The authorities of Kazakhstan are preparing to impose a temporary ban on liquefied petroleum gas exports, TASS reports.
In accordance with the draft Order, posted on the «Open regulatory legal acts» portal, the ban will be imposed on road transport for 3 years and on rail transport for 6 months. However, the ban does not apply to subsoil users who produce gas under production sharing agreements or subsoil contracts.
The Ministry of Energy of Kazakhstan explained that the draft Order aims to meet the demand on the domestic liquefied petroleum gas market. The country has enforced the state regulation of retail prices for this type of fuel, which has prompted a surge in liquefied petroleum gas consumption in the domestic market. In 2022, the domestic demand increased by 28 percent compared to the previous year, and in the first 6 months of 2023, by 100,000 tonnes compared to the same period last year.
Given the demand of 130,000-140,000 tonnes per month on the domestic liquefied petroleum gas market, the Ministry of Energy meets 90 percent of this demand, i.e., 120,000-130,000 tonnes. However, ongoing repairs on the plants can lead to shortages. According to the Ministry of Energy, these shortages could rise up to 15-20 percent.
