Tough times for LPG dealers as ERC implements a new licensing regime

LPG dealers are in for tough operational times as the Energy Regulatory Commission moves in to implement new licensing rules.

LPG dealers at the retail, wholesale and distributorship levels are now expected to obtain exclusive licences indicating their business location and specific LPG brand.

In the event that a business intends to change its LPG brand, such an entity must present a letter of consent from the brand owner.

“Failure to adhere to the regulations will be considered an offence and will lead to serious repercussions,” EPRC said in a notice to media houses on Friday.

A breach of any of these regulations will expose a business operator to a possible jail term of not less than five years, a possible fine of not less than Sh. 5 million, or both. ERC also stated that the offences could lead to withdrawals of operating licences.

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