Govt May Increase Gas Tariff by Up To 193%

The Government of Pakistan may increase the gas tariff by up a whopping 193% for different consumer categories in order to meet the International Monetary Fund (IMF) demands.

According to the details, the Ministry of Energy has already drafted a comprehensive plan for gas tariff revisions for different categories, which includes:

• An increase 129% for domestic consumers
• An upward revision of 136% for commercial consumers
• A hike of 117% for industrial consumers
• A massive 193% increase for the cement industry
• A surge of 71% for the export industry
• A hike of 144% in the Compressed Natural Gas (CNG) tariff
• A 25% hike for bulk consumers

However, these revisions still need an official approval with the Economic Coordination Committee (ECC) and the Federal Cabinet expected to review and implement the new rates very soon.

Furthermore, the new gas tariff will be effective from October 1, 2023.

It is pertinent to mention that hike in gas tariff will not affect certain consumer groups, including protected domestic consumers and Tandoors, which is some relief for the already inflation-burdened population.

Nonetheless, a massive burden will be place on domestic users already struggling to make ends meet due to the current economic situation, record-high inflation, and condition of the labor market.

Read more: Petrol Prices in Pakistan Expected to Drop From Next Fortnight.

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