The increase in gas cylinders by distributors has not been approved by the Malta Resources Authority, contrary to claims by the distributors, the authority said.

Liquigas yesterday said that some gas distributors were selling cylinders at a higher rate than that it had set but the GRTU defended the distributors, whom it represents, saying the company refused to increase their commission to cover rising costs and some of them increased the prices themselves keeping them lower than maximum established by MRA.

Liquigas said gas prices had not gone up since October 1. It said the distributors who were selling gas at its recommended price could be found on its website www.liquigasmalta.com.

In a statement today the MRA said:

"The arbitrary increase in the price of LPG cylinders by the distributors is not approved by the authority. The official prices issued by the authority clearly state that distributors are obliged to sell the LPG at prices established by Liquigas (Malta) Ltd."

The MRA said that since the distributors were Liquigas agents, they had to maintain the prices issued by the company.

"As agents of the operators the fixed commission paid to distributors must be agreed and approved by the operator as was the case when the pricing mechanism was approved by the authority.

"The pricing mechanism approved by the authority provided for a fixed commission and the distributors are not authorised to increase this fixed commission," it said.

The authority said it has, on numerous occasions, informed the distributors that discussions on commissions should be held with the operators and not with the authority.

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