ISLAMABAD: The federal government has announced a new plan to provide cheaper LPG to consumers, end unfair profits in the gas market, and ensure better gas supplies during the coming winter, it was reported on Tuesday.
Federal Petroleum Minister Ali Pervaiz Malik and Information Minister Attaullah Tarar shared the government’s plans during a joint press conference in Islamabad today.
Ali Pervaiz Malik said Prime Minister Shehbaz Sharif had clearly directed the government to provide maximum relief to poor and deserving people.
He said the government had managed to prevent a petrol price increase on Friday with the help of local refineries and was making further efforts to reduce the burden on consumers.
He also hinted at good news about petrol and diesel prices.
The petroleum minister said the government would pass on the benefit of falling international oil prices to the public.
Speaking about gas supplies, he said Pakistan had around 10 million gas connections, while millions of other households depended on LPG for cooking.
He admitted that some people had taken advantage of supply problems along the western border to make unfair profits, particularly as winter approached.
The minister said the government wanted to ensure gas availability during all three daily meal times and was preparing a special plan to maintain supplies in December and January.
He said Pakistan produced around 2,000 to 2,500 tonnes of LPG locally every day, while difficulties in importing LNG had created additional challenges.
Ali Pervaiz Malik said the government would introduce a transparent auction system for locally produced LPG to break the control of a few influential groups that had dominated the sector for nearly 50 years.
Under the new plan, LPG would be sold through competitive auctions in quantities of five and 10 tonnes.
The government would also open LPG imports to competition to ensure better prices for consumers.
He said Pakistan State Oil (PSO), Sui Southern Gas Company and Pakistan LNG Limited had been asked to arrange LNG imports.
All companies would be required to display their LNG prices on their websites to ensure transparency.
The minister added that bulk fuel purchases would be made through PSO and Sui Southern, while the government would also establish an LPG price stabilisation fund.
He said deserving families would receive relief on LPG through the Benazir Income Support Programme (BISP) database.
The Oil and Gas Regulatory Authority (OGRA) would also make the LPG licensing process more transparent.
According to the minister, the international market price of LPG works out to around Rs450 per kilogram.
Information Minister Attaullah Tarar said the government was taking steps to protect consumers from rising fuel and energy costs.
He said the competitive LPG system would benefit ordinary consumers, while the government had also transferred the benefit of refinery profits to the public for the first time.
Tarar said the prime minister had directed the relevant departments to prepare a comprehensive plan for uninterrupted gas supplies during winter.
He acknowledged that the global situation had created serious economic challenges since the conflict began on February 28, but said Pakistan’s major economic indicators had remained stable.
He added that the prime minister had taken timely and difficult decisions to reduce the burden on people and ensure that poor families were not left alone during challenging times.
Both ministers said providing affordable fuel, improving gas supplies and protecting public interests remained the government’s main priorities.
