The federal government has decided to hike gas prices for Sui Southern Gas Company (SSGC) and Sui Northern Gas Pipelines Limited (SNGPL) consumers by up to 44 and 45 per cent respectively.
After increasing power tariff and petroleum products rates, the federal government moved ahead to hike gas prices as Oil and Gas Regulatory Authority (OGRA) gave the approval.
The gas rate for SNGPL was increased up to 45 per cent or Rs266.58 per mmBtu and 44 per cent which will jack up the price to Rs854.52.
The gas rate for SSGC consumers was increased up to 44 per cent or Rs308.53 which will hike the price to Rs1007 per mmBtu.
According to OGRA officials, the revenue target of SNGPL for the next fiscal year is Rs597 billion and Rs286 billion SSGC. The summary was sent to the federal government for its final approval.
In the previous years, a comprehensive policy was devised to reduce the Rs264,894 million
Analysts say the rise in gas prices following the rise in prices of petroleum products and electricity added fuel to the fire. They said that the coalition government had said that we will stop the tsunami of inflation brought by Imran Khan but its promises are not fulfilled.
Rising prices for petroleum products, electricity and gas have pushed up production charges, and food prices have skyrocketed.
Economic analysts say former prime minister Shahid Khaqan Abbasi had said that if petrol and electricity prices had not been raised, the economy would have sunk, as fuel prices are rising internationally, which is what Imran Khan’s government used to say.
Economists said that the wages of the common man are not increasing in Pakistan while the prices of essential commodities are increasing day by day which will lead to a high inflation rate.