Gas prices in Pakistan are set to rise again as the International Monetary Fund pushes the government to pass supply and production costs directly on to end consumers. According to sources within the Ministry of Finance, the multilateral lender has insisted that domestic and commercial gas consumers must absorb rising operational expenses to arrest runaway deficits in the energy chain.
Discussions regarding the gas tariff increase were held during the recent economic review with the lender. Authorities are now preparing a formal summary that will detail higher tariffs alongside a broader overhaul of the national gas market.
Soaring circular debt triggers fresh measures
The push for an upward price revision follows a sharp expansion in energy sector arrears. Ministry of Finance officials noted that circular debt—an accumulation of unpaid bills, delayed subsidies, and revenue shortfalls across energy companies—has now crossed Rs3,600 billion in the gas network alone.
Under existing loan conditions, the IMF has consistently asked Pakistan to prevent further accumulation of debt in both the power and gas sectors. Passing fuel cost adjustments directly to households and industrial consumers is central to that requirement, ensuring that public utilities recover the full cost of delivery.
Plans to privatise and deregulate utilities
Beyond immediate tariff adjustments, the government has started drafting a structural deregulation plan for the gas market. The proposed framework envisions privatising the country's two state-owned gas distribution utilities to attract private sector capital and improve operational performance.
Officials confirmed that the Ministry of Finance, the Ministry of Petroleum, and relevant administrative departments have been instructed to finalise the deregulation proposal. The complete plan will soon be submitted to the Prime Minister for formal review. A final decision on consumer rates and the implementation timetable will follow executive clearance.
Aasan alfaaz mein
IMF ne hukoomat par dabao dala hai ke gas ki barhti hui qeematon ka bojh sarfeen par dala jaye taake 3,600 arab rupay se zayed ka gas circular debt kam ho sake. Hukoomat gas sector ko deregulate karne aur privatise karne ka mansooba bhi bana rahi hai. Prime Minister ki manzoori ke baad gas mazeed mehngi ho sakti hai, jis se aam sarfeen ke mahana utility bills mazeed barh jayenge.
