In Islamabad, the interim government has made a significant decision to shift the financial burdens of the gas sector onto the general population. This move is anticipated to result in a gas price surge of more than 50 percent in the upcoming week.
As per reports from media sources, the caretaker government has resolved to pass on the losses incurred by the gas sector to the public. The annual deficit in the gas sector stands at 350 billion rupees, with a total outstanding debt of 2700 billion rupees.
Sources indicate that following the transfer of these losses, gas prices will experience a substantial increase. The tariff for Sui Northern is projected to rise by Rs. 415 per mmbtu, while Sui Southern is expected to see a Rs. 417 per mmbtu increase. Notably, OGRA (Oil and Gas Regulatory Authority) has already granted approval for this price hike, and the federal government has received the final decision.
Additionally, the variance in import tariffs between LNG and natural gas will be eliminated. In line with the IMF agreement, these adjustments in gas prices are set to take effect from July 1. The Ministry of Energy is expected to issue an official notification regarding this impending price hike
