In a major relief for consumers, the federal government has decided to freeze gas prices across all categories for the next six months, setting aside substantial tariff hike proposals submitted by the country’s two state-owned gas utilities. The announcement was made by Federal Minister for Petroleum Ali Pervaiz Malik during the 12th meeting of the National Assembly Standing Committee on Petroleum, chaired by Syed Mustafa Mehmood.
Briefing the committee, the petroleum minister said that on the directions of Prime Minister Muhammad Shahbaz Sharif, gas prices will remain unchanged for the next six months of the current fiscal year. He stressed that no increase will be applied to any consumer category, including domestic, commercial, and industrial users. The minister added that a formal notification in this regard will be issued shortly, noting that gas tariffs are typically reviewed every six months.
The committee was also informed that the long-standing issue of circular debt flow in the gas sector has been effectively contained, with no fresh accumulation taking place. Terming it a key achievement, the minister said this marks a significant milestone in the government’s gas sector reform agenda. He further stated that gas supply to domestic consumers has been enhanced across the country, with no indigenous gas field currently under curtailment. Gas supply to the power sector has also exceeded the Integrated Generation Capacity Expansion Plan (IGCEP) demand to help prevent electricity load-shedding during the winter season.
On LNG-related matters, Ali Pervaiz Malik disclosed that Pakistan has successfully concluded negotiations with Qatar to divert surplus LNG cargoes to the international market, while fully honoring contractual obligations. He described Qatar as a reliable and strategic partner, highlighting that it honored its commitments when several global suppliers failed to do so. According to the minister, a mutually acceptable arrangement has been reached that protects Pakistan’s interests while strengthening bilateral energy cooperation.
Managing Directors of Sui Northern Gas Pipelines Limited (SNGPL) and Sui Southern Gas Company (SSGC) briefed the committee on operational improvements and consumer-focused measures. They reported that gas supply has been enhanced nationwide in line with the prime minister’s directives to ensure maximum relief during winter. SNGPL informed the committee that gas supply hours for domestic consumers have been extended from 5:00 am to 10:00 pm to reduce public hardship.
Significant progress was also reported in reducing Unaccounted-for Gas (UFG) losses. SNGPL successfully reduced its UFG losses from 9 percent to 5 percent, while SSGC brought losses down from 17 percent to 10 percent. The committee was further briefed on the deployment of IoT-based monitoring systems, including Town Border Stations at network tail ends, which enable real-time detection of pressure drops and improve service delivery.
The petroleum minister also informed the committee that the government, in consultation with the World Bank, is working on capacity building of the Directorate General of Petroleum Concessions (DGPC) to strengthen regulatory oversight and governance in the upstream sector.
It is pertinent to note that both SNGPL and SSGC had sought significant increases in their average prescribed gas prices for FY 2025-26. SNGPL proposed a hike of Rs189 per MMBTU, while SSGC requested an increase of Rs125 per MMBTU, citing higher operating costs, RLNG diversion, and required returns on assets. However, the Standing Committee on Petroleum appreciated the government’s reform measures and consumer-focused approach, lauding the decision to stabilize gas prices and provide tangible relief to the public.
