The Ministry of Industry and Trade was drafting a new decree about liquefied petroleum gas (LPG) business to create favourable conditions for enterprises operating in this field.

The ministry said that Decree No 87/2018/ND-CP dated June 25, 2018, regarding the LNG business, had been proven to be outdated and no longer suitable to the current context, such as the lack of regulations regarding responsibilities of traders who lease LPG cylinders.

The ministry said the lack of regulations made it difficult for authorities to clarify obligations in cases where LPG cylinders did not meet requirements for safety, fire prevention, and quality, or accountabilities when leaks or gas explosions occurred.

Currently, there are many problems in the LPG market, the most pressing being the appropriation of cylinders and illegal extraction of LPG which has not been put under control thoroughly, according to the ministry.

This has been not only causing significant economic loss to LPG traders but also making it unsafe for users when LPG cylinders and quality are not guaranteed.

In addition, there is also a lack of regulations about the ownership of LPG cylinders and labels on the cylinders.

The new decree will also regulate the business of mini LPG cylinders. Mini cylinders are being sold by various types of traders of diverse sizes.

Currently, mini cylinders are banned from being sold in supermarkets, shopping centres and some other types of commercial establishments.

There is a lack of legal basis to manage and encourage the development of the mini-LPG cylinder market, according to the ministry.

It is necessary to develop a new decree to regulate the LPG business to promote the market’s development.

The new decree will also have detailed regulations about the obligations of LPG importers and exporters. — VNS