Gas Prices to Increase by 300% from July 1st – Research Snipers

Gas Prices to Increase by 300% from July 1st

The interim government of Pakistan will soon drop a gas bomb on the public. Oil and Gas Regulatory Authority (OGRA) has recommended that gas prices should be increased by 300% for the local consumers and 30% for the commercial, industrial and power industry.

Before this, on OGRA’s recommendation, the interim government increased the petrol prices by Rs4.26 and diesel Rs6.55 per liter on June 12th. As the gas prices from tandoors will also be increased by 300%, you can expect a rise in prices of rotis as well. From Rs234 per MMBTU, the average gas prices have been increased to Rs 629 per MMBTU by OGRA. The new gas prices will be effective from 1st July.  

Also read: SNGPL will provide uninterrupted gas supply in 2018

The PML-N government did not raise the gas prices in four years because of short-term political gains. Thus the gas utility deficit keeps on increasing which has forced OGRA to recommend an increase in gas prices by 300%.

The PML-N government in May 2018, communicated to OGRA that Rs117 billion has to be recovered from the public. As in the past 4 years, gas prices were not increased, now all of a sudden a big burden of Rs160 billion is put upon the masses.

Furthermore, the consumers will have to pay Rs23 billion for the gas scheme started by the previous government.

Chairperson Ogra Uzma Adil wanted to change the gas prices during the PML_N government but the government did not pay heed. Thus, now she has made changes to gas prices and sent a recommendation to the interim government to enforce the new prices from July 1, 2018. It seems that the message is clear, there will be no cheaper gas for the public anymore.