GAZA CITY, Gaza Strip — The Ministry of Finance in the Gaza Strip has decided to float the price of cooking gas cylinders — a move that pleases consumers but angers the owners of gas stations, who will have to make up the price difference.
The ministry announced that, as of Nov. 25, the price of the 12-kilogram cylinders — which had sold at a fixed cost of 64 shekels (around $17) — would be determined based on supply and demand, not to exceed 64 shekels. No further details were given.
Only one gas station in Gaza City implemented the decision. Al-Monitor visited Daban station in the eastern Gaza neighborhood of Zaytoun. The station is selling the 12-kilogram cylinder at 51 shekels ($13.60). Other stations and fuel and gas distribution companies opposed the government's decision, describing it as unjust.
Mahmoud al-Shawa, chairman of Gaza's Petroleum and Gas Station Owners Association (PGSOA), told Al-Monitor that gas and fuel companies in Gaza buy fuel, including cooking gas, from the Palestinian Authority (PA), which is the only entity authorized to import cooking gas. The PA buys the cylinders for only 3 shekels (80 cents) and sells them to Palestinian distribution companies after taxation for 51 shekels ($13.60). In turn, these companies sell cooking gas cylinders to citizens at amounts ranging from 55 shekels ($14.70) to 64 shekels ($17).
AL-MONITOR All-Access gives you unlimited access to all our journalism, the full Daily Briefing, exclusive interviews, premium newsletters, and live events — for less than $2/week.
