

 

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