Caretaker Government approves massive hikes in gas tariffs

Caretaker Government approves massive hikes in gas tariffs today. The Economic Coordination Committee (ECC) of the cabinet gave clearance for a huge increase in the prices of natural gas by 194%.

The Caretaker Pakistan Government has increased massive gas prices for domestic as well as commercial consumers. There is a huge rise in fixed monthly charges from 10 rupees to 400 rupees for domestic protected consumers who use up to 200 units for six months.

While charges are divided into two categories for non-protected consumers whose consumption goes above 200 units. The first category is linked up to 1.5 cubic hectometers unit. It will face a price increase from 460 rupees to 1,000 rupees. On the other hand, there is an increase from 460 rupees to 1000 rupees for the second category. This category belongs to consumers having consumption of more than 1.5 cubic hectometers unit.

The first category, up to 1.5 hm3, has seen an increase from Rs460 to Rs1,000. For the second category, above 1.5 hm3, the charges have been raised from Rs460 to Rs2,000.

Read more: ECC okays massive hikes in gas tariffs https://t.co/nPUmRnsevo
— Dawn Business (@dawn_business) October 24, 2023

Click here to read the details of the massive decrease in petrol prices by the Pakistan Government

Caretaker Finance Minister Shamshad Akhtar presided over the ECC meeting. The Petroleum Division proposed the summary for a massive gas price hike for all sectors. FM Shamshad approved the summary today.

The Federal Minister for Finance, Revenue, and Economic Affairs, Dr. Shamshad Akhtar @1sakhtar presided over a meeting of the Economic Coordination Committee (ECC) of the Cabinet at the Finance Division today. pic.twitter.com/UXmI3pZhzv
— Ministry of Finance, Government of Pakistan (@Financegovpk) October 24, 2023

Caretaker Government approves massive hikes in gas tariffs

According to the summary, the gas price revision was due on July 1, 2022. PML-N-led coalition government postponed this decision and handed over this harsh task to the caretaker government.

SSGC and SNGPL have already reported a deficit of 46 billion rupees for the period from July to September. SSGC (Sui Southern Gas Company Limited) and SNGPL (Sui Northern Gas Pipelines Limited) are the main national gas companies.

The interim government is going to implement a new gas price increase of up to 194% from November 1, 2023.